Go Back   English Forum Switzerland > Help & tips > Finance/banking/taxation  
Reply
 
Thread Tools Display Modes
  #1  
Old 15.10.2021, 20:56
Newbie
 
Join Date: Oct 2021
Location: Zürich
Posts: 4
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
Ironclad Lunatic has no particular reputation at present
Bank wants to close vested benefits account

Hello,

I have been living and working in Switzerland from 2013 to 2020. I have left Switzerland at the end of 2020 and now live in France.

I have (had) a salary account and a vested benefits account at ZKB.

I recently closed my salary account. Today I received a letter from ZKB saying that the bank wants to close my vested benefits account too, which I definitely do not want.

I do not want to cash out, and even if I wanted I could not, since I now live in a EU country. I also do not want them to transfer the money on this account somewhere else.

It was my understanding that vested benefits account could stay in Switzerland until retirement age.

I am now very confused and would appreciate the help from forum members.

The letter says :

Sie haben uns Ihre Freizügigkeitsleistungen zur Verwaltung anvertraut. Leider müssen wir Ihnen mitteilen, dass wir aus geschäftspolitischen Gründen die Geschäftsbeziehung nicht aufrechterhalten können. Bitte teilen Sie uns bis am 12. November 2021 schriftlich mit, an welche Freizügigkeitsstiftung wir das Vorsorgevermögen weitervergüten dürfen.

Sollten wir in der oben genannten Frist keine Antwort von Ihnen erhalten, lösen wir (gestützt auf Art. 7 unserer Allgemeinen Geschäftsbedingungen) das Freizügigkeitskonto auf und vergüten das Guthaben an die Stiftung Auffangeinrichtung BVG, Freizügigkeitskonten, Postfach, 8050 Zürich.

Wir danken Ihnen für das entgegengebrachte Vertrauen. Bei allfälligen Fragen steht Ihnen das Betreuungsteam der Freizügigkeitsstiftung gerne zur Verfügung.

Freundliche Grüsse Freizügigkeitsstiftung der Zürcher Kantonalbank


Thank you for your help
Reply With Quote
  #2  
Old 15.10.2021, 21:52
Medea Fleecestealer's Avatar
Forum Legend
 
Join Date: Jul 2011
Location: Switzerland
Posts: 22,452
Groaned at 418 Times in 321 Posts
Thanked 17,496 Times in 9,812 Posts
Medea Fleecestealer has a reputation beyond reputeMedea Fleecestealer has a reputation beyond reputeMedea Fleecestealer has a reputation beyond reputeMedea Fleecestealer has a reputation beyond reputeMedea Fleecestealer has a reputation beyond reputeMedea Fleecestealer has a reputation beyond repute
Re: Bank wants to close vested benefits account

Move it to another vested benefits account with another Swiss bank - UBS or Credit Suisse would probably be best.
Reply With Quote
This user would like to thank Medea Fleecestealer for this useful post:
  #3  
Old 15.10.2021, 22:49
Member
 
Join Date: Mar 2010
Location: no longer in the forum
Posts: 190
Groaned at 3 Times in 2 Posts
Thanked 169 Times in 89 Posts
jim1 has a reputation beyond reputejim1 has a reputation beyond reputejim1 has a reputation beyond reputejim1 has a reputation beyond repute
Re: Bank wants to close vested benefits account

…Or move it to Valuepension or VIAC if you have a long time horizon until withdrawal, want to invest fully or partially in shares, and want the lowest possible fees
Reply With Quote
  #4  
Old 15.10.2021, 23:00
Never TheLess's Avatar
Junior Member
 
Join Date: Jun 2021
Location: Around and about
Posts: 90
Groaned at 6 Times in 2 Posts
Thanked 111 Times in 49 Posts
Never TheLess has an excellent reputationNever TheLess has an excellent reputationNever TheLess has an excellent reputationNever TheLess has an excellent reputation
Re: Bank wants to close vested benefits account

Or Finpension, CS and UBS are not at all competitive.
Reply With Quote
  #5  
Old 15.10.2021, 23:07
Forum Legend
 
Join Date: Aug 2015
Location: Zurich
Posts: 5,620
Groaned at 394 Times in 217 Posts
Thanked 6,417 Times in 2,948 Posts
ZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond repute
Re: Bank wants to close vested benefits account

OP, were you last employed at ZKB?
Reply With Quote
  #6  
Old 16.10.2021, 01:04
Newbie
 
Join Date: Oct 2021
Location: Zürich
Posts: 4
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
Ironclad Lunatic has no particular reputation at present
Re: Bank wants to close vested benefits account

Thank you all for the suggestions.

No, I have never worked at ZKB. I just happened to have my salary and vested benefits accounts there.

I do not know why they want to kick me out. There is no mention that you need to have an account at ZKB or have your residence in Switzerland to keep your vested benefits account in this particular bank.

Frankly, this stresses me out quite a bit!
Reply With Quote
  #7  
Old 16.10.2021, 01:21
Forum Legend
 
Join Date: Aug 2015
Location: Zurich
Posts: 5,620
Groaned at 394 Times in 217 Posts
Thanked 6,417 Times in 2,948 Posts
ZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond repute
Re: Bank wants to close vested benefits account

Quote:
View Post
Thank you all for the suggestions.

No, I have never worked at ZKB. I just happened to have my salary and vested benefits accounts there.

I do not know why they want to kick me out. There is no mention that you need to have an account at ZKB or have your residence in Switzerland to keep your vested benefits account in this particular bank.

Frankly, this stresses me out quite a bit!
Understandably - but in order to make sense out of the correspondence that you received from ZKB, need also to know your country of origin? That can influence your options, and whether other Swiss banks will accept your investments or not.
Reply With Quote
  #8  
Old 16.10.2021, 10:11
Newbie
 
Join Date: Oct 2021
Location: Zürich
Posts: 4
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
Ironclad Lunatic has no particular reputation at present
Re: Bank wants to close vested benefits account

Country of origin is France, only one citizenship.

This is the most basic situation: someone from the EU, who has worked in Switzerland for a while and went back to the EU. Nothing more.

How do people manage to keep their vested benefits account then? Surely I cannot be alone in this situation?

Will I loose my investment if transferred to BVG?

I have read all the information that I could find. Everywhere is mentioned that I can choose whatever bank of foundation for my vested benefits account, and that the money can and should stay in Switzerland while I live in the EU.
Reply With Quote
  #9  
Old 16.10.2021, 11:08
Forum Veteran
 
Join Date: Jan 2013
Location: near Langenthal, BE
Posts: 940
Groaned at 3 Times in 3 Posts
Thanked 1,083 Times in 468 Posts
swisscanmom has an excellent reputationswisscanmom has an excellent reputationswisscanmom has an excellent reputationswisscanmom has an excellent reputation
Re: Bank wants to close vested benefits account

We just had the same thing happen, but from our Canadian Bank. We finally found another Canadian Bank to transfer it to, most do not accept non-resident customers. They also gave us about a month. You need to start looking right away, the deadline is tight!
Reply With Quote
This user would like to thank swisscanmom for this useful post:
  #10  
Old 16.10.2021, 11:45
kri's Avatar
kri kri is offline
Forum Veteran
 
Join Date: Nov 2007
Location: Switzerland
Posts: 2,028
Groaned at 29 Times in 25 Posts
Thanked 1,808 Times in 910 Posts
kri has a reputation beyond reputekri has a reputation beyond reputekri has a reputation beyond reputekri has a reputation beyond repute
Re: Bank wants to close vested benefits account

Quote:
View Post
Country of origin is France, only one citizenship.

This is the most basic situation: someone from the EU, who has worked in Switzerland for a while and went back to the EU. Nothing more.

How do people manage to keep their vested benefits account then? Surely I cannot be alone in this situation?

Will I loose my investment if transferred to BVG?

I have read all the information that I could find. Everywhere is mentioned that I can choose whatever bank of foundation for my vested benefits account, and that the money can and should stay in Switzerland while I live in the EU.
Breathe - your money is fine and all these accounts are safe. Best would be to transfer to VIAC if they accept overseas clients.
Reply With Quote
  #11  
Old 16.10.2021, 11:53
Forum Legend
 
Join Date: Aug 2015
Location: Zurich
Posts: 5,620
Groaned at 394 Times in 217 Posts
Thanked 6,417 Times in 2,948 Posts
ZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond reputeZuriRollt has a reputation beyond repute
Re: Bank wants to close vested benefits account

It does seem that ZKB does not allow you to keep a vested benefits account if you are not domiciled in Switzerland. I do know that the Zuger Kantonalbank specifically state this in their terms and conditions. Anyway, I would firstly get in contact with the ZKB and ask their reason - they have an obligation to provide you with transparency.

I am pretty sure, that UBS does not have this restriction for non-residents within the EU for their vested benefits accounts - and they have good products. Let us know how you get on!
Reply With Quote
  #12  
Old 16.10.2021, 12:09
Forum Veteran
 
Join Date: Nov 2010
Location: Zurich
Posts: 544
Groaned at 30 Times in 18 Posts
Thanked 238 Times in 132 Posts
Harrie Nak has no particular reputation at present
Re: Bank wants to close vested benefits account

Assuming you were in Zurich and now living in France, why wouldn't you want to move the funds to a Freizügigkeitskonto in Kanton Schwyz?
Reply With Quote
  #13  
Old 16.10.2021, 15:41
Forum Legend
 
Join Date: Oct 2014
Location: SG
Posts: 9,520
Groaned at 500 Times in 371 Posts
Thanked 12,619 Times in 6,556 Posts
Urs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond repute
Re: Bank wants to close vested benefits account

Quote:
View Post
I do not know why they want to kick me out. There is no mention that you need to have an account at ZKB or have your residence in Switzerland to keep your vested benefits account in this particular bank.
This is SOP, including the transfer to the Freizügigkeitsstiftung they mention/announce.
Your money will be just as safe there, no need to get stressed out at all

Most people get a new job relatively quickly, so the money gets transferred to the new Pensionskasse. That's not possible in your case, so it gets transferred on to the Freizügigkeitsstiftung; usually that happens 6-12 months after you left your previous job.

If you intend to leave the money for a longer time, like a decade or more, see the posts above mentioning VIAC and Finpension (personally, I'd avoid valuepension.ch, IIRC they're too expensive for my taste)
Reply With Quote
  #14  
Old 18.10.2021, 10:34
Newbie
 
Join Date: Oct 2021
Location: Zürich
Posts: 4
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
Ironclad Lunatic has no particular reputation at present
Re: Bank wants to close vested benefits account

Thank you all for your replies.

I have called ZKB, the bank does not allow you to keep your vested benefits account if you do not also have a salary or saving account.

It seems that it has little to do with your country of residence (for this particular bank at least), but it was not very clear to the person I spoke to.

Freizügigkeitsstiftung or VIAC it is, then!
Reply With Quote
  #15  
Old 18.10.2021, 11:22
Member
 
Join Date: Mar 2010
Location: no longer in the forum
Posts: 190
Groaned at 3 Times in 2 Posts
Thanked 169 Times in 89 Posts
jim1 has a reputation beyond reputejim1 has a reputation beyond reputejim1 has a reputation beyond reputejim1 has a reputation beyond repute
Re: Bank wants to close vested benefits account

Quote:
View Post
If you intend to leave the money for a longer time, like a decade or more, see the posts above mentioning VIAC and Finpension (personally, I'd avoid valuepension.ch, IIRC they're too expensive for my taste)
I am not sure there is a meaningful difference in fees between Valuepension and VIAC so I would suggest to also research ValuePension. ValuePension is from the same provider as Finpension. Valuepension is the product for 2 pillar and Finpension for 3 pillar.

With Valuepension you can invest in up to 99% equities, but with VIAC there is a cap. Valuepension is domiciled in Schwyz which has lower witholding tax and may be an advantage for some people
Reply With Quote
This user would like to thank jim1 for this useful post:
Reply

Tags
leaving switerland, pension, vested benefits account




Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Vested benefits account BBUCOK Finance/banking/taxation 6 04.02.2021 10:27
Vested Benefits account expatglobal Finance/banking/taxation 0 17.11.2020 16:51
Vested benefits account fees rainwolf Finance/banking/taxation 14 18.02.2020 08:25
Vested benefits account DiSoGEGM Finance/banking/taxation 6 25.02.2016 16:58
Vested Benefits Account JKN Finance/banking/taxation 4 09.12.2015 11:17


All times are GMT +2. The time now is 17:50.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2021, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0