Opening up a bank account on DP

[anikko]

Hi,

I've arrived in Singapore not long ago and am finding it frustrating not having my own bank account. I saw some older posts about opening up a bank account. It seems like POSB is the only option?

I tried Citibank - they definitely won't allow it.

[beppi]

Since there are no laws whatsoever preventing foreigners (even non-residents) from opening bank accounts here, it is only some bank's own internal rules that might do so.
Thus ask around at various banks until you find one that takes your business!

[brian_singapore]

My wife, currently unemployed and on a DP opened a bank account for herself at UOB.

The only concern they had was proof of residency and proof of who she was.

Required documentation:
Our lease (which has her name on it)
Her passport
Her DP identification card.

No fuss no muss. We haven't applied for credit cards yet (I'm waiting on the requisite number of pay stubs) so I don't know if they'll issue her her own credit card without employment.

We'll be getting joint cards so it won't matter so much, but we typically get her her own credit card when we move countries so she can build up an independent credit rating.

[zzm9980]

My wife, currently unemployed and on a DP opened a bank account for herself at UOB.

The only concern they had was proof of residency and proof of who she was.

Required documentation:
Our lease (which has her name on it)
Her passport
Her DP identification card.

No fuss no muss. We haven't applied for credit cards yet (I'm waiting on the requisite number of pay stubs) so I don't know if they'll issue her her own credit card without employment.

We'll be getting joint cards so it won't matter so much, but we typically get her her own credit card when we move countries so she can build up an independent credit rating.

Bad news: They generally give you a credit limit equal to 4x your monthly income directly from paystubs or CPF statement. No income, no credit.

Good news: There is no concept of a shared 'credit rating' in Singapore. Your limit is determined by the above, everyone pretty much gets the same (shitty) finance charges, and if you default to a bank only they keep records of that. As long as it doesn't go to court/bankruptcy.

[x9200]

... and if you default to a bank only they keep records of that. As long as it doesn't go to court/bankruptcy.

The info provided by Credit Bureau includes the data on outstanding re/payments if they are outstanding for more than 2 billing cycles (IIRC). Many banks request the data before approving cc, loans etc.

[brian_singapore]

Bad news: They generally give you a credit limit equal to 4x your monthly income directly from paystubs or CPF statement. No income, no credit.

Good news: There is no concept of a shared 'credit rating' in Singapore. Your limit is determined by the above, everyone pretty much gets the same (shitty) finance charges, and if you default to a bank only they keep records of that. As long as it doesn't go to court/bankruptcy.

Re: Bad News - Is that across all credit cards? Or just on a 'per bank' basis?

Re: Good News - We do it for the opposite reason: if something happens to me we want to make sure she has her own independent credit rating. Not so much out of concern we may blow our joint credit rating. It sounds like it may be less applicable here, but can be an issue back home.

She'll be employed in a couple months, so in the long run she'll get one either way.

[zzm9980]

... and if you default to a bank only they keep records of that. As long as it doesn't go to court/bankruptcy.

The info provided by Credit Bureau includes the data on outstanding re/payments if they are outstanding for more than 2 billing cycles (IIRC). Many banks request the data before approving cc, loans etc.

Interesting, I always thought there was no such centralized reporting in Singapore. Numerous threads on these forums have said as much in the past.

The site looks sketchy, but they do claim to be authorized by MAS.

[therat]

http://www.mas.gov.sg/News-and-Publicat ... Rules.aspx

Credit Card and Unsecured Credit Rules Strengthened to Help Individuals Avoid Getting Into Debt Problems

Singapore, 11 September 2013 … The Monetary Authority of Singapore (MAS) has finalised changes to credit card and unsecured credit rules aimed at improving lending practices by financial institutions and enabling individuals to make better borrowing decisions.

3 The key policy changes are as follows:

(a) Financial institutions will be required to review a borrower’s total debt and credit limits(1) before granting a new credit card or unsecured credit facility, or increasing the credit limit on such facilities. This is to enable a more realistic assessment of an individual’s borrowing capacity.

1 This includes outstanding debt on and credit limits of all credit cards, charge cards, unsecured loans as well as secured loans across all financial institutions.

http://www.mas.gov.sg/~/media/resource/ ... OBLEMS.pdf

Edit to add the press release (Annex CREDIT CARD AND UNSECURED CREDIT RULES STRENGTHENED TO HELP INDIVIDUALS AVOID GETTING INTO DEBT PROBLEMS)

[x9200]

Last time I checked myself with the CB was I believe around 2007 and the data I mentioned was already available at that time so it is not the last year thing. I guess last year they just enforced the checks and before both contribution and the checking could be on voluntary bases. I remember not all the banks I had the cc with had done the checking.

[aster]

(a) Financial institutions will be required to review a borrower’s total debt and credit limits(1) before granting a new credit card or unsecured credit facility, or increasing the credit limit on such facilities. This is to enable a more realistic assessment of an individual’s borrowing capacity.

Interesting. Are you sure it will concern applying for an additional card from the same bank? This doesn't change a thing as you have a common credit limit across all cards, so I don't quite see the point of additional measures if nothing really changes except for the thickness of your wallet.