Factors to consider when choosing a bank include account features, interest rates, reputation, security, customer service, ease of operations, maintenance fees, and additional services.
Non-residents can open bank accounts in Hong Kong, but the process varies by bank and country of origin. Some banks allow remote account opening, while others may require an in-person visit.
Virtual banks managed by fintech companies offer secure financial transactions, streamlined payment processes, and reduced logistical issues.
Opening a bank account in Hong Kong is easier for residents than non-residents.
Whether you're an individual managing daily expenses or a business owner seeking financial solutions, opening a bank account is a crucial aspect of your financial journey.
In this article, you'll find a comprehensive step-by-step guide on how to open a bank account in Hong Kong, whether you're a resident or a non-resident.
Hong Kong’s Basic Banking System
In Hong Kong, you'll find four main types of institutions: restricted license banks, fully licensed banks, deposit-taking companies, and branches of foreign banks. All of these are regulated by the Hong Kong Monetary Authority (HKMA) to ensure smooth operations and customer safety.
In recent years, banks here have fully embraced digital technology, offering a broad range of services that cater to both individuals and businesses.
Setting up a corporate bank account in Hong Kong is also quite straightforward, typically taking just two to three weeks. Plus, thanks to how money is converted between different currencies, you can easily access and transfer funds both locally and internationally.
In practical terms, this means:
- Easy Currency Conversion: You can readily exchange Hong Kong Dollars for other currencies like the US Dollar or Euro without dealing with cumbersome regulations.
- Smooth International Transfers: Businesses and individuals can transfer funds into and out of Hong Kong with minimal bureaucratic hurdles.
- Fostering Global Trade: These flexible rules help make Hong Kong an attractive hub for international business and investment, as companies face fewer barriers when handling cross-border transactions.
Overall, this regulatory approach encourages a free flow of capital and supports Hong Kong’s status as a global financial center.
Quick Guide to Hong Kong's Banking Institutions
If you're considering opening a bank account in Hong Kong, it's helpful to understand the different kinds of institutions you'll encounter. Here’s a simple breakdown:
| Type of Institution | Description |
|---|---|
| Fully Licensed Banks | Offer a wide range of services, including deposits, payments, and loans. Suitable for general banking needs. No minimum deposit requirement. |
| Restricted License Banks | Focus on merchant or capital market activities. Require a high minimum deposit (around HKD 500,000). Best for specialized financial needs. |
| Deposit-taking Companies | Affiliated with larger banks, these firms handle consumer finance and commercial lending. Require a minimum deposit (around HKD 100,000) held for a set period. |
| Branches of Foreign Banks | Local branches of international banks. Follow Hong Kong regulations and provide access to global markets. |
Documents Required to Open a Bank Account in Hong Kong
Depending on whether you opt for a personal account or a corporate account, you need to submit various documents to verify your identity.
These documents are necessary for the bank to comply with the KYC requirements laid down by the Hong Kong Monetary Authority.
| Document Type | Personal Account | Corporate Account |
|---|---|---|
| Proof of Identity | Hong Kong ID (for residents) or passport (for non-residents). | Identification documents of beneficial owners, directors, and shareholders. |
| Proof of Address | Utility bill, bank statement, or mobile phone bill (issued within the last three months). If no Hong Kong address, proof of residence in home country. | Registered business address proof. |
| Other Required Documents | Valid visa (for non-residents), employment contract (if relocating for work). Some banks may require additional documents. | Business Registration Certificate, Articles & Memorandum of Association (or deed of partnership). |
| Additional Documents | Non-English/Chinese documents may require official translation. | Company structure details, business bank statements (last six months), relevant licenses/permits, proof of business (e.g., contracts, purchase orders, presentations). |
Which Banks Should I Choose to Open an Account?
The majority of banks provide similar banking services such as account opening, online and mobile banking, and interest on deposits. Here are some factors to consider when you are in the process of choosing a bank for opening an account:
- Account options/features offered
- Rate of interest
- Reputation and security
- Customer service
- Ease of banking operations
- Monthly maintenance fee
- Add-on services offered
The choice of bank depends on your individual financial goals and preferences. If you are planning to open an account in Hong Kong and are in search of a bank, check out the top service providers.
Also, note that while convenient, mobile banking for business accounts uses mobile data and may incur message and data rates or transaction fees. Review your bank's mobile banking terms carefully.
Can a Foreigner Open a Hong Kong Bank Account?
As a non-resident in Hong Kong, there are no legal restrictions on opening a Hong Kong bank account. The account opening process can vary depending on the country you come from.
But, each bank follows its own set of procedures. They are free to exercise their discretion in deciding whom they want to provide account services to. Also, some banks may not allow non-residents to open an account with them. Ideally, you should research your options carefully before you approach any bank for account opening.
For instance, some banks, like HSBC, might allow non-residents from specific countries to open certain types of accounts, such as a checking account or a savings account, remotely through their mobile banking app (HSBC HK app).
How to Open a Bank Account in Hong Kong
Opening a bank account in Hong Kong is no different than opening it in any other part of the world. While individuals can open personal savings accounts, offshore companies and limited companies are permitted to open corporate bank accounts.
Typically, you can open an account in Hong Kong by following these 5 steps:
Step 1: Pick a Bank
As there are several options available, the first order of business is to select a bank where you want to open an account.
Compare the banks based on factors such as eligibility criteria, types of account supported, fees charged, ease of online banking, location of branches, etc.
Step 2: Prepare the Documents
Once you have zeroed in on your option, check the list of documents you need to furnish as part of account opening formalities and start getting them in order.
Even though banks have a list of documents published on their website, it is advisable to call up the bank and confirm the list.
Also, confirm if you can submit the documents online or do you need to visit the branch in person.
Step 3: Complete the Application Form for Account Opening
Your bank may allow you to fill out the account opening application online or ask you to visit the branch to fill it up in person.
Always provide accurate and up-to-date information.
Step 4: Meet With the Bank Representative
Usually, the bank representative may ask you to come in for a meeting, especially if you want to open a bank account for your offshore company in Hong Kong.
In any case, a face-to-face meeting provides a great opportunity for the bank to understand your banking needs and iron out issues, if any.
Step 5: Receive Approval and Activate Your Account
If your application form and documents are in order, the bank will proceed with opening your account.
The bank will send you your account details along with detailed instructions for activating your account. As part of account opening, the bank may also need you to:
- Make an initial deposit
- Set up credentials for internet and mobile banking
- Make a domestic or international transaction
The exact procedure may vary from one bank to another. So always double check with your bank to ensure a hassle-free account opening experience.
The entire account opening process may need up to 15 business days.
How to Open an Online Bank Account in Hong Kong
Usually, most banks allow Hong Kong residents to open their bank accounts online.
If you are a non-resident, banks may not allow you to open your first account online on account of the money laundering laws. Some may allow you to complete the online application form but still visit the branch physically to complete the account opening formalities.
Banks like HSBC allow overseas passport holders aged 18-64 years living in Australia, Canada, Macau, Singapore, the UK or the US to open certain types of personal bank accounts online, without visiting any branch.
Here are some ways in which non-residents can open an account in Hong Kong online:
Branch Application
If your home bank operates branches in Hong Kong, you can open your account remotely. Prominent examples include HSBC and Citibank that have branches in multiple jurisdictions.
You can visit the branch in your home country, complete the application form and furnish the relevant documents, ready to be sent to the Hong Kong branch. Your home branch can schedule an appointment at a local branch in Hong Kong so that you can complete the final steps once you land in Hong Kong.
But not all banks offer this option, and every branch may have its own policies. So always check with your home branch if you can open an account in Hong Kong online.
Digital Accounts
Opening a digital account or a virtual account with a fintech platform is a great option for international customers looking to set up an account remotely.
You can complete the account opening process through a mobile app/browser and it takes only 3-4 business days to set up your account. Make sure to research and choose a reputable fintech company that supports the kind of account you need.
Alternatives to Traditional Banks — Online Banks
Apart from brick and mortar banks, virtual banks are an option you can consider. These accounts are managed by fintech companies and provide an extremely secure channel for financial transactions. These accounts cannot be used for holding deposits. But their USP lies in streamlining the payment processes and minimizing the logistical issues typically associated with maintaining numerous traditional bank accounts. They also work as channels that businesses can use for collecting multiple payments in different currencies and transferring them to a central account, reducing operational costs significantly. The application process for such an account is very simple and can be done remotely.
And if you are struggling with setting up your business in Hong Kong, Air Corporate can help.
With Air Corporate, you can register your Hong Kong company within 24 hours. Plus, Air Corporate provides you access to a Hong Kong business bank account set up remotely.
Cost Considerations of Setting Up a Bank Account in Hong Kong
If you're planning to open a bank account in Hong Kong, you'll notice that fees and requirements can differ quite a bit. The overall cost depends on the type of account you choose, the bank you go with, and any extra features you might need. For instance, some banks might offer cash bonuses if you maintain a certain balance or provide attractive rates for international transactions, while others might ask for an initial deposit to get you started.
Each bank operates differently—and their policies can change—it's a smart move to call or visit the bank you're interested in for the latest details.
Personal Accounts
Many banks offer standard checking or savings accounts without any monthly fees, making it a straightforward option for everyday banking. However, if you're looking for something more premium, you might encounter charges for maintaining the account or need to meet a minimum balance requirement.
An opening deposit might also be necessary, though the required amount can vary. Additionally, be prepared for possible fees on transactions like wire transfers, currency exchanges, or using ATMs outside the bank's network. If you need a debit or credit card, there could be extra costs, though some banks may offset these with cashback rewards.
Business Accounts
Business accounts tend to come with monthly service fees that vary based on the account type and the bank you choose. Just like with personal accounts, you might have to make an initial deposit when you open the account. Expect to pay for transactions such as wire transfers, electronic fund transfers, or dealing with foreign currencies.
If your business needs checks or a checkbook, those services might add extra charges. Plus, if you require additional services—like business loans, trade financing, or merchant solutions—each will have its own fee structure.
Don’t forget to factor in any costs associated with meeting regulatory or compliance requirements, especially if your business faces stricter standards. Corporate cards, if needed, can also come with issuance and ongoing fees.
Keep an eye out for promotional offers—some banks might temporarily waive fees or offer discounts on certain services, which could help you cut down on costs. It's worth comparing what different banks offer to see which one aligns best with your needs and budget.
Conclusion
When it comes to opening a bank account in Hong Kong, residents have an easier time than non-residents. And non-residents setting up an offshore company in Hong Kong may also find it challenging to set up their corporate account compared to domestic companies. Having said that, it is not impossible.
To minimize the chances of your account opening application getting rejected, make sure to carefully check the eligibility requirements and documents requested by the bank. Working with a third party service provider can also help you to overcome the obstacles and expedite the Hong Kong account opening process.
FAQs
The key benefits of opening a bank account in Hong Kong are:
- Access to a stable and highly regulated banking environment
- Ability to hold multiple currencies in a single account
- No need to pay tax on deposits
- Free capital transfer without any restrictions
While tourists are allowed to open a bank account in Hong Kong, the eligibility criteria depends on the banks.
Some banks may insist on a local address to allow a tourist to open an account whereas others may permit non-resident accounts on the basis of proof of ID and home country address.
All Hong Kong banks follow a strict account opening process.
Even though you may be able to submit your documents remotely, a visit to a branch may still be necessary for completing the account opening formalities.
The bank must offer you an explanation for rejecting your application.
Additionally, you can also request the bank to reconsider your application as the HKMA has a bank review mechanism in place.
