Banking in China is oddly easy – when things are working properly. Sometimes, unfortunately, the ATMs break and 200 people impatiently stand in line at the only machine in town that works. Other times shopkeepers in Xintiandi frantically hand write receipts, because all of the credit card machines are offline.  As a general rule, however, foreign banking cards will be accepted at ATMs. in Shanghai Visa or MasterCard  are almost always accepted at foreign friendly restaurants and shops.  In worst case scenarios, Chinese banks will accommodate credit card advances, which allow you to obtain a considerable amount of money at one time.  It is always a good idea to carry cash in China, and always carry some small bills for taxis.  Despite the fact that the largest bill here is the 100RMB note, only $12 USD, many small business owners and taxi drivers will not be able to give you change when you spend less than 20RMB, so try to have at least a 50RMB note as well.

 

For those staying in China for an extended amount of time, setting up a Chinese bank account is a very simple process that takes about 15 minutes.  Head for the bank of your choice (I recommend Bank of China) with a passport and 20RMB; 10RMB will pay for your new debit card and 10RMB will go into your new account.  After filling out some paperwork and choosing a password, you will leave the bank with an ATM card and a bank book.  Do not loose either!  The ATM card can be used to withdraw money at any Chinese ATM. Your specific bank will not levy an ATM fee, while other banks usually charge 4RMB for a withdrawal.  The card can also be used at most Chinese establishments as a visa/debit card, but cannot be used outside of China.  The bank book is essential in all transactions that you will make at the bank, so take it with you when making deposits or wire transfers.

 

In the long run, having a Chinese bank account is absolutely worth the effort.  Those who rent an apartment can even open an account with the same bank as their landlord. Then just conveniently deposit the rent right into his or her account each month. International ATM withdrawal fees really add up, especially when most ATMs will only let you withdraw 2000RMB at a time.  Before the US Dollar slips any more, I highly recommend  putting a little money in a Chinese bank account!