Transferring Money from China...

[Guest ShaQuaNew]

Every month, I need to transfer money from my Chinese bank, to my US bank to maintain my account, and pay bills. Lan has always taken care of it, but now with her in the US, I had to do it this time around.

 

The process is quite involved really, as there is no direct bank-to-bank transfer; you must:

 

1. Convert RMB to USD

 

That's the tricky part. China law will not allow a foreigner to convert RMB at a Chinese bank. However, a Chinese citizen may do it for you. I didn't know this, and learned about it only this morning while trying to make the transaction at the bank.

 

2. Complete a form, that contains your bank information, routing number, address, and so on. Including the amount you wish to transfer.

 

3. You then present the completed and signed form, along with the money you wish to transfer in US Cash.

 

4. They initiate the transfer, and provide you with a receipt.

 

I was fortunate that one of my co-workers did the transfer for me, after I learned that I cannot do it by myself. This appears to be another way that China tries to keep their money within their own borders. It's not a difficult transaction, but a US citizen, cannot do it alone.

[chengdu4me]

Every month, I need to transfer money from my Chinese bank, to my US bank to maintain my account, and pay bills. Lan has always taken care of it, but now with her in the US, I had to do it this time around.

 

The process is quite involved really, as there is no direct bank-to-bank transfer; you must:

 

1. Convert RMB to USD

 

That's the tricky part. China law will not allow a foreigner to convert RMB at a Chinese bank. However, a Chinese citizen may do it for you. I didn't know this, and learned about it only this morning while trying to make the transaction at the bank.

 

2. Complete a form, that contains your bank information, routing number, address, and so on. Including the amount you wish to transfer.

 

3. You then present the completed and signed form, along with the money you wish to transfer in US Cash.

 

4. They initiate the transfer, and provide you with a receipt.

 

I was fortunate that one of my co-workers did the transfer for me, after I learned that I cannot do it by myself. This appears to be another way that China tries to keep their money within their own borders. It's not a difficult transaction, but a US citizen, cannot do it alone.

 

 

So you can do a bank-to-bank transfer from the US to China, but not from China to the US without converting the funds prior to the transfer?

[Guest ShaQuaNew]

Every month, I need to transfer money from my Chinese bank, to my US bank to maintain my account, and pay bills. Lan has always taken care of it, but now with her in the US, I had to do it this time around.

 

The process is quite involved really, as there is no direct bank-to-bank transfer; you must:

 

1. Convert RMB to USD

 

That's the tricky part. China law will not allow a foreigner to convert RMB at a Chinese bank. However, a Chinese citizen may do it for you. I didn't know this, and learned about it only this morning while trying to make the transaction at the bank.

 

2. Complete a form, that contains your bank information, routing number, address, and so on. Including the amount you wish to transfer.

 

3. You then present the completed and signed form, along with the money you wish to transfer in US Cash.

 

4. They initiate the transfer, and provide you with a receipt.

 

I was fortunate that one of my co-workers did the transfer for me, after I learned that I cannot do it by myself. This appears to be another way that China tries to keep their money within their own borders. It's not a difficult transaction, but a US citizen, cannot do it alone.

 

 

So you can do a bank-to-bank transfer from the US to China, but not from China to the US without converting the funds prior to the transfer?

 

 

That's correct. Any money you transfer to a US bank from China must first be converted to US dollars.

 

 

--edit--

 

After it's converted to USD, you hand the teller the cash to make the transaction.

Edited March 2, 2009 by ShaQuaNew (see edit history)

[chengdu4me]

Every month, I need to transfer money from my Chinese bank, to my US bank to maintain my account, and pay bills. Lan has always taken care of it, but now with her in the US, I had to do it this time around.

 

The process is quite involved really, as there is no direct bank-to-bank transfer; you must:

 

1. Convert RMB to USD

 

That's the tricky part. China law will not allow a foreigner to convert RMB at a Chinese bank. However, a Chinese citizen may do it for you. I didn't know this, and learned about it only this morning while trying to make the transaction at the bank.

 

2. Complete a form, that contains your bank information, routing number, address, and so on. Including the amount you wish to transfer.

 

3. You then present the completed and signed form, along with the money you wish to transfer in US Cash.

 

4. They initiate the transfer, and provide you with a receipt.

 

I was fortunate that one of my co-workers did the transfer for me, after I learned that I cannot do it by myself. This appears to be another way that China tries to keep their money within their own borders. It's not a difficult transaction, but a US citizen, cannot do it alone.

 

 

So you can do a bank-to-bank transfer from the US to China, but not from China to the US without converting the funds prior to the transfer?

 

 

That's correct. Any money you transfer to a US bank from China must first be converted to US dollars.

 

 

--edit--

 

After it's converted to USD, you hand the teller the cash to make the transaction.

 

 

So would the same rule apply at Western Union. You take a wad of RMB to them and they must convert to USD, then they send it?

[Guest ShaQuaNew]

Every month, I need to transfer money from my Chinese bank, to my US bank to maintain my account, and pay bills. Lan has always taken care of it, but now with her in the US, I had to do it this time around.

 

The process is quite involved really, as there is no direct bank-to-bank transfer; you must:

 

1. Convert RMB to USD

 

That's the tricky part. China law will not allow a foreigner to convert RMB at a Chinese bank. However, a Chinese citizen may do it for you. I didn't know this, and learned about it only this morning while trying to make the transaction at the bank.

 

2. Complete a form, that contains your bank information, routing number, address, and so on. Including the amount you wish to transfer.

 

3. You then present the completed and signed form, along with the money you wish to transfer in US Cash.

 

4. They initiate the transfer, and provide you with a receipt.

 

I was fortunate that one of my co-workers did the transfer for me, after I learned that I cannot do it by myself. This appears to be another way that China tries to keep their money within their own borders. It's not a difficult transaction, but a US citizen, cannot do it alone.

 

 

So you can do a bank-to-bank transfer from the US to China, but not from China to the US without converting the funds prior to the transfer?

 

 

That's correct. Any money you transfer to a US bank from China must first be converted to US dollars.

 

 

--edit--

 

After it's converted to USD, you hand the teller the cash to make the transaction.

 

 

So would the same rule apply at Western Union. You take a wad of RMB to them and they must convert to USD, then they send it?

 

I've never actually gone that route before, but I would assume so.

[Sebastian]

BoC has dual currency accounts - you might want to take a look at procuring one of those. If you don't want to play with BoC, then inquire at yer local bank.

 

HSBC has special accounts that some expats get (The HSBC Premiere Account) - and does away with this 'currency exchange' problem.

 

Aren't TTs fun ?

Edited March 2, 2009 by Sebastian (see edit history)

[Guest ShaQuaNew]

BoC has dual currency accounts - you might want to take a look at procuring one of those. If you don't want to play with BoC, then inquire at yer local bank.

 

HSBC has special accounts that some expats get (The HSBC Premiere Account) - and does away with this 'currency exchange' problem.

 

Aren't TTs fun ?

 

 

Interesting thought. My account is with China Merchants Bank, which is the bank that everyone in my company must use, as they do the direct deposit there. It would be nice if there were an easier way to do this every month, and perhaps this might be the answer. I will surely look into it. Thanks.

[Sebastian]

Looks like CMB DOES handle multi-currency -

http://english.cmbchina.com/personal+busin...s/savings04.htm

 

But maybe ya gotta go to the Big Office in town ?

[GZBILL]

HSBC has special accounts that some expats get (The HSBC Premiere Account) - and does away with this 'currency exchange' problem.

 

Actually, no. HSBC Premier does not do away with currency exchange regulations.

[GZBILL]

Every month, I need to transfer money from my Chinese bank, to my US bank to maintain my account, and pay bills. Lan has always taken care of it, but now with her in the US, I had to do it this time around.

 

The process is quite involved really, as there is no direct bank-to-bank transfer; you must:

 

1. Convert RMB to USD

 

That's the tricky part. China law will not allow a foreigner to convert RMB at a Chinese bank. However, a Chinese citizen may do it for you. I didn't know this, and learned about it only this morning while trying to make the transaction at the bank.

 

This is totally false.

 

Expats most certainly can exchange RMB for US$ at most branches of almost every major bank.

 

There are two possible scenarios: First, you have your passport, work-related residence permit, salary statements, work contract and income tax fapiaos which allows you to buy up to $50k per year -- sometimes more. Certain banks often add an additional requirement that your salary be payed into your bank account with that bank.

 

Second, you only have a passport and none of the other above mentioned documents. You are allowed to purchase up to $500 per day.

 

2. Complete a form, that contains your bank information, routing number, address, and so on. Including the amount you wish to transfer.

 

3. You then present the completed and signed form, along with the money you wish to transfer in US Cash.

 

4. They initiate the transfer, and provide you with a receipt.

 

This is true. Another method is using your bank's online banking function which allows for international wires.

 

I was fortunate that one of my co-workers did the transfer for me, after I learned that I cannot do it by myself. This appears to be another way that China tries to keep their money within their own borders. It's not a difficult transaction, but a US citizen, cannot do it alone.

 

This is also false.

 

As long as you have the US$ cash in your hand or on deposit in your account, you can go to virtually any bank and wire that money to any international destination you wish. In this regard there is no difference between Chinese and expat.

 

Whether or not you have a multi-currency account is inconsequential. The RMB is not a freely convertible currency and you must exchange RMB for another currency which is freely convertible before performing a wire transfer. In any event, almost every bank account in every bank in China is, by default, a multi-currency account.

[Guest ShaQuaNew]

Every month, I need to transfer money from my Chinese bank, to my US bank to maintain my account, and pay bills. Lan has always taken care of it, but now with her in the US, I had to do it this time around.

 

The process is quite involved really, as there is no direct bank-to-bank transfer; you must:

 

1. Convert RMB to USD

 

That's the tricky part. China law will not allow a foreigner to convert RMB at a Chinese bank. However, a Chinese citizen may do it for you. I didn't know this, and learned about it only this morning while trying to make the transaction at the bank.

 

This is totally false.

 

Expats most certainly can exchange RMB for US$ at most branches of almost every major bank.

 

There are two possible scenarios: First, you have your passport, work-related residence permit, salary statements, work contract and income tax fapiaos which allows you to buy up to $50k per year -- sometimes more. Certain banks often add an additional requirement that your salary be payed into your bank account with that bank.

 

Second, you only have a passport and none of the other above mentioned documents. You are allowed to purchase up to $500 per day.

 

2. Complete a form, that contains your bank information, routing number, address, and so on. Including the amount you wish to transfer.

 

3. You then present the completed and signed form, along with the money you wish to transfer in US Cash.

 

4. They initiate the transfer, and provide you with a receipt.

 

This is true. Another method is using your bank's online banking function which allows for international wires.

 

I was fortunate that one of my co-workers did the transfer for me, after I learned that I cannot do it by myself. This appears to be another way that China tries to keep their money within their own borders. It's not a difficult transaction, but a US citizen, cannot do it alone.

 

This is also false.

 

As long as you have the US$ cash in your hand or on deposit in your account, you can go to virtually any bank and wire that money to any international destination you wish. In this regard there is no difference between Chinese and expat.

 

Whether or not you have a multi-currency account is inconsequential. The RMB is not a freely convertible currency and you must exchange RMB for another currency which is freely convertible before performing a wire transfer. In any event, almost every bank account in every bank in China is, by default, a multi-currency account.

 

 

While I hear you, I can only report back what I was told at the BOC. I was there with my resident permit and passport, but was told I could not convert the RMB to USD by the teller. Whether or not she knew what she was talking about is another story. At that point, I was done, I could go no further with them.

 

My co-worker walked across the street from our office, to a new branch of BOC, and completed the transaction without problem.

[Sebastian]

HSBC has special accounts that some expats get (The HSBC Premiere Account) - and does away with this 'currency exchange' problem.

 

Actually, no. HSBC Premier does not do away with currency exchange regulations.

 

Sorry, I wasn't clear .

 

He had a distinct 'currency exchange problem' - which he would not have had with an HSBC Premier account. I did not mention any regs, was more centered on his unique experience for 'not being able to set up a TT in USD'.

[GZBILL]

HSBC has special accounts that some expats get (The HSBC Premiere Account) - and does away with this 'currency exchange' problem.

 

Actually, no. HSBC Premier does not do away with currency exchange regulations.

 

Sorry, I wasn't clear .

 

He had a distinct 'currency exchange problem' - which he would not have had with an HSBC Premier account. I did not mention any regs, was more centered on his unique experience for 'not being able to set up a TT in USD'.

 

Having an HSBC Premier account would not have helped in the least. There is no way around Chinese currency regulations when you deal with a bank.

 

The only thing a Premier account does is save you money on the wire fees in cases like this.