Traditional bank, online bank or fintech: which to choose in Spain?

Key rules

• Main account: Make your main account one with a Spanish IBAN, and add a second account only for a clear reason.
• Bizum: Bizum needs a Spanish IBAN at a participating bank, so a foreign IBAN such as Wise's Belgian one cannot use it.
• Payroll: Employers are not legally required to ask for a Spanish IBAN, but many do, and bank fee waivers need your salary paid in.
• Fintechs: Treat a fintech as a complement for travel and foreign payments, not as your only account.

Most people should open a main account with a Spanish IBAN, then add a second account only if they have a clear reason. A Spanish IBAN is the account number that starts with ES. It works everywhere in daily Spanish life. A foreign IBAN often does not: some employers, utilities, telecoms, insurers and landlords refuse one, and Bizum needs a Spanish IBAN.

How the four bank types differ

Big banks (Santander, BBVA, CaixaBank, Sabadell, Bankinter) have branches, staff you can talk to and the widest range of products. They usually open accounts for residents with an NIE, passport and proof of address or residence. Many also open accounts for non-residents with an NIE and a reason for the account. Fees are often waived if your payroll or card use goes through them.

Online banks (ING, Openbank, MyInvestor, EVO) usually have no or low fees. They are mostly for residents with an NIE and a Spanish address. There are no branches, so help comes by app, phone or chat. You generally cannot deposit cash at a counter. Cash deposits are limited to certain ATM networks or partners. Their product range is narrower, and some skip mortgages, business services or advice. Their investment products are often strong.

Regional and cooperative banks (Cajamar, Kutxabank, Ibercaja, Unicaja, Abanca, Caixa Popular) serve local residents well, especially away from the big cities (Branch banking in Spain: appointments, hours and small towns).

Fintechs (Wise, Revolut, N26) give you a foreign or EU IBAN quickly. Keep one as a second account: employers, utilities and Bizum expect a Spanish IBAN.

Each bank sets its own sign-up and fee rules; Spanish account fees and conditions: the real annual cost shows how to compare them.

Service

If you want to sort problems face to face, choose a big bank. If you are comfortable with an app and want low fees, an online bank is enough. Most Spanish banks take part in Bizum, including the big banks, ING and Openbank.

What to pick

• Want face-to-face help and cash deposits? A big bank, knowing that fees are waived only if your payroll or card use goes through it.
• Want the lowest fees and are happy with an app? An online bank with a Spanish IBAN.
• Paid from, or sending money to, your home country? Banking setup for remote workers and retirees with foreign income.
• Still abroad? Many big banks open accounts for non-residents with an NIE and a reason for the account; online banks mostly need a Spanish address. Steps: Opening a Spanish bank account before you move.
• Moving as a couple or family? Joint bank accounts for couples in Spain and Accounts for children, and letting someone act on yours.

Documents you need

No law requires an NIE just to open an account, but banks must identify you and most ask for one. The list for EU, UK and non-EU citizens, residents and non-residents is in What documents a Spanish bank asks for to open an account.

Choosing a bank: quick answers

Is it normal to have two banks in Spain?

Yes, holding two or more banks in Spain is normal, for example a main bank plus an online one. Many people keep one for salary and bills and another for travel or transfers.

Should I keep my home-country bank account after moving?

Yes, keeping a home-country account makes sense while you settle in, for transitions and family transfers. If you become a tax resident you must report foreign accounts on Modelo 720 once a category passes 50,000 euros on 31 December (Who must declare foreign assets), and foreign interest is taxable in Spain. Tell your home bank about your change of residence.

Is money in a fintech account protected like a bank deposit?

It depends on the provider. E-money companies such as Wise have no deposit guarantee; fintechs with a banking licence, such as Revolut Bank UAB and N26, are covered by their home-country guarantee up to 100,000 euros per person. The full rules are in How safe is your money in a Spanish bank?.