Open a Bank Account

When moving to Scotland from overseas you will usually need a bank account so that you can be paid by your employer, obtain money and pay others.  Your mortgage or rent and other bills such as electricity, gas and insurance are also usually handled through the banking system.

You must provide the bank with at least one current proof of your identity and one current proof of your UK address.  Some banks may request two or more pieces of identification.  Examples of these are:

  • Passport or National Identity Card
  • Driving Licence
  • Tenancy agreement
  • A letter from your employer confirming your UK address
  • A pay slip from your UK employer

The bank may ask for your written permission to get a reference about you from your bank in the country you have moved from. Concerns over issues such as terrorism and international money laundering mean that banks undertake rigorous security checks. If you’re coming from a country that is judged to be high risk for any of these problems, the checks will be more thorough and are likely to take longer.

How your bank account works

When your application is approved, you’ll start with a simple current account. This generally includes a cheque book, a debit card that lets you draw money out of cash machines in the street, and interest paid on your account when it is in credit.

The debit card, which automatically takes the payment from your bank account, is the most common way to pay for goods. For example, most supermarkets no longer accept cheques.

Current accounts let you set up direct debits to pay regular bills such as rent and electricity. Telephone and internet banking are common in Scotland, and it’s likely you’ll be able to operate your bank account through these methods.

Free banking

One of the things you might notice is that the UK is one of the few countries where you’re not charged for banking services if you stay in credit.

It is unlikely, however, that you’ll be able to open a more complex bank account until you’ve operated the simple version in a satisfactory way for a reasonable period - typically at least six months. After that you may be able to apply for other financial products such as a credit card, loan or mortgage.

Types of bank account

There are many different types of financial products available, but each comes with its own terms and conditions, and factors such as interest rates can vary enormously.

A number of banks in the UK are looking at offering Sharia-compliant banking products for Muslim customers. The Islamic Bank of Britain operates from Birmingham but offers services, including a house purchase plan, to Scottish-based customers.

Find out more about opening a bank account