Banking in Portugal: The Ultimate Guide 2025

Thinking of setting up a bank account in Portugal? 

It’s a rite of passage for any expat moving to the Iberian country and one that often causes the biggest headaches.  

Banking in Portugal is, after all, more than just a necessity; it’s your gateway to financial stability in one of Europe’s most charming countries. 

Whether you’re settling into life in the capital city of Lisbon or moving south to enjoy the serene landscapes of the Algarve, you will eventually need to open a Portuguese bank account. 

The good news is that the banking system in Portugal is easy to understand once you know what you need and where to go to get it. Banking in Portugal means access to modern facilities, plenty of ATMs and even services tailored for expats.

In this guide, we’ll help you navigate the essentials of banking in Portugal, from understanding the country’s economy to exploring the local and international banks that operate there. Whether you’re planning to open a bank account or considering your investment options, we’ve got you covered.

Portugal: Country Overview

Portugal is a country of over 10.4 million people located on the Iberian Peninsula in the southwest of Europe. It borders Spain to the east, its southern tip lies on the Straits of Gibraltar, at the entrance to the Mediterranean Sea, while its west coast faces the Atlantic Ocean.

Portugal has always been an outward-looking, sea-faring nation. For centuries it was synonymous with exploration and trade, thanks to men like Vasco da Gama, the first European to sail to India, and Ferdinand Magellan, the first man to circumnavigate the globe.

As with many other European countries, Portugal had a colonial period, with the last vestiges of its empire ending in 1999, when Portugal officially handed Macau over to the Chinese government.

Today, the country is a multicultural democracy, more famous for its soccer stars than its explorers. It exerts soft power as a prominent member of the European Union, which allows it to retain its centuries-old status as one of the key trading posts of Europe.

It’s also a popular expat destination, particularly with retirees from Northern Europe and North America looking to escape chillier climes in favour of warm sunshine and affordable living.

The country offers a similar climate to neighbouring Spain. And, like Spain, the cost of living is also relatively low compared to other European countries, but Portugal benefits expats by also having a significantly higher standard of English fluency.

Retirees favour the southern Algarve region with its sunny, laid-back lifestyle. While younger digital nomads are attracted to the more vibrant, metropolitan cities such as Lisbon.

Portugal’s Economy

Portugal has a balanced, multi-sector economy which includes services and heavy industry alongside more traditional sectors such as agriculture, forestry and fishing.

The country’s central bank is the Banco de Portugal, though having joined the Euro in 1999, the European Central Bank also works to regulate the country’s finances.

Portugal’s modern banking system was overhauled in the aftermath of the 2008 financial crisis.

Banks in Portugal generally accept non-residents and are flexible on crypto sources of funds, though the country’s bureaucracy can make things challenging.

Overview of Portugal Banking

Many Portuguese banks offer accounts to non-residents and allow you to register with a foreign address, though not all. Some are only available for Portuguese residents, and some only offer accounts to Portuguese citizens.

If you are a US citizen, you will also have to check first whether the bank accepts American clients, and there are other tax-related issues you will also need to consider.

Luckily, because Portugal is one of our most popular client destinations, we have considerable knowledge and experience in this area. Our dedicated team is standing by to answer all your questions if you wish to become our client.

Most Portuguese banks offer online banking and mobile banking by default. Indeed, many offer the ability to open a bank account remotely, saving you the hassle of needing to make an appointment with the bank. Depending on where you are, you might be lucky and get a walk-in appointment at your local branch.

Most bank accounts, even basic current accounts, should allow you to make online payments and access services via their dedicated banking apps. You should also be able to make free ATM withdrawals, though you may have to pay an extra fee to withdraw money from a machine operated by a different bank.

Before you do so, however, you will need to obtain a Portuguese tax number, known as an NIF number. For more details, see the ‘How to Open a Bank Account in Portugal’ section below.

It should be noted that having a tax number does not necessarily mean you will be liable to pay taxes, it’s a national identification number which you will need to open a bank account in Portugal.

As an EU member state, Portugal is one of the 36 members of the Single Euro Payments Area (SEPA), which facilitates easier international money transfers throughout Europe. There may be additional bank fees for those looking to transfer money outside of Europe.

So before opening a Portuguese bank account, check what charges there are on money transfers first. Many banks in Portugal also allow you to open a foreign currency account if you wish.

Banking Services in Portugal

Banks in Portugal offer a wide range of services for individuals and businesses. Common options that you can expect when banking in Portugal include current accounts for daily banking, with some tailored for students or premium users. 

Most banks provide loans, overdrafts and mortgages for home purchases. If you’re looking to save or invest, Portuguese banks offer some decent savings accounts, investment funds and pension plans.

Insurance services are also available, covering health, home and car needs. Most banks also offer online and mobile banking, giving you 24/7 access to manage your accounts. 

For expats, there are specialised services to meet your needs, including business banking options.

Major Portuguese Banks to Consider

Portugal has a long history of global trade dating back centuries and has always played a significant role in international affairs. Today it’s a prominent member of the EU, making it attractive to foreign investors.

Therefore, it shouldn’t be surprising to learn that the country has such a large banking sector.

There are currently more than 150 banks in Portugal. Rather than list them all, we have included a list of some of the prominent Portuguese banks below. 

This list is not exhaustive, however, and the names included should not be viewed as an endorsement. Instead, we provide this list for your reference only.

Activo Bank

Activo Bank is a private bank founded in 1994 and operated by the Millennium BCP Group (see below). It was one of the first digital banks in the country. 

In addition to mobile bank services, it also offers investment products to clients. Crypto trading is allowed and they also allow US citizens to open bank accounts.

Banco de Investimento Global

Banco de Investimento Global (BiG) is a privately owned Portuguese bank with its headquarters in Lisbon. It offers a range of retail, private and corporate banking.

Banco Montepio

Banco Montepio is a private Portuguese bank. Previously known as Montepio Geral, the bank dates back to 1844. 

It offers investment products, is a crypto-friendly bank and allows US citizens to open accounts.

Banco Português de Investimento

Banco Português de Investimento (BPI), or Portuguese Investment Bank, is one of the largest banks in Portugal. Its headquarters are in Porto and it’s owned and operated by the Spanish CaixaBank. 

It offers a wide range of services, including retail banking, private banking, corporate banking and insurance.

Caixa Geral de Depósitos

Caixa Geral de Depósitos is a state-owned bank with its headquarters in Lisbon. 

Founded in 1876, it is the largest Portuguese bank and offers a full range of services, including retail banking, corporate banking, private banking and other financial services such as insurance.

Millenium Bank Portugal

Millennium BCP is the largest private bank in Portugal. Known initially as Banco Comercial Português, or Portuguese Commercial Bank, it was rebranded as Millennium BCP. The company also operates the brands Activo Bank and Banque BCP. 

Millennium BCP offers retail, commercial, and private banking services, as well as real estate and insurance products.

Novobanco

Novobanco, which translates as ‘new bank,’ was created in 2014 by the Portuguese central bank. It was created as part of the restructuring of the now-defunct Banco Espírito Santo (BES) in the wake of the 2008 financial crisis. 

Today the bank has hundreds of branches in Portugal and overseas and offers retail banking, investment banking and insurance services. US citizens are unable to open a bank account there, however.

International Banks in Portugal

In addition to the above list, many of the world’s largest banking companies operate in Portugal. Again, this list is not exhaustive but does include some of the more prominent global banks operating in Portugal for your reference.

Abanca

Abanca is a Spanish-owned bank operating in Portugal. It offers retail banking, commercial banking, financing, investments and insurance.

Banco Santander Totta

Banco Santander Totta is a Portuguese commercial bank owned by Spain’s Banco Santander and one of the more prominent banks in the country. 

In addition to retail banking, it also offers private and corporate banking services.

Barclays Bank

Barclays Bank is a British bank with an office in Lisbon offering investment banking services.

BNP Paribas has its Portuguese offices in Lisbon and Porto. The group established its presence in the country in 1985, providing commercial and investment services.

Citibank in Portugal

Citi Portugal is the Lisbon-based office of the American Citigroup bank, specialising in corporate and investment banking services.

Deutsche Bank

Deutsche Bank is one of the world’s leading banks, and its Portuguese subsidiary, Deutsche Bank AG, which is located in Lisbon, offers a range of corporate and investment banking services.

Digital Banks in Portugal

Digital banks are becoming popular in Portugal, offering convenient, fully online banking services. This is one of the easiest options if you’ve just moved to the country and need to set up your finances but be aware that if you are applying for a visa, a digital bank might not meet the visa requirements. 

As long as your visa allows, or if you already have your visa and residency permit, digital banking means you can open and manage an account through your phone or computer without visiting a branch at all. If you live a nomadic lifestyle, then holding an account with a digital bank is ideal.

Two popular digital banks for residents in Portugal are N26 and Openbank. These banks offer features like easy international transfers, low fees and great mobile apps. This makes banking accessible from anywhere.

How to Open a Bank Account in Portugal

Before you can open a bank account in Portugal, you must ensure you have the proper documentation. To open a basic, current account, you will need the following:

• Valid ID (such as your passport)
• Proof of address (a recent utility bill)
• An NIF number

For current accounts, generally, these are the only three items you will require. However, you may also be asked to provide a work contract or details about your company to demonstrate a source of income.

So, if you’re employed, that means your last three payslips. If retired,you may be asked to provide an annual income statement. You’ll also need your latest tax return, proof of ownership of foreign real estate and your foreign tax or national ID number..

A NIF number, or Número de Identificação Fiscal, is your nine-digit Portuguese tax number.

If you want to buy or rent property, get a mobile phone or internet contract, avail of utilities or government services, whatever it might be, you will need this number for just about anything you want to do in Portugal. So it’s something you should procure as soon as possible.

Take a look at our guide on how to become a tax resident in Portugal for more details about this.

You will find no shortage of companies offering to help you do so, but as a Nomad Capitalist client, we will take care of this for you straight away. We also save you the hassle of finding a trusted tax representative as we only work with our long-term trusted partners on the ground, cutting through the red tape to ensure things run as smoothly as possible.oops and get it all sorted for you on your behalf, leaving you free to enjoy all the best that Portugal has to offer.

Offshore Banking in Portugal

For many expats living in Portugal, offshore banking can be a smart choice. This is especially true if you work internationally or need to manage finances across multiple countries. 

Offshore accounts are based outside of your country of residence and often offer benefits like higher interest rates, access to lower tax jurisdictions and easier cross-border transactions. The right bank will provide a range of services, including investment options and multi-currency accounts. 

If you regularly transfer large sums of money or want to protect your assets globally, offshore banking could be a useful solution.

Explore our guide on how to open an offshore bank account to help you do it the right way.

Banking In Portugal: FAQs

Navigating Portugal Banks as a Foreigner

Opening a bank account in Portugal as a foreigner is a fairly straightforward process. Both residents and non-residents can open accounts, and there are plenty of good banks to choose from. Overall, banking in Portugal is easy, with plenty of options available. 

Most major banks offer services in English, and some have accounts tailored especially for expats. 

It’s always a good idea to compare services and fees across banks to find the best fit for your needs, especially for international transfers and online banking options.

To the uninitiated, Portugal, like many other southern EU countries, can sometimes feel overly bureaucratic..

For non-residents starting out, even trying to get their basic paperwork sorted can be a daunting experience.To spare yourself the hassle of jumping through hoops and start enjoying all the very best that Portugal has to offer, get in touch today.