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Moving to Shanghai - What to do about Banking?

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Eggplantress

Squeeker

Joined: Jan 31, 2008
Posts: 16

Status: Offline

Posted: Feb 12, 2008 - 04:02 AM
Post subject: Moving to Shanghai - What to do about Banking?

We are moving to Shanghai next month and trying to figure out the best way to bank. I talked to a rep at Citibank in the US and they said that since they have branches in Shanghai, if I bank with them there will be NO transaction fees. My current bank has a 3% transaction fee.

What do people recommend for banking, both online and at the counter, for basic money withdrawal etc. What can I do on this end from the US to make the transition to Shanghai that much easier, at least in the banking department?

Any advice on how to manage the banking would be helpful!

Thanks,
E

SteveR1960
Lurker
Lurker

Joined: Jan 19, 2008
Posts: 28

Posted: Feb 12, 2008 - 08:16 AM

There are many options. Many of us just have a bank in the US that allows us to use international ATMs and our credit cards in China without unusually high fees.

For example, my U.S. bank - which I switched to for the same reason Citibank gives you - does not charge an added ATM fee. Also they do not give a 3% added surcharge on credit cards. Some of my friends get these because they did not switch to a good international bank with reciprocity with other banks for services.

So I think Citibank is a good option, especially if there is a branch near you to set up accounts in the U.S. Via the web you can use many banks to set up accounts but the process will take 2-3 weeks and it sounds like you do not have 2-3 weeks to get everything in order.

Danzeth
Talker
Talker

Joined: Jan 21, 2008
Posts: 89
Location: Shanghai / SF

Posted: Feb 24, 2008 - 08:02 PM

I use Citibank too but I get charged 3%. The only ATMs where I don't get charged a 3% "FOREIGN FEE" are the Citibank ATMs at the Peace Hotel at The Bund.

As far as I can tell, all other Citibank ATMs, like at the malls, have that 3% fee. On my bank statement they show up as "NONCITIBANK ATM WITHDRAWAL", and the fees separately as "FOREIGN FEE". I haven't tried an ATM without the big Citibank logo.

All purchased I've made on my Citibank card have been charge 3%.

I don't know about everyone else. Is it because I'm using Citibank USA instead of Citibank China, if there's a difference?

One_Brick_Shy

Rocker

Joined: May 20, 2004
Posts: 765
Location: Out looking for a brick, of course.
Status: Offline

Posted: Feb 25, 2008 - 07:27 AM

China now has banks Smile

.

The response below is if you are paid outside of China.

ICBC (China) has on line banking in both Chinese and English. You can keep foreign funds there. Easiest and lowest cost way to get funds into China is bank draft or money order. Plan on a 60-90 day wait though. Can be done through BOC or ICBC.

If you have a foreign credit card arrange to do your banking (home country) on line and list your credit card as one of your bills. You can then spend to your heart's content and then pay on line when due.

As for the 3% charge, could that be by the Chinese vendor. Know many here still do that as they make the customer pay their 3% fee. If it's your credit card company charge think I'd vote with my feet. I've no use for vicious and greedy banks and credit card companies.

This probably doesn't answer all your questions. If you do a search of the forums using the search option you may find additional answers.

Hope this helps.

_________________
The only difference between you and me is that you're you and I'm me.

Shanghai'd Sean

Squeeker

Joined: Jan 28, 2008
Posts: 11

Status: Offline

Posted: Feb 27, 2008 - 12:11 PM

I am in a similar search...

Specifically, I'm looking for recommendations for foreigner-friendly local banks, and Credit Cards. I'm currently considering an account and CC via The China Merchant Bank (one of their CC acrues airmiles on my airline), but am curious if anyone has other recommendations, or any warnings.

Cheers,

Sean.

SteveR1960
Lurker
Lurker

Joined: Jan 19, 2008
Posts: 28

Posted: Mar 23, 2008 - 05:52 PM

I have colleague who uses HSBC and is happy.

Andreas
Board Royalty

Joined: Feb 27, 2004
Posts: 6441
Location: 31 N 121 E

Posted: Mar 23, 2008 - 06:13 PM

I have HSBC accounts, but in Hong Kong. Works perfect, and their internet banking is fantastic.

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Shangstar

Reacher

Joined: Feb 07, 2008
Posts: 282
Location: The Motherland
Status: Offline

Posted: Mar 23, 2008 - 06:40 PM

Hi, I am in a similar position and have been researching this for a while. I am moving to Shanghai in two weeks time from the UK (eeek!). I presently bank with HSBC UK and they have an international banking package. HSBC International's accounts are based in Jersey. They let you open a current account and/or savings account in any major currency (e.g. Euro,sterling, dollar, but not RMB). They can then set up a local HSBC account in RMB for your every day needs. The way I am making it work is to have my salary paid into the Jersey accounts, and occasionally transfer some into the local RMB account (i.e. enough to meet monthly local expenses). This way there is less of an issue with repatriating RMB back to your home country (as I believe this is difficult). The Jersey account also services my baking needs back home. I think there are certain charges between transferring money between your local and home account (and vice versa), but if you are a Premier customer, I understand it is free. It's also all online. Warning though, although a lot of banks say transfers between accounts is free, they sometimes factor in a hidden charge through their exchange rate, which you would be stuck with. Read that one in the news. HSBC have an international banking centre contactable 24 hours a day by telephone number which is also handy. Havent banked with anyone else though so I can't compare the competition.

shindam
Barker
Barker

Joined: Mar 26, 2007
Posts: 125
Location: Shanghai & SFO

Posted: Mar 26, 2008 - 12:26 PM

I used to be able to use citibank ATMs around in shanghai without incurring additional foreign fees. They have changed that policy recently and since then even when using CITIBANK atms, there is the additional fee tagged to ATM transaction. Bank of America has agreement with China Construction Bank and I'm going to switch to that.

lovelybaobao13

Seeker

Joined: Mar 23, 2008
Posts: 40

Status: Offline

Posted: Mar 26, 2008 - 08:52 PM

i am afraid chinese banking system will let you down!

hautumncloud
LoopKicker

Joined: Nov 04, 2006
Posts: 912

Posted: Mar 27, 2008 - 03:54 PM

shindam wrote:

I am still using my Citibank and HSBC ATM cards (issued from Canada) in Shanghai without incurring any additional foreign fees so long as I use their respective ATM machines. I have the basic chequeing accounts with them which charges CAD6 and CAD4 per month respectively. The exchange rates from the ATM withdrawals are very good compared to Visa charges or local bank rates. I also used my HSBC bank card in Oz HSBC ATM and same thing, no extra foreign fees charged.

ShanghaiAdventure

Barker

Joined: May 11, 2007
Posts: 161
Location: Jing'an
Status: Offline

Posted: Mar 27, 2008 - 04:53 PM

Bank of America; I have my account in the US and withdraw from ANY Construction Bank of China without any fees. Still have a 3% charge on my credit card, but so many places dont take foreign credit cards I just got used to caring a lot of cash.