The procedure to open a bank account in Dubai involves a lot of formalities. A lot of paperwork needs to be filed and processed before a bank account can be opened. In Dubai, the formalities associated with opening a bank account can be extremely stringent.
There will be certain items that are absolutely necessary irrespective of the type of account being opened in a bank in Dubai.
- A Residence Visa is mandatory in order to open a bank account in Dubai. The visa shows that the person has the right to be in the country.
- A letter from the employer will need to be presented. This will be a letter of no objection. A no objection certificate or NOC will also suffice.
- The letter from the employer will need to state the salary of the person.
- Certain banks will also demand to see the tenancy agreement. This is also helpful because it acts as a proof of the residential address.
- A copy of the passport will be asked by nearly all banks in Dubai.
- Photographs to establish the identity of the person should also be taken.
- The dependents of the worker can open bank accounts but they will require explicit permission of the worker as he happens to be the sponsor. The dependents will include the wife and family members of the worker.
Most transactions that place in Dubai on a daily basis are facilitated through cash. People in Dubai tend to be wary of cheques. Some utility companies and other service providers do accept checks as personal payments. However, most people and retailers will rarely accept them as a form of payment. It is a crime in Dubai to issue a check if the account does not have requisite funds to complete the transaction. This is the reason why majority of the current accounts do not offer cheque books.
Savings and Deposit Accounts
A savings and deposits account can be opened with any bank in Dubai. There are no specialized banks that deal only in savings and deposits accounts. Savings accounts in Dubai do not offer a large rate of interest. Deposit accounts on the other hand can be opened with sizeable rates of interest. However, the saving accounts offer a number of conveniences.
- Saving accounts allow the user to withdraw money quite easily.
- A passbook can be given to the users in order to help them keep the records and the details of their transactions in the savings account.
- Some banks will provide the users with monthly statements.
- Users can avail the cash card which can be used at ATMs to get money.
- Some saving accounts also provide a credit card to the user as well. It usually depends on the bank where the account is being opened.
Just like the saving accounts, there are quite a number of deposit accounts available. The rate of interest varies from bank to bank. At the same time, the rates will also be dependent on the amount that is going to be deposited and the minimum period for the deposits. In most of the cases, the minimum period is a month. However, some banks can also pay the interest after a single week.
Some banks allow the user the benefit from the higher rates of interest in deposit accounts. However, the user will have to deposit substantial sums so that the account qualifies for the higher rates of interest. Standing order facilities can be offered by certain banks for these accounts.
Most banks in Dubai will allow you to open savings accounts created specifically for foreign currencies. The major currencies such as the American Dollar and the British Pound as supported. You will surely need some help and support in this regard if you are new to the whole system and want to get it right the first time. HLB Hamt could be your best partner in this regard. The team of experts in the field of Accounting and Finance will provide you even the minutest details that you need in this regard. With the auditing and advisory as a separate section, it is surely easy for almost anyone to open a bank account in Dubai.