Guide to Opening Personal and Corporate Bank Accounts in Panama

Personal Bank Accounts in Panama

Opening a personal bank account in Panama is a process that most of the country's largest banks reserve for citizens or residents (or those in the process of obtaining residency). This is because most people who wish to open an account in Panama are residents or in the process of applying for residency, and therefore need a bank account to meet residency requirements, pay local bills, and carry out commercial transactions.

Banks in Panama are known for being very conservative and formal when it comes to opening accounts for foreigners. They strictly follow "Know Your Customer" (KYC) procedures to ensure compliance with local laws. For this reason, it is common for each client to appear in person at the bank for a personal interview and to provide the following documentation:

• Two forms of identification, such as a passport and driver's license.
• Proof of source of funds, such as tax returns or audited financial statements.
• Proof of residential address, such as a utility bill.
• Proof of residency in Panama or a residency application, such as the Panamanian ID card (cédula) or a letter showing a residency application in process.

The minimum deposit required to open an account varies by bank and by whether private banking services are chosen, which offer more personalized, premium options.

The process of opening a bank account can take anywhere from an hour to several days, depending on the documentation and the bank's approval.

Corporate Bank Accounts in Panama

The process for opening a corporate bank account in Panama is similar to that for personal accounts. Major banks require clients to be citizens or residents (or in the process of obtaining residency) and to establish the company in Panama in order to do business in the country.

The same due-diligence standards apply to corporate accounts, with the need to provide detailed documentation about the company and its shareholders, as well as to meet KYC requirements.

The minimum deposit required for a corporate account varies by bank and by the type of banking service chosen.

The process of opening a corporate account can take 4 to 8 weeks, depending on the documentation and the bank's approval.