HSBC, Standard Chartered Bank, and Bank of Communications (Bocom) on Monday started helping Hongkongers open mainland bank accounts remotely, the latest move in a broader effort to make it easier for city residents to cross the border to travel, live, work and retire.

After opening a so-called Type II account at a designated branch in Hong Kong, customers can transfer up to 10,000 yuan (US$1,367) per day or 200,000 yuan per year to the mainland account with the same bank. Opening the account is free, and there is no minimum balance requirement.

Customers can then transfer money to payment apps such as Alipay or WeChat Pay so that they can shop and dine in mainland China, according to separate statements from the three lenders.

China has three types of bank accounts. Type I accounts are full-service accounts that must be opened in person on the mainland. But since 2019, Beijing has allowed certain local banks to offer remote account openings for Type II and III accounts, which offer different levels of banking services.

The announcement by the trio of Hong Kong banks came a week after Beijing said it was adding them to the list of lenders cleared to offer attestation services, meaning the bank vouches for the identity of the person opening the mainland account. A total of eight lenders now offer such services.

“With the trend to travel to mainland Greater Bay Area cities on the rise and customers’ preference for payment options shifting to mobile, our new service offers a reliable and convenient way for them to manage their everyday finances with ease,” said Maggie Ng, head of wealth and personal banking in Hong Kong at HSBC.

Attestation service is available to customers with a Hong Kong permanent identity card or a mainland travel permit. Applicants may make an appointment at any of 22 designated HSBC branches, 22 branches of Standard Chartered or seven branches of Bocom.

About two-thirds of Hongkongers said that having a mainland bank account would be convenient when travelling in China, but almost 70 per cent were unwilling to travel across the border to open an account, according to an HSBC survey of more than 500 residents in September.

Standard Chartered said the Type II accounts could be set up in a few working days.

Some 410,000 such accounts have been opened since 2019, according to data from the Hong Kong Monetary Authority.

The governor of the People’s Bank of China, Pan Gongsheng, announced the expansion of attestation services during the Asian Financial Forum in Hong Kong on January 13, among other measures including a 100 billion yuan trade-finance facility.

“Governor Pan indicated that asset allocation of the country’s foreign reserves in Hong Kong will be increased, enhancing the attractiveness and liquidity of our capital market,” Christopher Hui Ching-yu, secretary for financial services and the treasury, said in a blog post on Monday.

The forum brought together 270 investors and more than 560 investment projects with more than 700 one-on-one meetings, covering fintech, healthtech, environmental technology and others, Hui said.

“The forum has successfully expanded Hong Kong’s circle of friends and fully demonstrated Hong Kong’s unique role as a ‘superconnector’ and ‘super value-adder’,” he added.

Sources: yahoo!