Changing jobs in China: the banking edition

Last year I changed jobs, and wrote about the ordeal here. I’ve recently changed jobs again, but it was a much smoother process:

  • 15 September: hand in notice
  • 31 October: final day, HR applied for the cancellation of my work permit
  • 14 November: work permit cancellation letter ready, take documents to the agency dealing with the process to start the online application for my new work permit
  • 28 November: online process approved
  • 29 November: counter application started
  • 3 December: apply to cancel residence permit and replace with stay permit
  • 12 December: stay permit collected ALSO work permit fully approved
  • 17 December: apply for residence permit
  • 26 December: passport with new residence permit ready

Everything went smoothly but you’ll notice I wasn’t allowed to work (no work permit = no working) from the day I left my old work (31 October) and mid December. Just as well I had some pennies saved up!

Speaking of pennies, obviously I do not work for free and I prefer to get paid. In China it’s pretty standard practice that your employer will specify which banks they will pay your salary into, and if you don’t already have an account with one of those banks then you need to open one. There are four big banks in China (all state owned, of course): Bank of China, ICBC, Agricultural Bank of China and China Construction Bank. I have accounts with Bank of China and ICBC, but don’t really use the ICBC account as my name is written differently to wherever else it appears on official documents and this causes issues.

On my first day at work I was told I could only be paid into ICBC or China Merchants Bank. As I can’t use my existing ICBC account, I would have to open a new account at either bank – and have heard so many horror stories about ICBC that I chose CMB.

First of all, I had to wait until I had my passport back from getting the residence permit. Once I had this I went to the nearest branch (right by my office, luckily). They immediately listed all the different things I would need to apply: residence permit? work contract? housing contract? police registration form? Shanghai phone number? Yes, to all these. They asked me to fill in a form while they photocopied my documents and then told me they would be in touch once they had authorisation from head office.

I went away and waited. HR messaged me several times asking me what was going on. Eventually I got a call to say I’d been approved.

I went back into the branch and the lady I’d been dealing with wasn’t there, so I explained the whole situation again. The new cashier got out all my documents and some more forms. She gave me a tax form to fill in… which is when things went bad.

I’ve been hearing things about tax changes here in China – essentially foreigners can now be taxed on global income, so they want our tax numbers. My ICBC account has actually been frozen because I haven’t supplied them with this number. But that’s beside the point. It’s never been particularly clear whether they want our Chinese tax numbers or the ones from our home country. After lots of hassle last week, I managed to almost get my Chinese tax number, but it turned out they wanted the home tax number (the form actually said the tax number where we are tax residents, which for me is only China currently, but hey).

I filled in the form – the first I’ve seen with a box for middle name. This caused some problems as China generally assumes I have two first names. The cashier was also confused that my middle name didn’t match what was on my passport but it turned out she was looked at the words “Eireannach/Irish”. The biggest problem was that my passport is Irish and my tax number is my UK national insurance number.

“You need to put your Irish tax number”, she said.

“I don’t have one, I’ve never worked in Ireland,” I told her. “I have only worked in China and the UK, so the only non-Chinese tax number I have is a UK one.”

“I don’t think we can open your account,” she told me. “It has to match your nationality.”

“But I also have British nationality…” I nearly said, before I thought better of it, dual nationality being an alien concept in China.

Eventually, after making some phone calls and involving almost everyone in the branch, it was decided that I could use my passport number as my tax number, and that they didn’t need my UK tax number.

Next up, my phone number had to be verified, by calling the phone company to check that the number was registered to me (and my passport number). I also got sent a 6 digit code to enter.

Finally, I signed my name several times on the screen, ticking “I agree” to things I hadn’t read (does anyone read these things?), set up my PIN, set up the PIN for the app, signed my bank card and got the bank to write down the SWIFT code for me.

1.5 hours later, I had a new bank account!

I went back to the office and let HR know, then downloaded the app. Of course, having a bank card in China is not that useful as it’s not like you can use it to do very much. Most of the time I do everything using Alipay or WeChat Pay. Amazingly I was able to link my new account to both these apps! I transferred some money to test it out and now I just have to hope that I get paid with no drama next week.

To think that in the UK, I’ve had the same bank account since I was six… I’ve been in China less than two years and I already have three! Still, a good test for both my patience and my Chinese skills.