With its diverse charm spanning from Lisbon's historic vibes to the laid-back beauty of the Algarve coast, Portugal caters to a broad audience. Recently gaining popularity among expats and digital nomads, the country actively attracts foreign talent and investment. The government's initiatives include the Non-Habitual Resident (NHR) tax regime, offering substantial tax advantages to newcomers. Alternatively, the Portugal Golden Visa allows foreign investors and their families to secure Portuguese residency through qualifying investments. For those embarking on a new chapter in Portugal, setting up a bank account is a crucial initial step.

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Opening a bank account in person

After selecting your preferred bank and assembling the necessary documents, the subsequent steps are straightforward. If you opt for a traditional bank, a visit to your local branch with the required paperwork and, if needed, the minimum cash deposit will suffice. Although many bank staff in Portugal are fluent in English, it might be prudent to bring along a Portuguese-speaking friend or translator, or you can call in advance to confirm the availability of an English speaker. During your visit, you'll be required to complete some paperwork and fulfill the minimum deposit requirement if applicable. Depending on the bank, you could walk out with your debit card on the spot or expect it to be delivered by mail.

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Procedure for opening a bank account online

While the majority of Portuguese banks mandate in-person account opening, a few offer the option of completing the process online. Traditional banks may permit you to initiate the sign-up process online but stipulate a visit to a physical branch for the final account opening. Opting for a fully online bank provides the convenience of accessing traditional banking services like money transfers and deposit insurance without the need to visit a physical branch. Online banks afford significant flexibility, enabling you to manage your finances or engage with customer service from anywhere in the world.

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Get a NIF Number

Before initiating the process of opening a bank account in Portugal, obtaining a Número de Identificação Fiscal (NIF number) is essential. The NIF serves as your Portuguese tax identifier and is necessary for conducting financial transactions and opening a bank account in the country. Acquiring an NIF is a straightforward process and can be facilitated through a representative in Portugal. This representative can be a fiscal representative or a lawyer and can apply for an NIF number on your behalf.

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Types of Bank Accounts in Portugal

1. Current Account: The current account stands out as the most prevalent bank account in Portugal, serving various purposes such as everyday purchases, ATM withdrawals, and bill payments. Numerous banks provide specialized current accounts, including options like student accounts and non-resident accounts, each carrying distinct advantages.
2. Instant-Access Savings Account:  An instant-access savings account is designed for those looking to save money during their time in Portugal, offering elevated interest rates while maintaining convenient access to cash for withdrawals when needed.
3. Time-Deposit Accounts: Tiime-deposit accounts, another form of savings account, feature higher interest rates but come with constraints on the duration the funds must remain deposited in the account.

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Choosing a Bank in Portugal

In Portugal, a variety of banks, both local and international, along with virtual online-only banks, cater to the diverse requirements of expats, digital nomads, and Portuguese residents. During your research, consider factors such as your banking preferences (brick-and-mortar or online-only), the range of services provided (including investment options aligned with your goals), fees for account maintenance, ATM withdrawals, and international transactions, as well as interest rates and returns on savings and checking accounts. Additionally, prioritize customer support and the bank's reputation, particularly if you are not familiar with the local banking landscape, to ensure a seamless and reliable banking experience.

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Local Banks in Portugal

• Caixa Geral de Depositos
• Novobanco
• Millennium BCP
• Multibanco
• Banco de Portugal
• Santander Totta

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International Banks in Portugal

• Abanca
• German Deutsche Bank
• BNP Paribas
• French BNP Paribas
• Barclays
• ​​Citibank
• BBVA
• Deutsche Bank

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Virtual/Online Banks in Portugal

• N26
• Revolut
• Wise
• Openbank

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Guidelines for a Smooth Account Opening Experience

For Portuguese residents, expats, and digital nomads, opening a bank account in Portugal typically involves a visit to a local branch, although there are a few online options available. Regardless of your choice, it's essential to gather the following documents:

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• Proof of Identification: A valid passport is generally accepted.
• Proof of Address: Provide a recent utility bill or lease agreement.
• Proof of Employment: A recent payslip or employment letter can be used to demonstrate income. Unemployed individuals may need registration with the Portuguese employment center.
• Portuguese NIF (Número de Identificação Fiscal) Number: Obtain a nine-digit personal tax identification or fiscal number issued by the Portuguese tax office.
• Portuguese Mobile Number: While not mandatory for all banks, it might be necessary for SMS activation.

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For non-residents considering offshore accounts in Portugal, the standard prerequisites apply when initiating an account, accompanied by a few additional particulars.

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• Proof of Identification: A valid passport is required.
• Proof of Address: Present a recent utility bill or lease agreement.
• Proof of Employment: Provide a recent payslip, employment letter, or, if unemployed, registration with the Portuguese employment center.
• Portuguese NIF Number: Obtain a tax identification number, essential for tax and financial transactions in Portugal.
• Details of Overseas Address: Submission of proof of your physical address abroad is necessary for tax purposes.

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