Bank Account in Israel
Whether you are planning to make Aliyah or seeking to invest in Israel, opening a bank account is a crucial step in securing your future home. Let's explore why this process is essential for both scenarios:
Aliyah: If you have recently arrived in Israel, opening a local bank account is necessary to receive the benefits provided to new Olim, such as the absorption basket or sal klita.
Investors or Prior to Aliyah: Initially, you may be able to manage without opening a bank account. You can still purchase a property and even obtain pre-approval for a mortgage. However, for future outgoing payments, including taxes, fees, and monthly expenses, as well as for transferring funds to Israel, having a local bank account becomes indispensable.
By establishing a bank account, you will gain the convenience and peace of mind needed to handle financial transactions associated with your home in Israel.
If you are unable to physically visit Israel, there are alternative options for opening a bank account and conducting basic operations, including remote property purchases. You can utilize the assistance of a trusted lawyer, relative, or close friend to open a trust account and carry out necessary transactions.
We work closely with several prominent Israeli banks that cater to foreign clients, such as Hapoalim, Discount Bank, Mizrachi Tfachot, and others. These banks provide convenient services tailored to non-residents and individuals planning to move to Israel.
How to open a bank account?
To open a bank account in Israel, you can visit one of the banks in your area. You will be required to provide specific documents and make a small deposit. If you are currently residing in a temporary location, it is advisable to visit a branch near your intended place of residence. Unlike in some other countries, certain actions may necessitate your physical presence at your original branch and cannot be completed at other branches of the same bank.
In cases where visiting Israel is not possible, our team of lawyers can assist you in opening a trust account and facilitating any necessary payments on your behalf.
Can a foreigner open a bank account in Israel?
Foreigners are indeed eligible to open bank accounts in Israel. Dedicated branches of various banks cater to non-residents living abroad or planning to relocate to Israel.
What bank should I choose?
When selecting a bank, we recommend choosing a branch in close proximity to your home or intended place of residence, as you may need to visit the branch frequently during your initial period in Israel.
How does a non-Israeli open a bank account in Israel?
The process for a foreigner to open a bank account in Israel involves submitting an application at one of the designated branches. You will need to provide specific documents and make a small deposit. If you are unable to visit Israel, our lawyers can assist you in opening a trust account and handling any required payments.
What is a trust account?
A trust account, also known as an account in trust, is a financial account managed by a trustee (typically a lawyer) on behalf of a client for the purpose of making payments to designated parties without the client's physical presence. Trust accounts are commonly used by buyers who wish to remotely purchase property in Israel without visiting in person.
How to transfer money to Israel?
To transfer money to Israel, the most convenient method is to make a direct transfer from your bank account to your trust account or bank account in Israel. To avoid potential tax-related issues, ensure that the transfer originates from your personal bank account rather than a company or a relative's account. Additionally, there are broker companies that offer lower exchange rates for money transfers to Israel. When utilizing a currency broker, it is important to verify that the company is licensed and regulated by the Israeli Capital Market Authority.
Can a foreigner get a credit card in Israel?
Foreigners can obtain an Israeli credit card when they have a bank account with one of the Israeli banks. You can request a credit card, which typically also functions as an ATM card. However, it is likely that a certain amount will need to be deposited into the account as a prerequisite.
Feel free to contact us, and one of our bank managers will promptly assist you.