Open a bank account in Indonesia in 6 steps (for foreigners)

Do you rent out real estate property in Indonesia? Handling bookings and receiving payments is an essential part of managing your property. Foreigners can benefit from having an Indonesian bank account. Especially when you run a business in Indonesia, it’s beneficial to have a bank account that can receive the official currency of Indonesia, the rupiah (IDR). Foreigners can open an individual or business bank account in Indonesia. This article will explain everything you need to know about banking in Indonesia.

6 steps to open a bank account in Indonesia

Opening a bank account in Indonesia isn’t hard; you have to follow these steps:

1. Choose the bank to open a local bank account
2. Go to the physical office to apply for the bank account
3. Show the required documents and fill in your personal data
4. Deposit IDR 500,000 ($32.50)
5. Install the online banking application on your smartphone
6. Receive your debit card

Unfortunately, foreigners can’t open an Indonesian bank account online. You can open a local bank account at the nearest bank office.

Which bank should you choose to open a bank account at?

There are a lot of different banks in Indonesia. Mandiri Bank, Bank Central Asia (BCA), Citibank, Bank Danamon, Maybank, PermataBank, Hongkong Shanghai Banking Corporation (HSBC), and Bank Negara Indonesia (BNI) are a few of the banks used by Indonesians. 

Of all banks, Bank Mandiri is the largest bank in Indonesia when it comes to assets and branches. You will find a branch of Bank Mandiri in every Indonesian city or town, which makes it very easy to get help when you have any problems. BNI is also one of the largest banks and the first bank owned by the Indonesian government.

PermataBank is the most accessible bank to open a bank account for foreigners. You only need a copy of your passport and a copy of your KITAS or KITAP. Opening a new bank account at PermataBank will take just a few hours, while other banks can take days or weeks. The difference in time is because foreigners need to fill in a lot of paperwork at other banks when they want to open a bank account there. Below is a list of the best Indonesian banks for expats and foreigners.

Bank Central Asia (BCA)

SWIFT/BIC code: CENAIDJA

BCA is one of Indonesia’s biggest banks, with many branches and ATMs. The large number of branches and ATMs make it easy for foreigners to open a bank account at BCA. The bank offers different products, from savings to banking accounts, for individuals and businesses.

Bank Mandiri

SWIFT/BIC code: BMRIIDJA

Bank Mandiri is the largest bank in Indonesia and has the most branches. Opening an account at Mandiri might be very attractive for foreigners who want to own a Rupiah bank account. The bank has a smartphone application lets you send money to other accounts within seconds. Mandiri offers individuals and corporations payment solutions such as debit cards, credit cards, and bank accounts.

Bank Negara Indonesia (BNI)

SWIFT/BIC code: BNINIDJA

The Indonesian government owns BNI, and the bank has branches in Indonesia and internationally (in London and New York, for example). Foreigners can open a bank account at BNI, though it might be challenging as more paperwork is needed.

PermataBank

SWIFT/BIC code: BBBAIDJA

The easiest way for foreigners to open a bank account in Indonesia is at PermataBank. You only need to show your passport, KITAS or KITAP, and proof of residence. Clients can use the PermataMobile X smartphone application to send money to other bank accounts and pay bills with a QR code. You can use PermataBank as an individual or as a business.

Banking fees in Indonesia

Indonesian banks charge a monthly fee of IDR 15,000 ($0.98) to IDR 20,000 ($1.30). You can withdraw money from almost any ATM, though some banks might charge an extra fee for using their machine. You can send Indonesian Rupiah to other Indonesian bank accounts for free. However, you might have to pay an additional fee for sending money abroad. Besides that, the bank will use its exchange rate, which may be unfavorable for you and cost a lot of money.

Requirements to open a bank account in Indonesia

The requirements to open a bank account in Indonesia depend on your chosen bank. Usually, a bank account can be opened within one day, though it might take days or weeks to prepare all the correct documents. Most foreigners spend less time with PermataBank.

Required documents

For any bank, you must show your passport, residence permit (KITAS or KITAP), and proof of residence in Indonesia. Some banks might also require you to deliver the following:

• Passport-sized photograph (4cm x 6cm)
• Residence contact number
• Domicile letter
• Bank certificate issued in your country of origin
• Letter of recommendation from your employer
• Existing debit or credit card

You must always make a minimum deposit of IDR 500,000 ($32.50) in your bank account. Once you have opened a bank account, you will receive an Indonesian debit card, which Visa or MasterCard issues.

Best bank for foreigners in Indonesia: Wise

Foreigners who live in Indonesia benefit the most from a Wise bank account. Wise offers a multi-currency account with a debit card that allows you to hold 50 different currencies on the same card, which is ideal for people who want to send, spend, and receive money in foreign currencies. Opening an IBAN bank account in just a few seconds is also possible.

Multi-currency bank account with low fees

The most significant benefit is that holders of a Wise multi-currency bank account can convert currencies cheaply. Once converted, you can use the money in the corresponding country without paying the local conversion rate. You can withdraw Indonesian Rupiah from Wise at almost any ATM in Indonesia. Some banks charge an extra fee for using their ATM, although it’s mostly free.

Receive Indonesian Rupiah (IDR)

You can spend or send currencies to foreign bank accounts and receive different currencies. That’s ideal for people who own property in Indonesia and rent it on platforms such as Booking.com or Airbnb. Guests who rent the property can pay in the currency they want to use, making it easier for them to make a booking.

How can you open a bank account at Wise?

Everybody can open a bank account at Wise by clicking here. You need to select if you want to open an individual or business account and fill in your email address, password, and country, whereafter you’re ready to go.

Conclusion

Foreigners can open a bank account in Indonesia only when they have a temporary or permanent stay permit (KITAS or KITAP) in Indonesia. Several banks provide services to foreigners, like Bank Mandiri, BCA, PermataBank, and BNI. The easiest way to open an Indonesian bank account as a foreigner is through ParmataBank, which requires fewer documents.

Most foreigners might benefit the most from a Wise multi-currency account, as a Wise account lets you use over 50 currencies on the same debit card. Ideal when you rent out property in Indonesia and want to be able to receive payments in foreign currencies.

Frequently Asked Questions (FAQ)