Maintenance Fund Blues

[hsmpnow]

I am an independent contractor working through a Ltd Company structure for the past 20 months in UK. I have 4 types of bank accounts in UK. Personal Current, Personal Savings , Business Current and Business Savings. Unfortunatley in my Personal Current, Personal Savings and Business Current accounts the balance has dipped below £800 on more than one occasion.

But my Business Savings account has always maintained funds way above the £800. As I am the only director and the only shareholder of my company, would it be alright if I submit my Business Savings account banks statements to fulfil the maintenance funds requirement (along with a letter from my accountant confirming that I am the sole director and shareholder of the company and a letter from my Bank stating that the funds have never dipped below £800)? The bank statement is issued such that the name of the account holder is "My Name My Ltd Company Name" e.g John Miller ABC Ltd. In other words, my name is clearly visible , along with my business's name on the bank statement.

Alternatively, I also have an Indian Non-Residential External (NRE) bank account with funds which are readily available to me in UK by way of an international debit card. The funds are held in Indian Rupees but are fully repataraible and accessible in UK. I have the equivalent of more than £800 held in this account for over 3 months. My bank statements , though in Indian Rupeess, are sent to me at my UK address. Plus , my Indian bank (HDFC Bank ) has issued me a letter confirming the amount in INR and GBP both and states clearly that the money is repatriable in GBP and accessible in UK. I also have the counterfoil of my International Debit Card.

A final, but most scary option is to wait till the end of September when my Personal Savings account would have valid 3 months of maintained funds. But this will be just 3 weeks before my visa expires.

In posts from anyone will be highly appreciated. Please rid me of my Maintenance Funds Blues...

Regards
HSMPNOW

[hsmpnow]

Dear All

Any reply, from anyone, especially seniors, will be highly appreciated.

[ChetanOjha]

Forget about Business accounts. That is your company accounts not yours.

For HO purpose you have to submit your personal statements.

You can use combined sum from all your personal account to prove maintenance funds viz. personal savings, current,ISA etc. This include your NRE account.

[hsmpnow]

Thank you so much for your comment, Chetan. Truly appreciate it. I will now use the NRE account to prove the fund maintenance.

I can see on the guidlines that following is acceptable as an evidence to support maintenance fund requirement :

Letter from a financial institution iv) regulated by the Financial Services Authority (FSA) or, in the case of overseas accounts, the home regulator (official regulatory body for the country in which the institution operates and the funds are located) confirming funds:
The letter from the financial institution regulated by the Financial Services Authority or home regulator should show:
• the applicant’s name;
• the account number;
• the date of the letter;
• the financial institution’s name and logo;
• the funds held in the applicant’s account;
• and
that the funds of £2,800 or £800 have been in the bank for at least three consecutive months on and immediately before the date of the letter. The letter must be dated no more than one calendar month before the date of application. We will not accept letters which show the balance in the account on a particular day as these documents do not show that the applicant holds sufficient funds for the full period needed.

Apart from the fact the clause clearly says 'overseas accounts', it's worth noting that the clause further goes on to mention £2,800 or £800 , indicating that the overseas accounts can be shown for 'out of ountry' as well as 'in country' applications.

But, people are a bit wary of showing NRE account and I have noticed these reservations on some threads on this forum too. Should I take it as based on unfounded fears or based on real-life experience or just common sense wisdom.

Thnks
HSMPNOW

[ChetanOjha]

Thank you so much for your comment, Chetan. Truly appreciate it. I will now use the NRE account to prove the fund maintenance.

I can see on the guidlines that following is acceptable as an evidence to support maintenance fund requirement :

Letter from a financial institution iv) regulated by the Financial Services Authority (FSA) or, in the case of overseas accounts, the home regulator (official regulatory body for the country in which the institution operates and the funds are located) confirming funds:
The letter from the financial institution regulated by the Financial Services Authority or home regulator should show:
• the applicant’s name;
• the account number;
• the date of the letter;
• the financial institution’s name and logo;
• the funds held in the applicant’s account;
• and
that the funds of £2,800 or £800 have been in the bank for at least three consecutive months on and immediately before the date of the letter. The letter must be dated no more than one calendar month before the date of application. We will not accept letters which show the balance in the account on a particular day as these documents do not show that the applicant holds sufficient funds for the full period needed.

Apart from the fact the clause clearly says 'overseas accounts', it's worth noting that the clause further goes on to mention £2,800 or £800 , indicating that the overseas accounts can be shown for 'out of ountry' as well as 'in country' applications.

But, people are a bit wary of showing NRE account and I have noticed these reservations on some threads on this forum too. Should I take it as based on unfounded fears or based on real-life experience or just common sense wisdom.

Thnks
HSMPNOW

In my opinion, the whole point of maintenance fund criteria is to make sure you will have enough funds in the time of need. The money should be available to you when you need. I don't think there is any problem in showing NRE account for maintenance funds. It's your money and you have can use it whenever you want..however you want. I am not sure about the reservations from other members.

Can you provide link of those threads?

[hsmpnow]

Hi Chetan.. do apologise but I could not locate those threads with reservations about NRE accounts ... though I thought I did. May be it was a reflection of my own unfounded fears... .Thanks for putting my nerves to rest.

[ChetanOjha]

Hi Chetan.. do apologise but I could not locate those threads with reservations about NRE accounts ... though I thought I did. May be it was a reflection of my own unfounded fears... .Thanks for putting my nerves to rest.

You will be fine. Make sure you have corroborative evidence for maintenance funds...and your balance has never went below the required amount in anytime in the last 3 months(even for one day).

[insaneHO]

Hi hsmpnow - I am exactly in the same boat as you ie contractor with sufficient money in business and NRe accounts but not in personal accounts. I was wondering how you progressed. I am planning to show both NRe and business acoounts.

[ChetanOjha]

Hi hsmpnow - I am exactly in the same boat as you ie contractor with sufficient money in business and NRe accounts but not in personal accounts. I was wondering how you progressed. I am planning to show both NRe and business acoounts.

You cannot show business account as your personal maintenance funds.