Correspondence address – Residential address. The Difference?
Estimated reading time: 6 minutes
You need to know what is the difference between a UK residential and a correspondence address. In this blog post, we’ll explain.
Personal Correspondence Address
With so many address types to purchase it can often become confusing. You can purchase a company registered address, director service address, sole-trader business address, and correspondence address, you can even obtain a free Po Box address and the many reasons you might need to get one.
Each one has its use case, if you want to know more about business addresses you can read our blog post on how to set up a business. If you would like to learn more about the Po box, then read our Ultimate Po Box guide.
Inevitably, this choice can become bewildering, questions do pop up and one of them is:
What is the difference between a residential and a correspondence address in the UK?
In this post, we’ll explain clearly the difference, all that you need to know about a correspondence address, and where you might want to use one.
Residential Address
Firstly, let’s understand what actually residential means. According to Merriam-Webster, the general definition is: used as a residence or by residents. Meaning a building where you live on an official basis.
What is meant by an official basis is that your verified home is in the UK, a place where you permanently live. Expats, or to be precise expatriates – persons who move away from the UK. Can have their home in both the UK and a foreign country at the same time.
Furthermore, the building where you live in the UK. It must be liable to pay council tax – it cannot be a disused building. Also, be recognised on the Post Office national address database as a deliverable address. You can check the viability of any address within the UK on the Post Office website.
It’s worth bearing in mind. If you have been physically present in the UK for 183 days or more in a tax year, your home was available to use for at least 91 days and spent time there for at least 30 days in the year. Then, you will be classed automatically as a resident in the UK for that year and will be liable to pay income tax. More information is available by browsing the UK Government RDR3: Statutory Residence Test (SRT).
Permanent residency and a resident for tax purposes
It might not be obvious, but permanent residency and a resident for tax purposes are two different legal statuses. You can stay in temporary accommodation, or with friends and be liable for UK income tax – you can live abroad and still be a UK resident for tax – dual residence. But being a resident for tax purposes does not mean you are a permanent resident.
You could be subject to double taxation, you need to check carefully your status.
When all the criteria are fulfilled, you can call it your official residence in the UK. In other words your home.
Correspondence Address
Broadly explained, a correspondence address is where you can have your mail delivered. Because, you are not, or cannot, or are not able to become a permanent resident or citizen. Becoming a UK resident, or a citizen can be very time-consuming.
Strict immigration rules state to become a UK citizen you need to be 18 years old, of “good character” and lived in the UK for over 5 years. A UK VISA at most is only available for up to 6 months at a time.
Using temporary correspondence address is your only option, as you don’t need to prove you live there. As long as the address is a physical address, and is within the UK on the Post Office database. You can use it as a correspondence address.
Note: Verified with a supplier of this type of address. This is not the same verified as a permanent resident.
All providers by law are required to verify their customer’s identity – who they are conducting business with. Usually, it’s abbreviated to KYC – know your customer.
So what is the actual difference between them?
It’s basically down to the legal status of an address. As a permanent resident, you can use your address to apply for a passport, bank account, credit card, or company director, because you have verified you live there, it’s your home.
Using a correspondence address, you don’t need to prove you live there as it’s only a temporary address. But you cannot apply for any of the aforementioned.
If you apply for a UK driving license, you need to prove your identity. As proven your identity requires certain documents, such as a passport, or other verified accepted documents. Using a correspondence address will obviously pose a problem. You would need to use your verified residential address in those circumstances.
In what situations could a correspondence address be used?
A correspondence address for a person who needs complete privacy
Corresponding addresses differ from using a Po Box. Read our Ultimate Po Box guide. A Po box can be shared, in essence, your mail could be mistakenly picked up, or sent to another person. That will not happen with a dedicated address.
This poses a problem for the individual who needs to ensure complete privacy. Using this type of address is more private as it’s addressed to them personally. There is no issue with shared access. At OfficeClerk, we only scan the front of the envelope and mark it as private and confidential. The scan is then uploaded to our secure storage. The letter or package is then forwarded to the customer.
Your eyes only !!
The student to receive something personal
You’re at university and need your parents to send something personally. The confidentiality of a correspondence address would be the best solution. It will ensure it reaches you and is not accidentally collected by another person, as in a shared Po box.
You have a pen pal
Writing to a pen pal is still active today. Receiving a personal handwritten letter is a pleasure so many enjoy. This method of communication, often regarded as snail mail is still around despite the rise of social media. There is even a national celebration day planned for 1st June 2023.
There are abundant websites that enable you to search for a pen pal. The need to keep your home address secure is in your mind, but at the same time not want to give out a Po address to your newfound friend.
Then use the more personal touch of a correspondence address. It also has the added benefit nobody will see your confidential correspondence.
You are supporting a prisoner
Supporting the well-being of a prisoner as a volunteer is very rewarding. You may have signed up for a charity, but you need to ensure your safety is paramount.
Conclusion
We now hope you have a better understanding of the difference between correspondence and residential addresses and where you might use them.
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