Finance 101 – How to open a bank account

If you don’t know how to open a bank account, you will find out in this article that it’s a simple and fast process, as long as you follow the established guidelines. Anyone can get one, either by going to the offices or directly through the Internet.

Before starting the process of opening your bank account, the first step is to choose the bank. For that you must know some important details:

• • The required opening conditions.
  • The commissions that will be charged for the opening.
  • The type of bank account that best suits your needs: account with or without payroll, basic payment account, etc.

Of course, the requirements will always be different depending on the bank in which you want to open your account, but in this article, we will tell you the most common requirements so that you can be prepared when you open your account.

At the time of opening a bank account, whether you do the procedure online or in the branches, the entity will ask you for a series of documents to verify your identity:

• • Valid personal ID such a Driver License
  • To be 18 years old or more
  • Proof of address that will appear in the bank account.
  • Telephone contact.
  • Email.

Many banks will also request a work-life report, a copy of the last payroll received, or the income statement in the case of self-employment.

In addition to those classified as common, a high percentage of banks ask you to meet other more specific requirements to enjoy discounts and promotions or for commissions to remain zero such as:

• • Domicile payroll and/or receipts: To open a payroll account, some require you to have an income of no less than $600 per month. Likewise, receipts such as water, electricity, or heating must also be domiciled
  • Make a minimum of operations with the card: Most require at least three operations a quarter with the free debit card that they give you
  • Have a minimum balance on the card: it is the least common of the indicated requirements

Opening a bank account can be done in several ways, but going to a branch is usually the most frequent option. The fact that one person can answer all your doubts about the contract is reassuring. Thus, these are the steps to follow:

• • Go to the commercial office: find out beforehand about the opening and closing hours
  • Present the required documentation: remember to bring all the copies to identify yourself and prove your financial solvency.
  • Signing of the contract by all the holders: before starting to take this step, carefully read the conditions, the commissions (if any), and the administration and maintenance requirements that the financial institution determines.

When it comes to opening an online bank account, the requirements and the steps to follow change minimally, but they are all oriented for the client to invest less time in this process:

The basic requirements to open an online bank account are:

• • Be over 21 years old: Even if you open a Youth Account, the holders must include a person of legal age.
  • Have a valid ID or residence card.
  • Have an internet connection.

Depending on the type of bank account, you will also be asked to direct the income or receipts, sign a commitment to stay, and/or download the bank’s app to carry out all financial procedures.

Of course, the changes can be seen in the steps to follow to open an online bank account:

• • Enter the bank’s website

Access the website of the chosen bank and follow the guidelines to open an online account. In many cases, they will offer you the possibility of downloading the app.

• • Fill in the customer form

Give a copy of the DNI and fill in the information about the address, phone number, email, type of account.

Validation of the data and identification, either through a video selfie, a photograph, with the bank account number of another bank or through a messenger who will come to your home.

• • Description of the economic activity

Fill in the information about your annual income, current occupation, professional activity, or name and address of the company (in the case of an account of this type).

• • Download and sign the contract

Once the data has been validated, the bank account contract will be sent to the indicated email. The signature is done by entering the verification code sent by the bank via SMS to your phone.

• • Creation of access passwords

Both the login passwords and the ones you will use to carry out other banking procedures.

Choose the bank account you need

See if you require a payroll account, a basic payment account, one more aimed at young people, families, or pensioners. It will all depend on your needs and what you’re going to use the account for.

Beware of hidden fees and commissions

Find out if they will charge you a commission for opening, maintenance, and administration, for making transfers, issuing cards, or depositing checks.

It’s not usual to have hidden fees, but some digital banks may have.

Time of permanence

To enjoy bonuses and discounts, some banks require a minimum time of permanence.

Free credit or debit card

Some banks only offer a credit or debit card for free for one year as part of your initiation, but after that time you may need to pay for the cards you use.

Requirements to close a bank account

Find out if to cancel your bank account you will have to pay the opening and maintenance commission.

Other products offered

By opening the account you can still benefit from promotions for pension plans or mortgages.

Although opening a bank account is a simple process, it can get tedious. But with patience and following the process of your bank, surely soon you will be able to have your new bank account.