An Overview of Open a Bank Account in Cyprus
Cyprus is an island located in the Mediterranean Sea. It is famous for its natural beauty, landscapes, and good weather. It is also a low-tax location with lots of casinos and luxurious stays. It is a great place for expats, and one can see that a large part of its population is British, Turkish, Greek, and Russian. The majority of its population speaks Turkish and Greek.
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Documents Required to open a bank account in Cyprus
Documents required to open a bank account in Cyprus vary from bank to bank; however, below are some of the standard documents required for opening a bank account:
- A duly filled application form or online form
- Passport or valid ID Card
- Proof of address in either Cyprus or the home country
Apart from this, some banks may ask for a reference from your bank in your home country, information on why you need a bank account, and your expected income. Further, some banks may also require all documentation relating to your business, such as company incorporation certificates and shareholder details.
Types of Bank Accounts in Cyprus
- Deposit Account
A deposit account is similar to a current account in the UK. These accounts are used for paying salaries and carrying out everyday banking transactions.
- Term Deposits
These are fixed-term accounts that help you earn more interest on your money. It also allows you to carry out everyday banking transactions. But you must make a higher initial deposit to open a term deposit account.
- Savings Accounts
A savings account offers you interest on saving.
Different Banks in Cyprus
The main types of banks in Cyprus are as follows:
- Bank of Cyprus
It is the biggest bank in Cyprus and has around 122 branches nationwide. Bank of Cyprus has an English version of its website and offers several personal accounts to choose from, such as instant access, fixed deposit, and savings accounts. This bank’s e-Instant account is one of the handiest if you prefer to bank digitally. You require €1 to open this account online. The account offers services like debit cards, direct debits, and salary credit to your account automatically.
- Alpha Bank
This bank is a Greek-owned bank with around 22 branches. It has a website in English. This bank allows you to deposit (daily), term deposit, and foreign currency account in Alpha Bank. Alpha 100 account is one of its instant access current accounts. It offers services like debit cards, free ATM withdrawals, online banking, standing orders, and the option to add an overdraft if needed. However, this bank does not offer online opening of bank accounts, so you will have to visit a local branch to open an account.
- Hellenic Bank
It is a Cypriot Bank which has 82 branches spread across the country. It has an expat-friendly version of the website. It offers current and primary accounts, savings and deposit accounts, and borrowing options, including credit cards and loans. The Hellenic Bank Current Account is ideal for ex-patsfor everyday transactions. It gives instant access to your money, a debit card, 24/7 online banking, a checkbook, etc. It also provides an overdraft facility.
- Digital-only banks
One can also open an account with digital-only banks in Cyprus. It is also known as mobile banks or 'neobanks.' These banks do not have any physical branches but offer everyday bank accounts managed online or via smartphone app.
The following are banks from which one can choose:
Banking Fees and Charges in Cyprus
- Account Maintenance Fees
This is an amount charged monthly or quarterly for maintaining the account. The amount varies from bank to bank. For e.g., the Bank of Cyprus charges €5 a quarter, whereas Hellenic Bank charges € 2.90 monthly for its current account.
- Payment Charges
Some Cypriot banks charge payment fees for both domestic and international transfers. Again, the amount of charges can vary from bank to bank. The Bank of Cyprus charges a fee of €4 to €8 for online banking payments.
- Other fees
Before opening a bank account, one should check whether the chosen bank charges any of the following:
- ATM withdrawals at a non-network bank
- Receiving domestic and international payments
- Currency exchange