The 4 banks in Andorra and how to open a bank account

One of the key elements when it comes to to invest in a foreign country or just move to reside in it is the banking sector. Whether it is to open a current and basic bank account to undertake the usual periodic expenses as a resident, to operate a business in the country with a company account transferring capital, or to make the necessary investment for passive or non-profit residence, access and trust of local banks are essential to develop and exercise any activity in that country.

In the case of AndorraWhen choosing the Principality for your business or personal investments, complying with the Know Your Customer (KYC) requirements applied by banks is essential for your future banking relationship. In a country, moreover, where the financial and insurance sector represent approximately 20% of GDPSince the banking system is its core, this issue is even more important.

Also, if set creating a company in the country, opening a bank account for the company being incorporated is mandatory. And of course highly recommended when making payments or collections and in general bank movements nationwide. The same thing happens in the case of Andorran residents, although in this case it is not mandatory to open an Andorran bank account. So, today we are going to discuss how this sector works in the country: the banks, the accounts and the payments that can be made in the Principality.

Andorran banks

The Andorran financial system comprises 5 banking groups, 1 specialized credit institution, 8 financial institutions for the management of investment organizations, 4 financial institutions for the management of wealth and 34 insurance companies, 18 of which are branches, of foreign insurance companies. authorized to operate in Andorra. The 5 banking groups are:

  • Andbank: created as 2001 merger of two Andorran banks, Banc Agrícola and Banca Reig, and formerly known as Andbanc, is a bank specialized in offering private banking services. Its origins date back to 1930 with the creation of the Andorra Hydroelectric Forces (FHASA) and it managed to be in 2010 the first Andorran bank with a bank record of the European Union, upon obtaining the license in Luxembourg and creating the company Andbank Luxembourg. It has been present in Spain since 2011. In 2016 it had 1,167 employees and almost 22 billion euros under management (internationally). Can get more information here.
  • Morabanc: is currently a banking group owned by the Mora family. It is made up of a series of corporations dedicated to various activities, from insurance to wealth management, etc. that operate internationally also in Miami or Switzerland. Its main part is the bank, MoraBanc, SAU, with origins in 1958. It has also received numerous awards, especially regarding digitization and solvency. At the end of 2018, it had 331 workers, more than 7.5 billion client funds and a CET1 solvency ratio of 26%. Have more information here.
  • Banc Sabadell d'Andorra (BSA): established in 2000 with the alliance of Banco Sabadell and a consortium of Andorran businessmen, currently part of Morabanc. Previously it was the smallest bank in Andorra although it offered a full range of banking services: retail and corporate banking, private banking and brokerage services. Morabanc has bought its shares from BSA between 2020 and 2022 thus staying with this former Andorran subsidiary of Banc de Sabadell.
  • Crèdit Andorrà: is another financial group in the Principality of Andorra, founded in 1949. It focuses its activity on commercial banking, private banking and asset management on an international scale, in addition to insurance. It is currently owned by the Andorran banks the largest using the universal banking model to provide a wide range of services: retail, corporate banking and private banking, asset and wealth management, as well as financial and insurance advice. In 2018 it had more than 5 billion Andorran assets under management. More here.
  • Vallbanc (formerly BPA): founded in 1957 as Banca Privada d'Andorra and transferred as Vallbanc as a result of conflict and case of GAP in 2015, is another institution specialized in private banking services JC Flowers & Co. from the United States acquired it in 2016 and now seeks to renew the image, reform and demonstrate transparency and clarity and manages around two billion euros in assets. In general, it offers national retail banking and international wealth management services. They can read more here.
Andbanc, in Andorra la Vella; Andorran banks
Andbanc, Andorra la Vella, bank of Andorra

Although in the past offshore banking was very important in the Andorran economy, since the international economic opening and the entry into force of the various information exchange treaties such as the automatic exchange of CRS data, the positions of money on the high seas have been reduced. So, existing foreign capital is subject to compliance with international anti-money laundering requirements, accrediting Andorra as a safe and solvent financial center.

This banking sector, which brings together the 80% of employees in the financial system, is characterized by the strong capitalization of the different entities and conservative and prudent management. These characteristics have allowed the solvency of the sector to stand at ratios above 20%, well above most of the surrounding financial markets.

Open a bank account: requirements and documentation

At first, anyone can open an account in Andorra: both individuals and companies, and whether they are residents or non-residents. Of course, for a while now, the regulations and legislation to be fulfilled by these entities (which was already tough, at least for non-residents) have been tightened due to the success of the Andorran Private Banking (BPA) in 2015.

Especially you have to comply with money laundering prevention legislation or money laundering, since it is the most strict, dangerous and sensitive. In addition, it is necessary to comply with the FATCA protocol and determine the origin of all the funds contributed, emphasizing document transactions of large nominal value. In general, when opening a new bank or investment account, banks will require in their KYC protocol all the corresponding documentation and they will also conduct a personal interview with the client.

In any case, this is the minimum documentation that banks may require to open a bank account in Andorra, although it depends on each particular case, including the legal type of the holder, transaction amounts, type of residence and assets to maintain, etc. As minimum, this is the documentation you need:

  • ID, driving license or passport: It is necessary that it is up-to-date and they may ask you for a receipt with your information.
  • Tax and bank statements: You will be asked for bank statements and the tax declaration of your place of residence.
  • Documentation of the origin of the money: Andorran banks flee money laundering at all costs, so you must prove that the money you have is legal.
  • Solvency demonstrations. Payroll, tax returns or accounting results of companies and businesses are included.
  • In case of being an Andorran resident, documentation related to this matter. Residence card, NRT, fiscal number (or number of the social Security) …
  • Other documents. For example, a business plans that explains the business activity in the case of companies.

In addition to this, it should also be noted that commercial banking is only a minority part of Andorran banking. Additional wealth management services such as investment funds, the possibility of purchasing certain assets and financial products and multi-currency accounts are part of the day-to-day and banking activity of the Principality.

What are the advantages of opening a bank account in Andorra?

After saying that the fees charged by Andorran banks are high, surely more than one will wonder: then what is the advantage of Andorra's banking? Obviously, a resident has to deal with them because they are the banks in their country, but what about a non-resident? So let's proceed to list the best advantages that can be highlighted of the Andorran banking:

  • They allow you to save. With good tax planning, you can lower the tax burden on savings and even on income. Let's also remember that it is perfectly legal to have a checking account in any other country, so it is a really interesting advantage because with Spanish banks you will not have this option.
  • They are very safe. As we have already said, Andorran banking is one of the safest in Europe. In addition, you have part of your money insured up to a maximum amount of 100,000 euros, be they securities or deposits. You will be much safer than in the countries around you.
  • You can open a bank account in Andorra online. With the technologies of this century, you have the opportunity to open your own account in Andorra from the Internet without the need to leave your home. Taking into account the security that these banks have, you will also do it with all the tranquility of the world. Of course, they are very strict and demanding with the documentation and the KYC, with which it is better to plan it.
  • You have access to the assets of banks. As with the Spanish companies, you will be able to buy the assets that Andorran banks have. Flats, houses, apartments, chalets, bonds, etc.
  • Banking system assessed as stable by the most important rating agencies in the world, such as Fitch or Moody's.

Foreign accounts for companies or individuals in Andorra

Because Andorran banks are less competitive in international payments, the opening of a commercial bank account in Spain or France can be a solution quite interesting depending of course on the situation of the individual or legal entity in particular.

Spanish banks have been forced to undergo a restructuring and facing fierce competition has led to a reduction in fees, turning very competent in the field of payments. Thus, it is a good solution, always complying with the regulations and with a Spanish tax representative with a Spanish tax identification number for the company in Andorra.

For example, having an Andorran account of Banco Sabadell d'Andorra and another Spanish account of Banco Sabadell, payments and cash transfers between both accounts do not have commissions, so that a company or an individual can enter the Spanish bank account through SEPA and then transfer the cash to the Banco Sabadell d'Andorra account, thus avoiding commissions. In addition, cash can be withdrawn from the Banco Sabadell d'Andorra account at Spanish Banco Sabadell ATMs, which is a great added advantage.

Andorra and SEPA

The Single Zone of Payments in Euros (in English, Single Euro Payments AreaKnow), is the initiative that allows individuals, companies and public bodies, make payments in euros, without using cash, from an account located anywhere in the area, through a single set of payment instruments and with the same conditions, efficiency and security with which they are carried out at the national level, and was born to alleviate the existence of a single market in the field of retail payments in the European Union.

SEPA acts through three payment instruments, which can be used for national and international payments in any of the countries that comprise it:

  • SEPA credit transfers (punctual, massive payments and payroll payments)
  • SEPA direct charges (periodic or specific direct debits)
  • SEPA instant credit transfers

On the other hand they are 36 countries that are part of this single payment area:

  • 28 member states of the European Union (whether or not they belong to the eurozone).
  • 4 members of the European Free Trade Association (Iceland, Liechtenstein, Norway and Switzerland).
  • Andorra, Vatican City, Monaco and San Marino.

While Andorra became part of SEPA in March 2019 de iure (which would mean that any company or individual could send and receive payments from an Andorran bank to any account located in one of these 36 countries and vice versa), the reality is that de facto the technology is not yet fully implemented in Andorran banks.

This means that the Andorran banking sector, although very solvent compared to other countries of the European Union, is less competitive for international payments, due to high commissions and the non-acceptance and linking of some platforms and payment gateways. The best known and most desired in the country is PayPal, although there are many more.

Is there a solution to this? Well first of all say that nor is it usually an insoluble obstacle, but rather a kind of annoyance that hinders the way. Most international payments are made smoothly, but can be slow and have higher fees than those made between banks within SEPA. Anyway, an easy solution is open a foreign bank account.

Does Andorra have bank secrecy?

Although this is a fairly frequent myth among people who know little Andorra, no, Andorra has no bank secrecy. As we counted in our article on the transformation of the Principality, Andorra was removed from the OECD black list of tax havens in 2011 and from the gray list in 2012. In 2016 it signed the agreement with the EU of automatic exchange of tax information and the following year, in 2017, definitively eliminated bank secrecy.

In fact, not only does it no longer exist but since July 2018 it is a serious punishable crime, with all the consequences that it entails for the consenting banks. further tax crime is typified, a new money laundering and terrorist financing law was enacted, and a new insurance law, among other tax and financial regulations. All of these reforms led Andorra to be completely removed from the European Union's gray list of tax havens in 2018.

Andorran Banking and the Andorran Financial Authority (AFA)

Andorran Banking is the Association of Andorran Banks and represents the interests of the Principality's banks, ensuring the prestige, development and competitiveness of the sector, both in Andorra and internationally (it has the power to deal with other banks, entities and foreign professional associations). Andorran Banking is also a member of the Andorran Chamber of Commerce, Industry and Services (CCIS), the Andorran Business Confederation (CEA) and the European Banking Federation (EBF).

The Andorran Financial Authority (AFA; in CatalanAndorran Finance Authority), is the institution of the Principality of Andorra in charge of supervise Andorr's financial systema, supervising banks and insurers. It was founded in 1989 and known as Andorran National Institute of Finance (INAF) until 2018. Its objective is to guarantee the proper functioning, reputation, transparency and competitiveness of the system and reduce systemic risk, acting accordingly.

Among other things, these institutions were created to avoid the problems of the past and have the banking system completely controlled and regulated. Therefore, even though bank secrecy has been eliminated, Andorra still has a secure banking system that respects customer privacy. It is, after all, something necessary to attract capital from investors and liquidity from individuals who open their bank accounts in them.

In addition to these functions and their derivatives, the AFA has others such as "collecting deposits and bonds established in application of current legislation and judicial decisions, and managing these funds observing the principle of prudence in an appropriate manner", that is, manage, among others, the famous "deposits and bonds" of non-profit residences and of people who request residence and self-employment immigration authorization, as you can read here.

Final recommendations

In conclusion: the Andorran banking system is quite particularr. After a long period with the country closed, it seeks to open itself trying to get out of the gloom of historical isolation, in a process that is progressing firmly. This is why it is not yet adapted to all the news in the sector, although there are very feasible solutions to alleviate this matter.

In any case, we end by recommending and remembering that for any management of such a magnitude it is necessary to have the knowledge and professional treatment of experts in the topics. Contact here and tell us your case, or read here a part of the services what we offer.

43 thoughts on “Los 4 bancos de Andorra y cómo abrir cuenta bancaria”

  1. Good Morning. I am interested in moving my habitual residence to Andorra. I am an individual and I work for someone else in Madrid. My intention is to continue working in Madrid but to have my tax and habitual residence in Andorra. I am going to sell two properties in Spain and I want to buy one there. I will need a small mortgage and I want to know the best options for it. Thank you very much for your attention and kind regards

  2. Good morning, my name is Axel, I am a student at Nebrija University in Madrid but I would like to know if I can transfer part of my bank account to Andorra and what requirements I would need, I currently have an account in Abanca.
    Thank you very much in advance and best regards

    • Hi Axel, thanks for commenting.

      Well, it will depend on which bank you want to open your bank account and for what purposes, but in general, as a student, it will not pay off to keep it as a non-resident.

      • Thank you very much for your time, I have not decided in which bank is more convenient for my opening account, I am 20 years old and my intention is to buy an apartment in Andorra as a second residence since I have my residence in Madrid and I still do not work
        I await your comments, I will travel shortly to Andorra

  3. Hello Andrea insiders, I have read that the transaction costs (bank transfers, wire) of the Andorran banks are quite expensive, what information do you have about it?

    • Hi Jerónimo, thank you very much for commenting.

      Well, on local transfers obviously no commissions apply, yes on international ones.

      In March 2019 Andorra entered the international SEPA system, which de jure indicated that the commissions were going to disappear. Until then, commissions were applied consisting of a fixed fee of about € 11-12 and a variable fee in percentage of approximately 0.01% (it also depends on the bank in question, etc.). During 2020 and 2021, in principle, it was migrating to establish a system with small quarterly fees that would eliminate transfer fees, but for now it has not been applied, and fees are still charged, in most fixed banks, of about € 10-15 for each transfer.

      Of course, there are alternatives, such as using foreign bank accounts in parallel, such as the services offered by Transferwise.

  4. Hello, I am interested in moving my whole family to Andorra, and my savings, buying a house there. I currently reside in Denmark and I wanted to know what I should do to move there, I am a Spanish citizen.
    Thank you

    • Hi Juan, thank you very much for contacting us. Perfect, you can write to us [email protected] and tell us more about your case, since it will depend on many things what is the best way to move.

      Thus, a priori, since they want to buy a house, passive residence could fit them if they have more than € 400,000 to invest. If not, surely the only option is to create an Andorran company to carry out economic activity, for example coaching (assuming you are a coach).

  5. Hello, I have Chilean citizenship and some real estate investments there and in the United States.
    I currently have a non-profit long-stay permit in Spain.
    I would like to see the possibility of making some real estate investments in Andorra. Buy some flats and rent them. it's possible? If so, how should I proceed? Does Andorra have a double taxation agreement with Chile? With which countries does it have this agreement?

    Thank you

  6. Informació molt interessant i molt ben explained. But one clarified: who is the biggest bank to have some established diners and to operate online so that you don't have to move per res?

    • Hi Josep! Moltes gràcies pel teu commentari.

      Doncs des d'Andorra Insiders cannot assess in this sentit or recomend a bank or an altre, deurà fer the seu own analysis and decide who preferred. Hi there are some bank entitats that are millions in some things and others that are millions in other things. In this case, it is also advisable to keep molts directly in euros, since the forecasts of inflation in the future will increase these levels. Caldria invest-ho amb some ore d'actius.

  7. bonjour
    j'ai trois studios in Andorre (au Pas de la casa) that nous avons acheté avec mes parents il ya maintenant plus de trente ans je souhaite ouvrir a compte de non-résident dans une banque andorrane afin d'y verser les revenus que me see the agency, who does the studios are possible and what conditions are there?

    • Bonjour, merci beaucoup pour le commentaire.

      Là, il est possible d'avoir a compte bancaire as non-resident. Vous devrez vous adresser à la banque dans laquelle vous souhaitez open the compte bancaire pour connaître the conditions and the documentation that you devez fournir

  8. Hello,
    I have started my Youtuber career in Colombia but the taxes here are very high, besides the corruption is huge because they come to visit me at my house from the DIAN tax company to give them money to pay less taxes. I want to ask for political asylum or some way to get Andorran citizenship and continue with my work as a Youtuber. Can you advise me?

  9. Hello, I live and work in Spain, I don't trust the Spanish government at all and I want to open an account in Andorra, which Andorran entity is the most economical in terms of expenses, account opening and maintenance and online operations (from Spain)? With the current circumstances of the world market, I prefer very conservative positions.

    • Hi Vincent, thank you very much for commenting.

      Well, I don't know and we can't make recommendations on that either, so I'm afraid you'll have to describe it yourself. Contact the banks and they can inform you directly about all the conditions for your case.

  10. Good afternoon, I trade from Colombia on a platform that operates in the United Kingdom and I want to open a bank account in Andorra to be able to transfer money there because in Colombia it is very complicated to carry out this type of transfer. How should I proceed to be able to open an account in a bank in Andorra? I await your advice. graceful

    • Hi Luis, thank you very much for commenting.

      The information we provide in this article is purely informative, and we cannot advise you in this regard separately and we do not offer the service or assistance in opening accounts except if we are contracted to settle in the Principality of Andorra. I recommend that you contact the banks personally and ask them for the conditions and requirements, you can do it with the links in the article.

  11. One question: a Russian citizen who did not follow the list of oligarchs or res, but simply who has Russian nationality and is there, is able to open a compte to Andorra or the blockade measures for the war in Ukraine also include all the Russian citizens?
    Moltes gràcies.

  12. good afternoon
    I would like to know, what annual tax is paid by an international trade company, of travel, which buys its majority two vehicles in Portugal and exports to Europe and Africa. Ou seja, develop your activity outside of Andorra.

  13. Hi, I'm Spanish, I've lived in Denmark for 5 years, I think retirement age has come for me, and I have money saved and I want to move to the Philippines, but I want to leave the money for a fixed term in Andorra to collect a fixed amount from there every month in a Philippine bank, is this possible, and how much would you charge me for a transfer of about 1500 dollars per month

  14. Good Morning,

    I had a bank account at Credit Andorrà for some time and just last year I made a small transfer from my bank in Spain to start using that account, my surprise was a call from my bank in Spain to tell me that the transfer had been returned (generating expenses - the least important), the account had been canceled. I would like to know if you can tell me where to claim

  15. Hello, I would like to receive some kind of information about the advantages and disadvantages of opening a small securities account in Andorra.

  16. Hello, my name is Grace, and I am retired in Spain, but I also have a small retirement for the years I worked in Andorra, I would like to know if it is convenient for me to open an account so that I can receive the amount from Andorra, because the bank of Spain discounts me For the transfer, Andorra charge commissions?

    • Hi Grace, thank you very much for commenting.

      Unfortunately this is the case, the vast majority of Andorran banking products charge commissions for many operations that usually do not have charges in other countries, such as, in this case, international transfers. However, since opening an account also has its costs, it may not be in your best interest to do so. In any case, it is foreseeable that the collection of commissions will end in the coming years with the definitive opening of the Principality of Andorra.

  17. Hello! Congratulations for the article. I am self-employed and my income is only from commissions for services or work done. I was thinking of locating only my fiscal residence in Andorra and generating my clients' invoices from there. So, to make money transfers to a Spanish account with the amounts that are needed and leave the rest there, can I domicile the receipts there? it's worth it? Similarly, credit card payments in Spain, is it an option or did I forget?

    • Hello Marc, thank you very much for commenting and for your words.

      Eemmh... what exactly do you mean by "locate only your tax residence"? I'm afraid that's not possible to begin with. You will have to obtain an Andorran residence permit and stay in Andorra for more than 183 days. As for your banking questions, I don't understand them very well. You can have Spanish and Andorran bank accounts without any inconvenience and transfer all the money you want between them. Of course, you have to be careful because most banking products still impose commissions on international transfers.

  18. Good morning. I am thinking of transferring my tax domicile to Andorra. I have cryptocurrencies and in Spain the tax burden is very high. I don't know how to do it, if I have to move my entire residence there or if I can continue living in Spain even if I pay my taxes in Andorra. what do you advise me? Which banks are best for cryptocurrencies?
    all the best

    • Good morning Alfredo, thank you very much for your comment.

      Obviously, to have tax residence in Andorra (and pay your taxes here) you have to live and reside permanently in the Principality. Regarding the best option for your case, it would be better if you contact us so we can give you personalized information.

    • Hi Matias, thank you for your comment.

      You will have to ask this question directly to the bank, so that they tell you the requirements. Anyway, most probably no, or at least with not-so-favorable conditions.

    • Hello Asensio, thank you very much for commenting.

      Well, it depends on the bank you go to and the type of product. But in general, for deposits, it ranges between 2% and 3%.


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The 5 banks in Andorra: how to open a bank account
Jose Sanchis, Abast Technology and Systems Specialist, Andorra Insiders
Jose Sanchis

ABAST Technology and Systems Specialist


Andorra Insiders is an information platform about Andorra managed by ABAST, an Andorran professional consultancy firm for legal, tax and accounting services specialized in establishing people and businesses in the Principality of Andorra. More information here.

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