UK rental insurance claim - without UK bank account

[Gambatte 970]

The title says it really.

We will soon make an insurance claim for our UK residential rental (water pipe burst, floor covering got damaged and need to be changed).

Meanwhile our UK bank informed us that they will soon close our account (of course, no explanation given, other than "because you're resident abroad"). So by the time the insurance make a payment, it could well be that we have no UK  bank account.

 

Question: should I expect issues with the insurer saying stupid things like "sorry, it's not possible for us to make a payment into a non-UK bank account"?

Please don't answer things like using my parents' UK account, or "next time" I visit the UK. I have no relatives and no links to the UK, other than a rental property. Last time I was there was 10yr ago. And it is realistic I will never visit there again.

 

Of course this is a question I should/will ask them. But still, no harm in asking also here beforehand.

 

[snowingagain 5,437]

There are some banks that allow EU customers.  But they tend to want a fair bit of dosh in them, regular activity in the account.  Where does the rent get paid to?  HSBC is one.

[Gambatte 970]

Thanks

 

 

25 minutes ago, snowingagain said:

Where does the rent get paid to? 

The rent gets paid first to our UK agent and next to our UK account - which for few more months is still open. Of course once Barclays UK closes it we'll simply inform the UK agent to pay to us Germany instead. I see no problem with this.

I checked recently HSBC and yes, generally what you wrote is true, but I think Germany was one of the few countries that was excluded.

 

Besides. Having a UK landlord insurance with no citizenship, no residence, and soon not even a UK account will be problematic. Last time I checked being a non-UK resident made us unqualified for most insurers.

[snowingagain 5,437]

I think @kiplette(?) applied recently for a HSBC account.  There is a parallel thread running.  Perhaps she has more details.

[Gambatte 970]

Thanks @snowingagain

 

https://expatexplorer.hsbc.com/apply/

 

 

[Gambatte 970]

OK, HSBC expat account is not an option, I'm too poor.

I'm looking into Revolut. Probably not as good as a real bank account but hey good enough, I'll never have much in it anyway...

[fraufruit 42,468]

1 hour ago, Gambatte said:

Last time I was there was 10yr ago. And it is realistic I will never visit there again.

 

This makes me wonder why you don't just sell the property and be done with it. I'm sure you've considered this and have your reasons, though.

[PandaMunich 16,861]

35 minutes ago, snowingagain said:

I think @kiplette(?) applied recently for a HSBC account.  There is a parallel thread running.  Perhaps she has more details.

It was @emkay:

 

[keith2011 2,677]

42 minutes ago, Gambatte said:

Thanks

 

 

The rent gets paid first to our UK agent and next to our UK account - which for few more months is still open. Of course once Barclays UK closes it we'll simply inform the UK agent to pay to us Germany instead. I see no problem with this.

I checked recently HSBC and yes, generally what you wrote is true, but I think Germany was one of the few countries that was excluded.

 

Besides. Having a UK landlord insurance with no citizenship, no residence, and soon not even a UK account will be problematic. Last time I checked being a non-UK resident made us unqualified for most insurers.

 Would it not be possible to have the agent take over the landlord insurance or take one out on your behalf, that way they would be directly reimbursed for any costs against claims for the property?

[Gambatte 970]

5 minutes ago, fraufruit said:

This makes me wonder why you don't just sell the property and be done with it. I'm sure you've considered this and have your reasons, though.

Wow.

This is a huge point. 

Answer: because long term, we think it's better financially to keep it than not to. Of course it could well turn out I'm wrong, but this is my bet for the time being...

[Gambatte 970]

Just opened a Revolut account.

Surprised that it has sort code and acc. number (which I've only ever seen in the UK), and also IBAN (which I've never seen in the UK).

The same account can hold different currencies. Also our ganz normal Comdirect girokonto has this feature, just it lacks sort code and acc. number.

The benefit of Revolut having sort code and acc. number is that this will make it look like a normal UK account, so it will be accepted by UK insurers etc. Dunno if true, just my guess...

[Gambatte 970]

1 minute ago, keith2011 said:

 Would it not be possible to have the agent take over the landlord insurance or take one out on your behalf, that way they would be directly reimbursed for any costs against claims for the property?

Maybe. I will think about this.

For now thanks for the suggestion anyway.

[fraufruit 42,468]

4 minutes ago, Gambatte said:

we think it's better financially to keep it than not to

 

You could always invest the money here in Germany. Only you two know when and how you plan to take advantage of the financial advantage. 

 

Can't take it with you, I always say. 

[emkay 10,314]

@Gambatte, I’m think I’m in a similar position to yours. My main UK Barclays account that I’ve had for over 40 years, served me notice as I’ve had a non UK address for the last 11 years. However, calling them, explaining my uncertainty as to how long I wish to stay a non UK resident, resulted in them extending my account end date by 6 months to October 2023. This isn’t untrue, I’m not sure if we’ll stay in Germany much longer. If you are also uncertain, you can get some more time…..
 

I also looked at all the expat UK accounts and also don’t qualify due to not meeting with minimum earnings/savings etc.

 

HSBC seemed the only UK bank that allowed non residents to apply for a simple current account.  That’s all I need to manage my rental income. Their savings accounts seem quite good too….3% interest on first £10k, 1.4% on anything over. 
 

If you go to hsbc.co.uk, for a basic current account application, non Uk residents can apply. However, the first link that you encounter says ‘no’ though redirects you with a link to something like ‘eu domestic journey’ and allows further application. I went through all of this and have eventually received a debit card and online login. I haven’t yet transferred any funds. Be aware that in the huge amount of terms and conditions, it does state that if you are an EU resident, they reserve the right to close your account. 
 

I’ve also been encouraged to sell my UK property due to the overall hassle factor.  However, given the property value reductions over the last few months, maybe this increases the rental value? This has been a UK trend in the past though no idea about the future? Plus, UK CGT changes, poor exchange rate etc Selling in general doesn’t really seem sensible just now….no matter how much hassle!  All of my German family have always said…don’t sell property unless absolutely necessary or dead! I usually don’t agree with any such family suggestions though, they might be right?!?

[Bingham8 6]

Try https://wise.com/ for bank accounts abroad, where you can be paid in the UK and transfer those funds to your German account. 

[emkay 10,314]

5 minutes ago, Bingham8 said:

Try https://wise.com/ for bank accounts abroad, where you can be paid in the UK and transfer those funds to your German account. 

I’ve just started using Wise yet not quite sure if it serves all usual same UK basic bank account services?

[emkay 10,314]

Just to answer your immediate question re insurance claim. Claims can take a while  Contact your current bank and ask for an extension of services to see you through your insurance claim. 6 months plus extension should be possible. 

[kiplette 8,794]

We have had a Revolut account for a while, to move money between Euros and quids without fees.

 

I have not tried to use it for Premium Bonds which require a bank with a presence in the UK.

[wheatism 3]

Been using Wise for years paid in GBP and EUR and CHF over the years all without any problem. 
All while based in UK, Germany and Switzerland… forget the “old banks”…

[Gambatte 970]

I checked again HSBC.

Apparently I do qualify for their "basic" account. Not bad.