Remote Banking in Finland

The Complete Guide to Banking in Finland

If you are moving to Finland or planning to stay for an extended period of time, understanding the banking system in the country is essential. In this guide, we will provide you with comprehensive information on banking in Finland, including banks that accept foreigners, KYC requirements, the availability of Wise and Revolut, ATM fees, multi-currency options, the account opening process, currency exchange tips, and tax residency clarification.

Banks Accepting Foreigners in Finland

Many banks in Finland are open to accepting foreign customers. Some of the major banks that facilitate account opening for foreigners include Nordea, OP Financial Group, Danske Bank, and Handelsbanken. It is important to note that each bank may have specific criteria and requirements for opening an account as a foreigner.

When choosing a bank, consider factors such as the availability of English-speaking staff, online banking services, and fees associated with maintaining an account.

KYC Requirements in Finland

Know Your Customer (KYC) requirements are standard in Finland to prevent money laundering and fraud. When opening a bank account, you will need to provide certain documents, such as a valid passport or ID card, proof of address, and in some cases, proof of income or employment.

Make sure to have all the necessary documents in hand when visiting the bank to streamline the account opening process.

Wise and Revolut Availability

Wise (formerly TransferWise) and Revolut are popular digital banking alternatives that offer low-cost international transfers and multi-currency accounts. Both services are available in Finland, allowing you to easily send money abroad or hold multiple currencies in a single account.

While Wise and Revolut are convenient options for international transactions, it is advisable to check the associated fees and exchange rates before using these services.

ATM Fees and Multi-Currency Options

ATM fees in Finland can vary depending on the bank and the type of account you hold. It is advisable to check with your bank regarding ATM fees, especially for withdrawals made at non-affiliated ATMs.

Some banks in Finland offer multi-currency accounts that allow you to hold different currencies in a single account. This feature can be beneficial if you frequently deal with multiple currencies or make international transactions.

Opening a Bank Account in Finland

To open a bank account in Finland, you will typically need to visit a branch in person. The process may involve filling out an application form, providing the necessary documents, and undergoing identity verification.

Some banks may also allow you to open an account online, especially if you have a Finnish personal identification number (henkilötunnus). However, as a foreigner, visiting a branch in person is often the preferred method for account opening.

Currency Exchange Tips

When exchanging currency in Finland, be mindful of the exchange rates offered by banks and currency exchange offices. Compare rates to ensure you are getting a competitive deal, especially for larger transactions.

Consider using online currency exchange platforms like Wise for better rates and lower fees when transferring money internationally.

Tax Residency Clarification

Understanding your tax residency status in Finland is crucial, as it determines your tax obligations in the country. If you are a resident in Finland for more than six months in a calendar year, you are considered a tax resident and are subject to Finnish taxation on your worldwide income.

If you are unsure about your tax residency status, seek advice from a tax professional or the Finnish tax authorities to ensure compliance with local tax laws.

In conclusion, navigating the banking system in Finland as a foreigner can be straightforward with the right information and preparation. By choosing a bank that suits your needs, understanding the KYC requirements, exploring digital banking options like Wise and Revolut, being aware of ATM fees, considering multi-currency accounts, following the account opening process, exchanging currency wisely, and clarifying your tax residency status, you can manage your finances effectively in Finland.