Pensions

State pension is paid by World Bank and gets the best exchange rate going due to the amount they pay. It would be difficult to beat the rate and they pay the pension in on the same day it is due. Wise would not go down as a pension payer. That's important as most banks have a lower amount necessary for pensions to give free banking. For example, Caixa bank (mine) only requires 300 euro a month from a pension but 700 euro a month paid in from other sources.

The only time your state pension could be a day late is if it is a public holiday in the USA as World bank is a US concern. 

Don't know about NHS pensions paid by NHSBA because I have mine paid into a UK bank. However, my government (crown) pension is paid to my bank in Spain and is always 2 working days after the payment date. Due on 10th of the month but paid on the 12th if midweek but can be four days later if due on a Friday, for example.

The only advantage with an online bank is that you can wait until the exchange rate is favourable before transferring if you can afford to wait and take the chance of it going up. I prefer to have mine on or about the due date to ensure my bills are paid.

Also remember to inform UK HMRC that you are now living overseas with a Spain Form Individual so they will no longer tax you in UK. Both your state pension and NHS pension will be taxed in Spain unless the NHS pension is from employment with a local authority such as a school nurse.

I have my UK state pension paid directly into my Sabadell account here in Spain. It is always on time and good exchange rate. 

One of my private pensions is also paid directly into Sabadell Bank but another private pension will not pay into a foreign account so I set up a Wise account for receiving that and they convert it to euros and send it to Sabadell Bank at no cost.

Because I have those Pensions paid directly into Sabadell Bank then my account is free.

Steve 

Thanks Steve and Marcliff.
 Both giving good advice as usual.   I interested in the fact that you both  use Spanish bank accounts, as I am reading so much negative stuff about charges and service etc. and to use wise / Revolt or Starling.    I’m not in Spain as yet but if all goes to plan will be by October, just trying to get things organised.

If you were starting again Would you go down the Wise only route or repeat what you have, a bit of both

As a non resident I would choose an online bank, such as Wise, which uses a EU IBAN but only keep enough to cover direct debits and other bills.

As a resident then a Spanish bank account as most give free banking if you meet their T&Cs which aren't too onerous.

They, like UK, would charge a non citizen and non resident a lot to maintain an account. 

I would go the same route. I originally opened a Spanish bank account as I was advised by my solicitor because it was required at that time to gain residency.  I also paid bank fees which at the time were not so extortionate. As I took retirement and moved to Benidorm I could easily reach the required amount for free banking. 

Nowadays Wise is an excellent alternative, I still use their services as described in an earlier post. I also use the Wise Interest account for savings which pays 4.66%.

Steve