If you're moving to Indonesia, the chances are you'll want to open a local bank account. This can make it a lot easier to manage your spending, receive payment from locals in the country, and reduce transaction fees that tend to come with international cards and transfers. This article outlines the key points you should be aware of when opening your bank account in Indonesia.
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Speak with an advisorHow to choose a bank in Indonesia
Indonesia is home to a mix of local and international banks. While several international banks operate in the country, their retail services are often limited and may focus on priority or corporate clients. So in reality, most expats choose to open accounts with well-established local banks.
The most popular local banks offer extensive branch networks, reliable mobile banking apps, and access to nationwide ATM systems. In major cities and expat hubs such as Jakarta and Bali, you'll also be able to receive service in English, although this does depend on the branch and staff availability.
When choosing a bank, you should consider:
- Proximity to your home or workplace.
- Availability of English-language support.
- Online and mobile banking functionality.
- ATM network coverage and transfer limits.
Popular local banks in Indonesia include Bank Mandiri, Bank Negara Indonesia (BNI), Bank Danamon, and Bank Central Asia (BCA). Experiences can vary by branch, so seeking recommendations from other expats already in the country for a while, or from your employer, can be helpful.
Bank Mandiri is the largest bank in Indonesia in terms of assets, staff and branches. It is, therefore, considered a safe option, offering a wide range of financial solutions and services such as fast international transfers and transparent fees.
Otherwise, Bank Negara Indonesia, one of the largest banks in the country, is the first bank owned by the Indonesian government.
As for Bank Danamon Indonesia, it is best known for its microfinance operations, and its features include zero monthly fees and zero account maintenance fees if you have a minimum balance.
Finally, there's Bank Central Asia (BCA). The latter is mainly known for providing its account holders with a card that features a refund option called "Cash out".
International banks
There are a number of international banks that are active and officially regulated in Indonesia (listed below), but they tend to play a smaller role than local banks, and often focus on more specialized, corporate services rather than mass retail banking. With that in mind, it's best to go with a local bank.
Here are the international banks you'll find operating in some form or another in Indonesia:
- Standard Chartered (UK-based)
- HSBC (Hong Kong/UK)
- DBS and UOB (Singapore)
- OCBC NISP (majority owned by OCBC Singapore)
- ICBC and CCB (China)
- Shinhan, KEB Hana, Woori (Korea)
- MUFG, Mizuho, Resona (Japan)
Bank charges in Indonesia
Bank fees in Indonesia vary depending on the institution and the type of account. When opening an account, you may be required to make an initial deposit and maintain a minimum balance to avoid monthly administration fees.
Common charges may include:
- Monthly account maintenance fees
- Fees for falling below the minimum balance
- ATM withdrawal fees, particularly when using machines outside your bank's network
- Interbank transfer fees
Domestic transfers within Indonesia are generally quite affordable, but international money transfers through local banks can be quite expensive, often involving both flat fees and percentage-based charges. Because of this, a lot of expats choose to combine a local account with international payment services for cross-border transfers.
You should review your bank's published fee schedule carefully before opening up an account.
Banking built for life abroad
As a bank focused on those living and working abroad, HSBC Expat offers expert banking and wealth management services, providing expats with a secure, central place to easily manage and grow their money, no matter where they move.
Speak with an advisorRequirements to open a bank account in Indonesia
Opening a bank account in Indonesia is possible for expats, but the process is more regulated than it may initially appear, and eligibility depends largely on your immigration status.
In most cases, banks require foreign applicants to hold a temporary residence permit (KITAS) or a permanent residence permit (KITAP). Visitors on more short-term visas, including tourist visas or a Visa on Arrival, usually won't be able to open a local bank account.
Requirements vary by bank, but commonly include:
- A valid passport.
- A KITAS or KITAP.
- Proof of residence in Indonesia (such as a rental agreement or letter of domicile).
Some banks may also request:
- A tax identification number (NPWP), particularly for salary or long-term accounts.
- A letter of employment or recommendation from your employer.
- Passport-sized photographs.
- A local contact number.
Minimum deposit requirements differ widely depending on the bank and account type. While some standard accounts require a relatively modest deposit, expats are often offered account types with higher minimum balance requirements, especially at international or premium banking divisions.
Some basic savings products at BRI can be opened with around IDR 50,000-250,000, Mandiri often asks for around IDR 100,000-500,000, and BCA typically requires around IDR 500,000 for a standard savings account. For the latest rates and potentially any deals, it's best to walk in to your local branch and check with them.
Processing times will also vary. While some accounts can be opened within a few days, others may take longer, depending on internal compliance checks and document verification.
Good to know:
Bank accounts are usually linked to a specific branch. So if you move to a new address within Indonesia, you may need to update your details and provide new proof of residence.
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