Essential information for opening a bank account in Italy
Navigating the Italian banking system can be a complex task for foreigners. Here's a guide to help you choose the best bank for your needs.
Italy's banking sector is extensive, with more than 20 banks holding assets exceeding €10 billion, making it a daunting landscape for newcomers. Reputable institutions like ING, Deutsche Bank, Unicredit, and Banca Nazionale di Lavoro (now owned by BNP Paribas) are among the largest players. Regional banks, such as Banca Popolare di Puglia e Basilicata and Banco di Sardegna, and online-only providers, like N26 and HYPE, are also prevalent [1]. Comparing these options will help you find the ideal fit for your lifestyle and location.
Opening a bank account in Italy involves understanding what account types are available and which best suit your needs. Eligibility for most accounts requires a minimum age of 18 and residency status. The most common type is a conto corrente, or current account, designed for daily transactions. For higher-interest savings, you can opt for a conto di risparmio or conto di deposito. Foreign accounts, like conti correnti esteri, can save on exchange fees for people with indeterminate stays in the country [2].
With banking fees among the highest in Europe, it's essential to be mindful of costs. Account fees can vary significantly between banks. In 2022, an average current account cost nearly €95 annually, but online-only accounts like those offered by N26 averaged around €25 [3]. It's crucial to carefully review the fine print, including any expiration dates for promotional offers and minimum balance requirements.
After deciding on the account type and bank, gather the necessary documents such as ID or a passport, Codice Fiscale, proof of address, and employment income documentation [4]. Visit a branch or apply online, keeping in mind that many banks require your physical presence in Italy.
Closing an account isn't straightforward, and you may need to provide advance notice by registered letter or raccomandata. Some banks may charge fees for account closure, so it's essential to read your contract carefully.
For a more personalized approach, you can consult expat banking services or brokers who can help assess your situation and advise on the best fit based on your financial needs and residency status. Digital international banks, such as Revolut and N26, are popular options for foreigners due to their multi-currency accounts, low fees, and support for multiple languages, including Italian [1].
[1] Emrani, U. (2022, October 19). Best digital banks in Europe for expats. Investopedia. https://www.investopedia.com/articles/personal-finance/12330617/best-digital-banks-europe-expats.asp
[2] Expats in Italy (2021, August 20). Opening a bank account as a foreigner in Italy (updates may apply). The Local. https://www.thelocal.it/20170216/expats-italy-bank-account
[3] Gistnet.it. Italy's average bank fees for current accounts in 2022. https://gistnet.it/it/articolo/bank-fees-italy-average-2022/
[4] Expats in Italy (2021, August 20). Opening a bank account as a foreigner in Italy (updates may apply). The Local. https://www.thelocal.it/20170216/expats-italy-bank-account
- For those considering living or doing business in Italy, digital international banks like Revolut and N26, which offer multi-currency accounts, low fees, and support for multiple languages, including Italian, can be an efficient choice.
- Based on your financial needs and residency status, expat banking services or brokers can provide personalized advice on the best bank for you, navigating the complexities of the Italian banking system.
- The extensive Italian banking sector includes large institutions like ING, Deutsche Bank, Unicredit, and Banca Nazionale di Lavoro, as well as regional banks such as Banca Popolare di Puglia e Basilicata and Banco di Sardegna.
- To open a bank account in Italy, foreigners need to provide necessary documents like ID or passport, Codice Fiscale, proof of address, and employment income documentation, and visit a bank branch or apply online, keeping in mind that physical presence in Italy may be required.
