Opening a current account with a French bank is not a whim, but a vital necessity! Many regular payments are tied to it: payment for rented accommodation, utility bills, tax transfers, and much more.

You can find a way out of the situation and pay for everyday needs through a foreign account, but it is long, expensive, and inconvenient. As a backup account, it is allowed to use an online service, for example, PayPal. Unfortunately, the functionality of such accounts is quite limited, so if you plan to live in France for a long period, you can't do without a bank account. How to do it for a non-resident? Let's get to the bottom of it.

The banking system of France - what do you need to know about?

By right, the French banking system is recognized as one of the most reliable in the world. It is fully controlled by the state.

Employees of any branch thoroughly check all transactions, paying special attention to financial monitoring - analyzing the legality of transactions to prevent money laundering. The accounts of non-residents are always scrutinized particularly carefully. Any applicant is carefully analyzed to ensure that he 100% meets the requirements. Opening a bank account for a non-resident in France is a problem.

One of the common paradoxes is that a foreigner needs to rent or buy real estate. It is impossible to rent/buy an apartment without a valid bank account. A bank account may not be opened until a non-resident shows a permanent address and confirms that he/she consistently pays the utility bills: light, gas, water, telephone, etc., and that he/she has a valid bank account. With the licensed agency GARANT.IN you can easily solve these issues. We will help you not only to draw up documents, and buy/rent real estate but also to solve several related problems - to get a driver's license, find a kindergarten/school, open an account, and adapt to a new country.

When opening an account in a French bank, it is important to be prepared that the service will have some peculiarities. In Europe, the banking sector does not function as quickly as many people are used to:

  • Money transfers between card and current accounts in 5 minutes, SMS about crediting funds, and displaying the real balance in the application - do not work here or function with great limitations.
  • For the maintenance of the payment card, it is necessary to pay monthly about 5 euros - it all depends on the bank's tariffs and service package. After registration of the account, the card, contract, pin code, and checkbook are sent to the addressee by postal service, and it takes quite a long time. Why? Documents are not always sent in one parcel.
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  • Bank cards have limits on how much you can pay per month and how much cash you can withdraw from ATMs. All this is specified by the bank employee when opening an account. Once the limit is reached, you will not be able to pay from the card, even if you have the necessary amount on it. Expansion of limits is allowed, but only after agreement with a bank employee.
  • To increase the cash withdrawal limit, the bank may require justification for such an operation.
  • If you have questions for a bank employee, you cannot just call on the phone and clarify them. You need to make an appointment and come at the specified time, and it takes 2-3 days.

Despite the unusual difficulties, the banking system of France is aimed at maximizing the safety of the client.

Methods of payment in France

Even if you are temporarily in France (long vacation or course of treatment) you should know about the existing methods of payment/money transfer in France. Selecting the best method will help you save time and personal funds:

  • Bank payment card - about 60% of French people make purchases/payments and transfers with this instrument (credit or debit card). About 83% of cards in France are issued by the National Carte Bancaire (CB) system. They are accepted everywhere, Visa and Mastercard payment systems also work seamlessly with the national system. Using a French bank card, do not forget that for each user the bank personally sets limits on cash and non-cash transactions, remember about the commission for many transactions.
  • Payment transfers are not as popular as card transactions, but they are actively gaining popularity. Transfers are used for transactions with large sums and regular monthly payments. To make a transfer, it is necessary to know the BIC, IBAN, or SWIFT codes of the recipient for the correct sending of funds. A fee is charged for each transaction. When transferring money to a country within the SEPA zone (Single Euro Payment Area in the EU), the commission will be the same as when making a payment within the country.
  • E-wallet is a convenient payment tool that the French actively use for money transfers and payment for goods/services. For a quick transaction, it is necessary to know only the recipient's wallet number and not to bother with its full bank details.
  • Mobile payments - the convenience of paying via smartphone was appreciated by about 39% of users. Monese and Revolut systems, which offer accounts and their bank cards, work for such clients. Mobile applications of BNP Paribas or La Banque Postale are also frequently used. Amazon Pay and Apple Pay are used for international payments, and ordering goods from abroad.
  • Payments using checks - despite the low demand for this method, banks issue free checkbooks to everyone. Checks are most often used to make large payments - this method helps to save on commissions and fees.
  • Cash - about 58% of the population uses cash for purchases in stores. For citizens of the country there is a limit of 1,000 euros per transaction, for non-residents this limit is raised to 15,000 euros.

Features of online banking

Internet banking is a separate line. This product is more designed for legal entities. Internet banks in France are quite in demand among customers. They offer quality competitive products and favorable package offers. It is necessary to meet several requirements if a non-resident plans to get an account in such a financial organization:

  • Live in France and pay taxes to the local treasury.
  • Have a certain level of income (to confirm legality).
  • Have an RIB (payment details) of a French bank or an EU banking institution.

If the applicant does not meet the given criteria, it is possible to apply to a traditional offline bank.

Opening an account in France

To have free access to various services, goods, and payments, it is necessary not only to open an account in a local bank but also to know the recipient's RIB and IBAN details:

  • RIB - the most complete information about the account, here are the recipient's details: full name, account number, recipient's MFI, and other.
  • IBAN - the full account number of the recipient. Often the numeric code contains not only the account number but also the OKPO or TIN of the recipient. The alphabetic value in the details means the code of the recipient's country. IBAN is used for both domestic and international settlements.

Regardless of the applicant's citizenship, the financial organization will require from the applicant when opening an account:

  • A document confirming identity - passport, visa, or residence permit.
  • A document proving residence at a certain address - for example, utility bill stubs for the last months.

It is easier for residents to provide the requested documents, but they are also subject to a thorough check.

How to open an account for a non-resident

There are a lot of restrictions for non-residents and not all banking institutions are friendly to them. More options can be offered by international services:

  • Non-resident accounts are opened if you plan to live in France for more than 90 days.
  • There may be a limit on the deposit account.

In general, it is quite difficult to open an account for a non-resident in a French bank. Financial organizations are quite reluctant to open accounts for such applicants since there are risks that the client will make a loan and go abroad. To become a client, you need to provide the following documents:

  • ID card - national or foreign passport;
  • place of registration in France;
  • visa, contract, or reason for being in the country;
  • labor history;
  • confirmation of the legality of the origin of funds.

How to open an account for an individual

To open an account, you need to make an appointment with the bank manager. Most often banks work from 9.00 to 17.00 on weekdays with a break for lunch.

The following list of documents is required for individuals:

  • Document confirming identity - resident's passport, passport, other document.
  • Place of registration - as confirmation you can attach a lease agreement, utility bills, and a letter from the landlord.
  • Confirmation of status - residence permit card, visa, certificate of temporary protection.

In some banks, the applicant is additionally interviewed, where the nature of the account is specified, how and for what purpose the account will be used, and what amounts are expected to be credited.

How to open an account for a legal entity

To open an account for a legal entity, it is necessary to provide:

  • Documents of all founders and shareholders, as well as persons with the right to sign.
  • Confirm the status of the applicants.
  • Place of registration of the company.
  • Documents confirming the financial activity of the company - tax statements, balance sheets of the firm.
  • Credit history of the legal entity, statements from other banks.
  • Registration documents.
  • Articles of Association.
  • License if necessary.

How to open an account online

To open an account online, you need to go to the bank's website and create a Personal Cabinet. For the application, it is necessary to attach a scan of a copy of the documents similar to those for a physical person. In addition, you will need to specify your phone number, email, and residential address.

Some banks may require a photo of the applicant with the unfolded identity card in his hands. Notification of the opening or refusal will come in the mail. Most often it is necessary to additionally come to the bank to sign the agreement and receive the card.

If the applicant has been rejected by banks three times in a row, he is allowed to use the statutory "right to an account". The Banque de France independently selects the banking institution that will be responsible for opening a current account for a non-resident applicant. The right to open an account is allowed if the non-resident resides in France (temporarily) or one of the EU countries.

To initiate the case, the client must submit certified papers to the Banque de France, enclosing:

  • documents confirming refusals from several banks to issue a current account;
  • notarized statement of the absence of an account in a French bank;
  • proof of identity (with photo);
  • proof of residence in France.

The right to open an account is prescribed in Article L 312-1 of the Monetary and Financial Code of the country.

Which bank to choose in France

The banking system of France is decentralized with a variety of regional representatives, which attract a large number of customers. Currently, four major representatives are leading the way:

  • BNP Paribas.
  • Societe Generale.
  • CIC.
  • La Banque Postale.

Smaller but also well-known banks are Crédit Agricole, HSBC France, N26, Hello Bank, and Revolut. In total, over 300 licensed institutions offering a wide range of financial products and services operate in the banking sector. As a member of the EU, France uses the euro for various transactions, deposits, and transfers.

When choosing a bank, you should give preference to proven players in the financial sector. It is an ideal choice for:

  • new residents who have already acquired a permanent place of registration or are getting one shortly;
  • those wishing to use proven financial products - deposits, overdrafts, payment credit or debit cards, transfers, etc..;
  • HSBC is well suited to those who do not yet have a good command of French, as many services are available in English.

Closing a French bank account

If the applicant has a Personal Office on the bank's website, he or she can send a petition through the system.

Another option is to come to a bank branch and write an application to close the account. The bank employee will check the applicant's documents, and clarify what to do with the account balances: transfer to another bank or cash out through the cash desk. The applicant checks the details and confirms the agreement by signature. The account will be closed in a few days.

If you need help with opening a bank account in France or solving any issue related to immigration, starting a business, renting, getting a license, or real estate registration, contact the migration company GARANT IN. We will help you in a short period.