Banking Options - Relocating from Sydney to Singapore

[Sydney]

Hi Everyone,

I have 2 mortgages with an Australian bank and have been presented with the opportunity to work in Singapore for the next 5 years. I was wondering what kind of banking options are open to me.

I know I need a Singaporean bank account to allow my wages to be paid into, but I was wondering how I can easily and cheaply transfer funds between this savings account to pay my mortgage payments in Australia.

Is it best to refinance my mortgages with global banks like HSBC or Citibank, which have a presence in Singapore and hopefully then I would be able to minimise the transfer costs?

Or is there really no difference and I should purely consider the "best of breed" choices in each market?

Please help! I am due to relocate in December.

[Sydney]

No luck to date on this. I'm still chasing up the banking options but at this stage, it doesn't look too promising. None of the so-called "global" banking institutions I've approached in Sydney cater for the international financing services I'm looking for.

But I'lll keep trying and see if there is any better way to service a mortgage in one country while working in another. There should be, given how internationalised the workforce has become these days. Very surprising.

Given the situation, what are people's recomendations on banks in Singapore? I'm looking for one which will give me easy access to cash at ATMs, cheap & convenient means of servicing my Australian mortgage and perhaps a linked credit card with a decent rewards program.

Cheers, Sydney

[Sydney]

Well after getting no joy at all from any of the so-called "global" banks here in Sydney, I trawled through the internet and what do you know, found a really good answer on this website!

You can check it out at:

http://www.singaporeexpats.com/forum/ftopic1956.html

Basically, I'll be setting up an account in Singapore with an attached debit card which I'll give to my trusty sidekick in Sydney to make ATM withdrawals and subsequent deposits into my Australian mortgage account.

Simple. No need for refinancing or anything. Granted, this solution won't be for everyone (you need to have someone you can trust) but I'm happy.

Singers here I come! Need to find an apartment now...

[joop]

Well after getting no joy at all from any of the so-called "global" banks here in Sydney, I trawled through the internet and what do you know, found a really good answer on this website!

You can check it out at:

http://www.singaporeexpats.com/forum/ftopic1956.html

Basically, I'll be setting up an account in Singapore with an attached debit card which I'll give to my trusty sidekick in Sydney to make ATM withdrawals and subsequent deposits into my Australian mortgage account.

Simple. No need for refinancing or anything. Granted, this solution won't be for everyone (you need to have someone you can trust) but I'm happy.

Singers here I come! Need to find an apartment now...

Hi Sydney,

Do contact us at +65 61000 300 or email: [email protected] - we would be pleased to assist you in the apartment search.

[Burai]

If the Aussie Dollar weren't so strong I'd suggest borring in Singapore dollars and re-finance the mortgage.

At this current exchange rate it may not be so attractive but keep it in mind if the A$ weakens as interest rates in Singapore are (I think) around 2% or less versus 7% or more in Oz

[pevans]

I'm in a simialr position to you Sydney..

We are moving over in March but will keep two mortgages going in Perth. My wife has all ready arranged to have a set figure payed directly into our Australian bank acc , with the rest going into a new account in Singapore...

yes, there will be the ups and downs of the exchange rate to consider but apart from that, can't see anyother charges and problems with that setup.
Plus i don't have to worry about my 'Friend ' forgetting to pay the mortgage for me !!

[Sydney]

Pevans,

That's an excellent idea and I'll be sure to ask if my new employers will offer a similar arrangement.

Burai,

Another excellent idea - wow, I didn't realise the interest rates were so low in Singapore. Why the hell would anyone keep renting at those rates? In Australia, 7% is considered historically low.

So if I understand your concept correctly, I would request a Singaporean bank to refinance a mortgage over my Australian properties. I didn't realise that was possible. Has anyone ever been through this process before? I'd be very interested in what the application process involved and how it has worked out.

Cheers, Sydney

[Returned Oz Perm Resident]

Singapore banks are alot more conservative about cross border financing and will do that only if either the client is substantial ie private banking or if the amount involved makes sense Reason is that their cost of funds on the Aussie or for that any other currency is higher than any of the indigenous banks and as such to maintain the margin to themselves you will end up with a higher rate. just as Aussie banks cost of funds on the Singapore dollar is higher than Singapore banks and hence the end cost to customer will be higher on the local currency borrowing. So since demand would not be as great given higher end cost, transaction volume would be smaller and hence to make it worth their while the margins would also be larger making it at the end of the day a much higher end cost option. So while the mechanics of it is plain vanilla, the cost to you taking into account currency fluctuations may make it a pretty marginal proposition. Better to stick to the Aus dollar Aus Bank solution as your risks and costs would be minimised at the end of the day.

[sierra2469alpha]

Hi friends - just dredging this one up to see if anyone else has refinanced their properties back in Australia here in SIN. There seem to be plenty of advertisements around, but if anyone has some first-hand information or advice then there's beers in it for you!!!

Thanks in advance, P

[sierra2469alpha]

Hi again friends - just boosting this to see if anyone has refinanced their overseas properties here in SIN? Thanks, P & C

[alanwisley]

You may want to consult a banker in the bank for your case. Approach banks such as Citibank or HSBC on the issue of mortage refinanching. They should be able to help you.