Banking Tips for international Students
Having a readily accessible student bank account is super important – it allows you to control your money and budget to ensure you can do all the things you want to do here in Lancaster.
For international students coming to the UK, a UK bank account is necessary. This is not only for your daily spending, but also because something like a bank statement could be an important document as Proof of Address. You may not initially know much about the banks in the UK, so to simplify things - here are several well-known local banks, tips on how to open an account, and some guidelines to help you choose the right bank for you.
Physical Banks
There are several bank branches in Lancaster – each slightly different and with a physical staffed building for you to visit and discuss accounts with:
Santander 28 Penny St, Lancaster LA1 1UA
Barclays Royal Kings Arms Hotel, 75 Market Street, Lancaster, LA1 1JG
HSBC 35 Market St, Lancaster LA1 1JQ
Lloyds 49 Market St, Lancashire LA1 1JH
Natwest 68 Church St, Lancaster LA1 1LN
Online Banking
How to Choose the Best Bank For You
On the surface, it might appear that these banks all offer mostly same service for students, but there are also subtle differences. Here are some tips you could think about which one is suit for you.
International Service: If you’re an international student and a bank also has branches in your country, this may be the better option than others who don’t. Benefits of this include low-cost money transfers, or multi-currency accounts.
The Convenience of the Bank: Is the bank close to where you are planning to live in Lancaster? Is it easy to access? What are their opening hours? Which would be easier for you to walk in?
Account Type: Most basic/student accounts are free – and even include a free pre-arranged overdraft facility. However, depending on your account or features, some may have fees which are usually charged monthly depending on the different services they offer. Look for banks that offer accounts specifically tailored for students or international students. These accounts usually have lower (or no) fees and no minimum balance requirements.
Savings Rate: Savings rate: Savings may not be the top of your mind as a student, but having your money work for you while you save can be a shrewd move to earn you a few extra pennies. Some accounts offer interest on your savings (without locking your money away) that allow you to earn interest on your money every month – whereas some will offer nothing. Shop around and see what works for you!
How to Apply for an Account
You can start to apply for an account online. Simply go to the bank’s official website and find out which type of account you need. You can also walk into the bank branch and ask for an appointment to open bank account in person. Most banks require you to apply in person at a branch, especially for international students. Staff are on hand to help you to get through the process, so don’t hesitate to ask about fees, account management, overdraft protection, and any other features.
What Do I Need to Open a Bank Account?
Generally, you should upload/bring documents like your passport, student visa, bank letter from uni, proof of address etc. Some banks might require proof that you have funds to deposit.
Understand the Fees & Terms
Some accounts are free, but some carry fees. Know what you’re signing up for and make sure it’s right for your circumstances.
Some accounts may have a maintenance fee, usually for extra benefits such as interest on savings or cashback on your bills - these are sometimes waived if you maintain a minimum balance.
Most student accounts offer free arranged overdrafts. This means that if you spend more than you have in your account (up to a pre-agreed limit), you will not be charged. This can be a lifesaver when you need a little extra to get you through but be warned that overdraft fees can be eye watering when charged (such as when you stop being a student) and should be paid back asap!
Maintain the Account
Once you have set up your account - the bank will typically send your credit or debit card and pin separately – which you can keep or change to something more memorable at a cash machine. Keep this pin safe – although you will be able to retrieve your account in a bank with ID, being locked out of your money can be a huge inconvenience.
Download the App!
Imagine you lose your card, want to quickly transfer money, are shopping online or want to close your account - mobile banking is much quicker and easier – and allows you to stay on top of your spending and budgeting.
Last but not least, if you move or change your contact details, update the bank to avoid any issues.
Disclaimer:
Please note - the above advice does not constitute professional financial advice and is intended as a guide only. LUSU does not officially endorse any of the above services, has no ties to any of the companies or services listed above. LUSU receives no financial compensation for any of these suggestions - it simply represents the views of the author only, and serves the purpose of a guide only. Information accurate as of August 2024. LUSU encourages students to do their own thorough research before making any financial decisions and are not liable for any actions taken off the back of this guide.
Advice
If you have money issues or need help and advice – LUSU has your back. LUSU Advice offer a free and impartial advice service and are here to give students fair representation to ensure their time in Lancaster is the best it can be.
Learn more about our LUSU’s Advice service here.
Written by Yueyi Wang
INTERNATIONAL PHD STUDENT