Features of the Czech banking system: what you need to know

• The banking system of the Czech Republic is unique in its own way and differs from the American and German models, not to mention the CIS countries. The Commercial Code of the country serves as a guarantee of investment protection for Czechs and non-residents. The Czech Republic has always been distinguished by loyalty foreign citizens owning assets in their country.
• By opening an account in a Czech bank, you can be completely calm – there are absolutely no risks of accidental bankruptcy. The fact is that even if such a situation occurs, the state authorities of the Czech Republic act as a guarantor of the return of 90% of the deposit, taking into account an interest rate. But there is a limitation – the amount should not exceed 400,000 kroons per depositor. If a person has a foreign currency deposit, then the compensation cannot be more than 26,000 euros.
• There is a law in the Republic that protects the secrecy of the deposit. That is, information on the deposit is not disclosed even to the police.
• Under what conditions a person would not be in the country, if he or she has a passport and can leave the minimum amount in the bank, he or she may open an account.
• The interest rate is 0.7% per annum. This is true if the contribution is 200,000 kroons. If more, then the interest rate is reduced to 0.01%.
• Since the situation in the country is stable, banks set low or minimal interest rates on customer deposits.
• In the Czech Republic there is a concept of income tax which applies to income from deposits, in other words – to interests. The bank withdraws them on its own.
• Please note that the account maintenance costs CZK 998 per month. However, if the turnover of funds on the account exceeds 7000 kroons, the depositor is released from paying these 998 kroons.
• You may transfer funds to other banks for free, however, there will be a fee for withdrawals.
• For foreign investors, CESKA SPORITELNA has a significant drawback — the high cost of payments from foreign banks.
• The bank rate when exchanging currency is the main reason why depositors prefer to turn to another bank with this issue.

The bank offers a full range of services for both private and corporate clients. This includes servicing deposits, lending, including mortgages, and issuing loans.

Bank Ceska Sporitelna provides the following services:

• Opening an account, registration of which takes only 7 days.
• Registration of debit cards and their maintenance.
• Issuance and maintenance of credit cards.
• You may open an account in a bank with a Russian foreign passport, which is one of the major advantages.

Why are the terms for consideration of requests for opening an account in the Czech Republic different and what affects them?

• Checking the document package takes some time. The better paperwork is, faster you can go through this stage.
• The account can be opened online without visiting the bank, which significantly speeds up the process.
• Requisites are provided within three days.
• The scheme of opening a multi-currency account is no different from the usual one.