Guide to the use of online banks in Spain

The largest and most popular banks in Spain are CaixaBank, BBVA, Santander, and Sabadell. These banks often have offline offices where employees can book an appointment for inquiries. However, online banking is also an emerging trend in Europe. This new type of bank service can also benefit the life of Expats.

1. What benefits do online banks have?

2. What types of online banks can you choose from?

3. What are the inconveniences of these banks?

1. What benefits do online banks have?

• Online Banks usually ask for fewer documents: If you want to open an account in traditional offline bank services, you will be asked for your NIE/TIE card. This is very annoying because it probably might take months for you to have an NIE/TIE card. And before that period, you might need to take out your money and pay in. However, usually with a passport, you can open an account in an online bank.
  • A short recall: NIE/TIE card is a necessary document that facilitates your stay in Spain. Here at Innoinsure, the official international office of Adeslas, we offer the No.1 visa insurance (NIE/TIE insurance) that meets the requirements of the Spanish consulate.
• Online banks usually charge lower commissions or have lower-cost plans:
  • Since online banks are newly opened services, they usually offer zero-commission plans to attract new users. Although with limited functions, it can fulfill the daily needs of most users.
  • Some online banks also collaborate with other apps such as fashion sites, and food-delivering services to offer you exclusive discounts.
  • Some traditional bank services require you to buy life insurance to open an account. However, this is not often the case for online banks.
• Online banks do not usually require you to book an appointment personally: When dealing with offline banks, you usually need to make appointments for every single issue. On the contrary, online banks are usually equipped with more advanced technologies, mainly offering services to clients electronically. This is a big advantage because you can solve the problem with a chatbot or a WhatsApp message.
• Online banks have averagely high efficiency: One of the requirements of renewing a residence is to have sufficient financial means. This is always manifested by the euros you have in a Spanish bank account. This is a requirement so easy to be ignored that many people do not realize that they need to have a Spanish bank account (which means that the bank should operate in Spain) when their NIE/TIE card is about to expire. If you are faced with such a situation, the best option is to do it with an online bank account because they have many efficient services such as fast account opening, swift money transfer, and fast card delivery.

2. What types of online banks can you choose from?

• Partially online options:
  • In the Spanish banking service market, there are cards with hybrid services, which permit you to most services online but still offer you the opportunity to be attended to offline.
  • ImaginBank is a hybrid banking service created by CaixaBank. Usually, you can apply for the card online, but you can also be attended to at whatever office of CaixaBank if you want. By being a client of ImaginBank, you also become a client of CaixaBank with all the benefits such as free access to imagine study area or free tickets to museums financed by CaixaBank.
• Completely online options: There are also complete online options where you need to finish all the consults online. You can use the card to take out the money in offline ATMs but you cannot be attended offline because they don’t have offline offices. The available options are N26, Revolut, and ING. Although they are not Spanish companies, they operate in Spain.

3. What are the inconveniences of these banks?

• They usually offer limited services: Do you want to ask for a mortgage, contract insurance, or invest in any financial products? Then you should check if these banks can fulfill your needs before opening an account. Because they usually don’t have those extensive services like normal banks.
• Some people might feel insecure about online banking services:
  • It’s normal for some people to not trust online bank services 100% because they are only familiar with banking services with a human touch. If this doesn´t seem appealing to you, this might not be your option.
  • Some people perceive online banking services as a temporary solution. They will start using other traditional banking services when they can.
• Be aware of tax problems: Although you use online bank services, you should still assure that the money you receive and get is clean and can be justified. Don’t forget to state your income to avoid any problems.

If you would like to know more about this topic, check out one the blogs listed below:

• How to apply for the student NIE/TIE in Spain for the first time?
• Guide to understanding Spanish paychecks
• Guide on how to open a bank account in Spain

Our content will be updated according to the most recent legislation. Last update: 26/07/2023