chislenko

Don't know if this has previously been covered in a General Thread but reading today that expats in certain countries (Portugal included) will have their UK bank accounts closed on Dec 31st. (Apparently to do with Brexit)

I would imagine a lot of expats still keep a UK live account.

Rambling archer

https://www.msn.com/en-gb/money/othe...ks/ar-BB19ek2l
https://uk.finance.yahoo.com/news/br...cDVNrNZXaTOpX1

So there are a lot of ifs, buts, and maybe's, but if the banks are sending letters out already, then it sounds a bit definite. Has anyone received any letters yet from their UK banks? And why would Lloyds for instance come out of Portugal but not Spain?

chislenko

Good question, I know quite a few people in Portugal, residents, who still keep the bulk of their money in UK and transfer to PT when needed. I think a few years back people were worried about having large sums in PT as some of the banks were quite weak and people were worried about them going under.

I suppose in the current climate though that could be any bank in any country.


​​​​​​
​​​​​

Loafing Along

Lloyds also closing accounts for people resident in Spain. It seems NatWest and Santander 2 banks that will continue service although I notice on the NatWest website they are now offering a separate account for UK citizens resident in the EU.

Loafing Along

Today's Guardian :

https://www.theguardian.com/money/20...arclays-brexit

chislenko

Just having another thought on this I feel sure when we opened our Millennium account in Portugal we gave our UK address so I suppose anybody in that position may also be compromised.

toots sweet

Surely only if you registered for residency ?

wellinever

Dont think the UK is bothered, allowing EU banks to continue in UK. Its just the EU that wont allow it tother way round

captainflack

It is interesting the UK has said EU banks can continue to provide service to UK citizens. The EU has not extended the same to UK banks in the EU. Since neither side are voluntarily giving things to the other side, that suggests that the UK is more reliant on EU services than it would like to admit.

The LSE reckons the impact of a no deal brexit is going to be three times worse than covid-19. So I don't think this will be the last capitulation the UK government makes. There is longer term no real alternative to single market membership, but the damage before that could be considerable.

Rambling archer

So I wonder if anyone has heard anything further on this topic. Are a lot of folk going to have to close UK-based investment/savings/ISAs/others if they cannot link to a UK bank account? For instance we have an investment with National Savings UK and have just realised that they will only accept inward payments, and outward payments, via a UK bank or building society. Previously there was an option to have at least your monthly income, and/or one-off payments, paid to a non-UK bank but I am informed today by NSandI that this policy has stopped "a few weeks ago". Our UK bank is one of the ones threatening to close non-resident/resident-in-EU holders' accounts. We have still not heard anything direct from the bank about imminent closure! and meanwhile M Barnier and Boris are not getting on well ... Oh dear!
Was it perhaps just savings accounts, or just credit cards, or did it include routine current accounts with debit card?

toots sweet

Time to get your money out of NSI now anyway. Had just opened an account to be told 3 weeks later that the interest rate would be reduced to 0.1 % on the 24th November !! What a shower...........

Lou71

Yes, we've had text messages and letters about this. Had a long conversation with someone from Barclaycard last week and was told that the problem is that certain banks do not have the required licences to offer services in the EEA after the end of the transition period, if there is no deal and therefore no arrangements made, no cooperation and no equivalence etc.

Interestingly though, the rep said that it only applied to credit cards, not Barclays bank accounts because the problem concerns them not being able to offer credit services in the EEA specifically. I would assume though that anyone with a Barclays bank account which has an overdraft facility might fall foul because that is effectively credit - not sure about that though.

Can confirm that credit cards supplied by HSBC UK and MBNA UK are not affected and will continue to provide services. MBNA are now part of Lloyds banking group but I cannot say whether MBNA credit cards and Lloyds Bank credit cards are on the same footing regarding this problem.

AlgarveAndy

I was going to set up an account with HSBC in the UK to use as my 'bridge' to Portugal account but then found out they have publicly supported China's extradition order in Hong Kong so that's a deal breaker for me

Rambling archer

Lou - that is interesting, thanks. So perhaps the silence from our bank so far is because we have a current account with just a debit card attached ... maybe panicking for nothing. Will wait to hear from them.

chislenko

Reading an article today they have dropped the interest rates to deter new savers. Apparently during the time of initial lockdown when everyone was (allegedly) skint record amounts were deposited with National Savings.

But as it is government run there is a limit to how much money (40 billion I think was the figure) they can hold before it becomes unfair competition for privately run banks.

Not my opinion, just something I read.

This may be the link if I have done it correctly

​​​​​https://www.google.com/url?sa=t&source=web&rct=j&url=https://www.thetimes.co.uk/article/ns-i-may-cut-rates-again-after-savers-pour-in-cash-q0jsfptc8&ved=2ahUKEwjKqvPF5c3sAhWrShUIHaRBDD0QFjA QegQIIhAB&usg=AOvVaw0FXdbeFyffq_DFmM7puLED