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Q: Why do I have to get a new bank account to get paid instead of my existing account?
Starting another teaching position with a college this fall. Not really thrilled about this place, but it is what it is.
One thing I am really annoyed about is that the school will only pay me direct deposit to ICBC bank. I do not have an ICBC bank account and wonder why they cannot just deposit my money into my Bank of China account. I am a foreigner and the Bank of China is the only one that is sort of foreigner friendly, in that I can exchange RMB for foreign currency and that BOC has branches outside the country.
The school just absolutely refuses to direct deposit to my current BOC account. Why? It is simple. I was paid for my part time job this way, and it took the (goofy, not so smart) boss lady like 30 seconds and a computer to deposit my payment. Gave her my ATM bank card number and 'presto" money. I do not understand why the accountant cannot do the same thing. Actually this is not the first time a school forced me to start an account at a bank to get paid. i find it idiotic. Isnt the Bank of China the "flagship" bank in China? Aren't all the banks in China owned by the government anyway?
I resent having to waste my time going to a bank to open a new bank account, because it is such a long process. I really abhor the banks here. Slow, takes forever, about 50 years behind the times. Customer service just doesnt exist and they dont give a shit if someone is sitting, waiting for an hour while they do fuck all, unless some "VIP" customer walks in the door.
So why is my new employer too stupid or lazy to put my money in my bank account?
7 years 34 weeks ago in Visa & Legalities - China
The real reason is that the school banks with ICBC, and because of that, electronic transfers of money to other accounts is FREE. Yet, if you transfer to other banks like BOC, you MUST PAY A FEE. In some cases, a few kuai per transfer, in others a % of the amount transferred.
After many years in China, I have ended up with accounts in almost all the banks, I keep under 100 kuai in all except on my main bank.
ambivalentmace:
yes, I have 6 bank accounts because of schools, and some of these banks violate the policy of making sure the school shows proof of taxes paid by the foreigner before getting an account, because they want the school's business. It is very disconcerting to be waiting in a room for a bank rep and her computer screen is using XP in one of the four government owned banks.
It's probably because the school banks with ICBC, and it costs them,or is maybe a huge hassle, to deposit money into a different bank.
Stiggs:
I had to do the same thing when I started a new job and that's what I was told at the time... it costs to transfer money to a different bank. Seems stupid to me but that's Chinese banks for you.
Shining_brow:
No.
Not true (or at least, the cost is negligible - such as 2Y at most - but if transfers are done online, it's free!)
I"m not sure why they won't do that. I've always had my employers deposit my paychecks into a private Chinese bank acct. They never had a problem with that. The only caveat is you have to have opened the account in the same city you're going to work in.
The real reason is that the school banks with ICBC, and because of that, electronic transfers of money to other accounts is FREE. Yet, if you transfer to other banks like BOC, you MUST PAY A FEE. In some cases, a few kuai per transfer, in others a % of the amount transferred.
After many years in China, I have ended up with accounts in almost all the banks, I keep under 100 kuai in all except on my main bank.
ambivalentmace:
yes, I have 6 bank accounts because of schools, and some of these banks violate the policy of making sure the school shows proof of taxes paid by the foreigner before getting an account, because they want the school's business. It is very disconcerting to be waiting in a room for a bank rep and her computer screen is using XP in one of the four government owned banks.
Whilst I agree that the cost of transfering may be a factor, a penny saved is a penny earned and all that, I think the most obvious reason is that someone at the top of your company's food chain got a super mortgage rate or some other gratuity from said bank for ensuring all the transactions of your company go through them.
Banks do have sales people out trying to get company business.
Or your boss's old mate from school got a promotion and he used the guanxi/face card to get the business.
Just follow the school requirement. If not you keep fighting for nothing, and may lost everything. Learn to obey the law in China as a expatriate.
