FINANCE
BANKING
Belgium’s sophisticated banking industry offers specialised expat services. OPENING A BANK ACCOUNT To open a current or checking account (compte à vue/zichtrekening), you need a passport or Belgian ID card as proof of identity, and some banks may ask for proof of residence, too. Once the account is opened the bank will send you a Bancontact/Mister Cash debit card, or arrange for you to pick it up. A PIN number will be given or sent to you separately. If you want to open a savings account (compte d’épargne/ spaarrekening) or add credit cards, the bank can advise you on the different options.
DIRECT DEBIT This practice, known as domiciliation/ domiciliering, is the most efficient way to pay regular bills, as you can authorise companies that you trust to debit money from your account before a bill deadline. It is commonly used for utility bills.
Belgium’s sophisticated banking system also provides for truly online banks, where you can open and manage your account without ever having to see your banker.
You can also use it as a way of saving a fixed amount regularly, by automatic transfer from your current account to your savings accounts.
INTERNET AND PHONE BANKING Most major banks offer telephone and internet banking as separate add-on services, or included in an annual ‘package’ fee. Internet banking and EU laws allow complete account management and easy payment of regular and non-standard bills throughout the Eurozone. There are reduced fees for standardised euro transfers below a threshold limit. You will need the international bank account number (IBAN) and Business Identifier Code (BIC) for transfers. CHEQUE While they can be found, cheques are more or less obsolete and can attract penal banking charges. They are not recommended, nor encouraged by banks. THE TRANSFER SLIP If you do not bank online the most common payment form is via a bank transfer (virement/ overschrijving). This is an orange and white payment slip found at the bottom of almost all Belgian bills. This has to be filled in, signed and handed in at your bank or paid via an ATM machine.
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STANDING ORDER This is called ordre permanent/bestendige opdracht and can be set up for regular payments of a fixed amount, like rent or mortgage repayments.
OFFSHORE BANKING Those living or working abroad may find that holding an international bank account makes it easier to manage their finances as they change countries. Essentially, an offshore bank is one that is located outside the account holder’s country of residence, typically in a low tax jurisdiction. These banks tend to offer financial and legal advantages over domestic banking arrangements. Accounts are often available in multiple currencies, which can be more convenient for those making or receiving payments in different currencies. In addition, more complex foreign exchange features may be available, such as being able to fix currency prices for up to a year in advance, which can remove the uncertainty of international finances.
WWW.EXPATICA.COM | BELGIUM EXPAT SURVIVAL GUIDE 2015