Friday Feature: Banking in China and Getting Your Money Out for the Summer
Transfer Your Money in 30 Minutes or Less With This Plan
You may not be in China, but these tips are good to follow wherever you work as an expat.
This post is not just a set of instructions, it is a masterful process to ensure you can get all your money out of China, calmly, when the time comes.
I have worked with many people who have $10,000+ locked in China, and they cannot get it out. Relying on slow, outside of China, ATM transfers is risky.
And, if you made the mistake of taking tutoring money, or any money, in WeChat wallet, I would highly suggest paying the fee and getting the money transfer process started.
You need that WeChat Wallet to be around 0 before you leave. I would make a plan to clear it every four months.
Here is an example of WeChat Fees, it is worth taking a small hit to exfiltrate your money:
Scenario 1: Free Withdrawal Limit Unused (CNY 1,000 Available)
Amount to withdraw: CNY 71,000.
Free limit: CNY 1,000 is fee-free.
Remaining amount subject to fees: CNY 71,000 - CNY 1,000 = CNY 70,000.
Fee: 0.1% of CNY 70,000 = 0.001 × 70,000 = CNY 70.
Total Fee: CNY 70 (approximately USD 9.86 at 1 USD = 7.1 CNY).
Scenario 2: Free Withdrawal Limit Exhausted
Amount to withdraw: CNY 71,000.
Entire amount subject to fees: 0.1% of CNY 71,000 = 0.001 × 71,000 = CNY 71.
Total Fee: CNY 71 (approximately USD 10 at 1 USD = 7.1 CNY).
Your money and finances need to supersede end-of-year parties, starting vacations, and trying to jump into summer. You never know what will happen when you are outside the country.
My advice is always to keep only enough operating cash in your host country and top up your accounts in your permanent residence.
Get ready to master Chinese banking.