Meeting the "Savings Requirement" through a gift

Out of pure curiosity -- can a relative in the UK set up a British bank account in our name to "gift us" money that won't be subject to fluctuating UK-US exchange rates?

Would we  need to be there to sign anything?

Not saying this is going to happen, I'm just curious.

You would need a letter confirming it's a gift and would not be repaid, and it would need to be in the account for a full six months before the visa application. The account would need to be in the applicant or sponsors name, or both. You would print the 6 months of bank statements as evidence as well. And I don't know about tax implications for a very large gift, so it could be worth researching that!

From the guidelines:

7.4.1. Savings must be held in cash in a personal bank/savings account in the name of the applicant, their partner or the couple jointly. The savings can be from any legal source, including a gift from a family member or other third party, provided the source of the cash savings is declared. The applicant and/or their partner must confirm that the money, which cannot be borrowed, is under their control and evidence that it has been held in their bank account for at least the 6 months prior to the date of application.

To open a UK bank account, the account holder(s) would need to be resident in the UK with proof of UK address and evidence of lawful UK residency (ex. valid UK visa or UK passport).

You would need a letter confirming it's a gift and would not be repaid, and it would need to be in the account for a full six months before the visa application. The account would need to be in the applicant or sponsors name, or both. You would print the 6 months of bank statements as evidence as well. And I don't know about tax implications for a very large gift, so it could be worth researching that!

Thanks so much. Tax implications, wow... never thought of that. So it's possible gift money from UK - US could actually be taxed? I wouldn't have a clue how to even look into this.

Starting to really regret not moving back a few years ago before they changed literally all the rules.

Thanks so much. Tax implications, wow... never thought of that. So it's possible gift money from UK - US could actually be taxed? I wouldn't have a clue how to even look into this.

Starting to really regret not moving back a few years ago before they changed literally all the rules.

I genuinely don't know if that could be, but that's why I said you'd want to check.

To open a UK bank account, the account holder(s) would need to be resident in the UK with proof of UK address and evidence of lawful UK residency (ex. valid UK visa or UK passport).

I figured it couldn't be as easy as that. I'm sure my DH being a British citizen but living in America doesn't qualify. Thanks.   

Thanks so much. Tax implications, wow... never thought of that. So it's possible gift money from UK - US could actually be taxed? I wouldn't have a clue how to even look into this.

Starting to really regret not moving back a few years ago before they changed literally all the rules.

There is no gift tax in the UK (there is in the US) but it could be relevant in terms of inheritance tax if the person who gave the gift died within 7 years of giving the gift to you.

Unless the gift comes from a "covered expatriate" there is no U.S. gift tax that you would have to pay. Whoever makes the gift is the one liable for the tax if it applies (read here for a more detailed explanation).

Apparently there are some banks that allow you to open an account without a UK address (Lloyds is one I believe) as long as you have a U.K. Passport. Could this bypass that rule where you need to prove your residence? It would be ideal if his family could put gift money in an account he opened from the US for us. It would make me feel so much safer about meeting the requirement.

(With two young kids not being approved after selling our house is not even an option.)

I don't know if they still offer it, or if the requirements have changed, but Lloyds did have a "new to the UK" account where they were more lenient on address requirements.  You did have to apply in a branch in person in the UK to open it and I think you still did have to be resident in the UK though.  If I recall correctly, they were just more flexible as to what they accepted as proof of address since they recognised that being new, you wouldn't have official correspondence like a council tax bill.

With the new immigration rules and anti money-laundering measures, I'm not sure how lenient banks can be nowadays, though it's worth a try to see what's on offer.  I *think* Lloyds and HSBC have international accounts that can be opened from the US in sterling, but I think those accounts are the types that command significant monthly fees and/or have high income requirements.

I suspect that to have a chance opening a UK account without an official UK address, he would need to inquire in person at individual branches.  As a UK citizen, a branch *might* be a bit more flexible, but I'm not 100% sure. 

Quite cruelly, returning UK citizens living abroad with their non-UK/EU families have been hit the hardest with the new immigration rules. 

You would want to talk to the specific banks about their requirements. For HSBC they have an international banking centre. They charge to set up accounts, but obviously that could be worth it for you.

As an FYI, many people on the forum have children. If using the proceeds of a house sale instead of a UK job offer starting within 3 months of the application + >£16,800 earned in the previous year they move into temporary accommodations, such as an apartment on a month to month lease, while waiting for the outcome of the visa decision. There have been some cases where the british citizen had to move first to start a job, and even a current member who is waiting for her US citizen daughter to be able to join her after a year of separation while working through getting additional documentation. It's not easy,  but immigrants are all forced through it when moving countries.   It's important to know if there is a refusal for any reason, you can resubmit right away as soon as the reason for the refusal is sorted out. But the members here provide amazing advice on the visa process to make sure you're not missing anything needed to check all the boxes for an approval.

I know it’s super scary but it IS a tick box visa.  Tick the boxes and you’ll have your visa.  You won’t face a refusal.

Thanks everyone, I'm not sure how anyone does this without the help of the selfless people on here. Seriously.   

I'm almost certain we will be able to meet the Savings Requirement through our house sale, BUT we have no local family here anymore and minimal support, so I'm extra paranoid about making sure our young family is safe. (Family is everything to me, and a huge reason we're moving back.)

IF UK Immigration will accept a UK bank account opened in my husband's name as part of the Savings Requirement (not sure how to confirm that they would), it would definitely make us feel a bit more secure... just a bit of buffer.

Thanks everyone, I'm not sure how anyone does this without the help of the selfless people on here. Seriously.   

I'm almost certain we will be able to meet the Savings Requirement through our house sale, BUT we have no local family here anymore and minimal support, so I'm extra paranoid about making sure our young family is safe. (Family is everything to me, and a huge reason we're moving back.)

IF UK Immigration will accept a UK bank account opened in my husband's name as part of the Savings Requirement (not sure how to confirm that they would), it would definitely make us feel a bit more secure... just a bit of buffer.

They will accept a bank account in his name as long as it doesn't have anyone elses name on it, (except for yours) that's not an issue. The only thing will be if you can get an account opened in the UK while he's in the US but you have some good leads in this thread. Good luck!

And it's not ideal of course, but you could always have the money transferred to his/your US account