Samsash

My husband and children are due to receive inheritance from the UK but do not have bank accounts in the UK - I am the only one that has a UK account but the solicitors have told us that the funds can only be paid in to an account in their names - does anyone know if it is possible for them to instruct the solicitors to pay in to my account - the solicitors have said not. Just wondering if anyone had experienced the same problem.
We know we can open a sterling account in Spain or ask the solicitors to send the funds in euro but this costs a fair amount.

Casa Santo Estevo

if they have their own Spanish bank accounts then ask the bank for the full IBAN add the bank account number together with the name of the account holder and they can process the payment. but the transfer from UK pounds to euros will cost.
http://en.wikipedia.org/wiki/Interna...Account_Number

Mitzyboy

I'm just trying to open a UK bank account, and with great difficulty. I'd say it will be difficult for you to open one. I guess you will have to have it paid here in euros I guess, or SOL Bank for instance do sterling accounts so you could open one here, but then you are subject to their rates of exchange

Madridboy

And not to mention their bloody extortionate bank charges!

Fred James

If you are Spanish residents you may be liable for Spanish Inheritance Tax on the bequest.

Lionda

You could try speaking to the Santander bank, they have taken over the Abbey. Perhaps they could help...just a thought but worth trying. Also the Halifax are in Spain so worth speaking to them

SueG

I am sorry that you have been told this but I am sure that if you give written instructions to the Solicitors they should be able to pay into your account as instructed by the beneficiary of the Estate i.e. your husband. If your children are under the age of 18 you or your husband as their guardians are able to give authority. I think you have probably come up against a "jobsworth"!

Samsash

Thanks for all the replies.
We have checked out already a few options -
As they are now not residents in UK they cannot open UK bank accounts as we thought about flying over there.
Tried banks here that are linked to the UK, Halifax etc, but no you cannot use them to open a UK bank account.
Tried a bank in Gibraltar as we could drive there and this is easy but then they talk about the accounts being in the Isle of Man and we feel a bit uncomfortable with this.
We have opened sterling accounts here which I think most banks will do but then it costs 0.2% to receive it and 0.5% for them to forward it to a currency transfer company. You can draw £3,000 daily in cash.
Our option now appears to be let the bank used by the solicitors transfer to euros and send to Spain which we were trying to avoid as we know we would get a better rate using a currency converting company and of course we then have the choice to transfer when we feel the rate is ok, I think the days of it being good have well and truelly passed for the time being.
I am going to try the solicitors again to make 100% sure that my husband and children cannot intruct where they want their money to go, even if it means getting a notorised letter of instruction from here or even flying over to sign at their offices.

Mitzyboy

SOL Bank dont charge for receiving electronic funds in. Despite what people mentioned about their charges they are not that bad for what you receive in additional benefits

HBG

This happened to me last year, when my UK solicitors wanted to transfer the money, in Euros, into my Spanish account. I instructed them to transfer the funds, in pounds, into my English account, where it stays until things improve.

I was a bit concerned about Fred’s post concerning Spanish residents possibly coming under Spanish inheritance laws. I’m hoping that because the entire transactions took place in the UK, this doesn’t apply, but I’m by no means certain and will adopt the old Yorkshire approach: if in doubt, say nowt.

Depending on the OPs situation, is there not a UK address which could be used to open a UK account? For example, I could decide to move back to the UK tomorrow, especially if this rain doesn’t stop, and still have a legitimate address from which I could open a UK bank account. And if I decide to return to Spain next week, then surely that’s my affair?

Fred James

If you are tax resident in Spain then you would be liable to pay tax on any gift or inheritance under Spanish law.

The fact that the transaction took place in the UK doesn't change anything apart from the fact that the Spanish taxman is less likely to find out. If you had transferred a large amount into your Spanish account then that would be more likely to attract his attention.

Say Nowt seems like a sensible approach so long as you understand the implications.

jackytoo

You can open a normal bank account with NatWest Gibraltar. Just need utility bills from Spain, passports etc. Ensure the bank account is in both beneficiaries names. I once opened one awaiting funds and because the account was only in my name and the money for both of us it was blocked until we changed the account.

Samsash

Jackytoo - I had an email reply from Lloyds in Gibraltar and they said we could open accounts in Gibraltar but they would be based in Isle of Man - was this the same with you? not having done off shore banking it did worry us a little.
Were your funds inheritance as well and if so was the off shore account accepted by the solicitors?

jackytoo

We just opened normal current account at NatWest

Tolly

And you can negotiate with them - we have had charges reduced and removed - but you do need to ask