How to Open a Singapore Bank Account for US Citizens
If you’re looking to open a Singapore bank account as a US citizen, you’ve come to the right place.
Singapore is one of the most stable and desirable banking jurisdictions out there. But unfortunately, that also means it’s one of the most difficult to get into.
This is especially the case for US citizens, for whom it’s especially challenging to open Singaporean bank accounts. In fact, if you don’t know where to go, it can seem impossible to open an account in the country.
KEY TAKEAWAYS:
- Most banks in Singapore are not FATCA compliant
- US citizens need to complete strict screening processes
- Large deposit amounts can lead to account opening difficulties
- US citizens can only access certain investment products
- The requirements for US citizens are different than other non-resident clients
Luckily our team has a lot of experience helping US citizens overcome the obstacles to opening bank accounts in Singapore. In this article, we’ll share how to navigate the process of opening Singapore bank accounts for US citizens. And, what you need to successfully open accounts here.
Is it Possible to Open a Singapore Bank Account as a US Citizen?
Yes, you can open a Singapore bank account as a US citizen. But you need to know which banks accept US clients. Then you need to meet specific requirements and overcome an intense due diligence process. Read on for how to open Singapore bank accounts for US citizens.
But, before diving in, if this is your first time visiting GlobalBanks, don’t forget to download your FREE Non-Resident Banking Starter Guide. It’s designed to help non-residents open accounts in top banking hubs around the world.
Why Open a Singapore Bank Account for US Citizens?
Let’s be absolutely clear from the start, for the average US citizen, opening a bank account in Singapore is probably not worth your while. It’s expensive and time-consuming. You’ll have to make a large deposit and jump through many hoops in order to open an account.
However, for some people, high-net-worth individuals, in particular, having a Singapore bank account can be very advantageous.
This is because Singapore is hands down one of the best options for diversifying your assets. The jurisdiction has one of the most stable economies in the world and the banks are incredibly well managed and conservative.
So if you can overcome the barriers put up against US citizens to open an account in Singapore, you’ll be able to tap into a number of lucrative benefits.
Before we dive into these benefits, let’s first look at the reasons why US citizens want to open a bank account in Singapore.
Reasons to Open a Singapore Bank Account for US Citizens:
US citizens may choose to open a bank account in Singapore because they…
- Are interested in purchasing real estate in Singapore
- Work in Singapore
- Frequently travel to Singapore
- Are looking to access high-net-worth private banking services
- Are seeking diversification
As mentioned, opening a bank account in Singapore as a US citizen can offer lucrative benefits. Here’s a look at some of the most sought-after banking benefits you can tap into when you open a Singapore bank account as a US citizen.
Benefits of Opening a Bank Account in Singapore as a US Citizen:
- Enhanced asset protection due to strict rule of law
- Deposit insurance up to S$50,000
- The ability to open accounts remotely (varies by bank & client profile)
- Access to high-quality banks with exceptional customer service in a highly respected banking jurisdiction
- The security of political and economic stability
- Access to high-end private banking services
- And more…
Note that part of what makes Singaporean banks so stable and reputable is that they are very strict with who they accept as clients. Because of this, it can be very challenging to open a Singapore bank account, especially as a US citizen.
Read on as we’ll share the common challenges US citizens need to overcome in order to open accounts and benefit from banking here.
Challenges of Opening a Singapore Bank Account for US Citizens?
As mentioned above, it is not an easy process to open a Singapore bank account. The banks here know how desirable they are, and they can afford to be picky about who they let in.
As a result, the due diligence process is very strict. You will be required to provide a number of documents to support your application. Not to mention, make a large initial deposit in order to open the account. And unfortunately, for US citizens, in particular, there are many more obstacles to opening an account than there are for non-US citizens.
With this in mind, let’s look at the top three challenges US citizens face when applying to open a bank account in Singapore.
FATCA Compliance Systems:
If you are not aware of the Foreign Account Tax Compliance Act, commonly known as FATCA, it’s important to understand how this compliance system can impact you, as a US citizen, before applying to open accounts outside of the US.
FATCA is a law that required all banks that serve US customers to report certain activities to the US government. In an unprecedented move, this law suddenly placed a huge compliance burden on banks across the world and forced them to decide whether or not it was worthwhile to continue serving US customers.
While being open to US customers means more business, it now also means that you need a whole compliance department dedicated to keeping up with FATCA reporting requirements.
Not only does this mean significantly higher expenses, but also a great deal of risk. Because if a bank slips up on any of its compliance measures, it can be fined millions of dollars in penalties.
As a result, some banks decided that it was worth dealing with this additional compliance burden in order to keep working with US customers, while some decided that it wasn’t. The latter closed the accounts of all of their US customers and now refuses to open new accounts for anyone with a US passport or residency.
Even the banks that do accept US customers are still very difficult to open accounts with. Because if any of their US customers do anything wrong, the bank too can be on the hook with the US government. So before taking anyone on, the bank wants to be absolutely certain that a potential customer is reputable.
Hopefully, this makes it crystal clear why opening a Singapore bank account as a US citizen is such a tricky affair.
Restrictions on Investments and Services:
In addition to the fact that a number of Singaporean banks have chosen not to work with US citizens, many banks are not registered with the US Securities and Exchange Commission (SEC).
This means that even if you’re able to start a bank account with one of these banks, by being a US citizen, you may not be able to access Singaporean investment products and services with the account.
So, if you’re looking for specific investment products, you really need to do your homework before applying. You’ll need to find banks that not only offer the investments you’re after but banks that comply with both FATCA and SEC.
Large Deposit Levels for Being a US Citizen:
Whether you’re a non-US citizen or a US citizen, opening a bank account in Singapore can be very expensive.
Typically the deposit requirements for banks in Singapore will be upwards of $10,000. Though, there are some ways to get in for less than this.
But, as a US citizen, you’ll likely be required to deposit a higher than usual amount. While the banks may not say this outright, they do this to offset the additional costs of FATCA and SEC compliance.
And if it weren’t enough to find a bank that takes US customers, is registered with the SEC, and has deposit requirements you can meet, on top of it all, in order to successfully open a Singaporean bank account, you need to be able to demonstrate to the bank that you will be an attractive, profitable customer to them.
Now despite these challenges, it is 100% possible for a US citizen to open a bank account in Singapore. You just need to know where to go and how to apply to demonstrate that you will be a valuable client to the bank.
In the section, we’ll cover how to do this and more.
How to Open a Singapore Bank Account for US Citizens
Like banking anywhere, to open a Singapore bank account you need to meet specific bank requirements. But that’s not all. You will also need to submit proper supporting documents and overcome the strict due diligence process.
Here are some of the common documents you’ll need to submit when applying for a Singapore bank account as a US citizen.
Required Documents to Open a Singapore Bank Account as a US Citizen:
- Bank application forms
- Government-issued identification
- Reason for wanting to open a bank account in Singapore as a US citizen
- Proof of income & source of wealth
- An initial deposit (amount varies by bank)
Though it is possible for US citizens to open bank accounts in Singapore, as you can see by now, it’s not a simple process.
Fortunately, we’ve already done the heavy lifting for you. Our team has worked with many US citizens to open Singaporean bank accounts. We’ve outlined several proven strategies on how to successfully open accounts in Singapore as a non-resident in our advanced banking report “Banking in Singapore: Global Banking at Its Best (And How to Get In)”.
These strategies include methods to apply for (and open) Singapore bank accounts for non-resident individuals and their businesses. We even share how to open accounts 100% remotely.
These strategies can be unlocked when you become a member of our international banking platform, GlobalBanks IQ.
Like banking anywhere, to open a Singapore bank account you need to meet specific bank requirements. But that’s not all. You will also need to submit proper supporting documents and overcome the strict due diligence process.
Here are some of the common documents you’ll need to submit when applying for a Singapore bank account as a US citizen.
Required Documents to Open a Singapore Bank Account as a US Citizen:
- Bank application forms
- Government-issued identification
- Reason for wanting to open a bank account in Singapore as a US citizen
- Proof of income & source of wealth
- An initial deposit (amount varies by bank)
Though it is possible for US citizens to open bank accounts in Singapore, as you can see by now, it’s not a simple process.
Fortunately, we’ve already done the heavy lifting for you. Our team has worked with many US citizens to open Singaporean bank accounts. We’ve outlined several proven strategies on how to successfully open accounts in Singapore as a non-resident in our advanced banking report “Banking in Singapore: Global Banking at Its Best (And How to Get In)”.
These strategies include methods to apply for (and open) Singapore bank accounts for non-resident individuals and their businesses. We even share how to open accounts 100% remotely.
These strategies can be unlocked when you become a member of our international banking platform, GlobalBanks IQ.