If you plan to work, live, or invest in Panama, you can open a bank account and access financial services. A trusted law firm can guide you in obtaining the documents required for banking in Panama. Here are some features of Panama’s banking system for expats:
U.S. Dollar Economy
Panama uses the U.S. dollar as its currency, so you don’t have to exchange money in this country. This allows you to avoid foreign exchange fees, conversion losses, and rate fluctuations that usually come with exchanging or withdrawing money internationally. Wire transfers and international payments are also easier. Taxes are manageable because your income, savings, and business accounts are in a single currency. In Panama, you may use a United States credit card and a pension when accessing funds or purchasing items. This simplifies budgeting, understanding property costs, and comparing prices without converting currencies.
Security and Privacy
If you are an expat opening a personal or business account, Panama’s banking system offers better security and privacy. Local laws don’t allow banks to disclose clients’ details without their consent or a court order. Reliable confidentiality prevents criminals from accessing your personal information for scams or theft, protecting your funds and assets. When you diversify your investments, your information remains private and secure from creditors. This helps expats establish trusts and foundations in Panama to manage their wealth.
Multi-Currency Accounts
When banking in Panama, some banks allow expats to hold and manage multiple currencies in an account. You can hold U.S. dollars, euros, or other international currencies. To open a multi-currency account in Panama, you usually need a passport, proof of address, and proof of income, among other documents. Multi-currency accounts allow you to:
- Convert your account holdings to any currency, including those you do not currently hold
- Send or receive money globally, simplifying this process and reducing delays
- Generate invoices and pay suppliers if your business involves international transactions
- Choose a suitable currency that protects your savings from losses, depending on the market conditions
Online and Mobile Banking
Some local and international banks within Panama offer online and mobile banking to help you access and transfer funds easily. You can also check your account balance and monitor your transactions to determine if you are staying within your budget. Online banking platforms are usually in English and Spanish, allowing most expats to make payments or stay updated on account information without learning a new language. These platforms also have tools to help you budget, track your investments, and manage your account. For safer online banking, Panama banks use two-factor authentication and encryption to protect your personal and financial data.
Open an Account for Banking in Panama
As an expat, you can easily open a Panama bank account with the correct documents and guidance. A reputable law firm can connect you with local banks and investment firms and help verify that you have the proper documentation for opening a bank account. Call a trusted law firm today to learn more about banking in Panama.
