Information on setting up bank account and much more…

by mfefadmin on September 6, 2008

Looking to set up a new bank account overseas? Wondering what paperwork you need and how simple the process is – or is not – then this thread will help if you are looking to go to Cyprus.

The headline of the thread is a little misleading as it goes on to cover a whole host of property related questions regarding Cyprus. However, it has to be said that the bank account issue is covered in great detail even though the level of identification needed seems to vary from institution to institution. Money laundering regulations are one of the main reasons for the tighter laws as well as the fact Cyprus needs to abide by EU laws like all other EU members.

The subjects of property, foreign mortgages, how to find the best deals and the many possible pitfalls are all covered in great detail. Like most property markets around the world the estate agency industry is under great pressure to deliver sales and get transaction numbers up, something you should be very aware of if ever you feel pressurised into agreeing a deal on the spot. There is also an issue about the legality of some estate agencies in Cyprus and the fact that some seem to trade as marketing agencies where the regulatory obligations are reduced.

The thread is full of useful information and warnings in equal measure and while the headline suggests a boring bank account thread, this is certainly not the case!

Summary

It is very interesting to hear about new markets, new regulations and potential pitfalls from those on the ground and this thread sure does give a great insight into the Cyprus market. The bank account issue is put to bed fairly early and seems very straight forward – better to have too much identification and confirmation of your address than too little. However, it is a little strange to see apparent variations on documentary requirements as the EU money laundering rules are very detailed.

The comments about where to look for properties, who to speak to, utilities and estate agents / marketing agencies are very enlightening and should cast a note of caution for anyone looking at Cyprus for the first time. The legal and regulatory obligations for estate agencies and marketing agencies are very different and while the majority are trading legally there are restrictions on what market agencies can and cannot do – something you should be aware of.

The subject of mortgages is also fairly prominent in the thread and there are warnings and advice in equal measures highlighting the fact that you should not always choose to take your mortgage with a developer’s bank. Rather tongue in cheek there is also a suggestion that the culture of helping each other in the world of business and finance is still strong in the country – whether it is still as profound as it was in the past is open to debate.

There are many general strands and angles to this thread but the main one seems to be the need to be cautious if you have never bought a property in Cyprus before. Don’t get pushed into signing deals, do not sign up to the first bank that makes you a mortgage offer and make sure you take independent advice along the way.

Read more about setting up bank accounts in Cyprus.

{ 1 comment… read it below or add one }

Tom Howes October 7, 2008 at 11:47 am

Hi

Just got back from Cyprus and I regularly saw advertised discounts from MyTouristCard.com. Does anyone know anything about this?

If so, please email me.

Reply

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