Personal Bank Accounts
Most of the biggest banks in Panama require clients to be either citizens or residents of the country (or in the process of obtaining residency in Panama) in order to open a personal bank account. The majority of individuals who open a personal bank account in Panama are either residents of Panama or are in the process of applying for residency in Panama, and they naturally need a bank account in order to qualify for residency, pay their local bills, and do business in the country.
The banks in Panama are very conservative and highly formal when it comes to opening bank accounts for foreigners, and they place a great deal of importance on due diligence of each client to ensure that they are following correct compliance procedures in accordance with the “Know Your Customer” (KYC) laws of Panama. As a result, it is very common for banks to require each client to appear at the bank for a personal interview, and provide the following documentation:
Two forms of identification
For instance, Passport & Drivers License.
Proof of source of funds or source of your income
This could be copies of your last few years of tax returns, audited financial statements, etc.
Proof of your residential address
This could be your utility bill showing your name and address.
Proof of residency in Panama or application for residency
If you are already a resident, then you would provide your Panama ID card (cedula), or if you are in the process of obtaining residency, a letter certifying that you are in the process of applying for residency.
The minimum deposit required to open a bank account will range from $100 to $10,000 depending on what bank in Panama you choose to go with, and whether or not you decide to bank with a Panama private banking service (offers more personalized Panama banking services usually with certain premium investment or deposit options), or if you prefer to go with the standard banking service.
The process of opening a bank account can take from 1 hour to a few days, depending on whether or not your documentation is complete, and the banks compliance department has approved your account, or if they require additional due diligence documentation or have additional questions about your banking needs, etc.
Corporate Panama Bank Accounts
The process of opening a corporate bank account is similar to opening a personal bank account. You need to either be a Panama resident or be in the process of applying for residency while at the same time needing a corporate bank account to do business in the country. Most of the major bank require clients to be either citizens or residents of Panama (or in the process of obtaining residency in Panama) in order to open a corporate Panama bank account, as well as setting up the Panama company for the purpose of doing business, and have a local business operations permit.
The banks in Panama are very conservative and highly formal when it comes to opening bank accounts for foreigners, and they place a great deal of importance on due diligence of each client to ensure that they are following correct compliance procedures in accordance with the “Know Your Customer” (KYC) laws of Panama.
It is very common for banks to require each client to appear at the bank for a personal interview, and provide the following documentation for each signatory, company director, and/or shareholder or final beneficiary:
Two forms of identification
Passport & Drivers License or national ID card, for example.
Proof of source of funds or source of your income
This could be copies of your last few years of tax returns, audited financial statements, etc.
Proof of your residential address
This could be your utility bill showing your name and address, for example.
Proof of residency in Panama or application for residency
If you are already a resident, then you would provide your Panama ID card (cedula), or if you are in the process of obtaining residency, then our law firm would provide a letter certifying that you are in the process of applying for residency.
Business plan
A short business plan explaining what products or services your company provides, your primary target markets, your financial projections, and your estimated business banking activity.
Company documents
Articles of incorporation, new certificate of incorporation, corporate resolution authorizing the opening of the account, declaration of shareholders or beneficiaries, etc.
Letter of reference from your law firm
The minimum deposit required to open a corporate bank account will range from $1000 to $10,000 or more, depending on what bank in Panama you choose to go with, and whether or not you decide to bank with a Panama private banking service (offers more personalized Panama banking services usually with certain premium investment or deposit options), or if you prefer to go with the standard banking service.
The process of opening a corporate bank account can take from 4 to 8 weeks, depending on whether or not your documentation is complete, and the banks compliance department has approved your corporate account, or if they require additional due diligence documentation or have additional questions about your business banking needs, etc.
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