How to open a bank account

How to open a bank account

Method

If you plan to open a bank account in Luxembourg or change banks, including advice for US citizens, do the following:

As you might have guessed, Luxembourg is one of the world’s largest financial centers, with over €863,638 million (2021) in assets under management.

Luxembourg has 124 different banks (many of which are subsidiaries or branches of foreign banks). If you are simply looking for retail banking to meet your daily banking needs, your banking options are much more limited.

How to open a personal bank account

Most banks are open from 9am to 4pm on weekdays (some have longer hours or close at lunchtime). Some banks in major shopping centers are also open at lunchtime and on Saturdays.

will need valid identification Passport, ID card, EU driver’s license, etc. Bank cards without photo identification are generally not accepted.

Take proof of address In your name on housing contracts, utility bills, city certificates and more. Even if you do not yet live in Luxembourg, you may be able to submit other evidence.Some banks ask for a copy of your employment contract or letter of employment, and if you want a credit card linked to your account, you may be asked to payslip To prove your ability to pay.

Is possible open an account online Before arriving in Luxembourg Mail the documents to the bank or present them upon arrival to receive the card. Your bank may ask you to transfer a small amount to your account.

agency Such account opening offers tend to be aimed at people wishing to do secret banking outside their country of residence rather than those looking to open a retail banking account before moving to Luxembourg.

As many people live outside Luxembourg and work in Luxembourg, non-resident bank accountif you live in a neighboring country, provide proof of your address for correspondence purposes.

U.S. Citizen/Passport Holder You may find it difficult to open a bank account or get a mortgage. This is due to the Foreign Account Tax Compliance Act (FATCA), which requires foreign financial institutions and certain other non-financial foreign entities to report on foreign assets held by U.S. account holders.

Banks that are small in nature may not be willing to set up bank accounts or mortgages due to the involvement of administrators. Luxembourg US residents say they have no problem opening bank accounts and obtaining mortgages with BCEE, BGL, ING, Societe Generale Luxembourg (for mortgages).

Account type

bank offer different packages Depending on the level of bank support required. These packages include statements, access and transactions, online and e-banking, banking and credit cards, and access to loans, investments, insurance and brokerage accounts.

You are Each package should be checked Before signing up for a plan, see what you get for the monthly, quarterly, or yearly rates.

savings account Interest is usually taxable, but a significant portion of your savings may be tax exempt. Find out if you’re eligible for savings discounts through your employer’s bank, or if you’re eligible for special children, student, and youth (under 30) discounts.

A Post Luxembourg account is free to set up and costs between €2 and €7 per month.

If you think you are likely to receive mortgage or loan It is worth considering these offers and conditions before opening a checking account in Luxembourg.

what you get

V-Pay Card System (Gerry Huberty)

V-Pay will be phased out and replaced with V-Pay. Visa debit Accepted by most banks, it can be used for cash withdrawals and payments at shops and restaurants. Luxembourg has introduced contactless cards, so check if your card has this feature.

Main credit card visa When master Card, you can increase your monthly credit limit with your bank’s permission. In many cases, it takes effect immediately online.

many banks are Token/password system For your safety online If you are planning an extended vacation and need to verify your account, remember to carry your token with you.

Online tools such as loan and tax simulators are also free and most banks offer mobile banking app.

price

Check all bank charges, including charges to your account, credit or debit cards, and limits on the number of bank transfers per month.

you might too Charged for cash withdrawals From an ATM operated by another bank as not all banks are affiliated.if you send money regularly If you’re sending money from another country or currency, it’s worth checking each bank’s transfer fees.

Reader Recommendations Transferwise When monese If you want to hold US Dollars and British Pounds in addition to Euros, the transfer fees are much lower cost than most other banks.

List of retail banks

The following banks offer retail banking for your daily needs, but also offer savings and investment products.

For more information, Luxembourg Bankers AssociationThe bank is listed on their website.

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