How to open a bank account in Bangladesh?

In our country, till now 61 scheduled commercial banks are operating under full control and supervision of Bangladesh Bank, Central banks of Bangladesh. Mainly these Scheduled Banks are categorized into two types:

1. Conventional Banking and
2. Shariah Based Banking

Now we have 51 conventional banks and 10 Shariah Based Banks. Among 51 Conventional Banks they are providing Shariah Based Banking services by opening an Islami Banking window.

Types of Bank Account:

Formalities and required documents for opening a bank account are almost the same for all banks. And it is a matter of joy that Bangladesh Bank simplifies the account opening form of banks and introduces a unified account opening form in 2017 as part of the government’s efforts to get people to come under the formal financial platform. Mainly Banks are operating three types of Accounts;

1. Transactional Account.
2. Deposit Account and
3. Loans and Advances Account.

Here we are talking about transactional accounts and Deposit Account. Mainly customers are introduced to the bank by these two types of accounts. Transactional accounts are those which allow the customer everyday transaction for individual transactions as well as institutional. And the deposit account is offering the customer special benefits for specific periods of time i.e. 01 month, 03 months, 06 months. 12 months and above. 

We generally known these accounts by the names as PPS, DPS, FDR, MFD, and in shariah based banking deposit accounts are named Mudaraba Term Deposit Account (MTDR), Mudaraba Special Savings (Pension) Account (MSSA), Mudaraba Monthly Profit Deposit Account (MMPDA), Students Mudaraba Savings Account (SMSA), Mudaraba Farmers Savings Account (MFSA) etc.

Formalities to open a bank account in Bangladesh:

Conventional and Shariah Based banking account opening formalities and required documents are the same. Usually a customer has to bring with them the following documents;

01. NID/Passport/Driving License/Birth Certificate (original to be presented for verification)

In case of birth certificate; Birth Certificate along with additional certification on identity with photograph(s) attested by any of the following respected individuals:

• Member of Parliament;
• Mayor & Counselor of City Corporations/Municipalities
• First Class gazetted Officer
• Teacher of Public Universities;
• Chairman & Vice Chairman of Upazilla Parishad;
• Chairman of Union Parishad;
• Principal of Private Colleges;
• Headmaster of Government High Schools;
• Editor of National Daily Newspaper;
• Notary Public and
• 1st Class Official of semi-government/autonomous/nationalized organizations & nationalized/government owned Banks.

2. Two copies of recent Passport Size Photograph of the Account holder(s) attested by the introducer.

3.  Electricity Bill / WASA Bill / Gas Bill / Telephone Bill / Current Rent or lease Agreement / Certificate of Employer / Holding Tax receipt from City Corporation or Municipality / TIN or BIN Certificate as a proof for Address (original to be presented for verification).

4. For Expatriates account including above documents, work permit/employment certificate /approval for self-employment from the competent Authority along with visa and passport details.

5. And for the foreign nationals; Approval from relevant regulatory authorities, Constitutional documents for Companies or firms, Form QA-22 (as per Bangladesh Bank format) to be obtained in duplicate.

Read Also: What are the Documents Do I Need to Open a Limited Company Account?

When you go to the respective bank with these documents the responsible Relationship officer verifies and scrutinize these documents and give you desired account opening form you need to;

01. Duly filled Account Opening Form which is provided by the respective bank. (to be signed by the Applicant in front of Bank’s Official)

02. Duly signed specimen signature card.

03. And deposit the initial deposit amount to the cash counter.

Charges for Bank account operation:

Now we know about fees and charges imposed by the bank and government specially in a year for maintaining a bank account;

01. Account maintenance fee: Account maintenance fee decided by the Bangladesh Bank.

02. SMS alert fee: Some banks charge SMS alert fees monthly and some are charged annually.

03. Online service charge: Some banks charge Online service charges depending on transaction amount, some are charged half-yearly and some are charged annually.

04. Entertainment Charge etc.: Other than above mentioned charges some banks impose various charges depending on service like bank certificates, a/c statements and so on.

Government imposed fees and charges;

01. Source Tax; You have to pay 15% of your earnings from a bank as interest or profit from your deposit or 10% if you are a government taxpayer.

02. Excise Duty; Excise duty has to be paid once in a year which is determined by the government. Present rate of excise duty;

That’s all for opening a bank account. Nothing to worry bank officials are cordial about it. You can seek help from any bank official if you are nervous and need more information about your bank account.