Guide to Opening a Bank Account in Indonesia

Opening a personal or business bank account in Bali or anywhere in Indonesia is essential for smooth financial transactions. Using an international bank account can incur high fees, so having an Indonesian account is advantageous, especially for those relocating or starting a business here. Indonesian banks also offer multi-currency accounts to simplify payments and invoicing.

Steps for Opening a Personal Bank Account

In Indonesia, only residents with a KITAS or KITAP can open bank accounts. While tourists and those on business visas are not officially allowed to open an account, some banks allow it with an Indonesian sponsor.

Required Documents:

1. Passport
2. KITAS (Limited Stay Permit)
3. SKTT (proof of address)
4. Local phone number

With these documents, the process is relatively quick. In most cases, you can have an account and debit card ready in under an hour. However, note that Indonesian debit cards may have limited functionality for online transactions, which sometimes require a credit card. To obtain a credit card, banks typically require proof of employment or an active business, plus a security deposit.

How to Open a Corporate Bank Account

For those establishing a business, a corporate bank account is essential for operational activities. The director of a PT PMA (Limited Liability Company) with a KITAS can open an account on the company’s behalf. Some banks may offer assistance to open the account before the KITAS is fully processed.

Required Documents for a Corporate Account:

1. Company Deed (Akta)
2. Tax Card (NPWP)
3. SK (Ministry Approval)
4. NIB (Business Identification Number)
5. PKKPR (if applicable)
6. Director’s KITAS
7. Local phone number

The setup process typically takes 1-4 business days once all documents are provided, and a minimum deposit is required, which varies by bank. Multi-currency accounts are available, but it’s advisable to clarify currency needs with bank representatives beforehand. Corporate cards may be limited; some banks offer only credit cards, which require guarantees, while others like Permata and BNI may offer debit options.

Online and Alternative Banking Solutions

Indonesia’s established banks, including BNI, OCBC, Permata, and BCA, are complemented by emerging fintech options. Neo-banks offer virtual accounts and virtual debit cards with user-friendly, flexible interfaces and lower fees. However, these accounts may not support cash withdrawals.

Combining traditional and digital banking can give businesses flexibility in managing transactions and payroll.

Payment Gateways and EDC Machines for Business

For online payments, Indonesian-based gateways like Xendit provide alternatives as international options like Stripe aren’t available. These gateways can integrate with websites, charging 2-3% per transaction.

Physical businesses benefit from EDC machines (credit card readers). Most banks provide these, though different machines may be used for different card providers due to varying bank fees. Although surcharging for card payments is common, it is illegal under Indonesian law, and businesses that apply extra fees risk fines.

With The Agency Bali, you have access to a network of trusted partners who can assist with bank setup, payment solutions, and ongoing financial management, ensuring a seamless experience as you settle into Indonesia’s dynamic market.