How to Open a Bank Account in Turkey

How to open a bank account in Turkey for foreigners is one of the frequently asked questions by people investing in or moving to Turkey. With the right documents and steps, it is possible to open a bank account in a short time. In this article, we will explain the necessary documents and requirements on how to open a bank account in Turkey, explain the differences between opening a corporate bank account and an individual account, and answer questions regarding opening a bank account in Turkey.

What is a Bank Account?

A bank account is a type of account that allows an individual or legal entity to conduct financial transactions such as depositing money, withdrawing money, making payments, or transferring funds through a bank. Opening a bank account and keeping it active are among the basic services of banks, and these services are provided free of charge. So, no fee is charged for opening a bank account in Turkey. However, a pre-determined commission may be charged for financial transactions such as EFT and wire transfers.

Opening a Bank Account in Turkey

Primarily, you select a bank and branch to open a bank account in Turkey. Anyone who submits the necessary documents to the selected bank can open a bank account. Minors under the age of 18 can open a bank account with the consent of their parents. The required documents for opening a bank account in Turkey include an identification document, proof of residence, proof of income, and other documents that the bank may require. These documents must be submitted to the bank to open the account. With advancing technology, many banks now offer online banking services, allowing customers to open bank accounts online.

How to Open a Corporate Bank Account in Turkey

The first requirement for opening a corporate bank account in Turkey is to own a company established in Turkey. Upon the completion of company registration, the company becomes a separate legal entity. Therefore, personal and corporate accounts are different and should not be used interchangeably.

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Individuals who wish to establish a company in Turkey can choose to set up a joint-stock company or a limited liability company. Once the company is established, an authorized signatory can open a corporate bank account in Turkey on behalf of the company using the signature circular. If directors are opening the bank account, the signature of either all managers or just one manager, depending on the powers defined in the company’s articles of association is required.

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Opening a corporate bank account in Turkey is required to comply with legislation. For instance, in joint-stock companies, 25% of the initial capital must be deposited into a bank account at the time of company establishment. Although there is no such requirement for limited liability companies, opening a bank account is generally necessary for facilitating transactions and ensuring security.

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The difference between opening a corporate and an individual bank account lies in the required documents. Generally, documents such as a tax certificate, identity card of the company representative, signature circular, and trade registry record are required for opening a corporate bank account in Turkey. However, required documents may vary depending on the bank and the type of company.

How to Open a Bank Account in Turkey for Foreigners

This section depicts how to open a bank account in Turkey for foreigners. Even though the procedure is similar, there are some differences in the required documents. Foreigners who want to open a bank account in Turkey must submit their passport, tax number, notification address, and any additional documents required by the bank. The passport, which is a mandatory document for foreigners, must be up-to-date. The tax number can be obtained by applying to the tax office with a passport and other identity information. The notification address is primarily the residence address; however, if the foreigner does not reside in Turkey, they must provide an address where notifications can be sent.

How to Open a Corporate Bank Account for Foreigners

Foreign legal entities with foreign partners can also open a bank account in Turkey, provided they meet the necessary requirements, just like individuals. Documents required for opening a bank account include a passport, signature circular, articles of association, incorporation and activity certificates, trade registry records, and, in some cases, licenses/permits. If these documents are in a foreign language, they must be translated into Turkish and certified by a notary, consulate, or other authorized institutions. Once all required documents, including any additional ones requested by the bank, are completed, the bank account can be opened. In the cases mentioned above, having a corporate bank account may be mandatory for commercial companies. It is recommended for foreigners who wish to establish a company in Turkey to open a bank account as part of the company formation process.

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How to Choose Among the Largest Banks in Turkey

For foreign investors establishing a company in Turkey, selecting the right bank is crucial for managing financial transactions efficiently and smoothly. The right bank does not necessarily mean the largest bank. Key criteria to consider when choosing a bank include ease of international money transfers, quality of services offered to foreign clients, digital banking infrastructure, and the bank’s branch network.

State Banks: Public banks such as Ziraat Bank, VakıfBank, and Halkbank are reliable options due to government backing and their extensive branch networks. However, their procedures are stricter compared to private banks, and the account opening process may take longer.

Private Banks: Private banks such as Türkiye İş Bankası, Garanti BBVA, Yapı Kredi, and Akbank typically offer more flexible procedures and faster transactions. Additionally, they provide English-language support services and advanced digital banking infrastructures, making them advantageous for foreign investors.

Participation Banks: Participation banks such as Kuveyt Türk, Albaraka Türk, and Türkiye Finans operate under Islamic finance principles and are suitable for investors seeking interest-free banking solutions.

Choosing the most suitable bank based on your company’s field of activity, transaction volume, and needs can save both time and costs. Most banks require trade registry documents, partners’ passports, signature circulars, and a Turkish address for opening an account. Some private banks offer the possibility of opening an account without being physically present in Turkey, provided certain conditions are met. To ensure a smooth process, it is advisable to check the bank’s document requirements in advance and seek legal assistance if necessary.

Frequently Asked Questions

Conclusion

In summary, opening a bank account in Turkey requires submitting the necessary documents to a bank. The required documents vary depending on the bank and the type of account being opened. Before applying, it may be good to confirm the required documents with the bank. There are two main types of bank accounts: individual and corporate. Although corporate bank accounts are not explicitly mandated by law, various regulations and practical necessities require their use. Particularly for foreigners setting up a business in Turkey, working with a business lawyer in Turkey can help prevent potential legal issues and ensure a smooth and efficient process.

For your inquiries or legal assistance regarding this matter you may contact us at info@paldimoglu.av.tr.