How To Open A Bank Account In Hong Kong [Easiest Method]

Hong Kong, officially the Hong Kong Special Administrative Region of the People's Republic of China (HKSAR), is a Chinese city and special administrative region located in South China's Pearl River Delta.

Hong Kong is one of the most densely populated places in the world, with over 7.5 million residents of various nationalities living in a 1,104-square-kilometer (426-square-mile) territory. Hong Kong is also one of the world's most developed cities, with the most expensive real estate.

Hong Kong is a dynamic place to live, as well as one of the world's most robust business hubs for incorporating a company. So, if you're looking for a safe and secure official center where you can open an offshore bank account, Hong Kong is one of your best options.

I've noticed that many people are concerned about how to open a bank account in Hong Kong because it is not as simple as it is in their home country. So, in this article, I will share with you some helpful hints that will aid you in your decision to open a bank account in Hong Kong.

It is of no doubt that Hong Kong features among the most reputed jurisdictions in the world today. It is a major international mecca integrated by its sophisticated network of banks and effectively transparent regulations.

When it comes to banking, banks in Hong Kong has a well known reputation around the world and as reported by HKMA, Hong Kong has more than 70 of the largest 100 banks in the World with almost 30 multinational banks establishing their regional headquarters in Hong Kong.

Nowadays, Hong Kong has become one of the top pick for offshore banking jurisdictions for foreigners due to its reputation. But with that said, it should be noted that opening a bank account in Hong Kong for foreigners often comes with some challenges.

Numerous expats and non residence especially those that have newly incorporated companies often encounter some difficulties when they want to open a bank account in Hong Kong. Here are some of the common difficulties faced by them;

Due intelligence procedure in Hong Kong
In Person appointments are often compulsory
The company's profile significantly affects the bank account opening procedure
Long processing time for the banks approval since the banks in Hong Kong are extremely protective of their financial services in order to maintain their reputation.

Banking System in Hong Kong

If you want to experience life in Asia, Hong Kong is the place to be. It is ideal for those who want to experience a different way of life than that of the West or any other location. It has fantastic business opportunities, incredible locations, and an efficient banking system.

The Hong Kong Monetary Authority supervises licensed banks, restricted licence banks, and deposit-taking companies in Hong Kong (HKMA). Hong Kong is one of the world's top five financial centers.

Hong Kong has one of the highest concentrations of banking institutions in the world, with 70 of the world's top 100 banks having a presence there. In operation are over 154 licensed banks, 19 restricted license banks, and 17 deposit-taking companies.

Banking Charges in Hong Kong

Hong Kong bank fees vary according to the bank. The majority of banks charge a monthly maintenance fee. Some banks also require you to keep a minimum account balance of up to HKD 10,000. If you do not keep the minimum balance, you will be charged a fee in addition to the monthly fee. Withdrawing money from another bank's ATM typically costs between HKD 15 and HKD 20 per withdrawal.

What Do I Need to Open a Bank Account in Hong Kong

The requirements to open a bank account in Hong Kong varies according to the type of bank account that you want to open. So below I will give you the requirements needed to open either a Personal bank account or a business account in Hong Kong.

Requirements to Open a Person Bank Account

Account application forms
Passport or HK ID Card
Proof of address
Bank statements in the most recent 6 months
Bank reference letter dated in 3 months
CV
Additional documents requested by the Bank

Requirements to Open a Coorporate Bank account in Hong Kong

Account application forms
Passports of all members
Proof of business - contracts, supplier invoices, clients payments, website, etc
A detailed business plan
Company's documents - business registration certificate with CR, Certificate of incorporation with IRD, Articles of Association, etc
Bank reference letter dated 3 months
Bank statement in the recent 6 months

Documents Required for a Foreigner to Open Bank Account in Hong Kong

The Documents that will be demanded from you as a foreigner before opening a bank account will depend on your purpose of being in the country which means if you are coming for work or study. Below are the basic documents that will be demanded from you regardless of your aim in the country:

Passport accompanied by a Hong Kong visa or Hong Kong ID (you need a Hong Kong ID card if you are above 11 years old and you plan on staying for more than 180 days)
Tax residency and ID number
Proof of employment (source of your income)
Residential address (utility bill, government correspondence, letter from employer, etc)

If you are employed, you must provide proof of your employment contract, and if you are a student, you must provide proof of your school's admission letter.

ALSO READ: How to Open A Bank Account in Portugal [Complete Process]

Tips to Consider Before Opening a Bank Account in Hong Kong

Understand the Procedure Before Opening your Bank Account - Some Applicant may still find it difficult to open a bank account in Hong Kong due to the fact that they do not have a proper knowledge for opening bank accounts. There are numerous things that you should take into account before going to open you bank account especially in highly reputed offshore banking countries like Hong Kong or Singapore.
Options for Opening a bank account in Hong Kong - From the perspective of an account holder, you might have to make your choice from 2 types of bank accounts namely;

Personal Bank account type- which is applicable to any individual person that wants to open a bank account in Hong Kong
Corporate Bank account Type- It is applicable for Hong Kong Limited companies or overseas companies in Hong Kong.

Open Offshore Bank Accounts for Hong Kong Companies

If you have those plans of forming a company in Hong Kong but you are doubting about the difficulties of opening a bank account there, then you can recommended to think of offshore bank accounts which might be of great help to you.

You should also have in mind that opening a bank account is one of the main requirements for incorporated companies in Hong Kong. But Hong Kong companies are not obliged to own a corporate bank account in Hong Kong as they can instead register a bank account in another country.

Procedure to Open a Corporate Bank Account in Hong Kong

The process of bank account opening in Hong Kong can be demonstrated by the 4 steps below

Step 1 - Collecting the required documents
Step 2 - Submitting the required documents
Step 3 - Processing on boarding / have a meeting with the bank officer
Step 4 - Activating the Bank account

The steps above are the basic steps for every bank in Hong Kong but the procedures might vary depending on the type of bank that you choose to open your account with.

Since a Coporate bank account is more vague than just a normal personal bank account, it is a little bit more challenging to set up this account as compared to the basic account.

In addition to being aware of the KYC obligations, non resident enterprises are prompted to attach additional documents like business proofs and some other necesities.

More to that, all directors, beneficial owners, and share holders having not less than 10 % of the prespecified rates of the company shares are obliged to attend the interview with the representative of the bank for opening a Hong Kong bank account.

It is clear that each bank might setup various requirements for non residents to open a bank account in Hong Kong but however the complete account opening process in Hong Kong can on normal basis lasyt for up to 15 working days.

The Best Banks in Hong Kong/ Open a Bank Account in Hong Kong Remotely

Most people often say that foreigners cannot open a bank account in this great banking financial hub- Hong Kong but the truth is that overseas customers may have numerous ways to open bank accounts in Hong Kong but the difficulty comes at the level of the in person visit required for opening Hong Kong bank account.

However, there exist many banks with through which you can open a bank account with in Hong Kong but first of all, you should take into consideration what the bank offers and some other requirements of the bank in order to see the one that suits you best.

More Bank Account Opening Guides:

1. HSBC

This is actually an international bank with branches in Hong Kong and they offer services such as online banking, Current and saving accounts. Since they have branches in Hong Kong, this also guarantees the fact that they have many ATMs across the Territory alongside the debit cards that they also offer.

HSBC also provides personal installment loans at a per month rate of 0.13% and you are able to borrow close to 12 times your monthly salary. One advantage of this bank is that their accounts can also handle various currencies.

Visit HSBC

2. Standard Chartered

Here is still another popularly known international bank with its branches in Hong Kong. They provides their customers with rewards in the form of cash. Standard Chartered bank have integrated all their countries in such a way that their customers are able to manage their accounts from one place. They also offer ATM cards with the ability to handle dual currency.

Their products Salary BonusPack provides a high interest rate of 1% annually compared to the basic savings account, while interest is 0.01% annually. You get your salary credited to your account on the same day you get paid.

Visit Standard Chartered

3. Hang Seng

This bank actually operates as a subsidiary of the HSBC group and has similar services and products with that of HSBC. They have a green banking account, a product a specifically for students and this account does not charge monthly fees. With this bank, you can also get a free credit card which you can use up to 3 years after you graduate. You benefit from free foreign withdrawals for an amount up to US$ 1,000 daily.

Visit Hang Seng

4. Citibank

This is another international bank with it branches also located in Hong Kong. This actually is the most accessible account to open while you are abroad. In Case you are a citigold customer in your home country, then you can also get the same status in Hong Kong thereby enjoying free of charge account.

This bank also has a candid website and online banking services which when you open a payroll account, you will be charged with a flat rate of 0.08% while you benefit from free withdrawals.

Visit Citibank

5. Bank of China

Bank of china offer the best significant deals in China and it is actually the best option if you have significant deals in the country. Their cards are linked with Jetco and Union Pay, which have numerous ATMs world wide, therefore making it easier for you to withdraw anywhere in the world.

Visit Bank of China

Final Thoughts on How to Open a Bank Account in Hong Kong

Hong Kong is a well known city when it comes to banking due to the fact that it carries 70 of the 100 largest banks in the world and also due to the high quality services and security offered by the banks in Hong Kong.

Frequently Asked Questions

Can a Foreigner Open a bank account in Hong Kong ?

Hong Kong is fantastic because it allows anyone to open a bank account, regardless of whether they are a Hong Kong resident or not. However, it should be noted that foreigners wishing to open a bank account in Hong Kong may face additional challenges or requirements for verification and identification purposes when compared to Hong Kong residents.

Can I Open a Bank account online in Hong Kong?

Due to Hong Kong's anti money laundering rules, you cannot a bank account online if it is your first account.

Which is the Best bank in Hong Kong?

Hong Kong is made up of 70 of the 100 largest banks in the world and when it comes to the best banks in Hong Kong we can site some few banks such as HSBC, Standard Chartered Bank, Hang Sen, Citibank, and the Bank of china.

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