In Indonesia expats will find that there are both local and foreign banks which offer a range of accounts to suit all needs. Most give the opportunity to open accounts in Rupiah and foreign currencies, although this is mainly US dollars. Some banks can also offer accounts in sterling, Euros and Australian dollars. There are large numbers of banks to choose from though expats may feel more comfortable with an international bank than a local one. International banks that have a presence in Indonesia include Royal Bank of Scotland, Bank of America and Citibank.

Services which can be provided by the banks include access to online banking, credit facilities and customer service centres. Some banks may be able to advise on share trading, pensions and foreign investments. Several of the international banks will also have staff who speak English, which is a benefit for expats. There are fees at most banks for services such as clearing cheques and transferring monies and these will vary from bank to bank. It is worth shopping around to compare the different accounts on offer and work out which account will be most cost effective for you.

Opening a bank account in Indonesia means that a certain amount of paperwork is required. Your sponsor or employer will need to provide you with a letter of reference which should be produced along with a copy of your passport and your ID card. If you require a current account that has a debit card or cheque book with it you will also need a letter of reference from your bank as well as the Tax Registration number of the company you will be working for and evidence that the company pays income tax in Indonesia. Some banks may ask for a deposit when the account is opened and if opening an account in a foreign currency, this minimum deposit may be a requirement to maintain a minimum balance.

The ID card is known as KITAS, which stands for Kartu Izin Tinggal Terbatas. All expatriates have to apply for this card and without it you will be unable to open a bank account. The tax ID number known as the NPWP is also essential as it shows that you are legally living and working in the country and gives the individual a better credit rating.

Many of the expats living in Indonesia keep the bank account they already have in their country of origin or choose to open an account in Singapore and use this as their main account. Salaries can be paid to accounts which are held in other countries. It is also possible to have part of your salary paid to an account held within Indonesia, but this is an arrangement you will need to make with your employer if they are prepared to do so. If not then some companies will take a cheque from you in the currency of your home account and convert it to Rupiahs.

As most accounts have a debit or cash card attached, ATMs can be found in many locations in the country, usually outside banks or in shopping centres. They accept all locally issued cards as well as cards issued by international banks. The use of credit cards is advised with caution due to the high levels of credit card fraud in the country. For purchases, cash is recommended and withdrawals are advised only from your own bank’s cash machines. The banks can process direct debit and standing order payments for bills as well as transferring monies between accounts in different countries. Current accounts are ideal for everyday banking and payments, although they have a very low interest rate, if any.

Savings accounts and fixed term savings accounts are available. These offer card services and higher interest rates than current accounts. Fixed term savings mean that you cannot easily access these monies but you may be able to get a higher interest rate if you agree to leave the money untouched for a minimum period of time. A bank can also provide you with a safety deposit box for valuables if required.