Introduction to the common sense of credit card and account when immigrating to Britain.

Although it has become easier to apply for a credit card in recent years, it may still be rejected. The reasons may be non-payment of tuition fees, insufficient savings (less than 2000 pounds), short stay in the UK, lack of financial data or suspicious address.

British businesses accept Visa more than Master Card, so it is best to apply for Visa first. If the credit card bill cannot be paid in one lump sum, the bank should consider applying for annual interest rate (APR). In order to win customers, some banks can give priority to the introduction of annual fee exemption for the first year or annual fee exemption for students. The annual fee and annual PercentageRate (APR) of different bank credit cards are different, so you can refer to them more.

pay taxes

Remember to apply for tax exemption when opening an account. As we are not British citizens, we can pay the deposit interest tax-free. The tax year in Britain begins at the end of March. The bank will deduct the interest income tax from the deposit interest in the student account. According to the current tax law in the UK, foreign students who stay in the UK for less than four years are not required to pay interest income tax (tax allowance 1 965). However, banks generally don't take the initiative to tell this, so please remember to apply for interest-free income with an R 105 form from the Inland Revenue Department when opening an account.

However, not every bank provides tax-free declaration for foreigners, because the IRS authorizes banks to handle it themselves, and the IRS occasionally checks it. In order to avoid the trouble of verification, some banks simply do not handle it (such as Barclays), but require depositors to apply for tax refund (tax voucher/certificate) at the IRS in the future.

3. Overdraft

Most British banks do not provide overdraft limit, especially within two or three months after opening an account. However, some banks, such as NatWest, HSBC, Barclays, etc., will have a certain interest-free overdraft limit (generally around 1000 to 2,000 pounds) after successfully opening an account, but those who do not want this discount must be specially indicated in the application form to avoid overdraft unconsciously. Other banks need to fill out an application form separately, and approval is easy for branch managers. However, the bank has the right to demand payment of overdraft at any time. What needs special attention is that if the customer unwittingly overpays (the bank gives the customer an overdraft limit without the customer's consent), he can argue with the bank and ask for exemption from paying interest.

check

It takes at least four working days to exchange money orders in Britain. For example, checks written on Monday will be deducted on Thursday, and checks deposited on Monday will be collected on Friday. Remember to sign the invoice, otherwise the ticket holder will be fined by the bank (about 10). A post-dated cheque cannot prevent the holder from asking for a withdrawal. If the holder requests payment in advance before the agreed presentation date, the drawer has no right to refuse payment.

The returned un pay check is not included in the information of the British credit information company, unless it is a monthly payment or a mobile phone, but the bank will keep records, which may have an impact on future overdraft applications. If the turnover is poor and there is a risk of bounce, you must immediately notify the bank to stop paying specific checks (transactions with capital disputes can also be handled mutatis mutandis). The clearing house charges 7.5 pounds for each stop payment, 25 pounds for ordinary accounts of Barclays and Halifax, and 5 pounds for student accounts (in days, not pieces) if skipping is allowed. In addition, any cheque has the effect of payment within six months from the face date, and the bank may not perform the payment obligation if the cheque exceeds six months.

5. Close the account.

When you want to close your account, don't forget to apply to the bank as soon as possible. The program can be completed in about a week.