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 GaudiLab / Shutterstock.com Opening a bank account is one of the most critical adult life decisions. It’s imperative to be thoroughly familiar with the cost of opening a bank account and the recurring charges. That brings up a question: how much does it cost to open a bank account? In short: nothing. Mostly, you don’t need to pay a single cent to open a bank account. However, that’s a very generalized answer since banks have a couple of other fees you’re often required to pay when opening your bank account. In this article, we’ll make the costs easy to understand. How Much Money Do You Need to Open a Bank AccountGenerally, there is no cost for opening a bank account except the minimum deposit. The minimum deposit is the amount you must keep in your bank account at all times. Some banks will charge you a fee if you cannot maintain the minimum deposit amount in your account. On the flip side, some banks don’t require a minimum deposit at all. Apart from this, some banks also charge an account maintenance fee. It’s the amount you pay to “maintain” your bank account. The maintenance charges vary, depending on the bank and the checking account. In most cases, they range between $6 and $15 a month. You can also avoid these fees if the bank gives you alternate routes. For example, some banks will waive the maintenance charges if you set up a monthly direct deposit. Some banks do not require a maintenance fee or minimum deposit. Therefore, it could cost you nothing to open a bank account if you shop around for the right checking account. How Much Money To Put In a New Bank AccountWhen you open a new bank account, there is no standard amount to put into it. Since everyone’s finances and preferences are different, you can choose to put any amount you want into your bank account. But if your financial decisions are savings-oriented, you should at least have three to six months’ worth of expenses in your savings account. If the pandemic has given us any financial lesson, it’s that we all need to have something saved up for a rainy day. Lauren Anastasio, a SoFi certified financial planner, says: “This money should be kept separate from your regular checking account to avoid accidental spending or the temptation to use funds for anything other than an emergency.” As for your checking account, you can keep your monthly paycheck in it. As everyone’s expenses and incomes differ, there’s no one-size-fits-all answer to this question. Keep Enough for Monthly ExpensesShirley Yang, the Vice President of Goldman Sachs’ Marcus, has more specific advice on how much to keep in your checking account. She says, “Consumers should determine their estimated monthly expenses and keep enough in their checking account to cover those expenses. Any additional funds left over; they should consider transferring to something that gets a higher yield.” If you don’t have a CD or aren’t investing in stocks, this higher yield option would be a savings account. It’s better to move the extra money into a savings account rather than keeping it in a checking account because it will gather interest in the former. But that doesn’t mean you should empty your checking account completely. Keep Enough To Avoid FeesSome banks require you to have a certain amount in your checking account. If your funds go below that amount, you’re charged a penalty. According to Forbes, the mean value of money in all checking, saving and money market accounts was $42,000 in 2019, while the median was just $5,300. Likewise, you might want to keep a certain amount in your checking account to avoid the monthly maintenance charges. Most banks charge a maintenance fee that’s waived if you have a minimum balance in your account. Check your bank’s requirements to waive this fee and add money to your checking account accordingly. It’s vital to go through your bank’s guidelines and fee structures when determining how much money to put in a new bank account.
Expatica’s guide explains who can open a Dutch bank account and what you need to present when opening a bank account in the Netherlands. The Netherlands is home to some of the world’s banking giants, but most banks will accommodate expats with a new Dutch bank account. This guide provided by online bank bunq will walk you through the process and give you some valuable information about banking options and what to expect when opening a bank account in the Netherlands. The guide includes the following sections:
bunqLooking for a mobile bank with a difference? With bunq, you can open your full bank accounts in just five minutes using nothing more than your mobile phone. You get real-time access to your account, instant payments and dedicated customer support available in English, Dutch, German, Italian and Spanish. Banking in the NetherlandsThe Netherlands has a diverse banking system that currently consists of 96 national and international banks plus around 140 local cooperative banks. De Nederlandsche Bank is the country’s national central bank, which also regulates Dutch banking services alongside the Dutch Authority for Financial Markets (AFM). Do you need a bank account in the Netherlands?Opening a bank account in the Netherlands is not a legal requirement, and it’s possible to live in the country and manage your finances from an overseas bank account. However, this can prove difficult as well as expensive, so it makes sense to open a Dutch bank account. You may also find that you need a local bank account if you wish to rent an apartment in the Netherlands or get a Dutch mortgage. Before opening a bank account in the NetherlandsBefore opening a bank account in the Netherlands, you should have no problem obtaining cash from an overseas account using an ATM or geldautomaat. They dispense money (in several languages) and accept a wide range of debit and credit cards. Many businesses, especially larger businesses, accept major credit cards. But the Netherlands has a deeply embedded debit card (pinpas) culture that means smaller, local stores may not accept credit cards – and neither will big supermarket chains. Some Dutch banks also offer non-resident accounts that can be opened up in advance of your move to the Netherlands. Another option, if you bank with an international provider that operates in the Netherlands, is to speak to your bank about transferring your account before you move. You can then assess the various banking options in the Netherlands once you are settled and decide whether you want to stay with your current bank or open an account with a Dutch bank. Types of bank account in the NetherlandsMost Dutch banks offer two main types of account:
It’s also possible to open a joint account with many banks in the Netherlands. This can be a useful way for married or cohabiting couples to manage their finances. Bank accounts in the NetherlandsDutch banks that offer banking services suitable for expat residents include: ABN AMROOffers both current and savings accounts and has an expat-friendly service that consists of English-language provision. Accounts can also be opened in advance of your move to the Netherlands. As well as mobile and digital banking options, there are also bespoke accounts available for international students, international private bankers, top sportspeople and entertainers, and a preferred banking status with luxury offerings to customers with at least €200,000 to invest. INGING became the largest retail bank in the Netherlands after taking over the old Post Office bank Postbank in 1991. It offers a range of savings account options as well as current (checking) accounts for residents (at the cost of €1.55 per month), children, young people, students, and couples. There is also a mobile banking feature available in English enabling you to open an account within minutes. RabobankAnother big Dutch retail bank, Rabobank offers three current accounts – the Direct Pakket (standard current account for €1.55 a month), the Basis Pakket (includes credit card option for €2.90 a month) and the Totaal Pakket (deluxe account with extra features for €4.80 a month). All accounts are available online and as mobile accounts. There are tailored packages for young people, students, businesses, and joint accounts for couples. SNS BankIn addition to a standard current account (available for €2.75 a month), children and young person’s accounts, student account, and joint account options, SNS Bank also offers an EU Payment account. This can be opened from anywhere in the EU without the need for a Dutch citizen service number (BSN). International banksAn alternative to opening a bank account in the Netherlands with a Dutch bank is to bank with an international bank based in the Netherlands. These include:
Mobile banksWant to access all the benefits of a traditional bank from the comfort of your own phone? You can also sign up with a mobile bank, letting you access your account and other products on an app. These banks can be a good alternative and some even offer bank accounts without monthly fees. Mobile banks in the Netherlands include:
Choosing a bank account in the NetherlandsWhen opening a bank account in the Netherlands, it’s a good idea to shop around and weigh up the different pros and cons of all options available. Depending on your circumstances and preferences, you might prioritize different features. Things to look out for can include:
Opening a bank account in the Netherlands as an expatMost banks in the Netherlands allow you to open up an account either in-person by visiting a branch or online via their website. If you want to open an account at a branch, check to see whether you need to make an appointment first. Dutch banks are typically open from around 09:00–17:00 Mondays to Fridays. Many are also open either half-day or full-day on Saturdays. Documentation generally required when opening a bank account in the Netherlands includes:
You may also be asked for evidence of income, such as employment contract or payslip when opening some accounts. If opening a joint account, then documents for both account holders will be required. Dutch banks may check the credit rating of new customers with the Central Credit Registration Office (BKR). Once everything has been checked and the account has been opened, you should receive your bank card (usually a debit card as standard) and account information through the post within a matter of days. A four-digit PIN code for your card is usually sent out separately. Opening a bank account in the Netherlands from abroadYou can open up a non-resident or international account with some Dutch banks. This gives you the option of opening up and operating the account from outside the country. Different banks have different offers and procedures. With some banks, accounts can be opened up only for those who plan to move to the Netherlands, while others have more general international account offers (although these may be restricted to certain regions, such as within the EU/EFTA). Most of the main Dutch banks, however, don’t allow overseas accounts to be opened online. This means that, if you can’t visit a bank branch in the Netherlands, you’ll need to visit a branch of the bank in your home country (if there is one). Alternatively, you can go to a bank that acts as a correspondent bank with a Dutch bank. Other options are to use an international bank that has branches in the Netherlands or open up an online or mobile account that can be accessed from anywhere. Opening a digital or mobile bank account in the NetherlandsThe majority of banks in the Netherlands offer online banking and mobile banking apps. Most of the high street banking services are only available to Dutch residents. You can access online or mobile banking as a Dutch resident by simply visiting the bank’s website and signing up (for online banking) or downloading the banking app (for mobile banking). Mobile-only accounts such as those available through N26 and bunq can be accessed by both residents and non-residents. Accounts can be opened in a matter of minutes using nothing more than your mobile phone. All you will need to provide is a mobile number, e-mail address, and a physical address (which doesn’t have to be a Dutch address). See this guide to mobile banking in the Netherlands for more information. Opening a bank account in the Netherlands for your businessMost Dutch banks provide business banking as well as personal banking. They have various different business accounts ranging from startup and entrepreneur accounts through to accounts for big established businesses. If you have a business registered in the Netherlands, a Dutch business bank account is a legal requirement. Processes for opening an account depends on the type of business you are running. If you have an unincorporated business (e.g., you’re a freelance entrepreneur or sole trader), the process is similar to that for opening an individual account. If you have a limited company (BV), your business will have to be registered with the Dutch Chamber of Commerce. Most banks only open BV accounts with the owners/directors in-person. You will typically need to provide:
Opening a bank account in the Netherlands for your childrenDutch banks offer certain accounts, especially for youth. Junior account offers vary from bank to bank, with many banks advertising both young children’s and teenagers’ accounts. Opening an account for your child is relatively easy in the Netherlands, with several Dutch banks allowing this to be done by parents online. You will typically need to provide personal details (ID and address) for both yourself and your child, as well as your BSN number. Oftentimes, parents who bank online with Dutch banks have the option of linking their child’s account with their own account. Opening an offshore bank account in the NetherlandsExpats living in the Netherlands may find that opening an international offshore bank account is the best way to manage their finances. This is particularly helpful for anyone who works abroad, spends a lot of time in more than one country, or frequently transfers money between countries. Offshore accounts are located outside the holder’s country of residence and usually offer distinct advantages such as a wider range of cross-border services and lower taxation on funds. What to do if you are refused a bank account in the NetherlandsBanks in the Netherlands are not obliged to offer an account to applicants and they can refuse on various grounds (e.g. if the applicant has bad credit or doesn’t meet the residency requirements). However, banks cannot discriminate on grounds of ethnicity, sexuality, or religion. If you feel that you have been unfairly treated by a Dutch bank, you can complain via the AFM which regulates banks in the Netherlands. The AFM complaints section on its website explains the complaints procedure and what options are open to you. Banking services in the NetherlandsBanks in the Netherlands provide similar services to banks elsewhere in Europe. Beyond the standard borrowing, savings, investment, and credit card products and services, you can find:
International money transfers in the NetherlandsFor international money transfers, there are alternative solutions to banks which could prove cheaper and more convenient, such as:
You can also use Monito’s online comparison tool to save on fees, obtain the best exchange rates, and find the cheapest option for your international money transfers. Managing your Dutch bank accountYou can choose how you manage your money and finances with Dutch banks, whether via counter services or remotely. The majority of Dutch banks now offer:
Changing banks or closing a bank account in the NetherlandsYou can close your Dutch bank account or move to another account at any time. The exact process for closing an account will differ from bank to bank. It may be possible with some banks to close the account online, while others may require you to visit a branch and fill out a form. If you decide to close a bank account in the Netherlands, be sure to:
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