Excellent exchange rates | No transfer fees | Thousands of 5 star reviews
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Great rates | One-off payments | Regular transfers | E-Money Institution | No fees for FXcompared customers
One-off payments | Regular payments | Great rates | Safeguarded customer funds
Banks are the most expensive way to do an international money transfer, the quotes from the providers above show you the typical savings that can be made. All providers on FXcompared.com are regulated in the UK by the FCA, in the USA by FinCEN, In Canada SSC and Australia, ASIC.
We check all rates regularly and this quote is an actual quote of the average from UK banks for this month. It includes all major and small banks. Lloyds, Barclays, HSBC, Santander, NatWest, RBS, Coutts, Handelsbanken, Metro bank and more - tracked every month. We obtain our rates via our IMTI platform.
Relations between China and the UK are currently cooperative, friendly, and close. The two countries have a long history of bilateral agreements. The UK was the first country to recognize the new Republic of China, in 1954. Foreign currency controls make it relatively challenging to transfer money from UK to China, especially for business purposes. Individuals can exchange up to a maximum of US$50,000 of Chinese currency each year.
Citizens of the UK need a visa to travel to mainland China, but do not need a visa to travel to Hong Kong and Macao. For the remaining areas, a visa must be obtained from the Chinese Consulate General closest to you. You should ensure that you do not overstay your time or work illegally while in China. There is heavy monitoring and increased fines for visa violations.
Although a visa for China can be processed within one week it can take longer with the requirement of extra documentation or an interview. It is therefore recommended that UK expats allow at least a month for a Chinese visa application.
Chinese visas are divided into a several categories; courtesy visas, public service visas, diplomatic visas, and ordinary visas. There are multiple types of ordinary visas.
It is important to note that there are several restrictions that apply to capital account transfers and foreign direct investments. These vary based on the types of investors and investments. New rules have been implemented since April 2014 that should loosen some of the controls placed on local and foreign firms who want to conduct overseas money transfers across China’s borders. Firms which hold a minimum of US$100 million will be able to transfer large amounts of currency more freely.
The majority of trade with China is settled in US dollars as well as euros, although more recent swap deals allow UK firms to negotiate using the local RMB. This move has been favorable for some merchants who are able to negotiate discounts. It also makes the process relatively faster. Anyone wanting to import to China must apply to the SAFE for foreign currency at the time of an export transaction.
Banking in China is fairly straightforward and expats generally have some international options to choose from. The language barrier may prove an issue in some instances but there are many institutions that offer service options in English. It may be to your benefit to employ the services of a translator or seek the help of a Chinese friend.
Whether you opt for a local or foreign based bank will depend on your individual preferences. Consider that there are pros and cons with each option. Although an international bank such as HSBC or Citibank may be preferable especially if you already have an account with them; they usually require a large minimum balance and access to ATMs may be limited. Local options such as the Construction Bank of China, the Bank of China and the Agricultural Bank of China are usually much more accessible, with ATMs in numerous locations and a lower minimum deposit amount.
To open a bank account in China you will usually only need to present your UK passport and some amount of money as an opening deposit. Particular banks may also demand proof of residence or a copy of your visa.
UK nationals living in China for up to five years will have to pay taxes on any income earned within the country as well as any money transferred into China. After five years UK expats will be required to pay taxes on worldwide income. However, you may be eligible for deductions for taxes paid in the UK. The amount of taxes you pay will be dependent on how long you have been living in China. Taxes range between three percent to a maximum of 45 percent and tax laws change frequently. UK expats should consider engaging the services of a tax specialist to assist in dealing with tax issues in China.
Trade between the UK and China reached record levels in 2013, seeing an increase of 8%. According to UK Trade and Investment, exports from the UK went up by 15%. The UK is the most popular region in Europe for Chinese investment. Between 2013 and 2014 inflows of capital from China amounted to more than £8 billion, which safeguarded over 6,000 jobs for UK residents. On the flip side, the UK is the second largest European investor in China. Within the same period, UK investments exceeded $18 billion. The financial services of the UK also happens to be the global leader in offshore RMB trading.
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We welcome all suggestions for improvements. Send us an email at support@fxcompared.com.
All the providers listed are regulated by the relevant authority (e.g. the FCA in the UK, FinCEN in the US, ASIC in Australia) and have been vetted by FXcompared.
FXcompared.com is an fx money comparison site for international money transfer and to compare rates from currency brokers for sending money abroad. The website and the information provided is for informational purposes only and does not constitute an offer, solicitation or advice on any financial service or transaction. None of the information presented is intended to form the basis for any investment decision, and no specific recommendations are intended. FXC Group Ltd and FX Compared Ltd does not provide any guarantees of any data from third parties listed on this website. FX compared Ltd expressly disclaims any and all responsibility for any direct or consequential loss or damage of any kind whatsoever arising directly or indirectly from (i) any error, omission or inaccuracy in any such information or (ii) any action resulting therefrom.
