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Topic: Bank accounts for meeting the savings requirement.  (Read 1182 times)

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Bank accounts for meeting the savings requirement.
« on: June 22, 2018, 08:08:45 AM »
Hello, I'm an American and I recently married my British fiancée in America. She returned to England and we are long distance. We plan to eventually have me move over to her. We would be using a combination of savings and her income in the UK to meet the requirement.

My main question:

Is it advisable for me to transfer whatever savings I have to her account in the UK to simplify the statements that we need to eventually provide. For example, I could transfer my money to her account at the start of the 6 months that we need to hold the money for. That way we would know for sure how much we have and wouldn't have to worry about what the exchange rate will be at the time of application.

Additional question:

We received about ~$2500 in cash gifts for our wedding from several different people. I have read that when you receive a large cash gift you need to supply a signed document saying it is a gift and possibly a bank statement from the giver. Is that also the case when it comes to wedding gifts from many different people?


Thank you.


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Re: Bank accounts for meeting the savings requirement.
« Reply #1 on: June 22, 2018, 08:14:43 AM »
Hello, I'm an American and I recently married my British fiancée in America. She returned to England and we are long distance. We plan to eventually have me move over to her. We would be using a combination of savings and her income in the UK to meet the requirement.

My main question:

Is it advisable for me to transfer whatever savings I have to her account in the UK to simplify the statements that we need to eventually provide. For example, I could transfer my money to her account at the start of the 6 months that we need to hold the money for. That way we would know for sure how much we have and wouldn't have to worry about what the exchange rate will be at the time of application.

Additional question:

We received about ~$2500 in cash gifts for our wedding from several different people. I have read that when you receive a large cash gift you need to supply a signed document saying it is a gift and possibly a bank statement from the giver. Is that also the case when it comes to wedding gifts from many different people?


Thank you.

1- It's a good idea to do that, then you know exactly where you are and are not at the mercy of exchange rates at all.

2- I wouldn't worry about letters from people who gave you small gifts of money for the wedding. A letter or bank statements from the giver are not even required if someone gifted you the whole amount although it is recommended to provide a letter in that case. You will just state the source of the gifts as '£2,500 total in wedding gifts from multiple guests' or words to that effect in your declaration which is one of the questions in the application.

Just checking that you are aware that only savings greater than £16,000 can be counted?
« Last Edit: June 22, 2018, 08:16:11 AM by larrabee »


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Re: Bank accounts for meeting the savings requirement.
« Reply #2 on: June 22, 2018, 08:23:56 AM »
1- It's a good idea to do that, then you know exactly where you are and are not at the mercy of exchange rates at all.

2- I wouldn't worry about letters from people who gave you small gifts of money for the wedding. A letter or bank statements from the giver are not even required if someone gifted you the whole amount although it is recommended to provide a letter in that case. You will just state the source of the gifts as '£2,500 total in wedding gifts from multiple guests' or words to that effect in your declaration which is one of the questions in the application.

Just checking that you are aware that only savings greater than £16,000 can be counted?
Thank you very much for your response!

Yes I'm aware of that about the savings.. We still have a little ways to go but we're getting there.

So most of the cash gifts were given to me in dollars and I deposited in my bank account. When I transfer my money to her British bank account will I also need to provide bank statements or wage slips? Or could we just include in the declaration that I transferred her money and my money came from earnings from my job over time and some from wedding gifts?


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Re: Bank accounts for meeting the savings requirement.
« Reply #3 on: June 22, 2018, 08:27:02 AM »
Thank you very much for your response!

Yes I'm aware of that about the savings.. We still have a little ways to go but we're getting there.

So most of the cash gifts were given to me in dollars and I deposited in my bank account. When I transfer my money to her British bank account will I also need to provide bank statements or wage slips? Or could we just include in the declaration that I transferred her money and my money came from earnings from my job over time and some from wedding gifts?

The rules don't ask you to provide evidence of the source of savings, just the declaration which is literally you explaining where the money has come from. What you have there is great. :)
« Last Edit: June 22, 2018, 08:28:27 AM by larrabee »


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Re: Bank accounts for meeting the savings requirement.
« Reply #4 on: June 22, 2018, 08:28:30 AM »
As long as you transfer the money before the 6 months starts, you shouldn’t need to provide anything, as only the most recent 6 months of bank statements are needed.

You just state on the visa application where all the money has come from (I.e. savings from salary plus $2500 in cash gifts at the wedding).


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Re: Bank accounts for meeting the savings requirement.
« Reply #5 on: June 22, 2018, 08:35:28 AM »
As long as you transfer the money before the 6 months starts, you shouldn’t need to provide anything, as only the most recent 6 months of bank statements are needed.

You just state on the visa application where all the money has come from (I.e. savings from salary plus $2500 in cash gifts at the wedding).


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The rules don't ask you to provide evidence of the source of savings, just the declaration which is literally you explaining where the money has come from. What you have there is great. :)

Awesome! Thank you guys so much for your help.


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Re: Bank accounts for meeting the savings requirement.
« Reply #6 on: June 27, 2018, 07:56:59 AM »
I have another somewhat related question.

Say my spouse had all of the savings in a UK bank account. And say that bank account earned £300 per year in interest. Could that interest be used toward the income requirement and in combination with my spouse's UK salary and UK savings account?


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Re: Bank accounts for meeting the savings requirement.
« Reply #7 on: June 27, 2018, 08:06:37 AM »
I have another somewhat related question.

Say my spouse had all of the savings in a UK bank account. And say that bank account earned £300 per year in interest. Could that interest be used toward the income requirement and in combination with my spouse's UK salary and UK savings account?

Any savings that are used must have been held in the account for a minimum of 6 months before applying for the visa.

So, if you wanted to use £300 of interest towards the requirements, you would have to wait until that £300 had been in the account, untouched for at least 6 months.

When using cash savings, they will take the lowest balance held in the account on any of the days during the 6 months... so if it dips for even 1 day, only the balance in the account on that day will be used for the visa.


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Re: Bank accounts for meeting the savings requirement.
« Reply #8 on: June 27, 2018, 08:11:34 AM »
Sorry if I was being unclear or if the question I'm asking just doesn't make any sense but I meant the interest counting toward the income requirement if that makes sense.

Like say my spouse had a bank account with £20000 that earned £30 per month in interest. (just an example) would that interest count as additional income and potentially lower the amount of savings that would be required to be held for 6 months?


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Re: Bank accounts for meeting the savings requirement.
« Reply #9 on: June 27, 2018, 08:29:18 AM »
Sorry if I was being unclear or if the question I'm asking just doesn't make any sense but I meant the interest counting toward the income requirement if that makes sense.

Like say my spouse had a bank account with £20000 that earned £30 per month in interest. (just an example) would that interest count as additional income and potentially lower the amount of savings that would be required to be held for 6 months?

The answer is yes, but it's tricky because in the UK interest from savings is no longer taxed at source and part of the criteria is that it taxes have to have been correctly paid so a self assessment would have to have been completed and included with the application and any tax due, paid and evidence of this submitted too.

Quote
.6.1. Category C: Non-employment income – requirements
6.1.1. The following are sources of non-employment income which can be counted towards the financial requirement under Category C:
 Property rental.
 Dividends or other income from investments, stocks and shares, bonds or trust
funds.
Interest from savings.
 Maintenance payments from a former partner of the applicant in relation to the
applicant or any children of the applicant and their former partner. Also, maintenance payments from a former partner of the applicant’s partner in relation to that partner.
 UK Maternity Allowance, Bereavement Allowance, Bereavement Payment and Widowed Parent’s Allowance.
 Payments under the War Pensions Scheme, the Armed Forces Compensation Scheme and the Armed Forces Attributable Benefits Scheme.
 A maintenance grant or stipend (not a loan) associated with undergraduate study or postgraduate study or research.
 Ongoing insurance payments.
 Ongoing payments from a structured legal settlement.
 Ongoing royalty payments.
6.1.2. Unless otherwise specified, the specified non-employment income which the applicant’s partner and/or the applicant have received in the 12 months prior to the date of application can be counted towards the financial requirement.
6.1.3. The relevant asset on which any income is based must be in the name of the applicant, their partner or both jointly and held or owned at the date of application.
6.1.4. The asset owned at the date of application does not need to have been owned for 12 months prior to the date of application, but it must have been a source of income for at least part of that 12 month period. For example, the asset is owned at the date of application, has been owned for the last 3 months and has been a source of income during that period of 3 months: that income can be counted towards the financial requirement.
6.1.5. The gross amount of any cash income may be counted towards the financial requirement, where the correct tax has been paid on that income and where all the relevant evidential requirements in Appendix FM-SE are met. Where a person’s relevant specified evidence relating to permitted sources of non-employment income shows their gross cash income and the tax paid, and their specified bank statements in relation to
the permitted non-employment income show all of that post-tax income, they can count the gross amount of the cash income shown on the specified documentation towards the financial requirement (or the net income in relation to dividends). But, where that person’s specified bank statements relating to permitted non-employment income only show a proportion of that post-tax income, only the amount shown on the bank statements can be counted towards the financial requirement.

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/636618/Appendix_FM_1_7_Financial_Requirement_Final.pdf
« Last Edit: June 27, 2018, 08:31:25 AM by larrabee »


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Re: Bank accounts for meeting the savings requirement.
« Reply #10 on: June 27, 2018, 08:31:45 AM »
Sorry if I was being unclear or if the question I'm asking just doesn't make any sense but I meant the interest counting toward the income requirement if that makes sense.

Like say my spouse had a bank account with £20000 that earned £30 per month in interest. (just an example) would that interest count as additional income and potentially lower the amount of savings that would be required to be held for 6 months?

Yes, you could, but I'm not sure it would be worth it for that small amount of interest, for the reasons larrabee said, and also because it would make your financial requirement categories a lot more complicated, as it would mean having to apply under 3 separate categories:
- Category A or B Employment income
- Category C Non-Employment Income
- Category D Cash Savings.

Plus, if it's only interest of £30 per month, which is £360 per year, it would only reduce the savings amount you need by £900 (£360 x 2.5 = £900).

So, say your situation is as follows:
Employment Income = £15,000 per year (not including the interest)
Cash Savings needed to meet the requirement = £25,000

But including the interest:
Employment Income = £15,000 per year
Non-Employment Income (the interest) = £360 per year
Cash Savings needed to meet the requirement = £24,100

And of course, if that amount of £360 is taxed, it would reduce the savings needed by even less... so ultimately, it's unlikely to be worth the hassle of using it.


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Re: Bank accounts for meeting the savings requirement.
« Reply #11 on: June 27, 2018, 08:33:47 AM »
Okay that makes sense. Thank you guys for the detailed responses!


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Re: Bank accounts for meeting the savings requirement.
« Reply #12 on: June 29, 2018, 04:53:14 AM »
If the applicant doesn't have a job at the time of applying for a spouse visa will that affect potential approval?



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Re: Bank accounts for meeting the savings requirement.
« Reply #13 on: June 29, 2018, 05:02:06 AM »
If the applicant doesn't have a job at the time of applying for a spouse visa will that affect potential approval?

Nope, not at all.  :)


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Re: Bank accounts for meeting the savings requirement.
« Reply #14 on: June 29, 2018, 05:08:52 AM »
If the applicant doesn't have a job at the time of applying for a spouse visa will that affect potential approval?

As larrabee said, no, it doesn’t.

They aren’t allowed to even consider your employment for the visa... unless you already live in the U.K. on a visa that allows work.


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