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How to Open a Bank Account in the UK as a Non-Resident

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How to Open a USD Account in the UK for Non-Residents

Business guides

Dec 23, 2022

4 min. read

James Irwin

Author

It’s tricky to open a USD account when you aren’t a US citizen or can’t travel to the US. Here we take you through the alternative ways to open a USD account in the UK as a non-resident.

Opening a USD account in the UK can be quite tricky when you aren’t already a US citizen and can’t easily travel to the US to provide documentation or proof of identity. However, if you are planning to move to the US or require a USD account there are some alternative solutions to opening a USD account in the UK.

There are some real benefits to opening and having a USD account. The US is well-trusted internationally so having a USD account can aid you when investing, saving, and even when spending money or sending funds home via international money transfers.

Can I Open a USD Account in the UK as a Non-Resident?

There are a variety of ways to open a USD account in the UK as a non-resident:

Open In-Store at an International Bank:

Most banks will allow you to open a US payment account as a non-resident but if you want to open an account before you move to the US you have two options:

Visit the local branch of an international bank in the UK
Open a borderless account to manage your money until you move.

Apply Online with an ITIN Rather than an SSN:

It is well known that you often have to provide an SSN (social security number) before opening a US bank account regardless of where you currently live in the world.

An alternative to an SSN is an Individual Taxpayer Identification Number (ITIN) which is issued by the Internal Revenue Service (IRS) and can be used to process taxes amongst other things. ITINs are often issued to those individuals who need a taxpayer ID but have not got access to be assigned an SSN.

See if Your Non-US Bank Account Can Help:

If you already hold an account with a bank in the UK it can be worth asking if they have a relationship with a banking institution within the US as this is quite common and can often make it easier to open a US bank account and make the transition to the US.

Open an International or Multi-Currency Account:

One of the benefits of living in a digitalised world is that it is now very simple to access international payment services. One option is to open a USD account in the UK with an EMI or online payment service in the UK.

Open an Account with Payset:

If what’s important to you is to open a USD account in the UK which can hold and exchange USD there are other options and solutions than opening a US bank account. For example, low-cost, online alternatives such as Payset.

How Much Does it Cost to Open a USD Account in the UK?

Most USD accounts are free to open, but most do come with a monthly maintenance fee. This can often be avoided if you agree to meet certain criteria. For example, depositing a certain amount of money each month or maintaining a minimum monthly balance.

US banks may also charge fees for withdrawing cash from an ATM or in branch. These fees will usually be applied when using an ATM belonging to another banking institution.

There is also the possibility of the bank charging you an additional fee if you wanted to close the account early. There will be a minimum amount of time you need to keep the account open, as indicated in the small print or terms and conditions when you first apply for an account.

Are There Different Types of USD Accounts?

There are two main types of USD accounts and each serves a different purpose and different kind of client:

Personal Account: This type of account is for reaching your personal financial goals. Both current and savings accounts fall into this category. A personal account is the most common type of USD account and should be the main account you use for your personal expenses and income.
Corporate Account: Opening a business account in the US typically requires more documentation compared to opening a personal account but comes with added bonuses that a business could potentially benefit from in the long term.

At Payset we have a large range of ways to send money to and from the US. If you’re in the US you can send money directly home to the UK as long as you have an IBAN account which is what Payset can provide.

What Do I Need to Open a USD Account in the UK?

For most US financial institutions you are required to have an SSN (social security number), a government-issued ID and a minimum opening deposit amount to activate your account. This can usually be paid via debit or credit card or can be transferred from another account.

You can open a USD account without an SSN. In some cases, you’ll need your passport and visa as additional documentation and proof of residency once reaching the US. You may need to also provide a US address for correspondence purposes, even if you’re not yet living there full-time. This is required for both personal and business accounts. You could also be asked to open a business account rather than a personal account. However, it is possible to open a USD account without an SSN.

What Are Some Other Alternatives to Opening a USD Account in Person?

Some international banks provide a service allowing you to open a USD account before you move to the country. But if you’d rather go down the digital route, you won’t be able to open an account with an American bank. However, there is an option that allows you to begin spending money internationally. This would help you to settle in and get the necessary documentation together before opening a USD account once in the states.

Payset is designed for these situations, it doesn’t require an SSN (social security number) to open a USD account in the UK and allows you to spend across national borders without paying any foreign transaction fees.

Is it Possible to Open a USD Account in the UK Online?

It is very common to be asked to open a USD account in person when dealing with traditional banking methods even if it’s an account specifically aimed at non-US residents.

This can mean that you’re able to begin your application online. However, often you still need to visit a branch to verify your identification documents and set your account up fully.

If you’re thinking about opening a USD account in the UK online you could be better off choosing a specialist account which can hold USD alongside other currencies for a better exchange rate.

These multi-currency accounts often come from online banking platforms and digital providers which are set up with an easy onboarding process that you can complete from home no matter where you currently live.

A Payset account can help you to manage your finances wherever you are in the world. You can get an IBAN number which will allow you to pay and transfer money just like a US resident.

If you travel or regularly do business within the US you will understand the importance of money conversions at a reasonable exchange rate. With a Payset account, you can convert at the real mid-market exchange rate, this way you will know exactly how much the transfer will cost you with no hidden fees.

If you would like a truly international solution to opening a US bank account from the UK, check out the Payset multi-currency account. It isn’t a bank, but it offers many wonderful payment services and features to help you make the most of your money. You can use it to send money for low fees and convert between currencies whenever you need to. Get in touch today and leave your contact details with us to get started.

A UK multi-currency account can streamline how you manage your finances. Whether for business or personal use, a multi-currency account provides you with added freedom and flexibility and removes barriers to payments and transfer methods.

Here is everything you need to know about UK multi-currency accounts.

A Payset UK multi-currency account is a single account with which you can hold, send, and receive funds in up to 38 currencies. This allows business or personal account holders to save endless time and money on foreign exchange, and money transfers, which from a traditional bank account would be far more expensive and slow.

From your personal UK-based IBAN account, you can transfer money to bank accounts around the world as well as send and receive free and instant transfers to and from other Payset clients. You can send funds using a diverse network of payment networks, including SWIFT, SEPA, Target2, Faster Payments, CHAPS, and more.

When you exchange funds from one currency to another, there are no margins added to our exchange rates and the fees are clearly displayed before you click send. If you, for example, work with multiple currencies, make purchases in other countries, travel frequently, invest in foreign currencies, pay staff in other countries, or receive payments in other currencies, a multi-currency account can save you time, money, and work compared to a traditional bank account.

There are lots of banking institutions and financial services that will aid you in opening a multi-currency account. Often they can allow you to convert and transfer a considerable number of currencies.

Before you open a UK multi-currency account with any platform or service, make sure you have explored all of the different options available to you and have found the best type of account to suit your financial needs.

How Does a UK Multi-Currency Account Work?

A UK multi-currency account works in the same way as a standard bank account or electronic wallet. Although the services provided will change depending on where you choose to open your account and who you choose to open the account with, all multi-currency accounts should allow you to:

Withdraw money

Send and receive payments in multiple currencies internationally

Access your funds for electronic transfers

Earn interest on your account total

In the same way that fees can occur with a standard bank account you may run into additional charges with a UK multi-currency account.

You could be charged for a number of actions including; making withdrawals, account opening and closure fees, transfer fees, and more.

The frequency or amount of these charges will often vary and if you ask your banking agency they will usually be able to tell you exactly how much you will be charged and which services you will be charged for before you open your account.

Alternative Options to Consider Before Opening a UK Multi-Currency Account

There are many alternatives to opening a UK multi-currency account. For example, there are also money transfer services and online electronic wallets such as Payset that allow you to send your money in over 34 currencies without the need for a UK multi-currency account. You can start sending money across the globe or in person today using your existing bank account.

Frequently asked questions

What is a UK multi-currency account/IBAN?

Are there limits to the amount of money I can send and receive with a UK multi currency account?

Which currencies can I send and receive in my UK multi currency account?

How do I add money to my UK multi currency account?

Types of UK Multi-Currency Accounts

Multi-currency IBAN accounts
Personal multi-currency accounts
Multi-currency accounts for business
Multi-currency cash passports
Multi-currency wallets

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