How to open a bank account in Cyprus
Since Cyprus joined the European Union in 2008, its financial system has been actively developing. Within a few years, the financial sector has become one of the main pillars of the country's economy. Thanks to this rise, many people have successfully developed their businesses.
Cypriot banks must comply with and follow all the requirements that EU banks comply with. The basic principle is "know your customer", according to which banks conduct a thorough check of the information provided by potential clients and the legitimacy of the source of funds. Therefore, in order to open an account in Cyprus remotely and without physical presence, it is necessary to prepare the documents professionally.
The standard process for opening a Cyprus bank account includes the following steps:
1. Choose a Cyprus bank
When choosing a bank, we pay attention to the following:
The bank's requirements for customers, the complexity of the account opening procedures, and the procedures for checking customers and their funds;
List of services provided by the bank;
Whether the bank profile is consistent with the specificity of the proposed account transactions;
Whether overseas remittances can be made;
Service rates.
2. Collection and preparation of documents required for opening a bank account
This is the most time-consuming stage, as it is very important to collect all the information that the bank needs when checking the reliability of the client.
During the process of preparing and analyzing the package of documents,’s Cypriot and Ukrainian lawyers carefully check each document: starting with dates and signatures and ending with guarantees of correctness.
3. Obtain prior consent from the Bank of Cyprus
4. Sign the bank questionnaire and forms
5. Interview with bank representative and send the signed forms to the bank
6. Access online banking and receive a bank card
For example, the statistics for March 2019 are very instructive:
The total amount of all deposits in Cypriot banks is EUR 47,500,000,000;
The total loan amount is EUR 38,300,000,000;
There are more than 30 officially registered foreign banks in the country.
The loose fiscal policy ensures the steady growth of the country's economy and the well-being of local and foreign companies using Cypriot banking services.
It is worth noting that in recent years, not only the account opening process has changed in Cyprus, but also the entire registration process. Recent changes to the Anti-Money Laundering Law and new regulations from the Central Bank have had an impact. An important innovation is the ability to initiate the bank account application process online.
What are the important things to know about the overall situation of the Cyprus banking system?
The Central Bank of Cyprus (hereinafter referred to as the "Central Bank") leads all financial institutions. The services provided by different banks do not differ much in themselves. The main differences lie in the fee percentage charged by the bank for transactions and the annual account and card maintenance costs.
The Central Bank allows individuals and companies (not just Cyprus companies) to open various bank accounts.
To open a personal account, the decisive factor is age - the future account holder must be at least 18 years old. But the choice of bank is up to you.
How to avoid making mistakes when choosing a bank?
Carefully study all the conditions stipulated by the bank. There may be mandatory minimum requirements for the amount that must be deposited in the account. For business accounts, it is important to understand under what conditions international transactions can be carried out, especially if we are talking about foreign shareholders of the company. It is important to find out whether Internet banking services are provided, because without Internet banking, some operations are extremely difficult to carry out, especially remotely.
We recommend Greek or Cypriot banks to our clients.
Is it difficult for non-residents to open a bank account in Cyprus?
Any non-resident with the necessary documents can open a bank account in Cyprus. For third country residents, it may take a little longer. In addition, a more detailed description of your objectives is required.
Our company assists in the registration of a Cyprus bank account, without the need for personal presence in the country. You can start the procedure remotely from Russia, Ukraine, Belarus, Kazakhstan or any other country. To find out the cost of this service, please contact us.
How to open an account in Cyprus for an individual?
To open a bank account in Cyprus, an individual will need the following documents:
CV
Copy of passport
Any confirmation of registration or residence;
Confirmation of your annual income (e.g., pay stubs, confirmation of your active or passive income, dividends, copies of tax returns, etc.)
A letter of recommendation from a bank or other financial institution confirming your creditworthiness (the letter is valid for three months)
Documents proving your source of income, the value of your property, and the legal status of your property.
How to open a bank account in Cyprus for a legal person?
To open a corporate account in a Cyprus bank, you will need to collect the following documents:
Company name, legal address, physical address, detailed description of activities, website link (if any).
Capacity certificate, company credit certificate (certificate of good standing).
Certificate of Incorporation.
Board and Secretary Certificates.
Regulation.
memorandum.
Documents proving the corporate structure of the legal entity, showing the entire structure up to the beneficiaries. These documents should be provided in a clear and understandable form.
Financial reports.
Documents proving the lawful source of funds.
A letter of good standing from the company, and references from the last three months. The same documents must be provided if a personal account is to be opened for the company owner.
Important: All documents must be drawn up in English. Or they need to be officially translated and certified by a notary public.
How to open an offshore account in Cyprus?
The concept of "offshore" or activities carried out abroad is no longer officially used, but it is possible to open a corporate bank account for a company doing business outside of Cyprus.
