How to open a bank account in UK: The 2022 Guide
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You may need to open a bank account in UK, since you're planning to move to the UK or are currently there. This account will offer several benefits, such as depositing, keeping, withdrawing, and transferring funds. It used to be exceedingly challenging to open a bank account in the UK if you were a foreigner. Nowadays, things have become a little bit simpler.
Here's how to deal with it.
How to open a bank account in UK : The 2022 Guide
What paperwork do you need to open a bank account in UK?
Two documents—one proving your identity and the other your address—are required in order to create a UK bank account. This holds both offline and online.
Many banks will require that you be a resident of the United Kingdom (a driver's license or an identity card) in order to open a bank account in UK. Non-UK citizens from outside the European Union (EU) or Switzerland may be required to present a visa or residency permit.
You'll also need to present another document to confirm your address.
Each bank maintains a list of acceptable documents, include:
- a mortgage statement or apartment lease;
- a recent gas or electricity bill, no older than three-month bill;
- a current (less than three months old), physically printed bank or credit card statement; or
- a council tax statement
Without proof of address, how can one open a bank account in UK?
If you are a foreigner in the UK, you probably don't have any of the above documents.
Banks are now a little bit more lenient about the kind of identification they will take as evidence of address these days.
A letter from Jobcentre Plus confirming your National Insurance number or even one from your employer, as long as it's less than three months old, will also be accepted by many banks. If you are studying in the UK, many banks will accept a letter from your university's admissions office verifying your address.
There is yet another option.
Before you leave for the UK, go to your bank and request that your correspondence address be changed to your address. You might be able to do this through online channels.
When you've moved, ask your bank to mail a bank statement to your new address so you have a record of your new address in the UK.
Things to think about while selecting a bank
You have a little credit history and few documents and are new to the UK. Opening a bank account with some institutions will be challenging because of their stringent regulations.
To open a bank account in UK with one of the biggest banks, such as Barclays, Lloyds, HSBC, or NatWest, is typically simpler. These banks have a long history and are quite secure. They are somewhat more accepting of your circumstances and flexible with their demands because they have a lot of experience working with foreigners.
Your country of origin will also be crucial. Opening a bank account will probably be simpler if you are an EU citizen than if you are from outside the EU.
In either case, it's a good idea to contact customer service before attempting to open an account. You can learn more and inquire about any problems you might be having in this manner.
Best banks to open an account in UK
There are more than ten retail banks in the UK, each with advantages and disadvantages. However, Barclays, Lloyds, HSBC, and NatWest are the best banks to open a bank account in UK.
One of the first banks established in the UK, Barclays has more than 1500 locations around the nation.
If you're new to the UK, it's also arguably one of the most straightforward banks to create an online account. Even before you travel to the UK, you can pre-apply online for an account.
The account is free, and a contactless Visa debit card is included by default. You won't be able to access your account right away, though. Once you arrive in the UK, you must activate the account by going to a bank with your reference number, passport, and proof of address.
With about 1100 branches nationwide, Lloyds is the biggest provider of current accounts in the UK.
If you're an EU citizen, you can typically open a new-to-the-UK account with your passport or identity card. A contactless Visa debit card is standard with the account, which is free.
Over 1100 branches of HSBC are located throughout England and Wales, but fewer are found in Scotland and Northern Ireland.
The fact that HSBC has operations in about 64 different nations is one of its main advantages. HSBC can assist you to open a bank account in UK before you arrive if you bank with them back home.
For the necessary day-to-day banking, the most basic current account is perfect. A contactless Visa debit card is included, and there are no monthly fees. Additionally, you have a £300 daily withdrawal limit. It's crucial to keep in mind that the fundamental account does not provide an organized overdraft.
A contactless Visa debit card is standard with the bank's Select current account, which is free to use. Additionally, you'll have access to an emergency cash service that will allow you to withdraw funds from your account with merely a security code in the event that your credit or debit card is lost or stolen.
Alternative solutions to open a bank account in UK
Money transfer services are a more affordable alternative to utilizing your UK bank if you do want to handle your finances in more than one location.
Consider your needs when you choose to open a bank account in UK, when you're going to move to the UK, or are currently there. There would be several steps to prepare; start your journey now by clarifying the list of to-do activities to successfully operate your account in UK.
In the digital world, it has become popular and convenient to transfer money from one card to another. Whether you need to send funds to a friend, family member, or simply move money between your own cards, this process offers a quick and secure way to manage your finances.
Private bank accounts have become increasingly popular in the UK over the years, especially among high net worth individuals and businesses. With an increasing trend of digitalization and online payments, private banks have also started offering online banking services and mobile applications, making it easier for clients to manage their accounts from anywhere.