How to open a bank account in Estonia as a foreigner?

Planning a move to Estonia from the UK? The northern European country is becoming increasingly popular with expats, especially in its thriving capital of Tallinn - which is known as something of a tech hub.

In this guide, we’ll look at how to open a bank account in Estonia as a foreigner. We’ll cover everything you need to know, including what documents you’ll need and info on the most expat-friendly Estonian banks.

We’ll also show you a smart alternative to a bank account from the money services provider Wise - the Wise account. It lets you manage your money in 40+ currencies in Estonia, the UK and worldwide.

Moving to Estonia and want to take your savings with you? With Wise, you can send secure and trackable large amount transfers to Estonia and 160+ countries worldwide for low fees* and mid-market exchange rates.

Learn more about the Wise account 💰

Table of contents

Do you need a bank account in Estonia? Can you use your UK bank account in Estonia? Can you open a bank account in Estonia as a British expat? Can you open an account as an international student? What documents do you need to open a bank account in Estonia? Proof of ID Proof of address Estonian e-residency documents (if you’re a business owner applying from abroad)⁵ Proof of your connection to Estonia (for non-residents and non-citizens) How to open an Estonian bank account as a non-resident? Can you open an Estonian bank account online as an expat from the UK? Best Estonia bank accounts for expats Luminor Bank Swedbank SEB Pank LHV Pank Coop Pank Digital banks and money management alternatives worth looking into What are the banking fees and costs in Estonia? Is there a free Estonia bank account for non-residents? Wise – An international alternative to a bank account

Do you need a bank account in Estonia?

It isn’t absolutely essential to have a local bank account in order to move to Estonia. It’s not a legal requirement either.

You may be able to manage without one, and you can always make use of multi-currency solutions such as the Wise account to send, spend and receive money.

But you might find that day-to-day life in Estonia is a little more difficult if you don’t have any kind of local or international current account.

Paying taxes, rent and bills can be more of a headache, as can getting a mortgage and getting paid if you’re working. Even things like signing up for a mobile phone contract can be more complicated without a bank account.

Can you use your UK bank account in Estonia?

Opening a new bank account in a foreign country can seem like a hassle. So you might be tempted to keep using your UK account while you’re away - but is it possible?

Generally speaking, the answer is no - but it all depends on who you bank with.

Major UK banks such as Barclays have closed the accounts of British people living overseas in Europe.¹ It’s all to do with Brexit, with regulations requiring banks to have separate authorisation in every EEA country they operate in.

There are some exceptions, such as for UK Crown employees and people who are only planning to live abroad for less than 6 months.¹

Other banks aren’t affected by the change in regulations after Brexit. For example, international bank Santander says it will continue to service accounts when the holder moves abroad.²

So if you’re an existing customer, you should in theory be able to continue using your account in Estonia. The only drawback is that Santander doesn’t operate there, so you won’t have access to branches and ATMs if you need them.

Another important thing to bear in mind is the currency. If you’re using a UK bank account, it’ll likely be denominated in GBP. You’ll be spending in EUR while in Estonia, so you could lose out when it comes to currency exchange.

So, it could be a better idea to close down your UK account and get a fresh start when you arrive in Estonia.

📚 Read more: Best debit card to use abroad: Top 6 UK picks

Can you open a bank account in Estonia as a British expat?

Yes, Estonia is known as one of Europe’s most expat-friendly countries when it comes to things like opening a bank account.

However, in order to be eligible, you may need to prove some connection to Estonia (such as a job, business or property) or sign up for e-residency. We’ll run through this in more detail shortly.

Can you open an account as an international student?

A number of banks in Estonia offer dedicated student accounts, many of which have reduced or no fees.

Good options to check out include Swedbank packages for young people and students, and the LHV student bank account.

You may need a temporary residence permit, otherwise fees may apply for the process of opening a non-resident student permit.³

What documents do you need to open a bank account in Estonia?

To open your new bank account in Estonia, you’ll usually need the following:⁴

• Proof of ID
• Proof of address
• Estonian e-residency documents (if you’re a business owner applying from abroad)
• Proof of your connection to Estonia (for non-residents and non-citizens).

Proof of ID

Your UK passport is an ideal form of photo ID to verify your identity, but you can also use a European national ID card if you have one.

Proof of address

If you’re applying for your bank account from inside Estonia and you live there, you’ll need to provide proof of your residential address. A recent utility bill, rental or mortgage statement should suffice.

Estonian e-residency documents (if you’re a business owner applying from abroad)⁵

If you’re not living in Estonia but want to open a business there, and a business bank account, you can use the e-residency scheme.

It’s a government-backed programme which lets you create an e-⁠residency Digital ID in order to start a business in Estonia. You can stay living in the UK or elsewhere in the world, but run a business and have a business bank account in Estonia.

This scheme is only for foreign entrepreneurs though. You can’t apply for e-residency if you simply plan to move to Estonia or work there.

However, e-residency on its own may not be enough to make you eligible to open a bank account. Depending on the bank, you may need to also provide additional documents to prove your connection to Estonia.

📚 Read more: Estonia Digital Nomad Visa - Everything you need to know

Proof of your connection to Estonia (for non-residents and non-citizens)

If you want to apply for your new Estonian bank account before you move there, or from outside the country, you’ll need to provide proof of your connection to Estonia.

Examples of acceptable documents include:⁴

• A signed residential lease agreement
• A signed employment contract
• A school or university enrollment certificate.

If you don’t have any of these things, you’ll need to wait until you move to Estonia and can provide proof of a local address.

How to open an Estonian bank account as a non-resident?

It is possible to open a bank account in Estonia if you’re not living there, but you’ll need to tick one or more of the following boxes:

• Have a business in Estonia and an e-residency digital ID
• Have links to Estonia, such as a property, job or a place at university.

It’s important to remember that e-residency on its own may not be enough to make you eligible to open a bank account. You may need to also provide additional documents to prove your connection to Estonia.

Many Estonian banks have dedicated pages on their websites for non-resident applications. These give full instructions for how to apply and what documentation you’ll need.

Can you open an Estonian bank account online as an expat from the UK?

It is possible to open an Estonian bank account online while still in the UK, but only if you have the right documents. Crucially, documents proving your connection to Estonia, such as a rental agreement for your new home there.

Depending on the bank, you’ll be able to submit an application form and upload your supporting documents online. In some cases though, a visit to a bank branch in person may be required to verify your identity or sign documents.⁶

Best Estonia bank accounts for expats

With your documents ready, it’s time to start researching Estonian banks. There are many to choose from, and most are reasonably expat-friendly - some having websites and services in English.

A good place to start is with the country’s biggest banks, as these will be used to dealing with expats from all nations. Let’s run through a few of these below, along with the accounts they offer.

Luminor Bank

Formed as a joint venture between DNB Pank and Nordea, Luminor Bank is the largest bank in Estonia in terms of market share.

For everyday banking, the Luminor Debit card package is worth a look. It’s a debit card plus everyday banking services, available for a small monthly fee.

There’s an English version of the Luminor website available too.

Swedbank

Part of the Swedish-owned Swedbank Group, Swedbank rivals Luminor for the position of Estonia’s biggest bank. It offers a wide range of financial services, for both personal customers and businesses.

If you open a current account at Swedbank, you’ll get a debit card, online/mobile banking and access to the bank’s payment plan.

SEB Pank

Another Swedish bank, SEB Pank is a universal bank offering a full range of accounts and services in Estonia.

A popular choice for personal customers is its Current Account, ideal for daily banking. There’s also the option to sign up for a service plan, bundling together services such as cards, payments and more in one package - for a single monthly fee.

LHV Pank

An Estonian-owned bank, LHV was founded in 1999 as an investment company. Today, it provides both personal and business banking, along with other financial services.

You can sign up online for LHV’s digital bank account, which offers free European payments and can be linked to a debit card. The account can be managed on the move via mobile banking app.

Coop Pank

Coop Pank is an Estonian cooperative bank. It focuses on offering straightforward banking products for everyday money management.

If you’re after daily banking services, you can choose from one of three banking plans at Coop Pank. Each comes with a fee and an increasing list of features, including perks like free European payments, free ATM withdrawals, bank cards and shopping discounts.

Digital banks and money management alternatives worth looking into

Estonia, and especially its capital city of Tallinn, is known as a burgeoning tech hub. So it's no surprise that it has a number of fintechs, money apps and digital bank accounts available.

If you’re looking for an alternative way to manage your money in Estonia, here are a couple of your options:

• Revolut - an all-in-one finance app with a debit card and banking services.
• Bunq- a mobile-first bank licensed in the Netherlands offering personal and business accounts to customers across the EEA.

You can also check out non-bank alternatives, which don’t have a banking licence but offer services such as accounts, payments and cards.

This includes the money services provider Wise, which has a multi-currency account, international debit card, transfer services and app available to use in Estonia.

📚 Read more: Best online bank accounts in the UK

What are the banking fees and costs in Estonia?

Like many bank accounts in Europe and here in the UK, your new Estonian bank account may come with some fees and charges. This includes fees for money transfers, debit cards and monthly maintenance fees.

These vary between banks, but take a look below for a rough idea of what costs to expect.

Transaction/fee type	Typical fee
Opening an account	Free for residents Around €250 EUR for non-residents⁷
Current account - monthly fee	Around €0.30 to €7 EUR⁷
ATM cash withdrawal	Usually free at your own bank’s ATM
Getting a debit card	Usually free to order first card Around €1⁷ to €2.20⁸ monthly fee
Domestic payments (i.e. within Estonia)	€0 to €0.25 a payment⁷
International payments (i.e. to the UK from Estonia)	€7 to €55 EUR depending on destination, speed and payment type⁸

📚 Read more: The best UK banks for sending money abroad

Is there a free Estonia bank account for non-residents?

If you don’t live in Estonia but are eligible for a bank account, it’s likely that you’ll have to pay a fee of around €250 EUR just to apply for an account.⁷ The monthly fees to maintain it may also be higher for non-residents.

However, there are some accounts in Estonia that have no monthly fees (although other charges may apply). An example is LHV, whose bank accounts have no monthly fees - but only for residents of Estonia.⁹ Students and young people can also benefit from fee-free accounts.

Wise – An international alternative to a bank account

Need to manage your money in multiple currencies or send transfers back home to the UK? There are alternatives to using a bank, such as Wise.

Open a Wise account and you’ll only pay a small, transparent fee* to send money in 40+ currencies (including EUR and GBP). Better still, you’ll get the mid-market exchange rate for every foreign currency transaction and your transfers are always secured and trackable.

Here are the main benefits for using Wise to send money:
Fast and easy setup with no physical paperwork Low, upfront, transparent fees Fully trackable transfers Fast transfer times Two-factor authentication and real-time notifications Dedicated support for large transfers

You can also get a Wise card for a one-time fee of just £7 and use it to spend like a local in Estonia and 150+ countries worldwide. There are no hidden fees*, and you can even connect your Wise card to Google Pay or Apple Pay.

Importantly, you can open a Wise account in advance of your move to Estonia. This means you’re not left without a payment method while you’re waiting for your new bank account to be opened.

Sign up with Wise today 💰

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Sources used:

1. Barclays - Living outside the UK
2. Santander - Brexit and Santander
3. Tallinn University - Banking in Estonia
4. N26 - How to open a bank account in Estonia
5. Monito - How to open a bank account in Estonia
6. LHV - Non-residents
7. SEB - Price list
8. Luminor - Price list
9. LHV - Price list

Sources last checked on date: 31-May-2024