EFT of salary in Northern Ireland

Up Donegal

A few weeks ago, my friend’s son started working in Northern Ireland. He was told by the company that he would need a bank account in Northern Ireland to have his salary paid into. He told them that he already had an account in the republic in a bank that has branches both sides of the border but they insisted that he must open an account in the north to have his wages paid into.

Is this a common thing? I was under the impression that once the relevant bank details were provided that wages could be paid into any account anywhere.

368100

Up Donegal wrote: »

A few weeks ago, my friend’s son started working in Northern Ireland. He was told by the company that he would need a bank account in Northern Ireland to have his salary paid into. He told them that he already had an account in the republic in a bank that has branches both sides of the border but they insisted that he must open an account in the north to have his wages paid into.

Is this a common thing? I was under the impression that once the relevant bank details were provided that wages could be paid into any account anywhere.

Yes. The UK is not part of the Sepa zone and works on its own clearing system called Bacs.
Technically There are ways and means to get his wages paid into republic account but in reality no company will want to do it as they send wages out in a bulk file....so he'll need to open an account in NI.

Jim2007

368100 wrote: »

Yes. The UK is not part of the Sepa zone and works on its own clearing system called Bacs.

The UK is part of SEPA. and functions exactly the same as other SEPA members.

Jim2007

Up Donegal wrote: »

A few weeks ago, my friend’s son started working in Northern Ireland. He was told by the company that he would need a bank account in Northern Ireland to have his salary paid into. He told them that he already had an account in the republic in a bank that has branches both sides of the border but they insisted that he must open an account in the north to have his wages paid into.

Is this a common thing? I was under the impression that once the relevant bank details were provided that wages could be paid into any account anywhere.

It could just be his employers preference, but it could also be preparation for BREXIT. Several people I know here in Switzerland receiving UK pensions, dividends etc... have got notification that they will need to provide details of a UK resident bank in order to continue to be paid next year.

landofthetree

If he is in a rush to get his wages he could use Revolut as a short term measure?

You can set up the account pretty quickly and get a sort code and account number.

He should open a Revolut or transferwise account anyway if he going to be covering sterling to euro regularly.

JTMan

Jim2007 wrote: »

The UK is part of SEPA. and functions exactly the same as other SEPA members.

The UK is part of SEPA but SEPA only applies to EUR payments so most UK accounts are out of scope.

368100

Jim2007 wrote: »

The UK is part of SEPA. and functions exactly the same as other SEPA members.

Not for Sterling payments.