Banking sector quality has dropped to a moderate satisfactory level following the Anti Money Laundering regulations forced by the European Union. The anti-money laundering and counter financing of terrorism regulatory and supervisory framework of Cyprus are subject to assessments by the Moneyval Committee of the Council of Europe. That means that the banks pay more attention to gathering the DDDs information following the KYC procedures as instructed in the 5th AML Directive.
The online banking services of all major banks in Cyprus meet the highest standards; some of them have been accredited by international banking institutions for their services and their high standards.
We aim to provide the best quality services and to open a bank account within 10 days from the day of the submission. CAUSE Audit Services Ltd is following internal policies and procedures to be in alignment with the 5th AML Directive policy.
Banks in Cyprus we corporate (in alphabetical order):
- Ancoria Bank
- Astro Bank
- Bank of Cyprus
- CDB Bank
- Hellenic Bank
- RCB Bank
Who is eligible to open a Cyprus bank account?
Any physical person who is over the age of 18 years and any legal entity (Cyprus Company or corporation) is eligible to open a bank account.
Can you do the process online?
The Cyprus banking system went through a lot of changes over the years and modernization and digitalization of the account opening process is now possible online.
Foreign citizens and investors that are interested in setting up a company here can initiate the procedure online before arriving in the country. Of course, from our company's experience when you are trying to obtain a bank account it is good to have an interaction with the bank, skype call, etc.
What is the Procedure for Opening a Cyprus bank account?
In this article you will find the necessary documents and information regarding the opening of a Cyprus bank account, those documents are requested by the bank as part of their due diligence and compliance procedure. Each bank's requirements may slightly differ from bank to bank.
This article informs about the necessary documents and information required for the opening of a bank account in Cyprus or elsewhere. Documents and information generally requested as a minimum requirement for due diligence and compliance procedures in the context of the application for a Cyprus bank account are listed below. The requirements may slightly vary from bank to bank. Any information for the documents is based on the provisions of the 5th Anti-Money Laundering Directive.
Personal Documents required by the bank:
- Apostilled Copy of Passport or ID preferably by a lawyer in your country of residence
- Recent Utility bill (less than 6 months old) in English Language or translated by an approved translator.
- Curriculum Vitae (CV)
- Source of Wealth Declaration
- Tax Clearance
The banks will run a background check to make sure that the candidate is honest about their past employment, qualifications and to ensure that the client is not convicted anywhere in the world. Technology plays a vital role in identifying offenders worldwide; most banks are using screening platforms that are compliant with FATCA. Once the screening is made for the individuals the banks are obtaining documents for the company:
Company's Documents required by the bank:
- Company's address
- Company's principal activities
- Company's website
- Invoices from Suppliers or invoices to clients
- The Articles of Association, the Certificate of Incorporation and the Shareholder Certificate of the company; Certificate of registered office & Certificate of Directors and Secretaries.
- Application form released by the bank (each bank has its model of application).
After the Company's Documents examination, the bank will need to examine the company's flow of money and they will require quality information to be presented to them about payments. Therefore they will request to see the following:
- Purpose of payments
- List of the company's main suppliers
- Domain addresses of the supplier's websites
- Information and documentation about the products and services acquired.
With regards to the company's receipts the bank will need to know:
- The company's clients (who will be)
- Review the client's websites
- Understanding of the company's services/products
- Agreements of companies with clients
How can we assist?
- Bank Application and questionnaire completion.
- Preparing the relevant documentation to be sent to the bank for approval
- Promoting account opening and being in communication with the bank until the bank account opening.
Once the bank obtains all the necessary documents and reviews them, they will liaise with us, the bank introducers to inform us regarding the bank's decision to open a bank account
Originally published 29 March, 2022
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.