Open an account in Cyprus
The attractiveness of banks in Cyprus for entrepreneurs from different countries is due to their high stability and favorable terms of service. The entire banking system of the state is actively controlled and supported by the government, which makes it extremely reliable. Recently, however, banks have begun to increase their requirements for potential customers, and therefore it may be more difficult to open an account in Cyprus for a non-resident than before.
Pros and cons of opening an account in Cyprus
Opening a Cyprus bank account can be beneficial and convenient for the following reasons:
- Since 2004, the Republic of Cyprus has been a full-fledged member of the European Union.
- Low tax rates compared to other EU countries.
- Existence of a large number of bilateral international treaties for the avoidance of double taxation.
- Variety of banks with different tariffs and terms of service.
- Convenient geographical location and developed infrastructure in the country.
- Availability of Russian-speaking employees in banks.
In addition, the state is characterized by stability in the field of economics, politics and law, which makes opening a bank account in Cyprus safe.
Despite all the advantages, there are certain disadvantages:
- Low interest rates on deposits.
- Possible overstatement of requirements for non-residents.
- The widespread practice of setting a minimum deposit that cannot be withdrawn for some time.
However, the disadvantages presented are minor compared to the previously described advantages.
List of documents for opening an account in Cyprus
Opening a bank account in Cyprus is not difficult, since the requested package of documents is standard:
- Application according to the sample approved by the bank.
- Basic documents for the applicant: passport, resume, information on income.
- Power of attorney in case of participation of a representative.
- Statements from other banks on the presence of already open accounts.
- Basic documents of a legal entity, including charter, registration certificate.
- Information about the financial activities of the organization, its credit history.
- The purpose of opening an account in a foreign country.
Depending on the chosen bank, the type of deposit and other factors, the list of submitted documents may vary.
Most of the banks in Cyprus work quietly in English, so all collected documents must be translated into English (separate translation into Turkish and Greek is not required).
Opening a bank account in Cyprus can be done quite quickly, in general, the whole procedure consists of several stages:
- Selection of a financial institution suitable for the terms and conditions and offers.
- Collection, preparation and submission of the necessary documents.
- Obtaining approval, opening an account.
Submission of documents is carried out in one of the available ways: in person, through a representative or by mail.
At each stage of opening a bank account in Cyprus , the organization may conduct various checks and request additional necessary information. It is important to respond to each request quickly and in the prescribed form. The specialists of the Lawrange company can help at any stage of the procedure.
Cost of opening an account in Cyprus
The cost of opening a bank account in Cyprus depends on several factors:
- Tariffs and terms of service in the selected financial institution.
- Level of initial preparation of documents.
- The need to take additional steps to open an account.
The cost of services for opening and maintaining an account varies significantly depending on the chosen bank. However, on average, the initial registration fee will be $ 500-1500, and for subsequent maintenance you will have to pay from 50 to 300 euros annually.
We must not forget that some banks have conditions for making a minimum deposit, which cannot be withdrawn within a certain time. The security deposit is on average 500-600 euros, and its shelf life can be up to 5 years.
Taking into account the above, the cost of full support for opening a bank account in Cyprus starts from 2000 euros and averages 3000 euros. Regardless of the price of the service in a particular case, Lawrange will take all the necessary steps to guarantee the registration of an account.
The financial crisis of 2012-2013 in the Republic of Cyprus led to almost complete paralysis of the entire banking system of the country. However, thanks to the timely actions of the government, it was possible to prevent the onset of grave consequences. The banks that have successfully survived this period are now considered one of the most stable and reliable in the world.
Commercial bank accounts in Cyprus are popular not only due to their high reliability, but also due to favorable rates and good service levels.
Recently, however, banks have begun to impose excessive requirements on non-residents wishing to open an account. For successful registration, it is important to promptly respond to all incoming requests and perform other necessary actions. Lawrange can help you with the procedure at any stage.
How to open an account in Cyprus online?
From March 2021, it is not possible to open a corporate or personal account in Cyprus banks remotely. The applicant must come to the office of the bank or its partner, go through identification and provide biometric data.
Which is the safest bank in Cyprus?
A large number of both local and international large banks operate in Cyprus. The main ones are Bank of Cyprus, Hellenic Bank, Cyprus Development, Alpha Bank, RCB Bank.
Over the past few years, the renowned international publication Global Finance has ranked RCB Bank in first place in terms of reliability. When forming the rating, various financial indicators are taken into account, for example, the level of creditworthiness and the size of assets. The bank was founded in 1995 and is under the direct supervision of the Central Bank of Europe.
What are the terms for opening an account in Cyprus?
The term for opening a bank account by a non-resident depends both on the conditions of the chosen organization and on the specifics of a particular situation. Usually, all the time is divided into several stages: preparation, verification, approval of documents and the opening itself. Some banks have a minimum opening period.
In this case, the countdown of the period can begin at different times. For example, AstroBank calculates from the moment all documents are submitted and the payment for their consideration is made.
On average, the entire procedure from start to finish takes about 1-2 months.