Any teller in a bank should be able to give you the necessary forms and help you to complete them. Some banks like to delay the issuing credit cards and some of their other services until you’ve established a good record. This is where it helps to have a letter of reference from your former bank or current employer. The right introduction can put a credit card in your hand that much sooner. In some cases, if you open a personal account in the bank your employer uses, you’re eligible for special rates and services or a discount on certain bank charges.
Requirements
All you need to open a bank account is:
- A valid ID or passport
- Proof of address
- Proof of income, which may be necessary in case you require debit or credit cards
You can open an account from abroad, as many banks offer online accounts. For example, BGL BNP Paribas offers both in-person and 100% online account. You can apply for it online, upload all the necessary documents and sign your contract, without ever entering the bank branch in Luxembourg.
What is offered
In addition to a current account, you can open several different types of savings accounts with most banks. Your employer may also offer a form of tax protected savings account at your own or another local bank.
Luxembourg exempts a certain amount of savings account interest from income taxes, and there’s a variety of savings plans available designed to permit you to save money for a deposit on a house. Young people and students also benefit from various discounts and advantages.
With deposit accounts you must be prepared to invest for a period of time, which can be up to 12 months for some accounts and over a year for others. Some employer-related savings plans require you to invest for several years before you can make withdrawals. A minimum deposit is usually required and, in general, the longer the term, the higher the return.
This article is an extract from Living and Working in Holland, Belgium & Luxembourg.