Requirements to Open a Savings Account in Turkey

Have you ever wondered, “Can I open a savings account in Turkey as an expat?” Well, hold your horses because certain requirements need to be met before you can do so. In this section, you will find out what those requirements are and a few other useful bits of information about savings accounts in Turkey.

1. Hold a valid Turkish National ID card or any form of Turkish government-issued identification bearing your photo and signature (i.e., passport, military ID).
2. Obtain proof of address (i.e., Turkish utility bill or change of address form filled out by a notary public)
3. Present a letter of employment from your place of work, including the company’s registration number, identification number, official stamp, and signature (in Turkish). If you are self-employed, you will need to present articles of incorporation from the Revenue Office (i.e., Muhasebe Müdürlüğü) and your business license.
4. Be at least 18 years old
5. Provide proof of income (you will be able to fill out the application form if you bring it back with you after opening your account in Turkey – the type of document varies depending on the bank that you choose).
6. Understanding the Advantages of living in Turkey

Understanding the Advantages of Living in Turkey

Turkey is a country with many advantages. While it may be true that there are some disadvantages associated with living in Turkey, the pleasures of traveling here more easily and not worrying about the currency exchange far outweigh these negatives. Without further ado, below are the advantages of living in Turkey.

Very Low Prices

When you come to Turkey for the first time, you usually feel shocked because everything is cheap. It’s not only food or clothes; services are also way cheaper than in your home country. You can have a good restaurant dinner for around 20 lira, which equals less than 10 euro.

Interesting Food Culture

Although most of the Turkish foods are similar to the ones that are known in my home country, but they have their unique tastes. You can find almost every kind of food with different spices and cooking styles. Meanwhile, it’s not like you can try all these foods in one week, but it is part of the fun.

Rich History

If you are a history lover like me, while living in Turkey, you can learn more about the ancient civilizations all around Anatolia and Mesopotamia, which means the whole Middle East region! It’s not like you need to go to another continent to see these amazing old cities; they are 500 kilometers away from Istanbul.

Amazing Nature

The reason why I love living in Turkey is because of its nature. There are so many places to go hiking, trekking, or even camping all around the country. The Aegean and Mediterranean coasts are some of the most popular places to find beautiful beaches with clear blue waters. Also, there are national parks where you can go camping in the mountains and the forests.

Warm People

Despite our different cultures, Turks are very friendly and helpful to foreigners like me. You don’t need to be brave enough to talk with them because they will approach you if you look lost or confused; they will try to help you even before you say a word.

Turkish people are not used to seeing foreigners, and they go out of their way to help you if they think that you need it, but that’s just how they are in general. I know that every nation has its own culture and history, and there might be some bad things about living in Turkey like traffic jams or pollution, but it is a great country to live in. I recommend you visit/stay in Turkey; you won’t regret it!

Easy To Find A Job

If you are young and educated, finding a job in Turkey is not difficult. Most of the jobs are indeed related to tourism, but there are many other opportunities. So it’s easy to start your own business or study further education after high school.

Best Places to Resides In Turkey for Expats

There are many factors to consider when living in a country, especially a new one. You need to look at the affordability and your quality of life, and how safe it is there for you to live. When talking about what’s best regarding where to live as an expat in Turkey, we have put together a list from our own experiences after living here for many years.

So without further ado, let’s get started with our list of the top five places to reside in Turkey, which you may find suitable for your taste and needs.

1)    Alanya

Alanya is a small city located within the Turkish region of Antalya. This peaceful and quiet city has everything you could want in residence, including an affordable cost of living, pristine beaches, breathtaking views, and plenty of historical beauty to see. The weather here is ideal for those who like sunny summer days or warm winter evenings.

2)    Bodrum

Located along the Aegean Sea, this is a beautiful town in Turkey that has plenty to offer expatriates who are looking for an excellent place to live. A small city with a large appeal, there is something for everyone here. Luxurious villas, picturesque beaches, and wonderful sights throughout the region are just some of the benefits of living in Bodrum.

3)    Istanbul

If you’re looking for big city life, then Istanbul is the place you might want to consider living in. Home to more than fourteen million people, this major metropolis is one of the most populated cities in Europe, and it’s where all the culture and action are. Living here can be a bit pricey, but those who live in the suburbs will find an affordable cost of living.

Conclusion

Savings accounts are seen as an essential part of life for any expatriate. Whether to save money, transfer funds or even prepare for the future, they’re one way to facilitate this. Yet sometimes, there is confusion about how these accounts work when residing in Turkey. Nonetheless, this article provides the best guides.

Best Savings Accounts For Expats In Turkey part 1 – that will be the topic of today’s article.

Before introducing this article, if you are interested in our core services which are expat financial, insurance and mortgages, you can contact me here. 

The best time to consider your financial situation is when you are moving to a new country.

Introduction

In order to get the most out of your money, you need a savings account that will provide you with an interest rate that is better than what you can get anywhere else. Besides, a savings account is probably more complicated for expats in Turkey because some banks do not offer them or allow them to be opened online.

If you find a bank that does offer savings accounts to expats in Turkey, then you can begin your search for the best option. In this way, you have a better chance of getting the most out of your money. If you go to a bank in person, they should walk you through the process.

As an expat in Turkey, you might have to show proof of your status and address before being allowed to open up a savings account in that bank. Since some banks will not do this for just anyone, you must find out what to do before going there.

Without the proper knowledge about how to go about opening an account, you could waste a lot of time. A savings account is important for saving up money to use when necessary. If you are unable to do this because there are too many hoops to jump through in order to open the account, then this will put you in a bad position.

However, we have compiled this article to meet your needs and requirements. Today, you don’t have to keep surfing the internet to get the right information about the best savings accounts for expats in Turkey. That being said, we will walk you through everything you need to know about Turkey banking.

7 Things to Know about Banking System in Turkey

The banking system in Turkey is a mixed one that consists of both state-owned and private banks. The majority of the banks operating in Turkey are also foreign-owned. The Central Bank of the Republic of Turkey (CBRT) was established under the Banking Act No: 4458 dated 27/12/1983, with its headquarters in Ankara.

CBRT is the banking system regulator and supervisor of Turkey. As well as being the central bank, it also has functions related to ensuring price stability in the country. The Turkish economy is classified as a ‘developing’ one with a Gross Domestic Product (GDP) of $865.862 billion.

A big number of the banks operating in Turkey are foreign-owned, with most operating through their representative offices in the country. Some of these are American, British, Japanese, and French banks, among others. Majority of the foreign banks operating in the country have representative offices that publish quarterly reviews on their activities in Turkey.

Without further ado, below are the things expats need to know about the banking system in Turkey.

1.    Dominated By Foreign Lenders

Foreign banks dominate the Turkish banking industry, with the majority of the banks operating in the country being representative offices. There are more than 36 Turkish commercial banks in total. Other types of banks include Islamic Banks, specialized banks providing services for farmers, savings houses that have no acceptance or deposit services as well as Postal Savings Banks.

2.    Made Up Of Public, Private, and Islamic Banks

The banking sector in Turkey is dominated by foreign-owned banks, although there are a number of local Turkish banks that form part of the country’s financial industry.  The country has both public and private banks, the latter being the dominant type. The Government of Turkey owns the eight state-owned banks.

3.    They Were Open to More Competition

With the financial crisis, many foreign banks have been struggling to survive. Many of them had to close their branches in Turkey because they weren’t profitable anymore. However, this time wasn’t the same for Turkish banks. They became more open to the competition!

Some of them even merged with foreign banks or bought smaller local banks to improve their services and therefore become more competitive.

4.    Cut Down On Credit Cards Offers

In the last couple of years, Turkish banks have been offering a lot of credit cards to customers that use them a lot to get cash backs or discounts at different shops. After the economic crisis, these practices became less common because Turkish people started to use their cards less, facing a lot of defaults.

5.    They Had More Foreign Investment

The European Union had been one of the biggest investors in Turkish banks before the economic crisis; it had more than $20 billion invested. However, these investments dropped significantly after 2008 because there was a lack of trust in Turkey’s banking system.

The Central Bank of Turkey had to make some reforms in order to get foreign investors back after the drop. And it seems like these investments are coming back, especially from Qatar.

6.    They went online

Turkish banks have also become more open to internet banking and e-wallets recently. Many banks started to recruit new employees for this bank section because they thought it was very important. Many banks were trying to keep up with their western peers in this regard.

7.    They Had To Keep Up With Inflation

Turkey’s inflation rate has been pretty high all over the last decade. The Central Bank of Turkey has done its best to make sure that the Turkish lira remains stable, but it hasn’t always succeeded in this regard. That’s why the banks themselves have often changed their interest rates for savings accounts and loans to cover their costs and compensate for this inflation.

Best Savings Account in Turkey

Turkey is developing rapidly with the growth of its economy. If you live in Turkey, you may want to take advantage of the higher interest rates by opening a savings account. Here are some tips on choosing the best savings accounts that will give you high returns without hidden fees.

Savings Accounts at Ziraat Bank

Ziraat is one of the best banks to trust in Turkey in 2022. Since it is a state-owned bank, all its products are available to Turkish citizens without discrimination. You can find several savings accounts that will meet your needs by logging into their website with your ID number and password from any computer or mobile phone.

The different Ziraat savings accounts are the basic account, special account for youth, private saver account, premium account, and help saver account. Private savings accounts do not have any required minimum balance, while other Ziraat Bank Savings Accounts need a minimal amount to be maintained in the bank every month.

There are loans available against your deposits with Ziraat Bank savings accounts. You can borrow up to 75 percent of the value of your deposit by signing an agreement with Ziraat Bank.

Savings Account at Akbank

Akbank is another leading bank in Turkey with many years of experience, offering quality products and services for individuals and businesses since it was established in 1933. It has branches in all major Turkish cities and offers almost every service related to your savings.

Akbank is not only one of the biggest banks in Turkey, but also it has international partnerships with several foreign banks that will allow you to transfer money or make payments when traveling abroad easily. You can use any ATM in the world without paying extra fees for withdrawing your cash.

After opening a savings account, you can also apply for a loan or overdraft to use your savings for projects. The minimum amount required in Akbank is YTL 200, and the maximum is YTL 500,000.

Savings Accounts At Is Bankasi

Is Bankasi A.S has been operating since 1966 and currently operates more than 1,100 branches in Turkey. You can find many Is Bankasi branches in most major cities with wide ATM networks around the country. If you are interested in opening a savings account at Is Bankasi, you can visit their website and bring your ID document to any branch to complete the process without any cost.

There is no minimum required balance in Is Bankasi savings accounts, although the bank may require you to maintain a certain amount in your account to offer additional services. Similarly, the maximum is also not limited, and all kinds of customers will be accepted without discrimination.

One of the most convenient features of Is Bankasi Savings Accounts is that you can open an investment deposit (Likidite) with your savings in Is Bankasi and a time deposit account in any other bank in Turkey. The minimum amount required to open a Likidite is YTL 50,000, and the maximum can be up to 80 percent of your total deposit with the bank.

Savings Accounts at Garanti Bankas

Garanti Bankas A.S is the largest private bank in Turkey and one of the most reliable and trusted banks operating in Turkey as of 2022. One of its advantages is that there are no service fees for ATM withdrawals with Garanti Banka’s savings accounts.

Garanti offers many different types of savings accounts at several levels; you can choose an account based on your needs and budget. For example, you can choose a Premium Savings account with a low minimum balance at Garanti Banka’s savings accounts.

Savings Accounts at Vakifbank

VakifBank is another successful private bank in Turkey with many years of experience in the financial sector since it was established in 1981. It operates more than 900 branches in Turkey and maintains one of the largest banks in Turkey by offering quality products and services to its customers.

VakifBank offers several different types of savings accounts that allow you to raise funds for your future projects or offer convenient ways to manage your money. The minimum required balance at VakifBank is YTL 1,000, and the maximum is not limited.

Savings Accounts at Isbank

Isbank is the largest Turkish bank with more than 25 branches in Turkey. It was established in 1990 and has enjoyed fast growth ever since, serving millions of customers every year. You can open a savings account by visiting any branch of Isbank or online via their website for free without providing any minimum amount.

Like the other banks, Isbank has no limitations for everyone who wants to open a savings account with them. Isbank Savings Accounts come with different interest rates according to the type of account you open and whether it is a standard or premium. If you maintain your balance above YTL 50,000 in any month, your interest rate will be higher than those who maintain a lower balance.

Savings Accounts at Alternatif Bank

Alternatif Bank was established in 2009 as the first digital bank in Turkey and is now among the biggest banks in the country. It fulfills all your banking needs online or with mobile phone apps without visiting a branch and offers fast and secure online services.

Apart from online banking, Alternatif Bank also offers savings accounts and all other features common to other Turkish banks, such as loans or overdrafts against your deposits. You can apply via the bank’s website without any cost for opening an account and get a notification on your mobile if your application is accepted. However, you will need to visit any branches to complete the process.

The minimum amount required to open a savings account is YTL 100, and Alternatif Bank does not limit the maximum amount. You can withdraw or transfer money without limits from your account if you maintain a certain balance in it. Withdrawals and transfers via online banking and mobile apps are free of charge.

The benefits of opening a savings account with Alternatif Bank are that you can easily transfer money via ATM, online, or mobile banking to your accounts in other banks around the world without fees. You can also carry out any transactions on your account conveniently without maintaining a minimum balance in it. All these features are available for free according to the terms of Alternatif Bank.