Chile Forum

For all of the Chilean banking afficionado's out there ( ), here is my recent experience of trying to open a bank account with Banco Itau in Copiapo...

Firstly - previous experience, plus abundant commentary from forum members, had me pretty convinced that opening a bank account would be near on impossible without having all of the right documents lined up and ready to go. After nearly a year here, I thought I was pretty much ready to go...

I visit the bank and am directed to an account executive. She speaks clearly and slowly so I can understand and nods knowingly when I am speaking about what I am after - a positive start.

We discuss the fact that I need a RUT - tick, got one of those.

We discuss my residency status - I have a freshly received temporary resident visa.

We discuss my employment status - fully employed, earning a pretty reasonable wage. Good stuff, let's keep going...

We discuss that my salary is paid into an Australian bank account and nothing is paid locally. Uh oh - major problem. I counter with the fact that I need to live here and will be transferring pretty reasonable amounts of money here on a monthly basis - how is that different to receiving a salary here? Uh, not interested, thanks...

At this stage, she recommends I use the services of Santander (how's THAT for customer service - recommending a "competitor"!!!), because they have lower standards (or words to that effect) around opening an account.

I try using "puppy dog eyes". No good.

I try "But my company uses this bank, and I really want to use Itau..." - I was perhaps getting a bit pathetic with this one . Oh, well, perhaps that is a bit different. If you can just send me all of your details, including the details of your employer, I'll see what we can do.

I send off all of the requested information before the end of the day.

I receive an email the following day acknowledging receipt of my documents and a promise that enquiries are underway.

Two weeks later, I send a reminder email prompting about the status of her enquiries.

One week later, no response.

Oh well, looks like I'm back to just being robbed by ATM's on a weekly/fortnightly basis, but I guess at least I know how much I'll be robbed!

Finally, as per Admin's regular suggestion about paying taxes here to establish a credit history, I've been paying full taxes on my Australian salary since June last year, so I thought that might be useful during this process. Unfortunately the conversation never got that far. I sent the information anyway, but in this case, it hasn't been of any use.

More bank-bashing, I know, but maybe useful for someone?

Interesting.

If I am not mistaken, Banco Itau has just been running several full size ads in La Tercera, talking about their excellent customer service pledge (they promise to pay back all comisions paid during your first year as a client, if not happy with the service) and the fact, that you can at all times request a meeting with the gerente general of the bank / sucursal to discuss your particular situation. Perhaps you should request a such meeting - couldn't hurt?

I find it interesting that several banks (Scotia, CorpBanca and now Itau) are promoting this kind of customer service pledge, but I have serious doubts about their ability to actually change what happens on an everyday basis out in the branches...

EDIT -It is only for actual customers, too bad.

FULL Permanent residency seems to be the only solution still to someone being able to open a bank account. Once residency is obtained, we have no problems with our clients opening accounts and keeping them open.

The powers that be, still can not wrap their heads around the problem. People that work at the banks. Executives IN the banking industry. People in the central bank. People at immigration. Congressional Representatives in THIS government. People in the money laundering compliance office. People at the PDI. People <insert everyone that is anyone and no one>.

They simply can not connect the dots, to a point they don't believe us when we tell them foreigners can not open bank accounts in Chile. Every time we tell someone this, they look at us like 'that can't be right'. When they check, they are shocked to find out it is exactly as we said.

Are you listening start-up Chile????? This is your problem now!!!!!!

Start-up Chile will never be sustainable until they fix the banking problem for every foreigner in this country or that might want to come to Chile.

Hmmm, it seems my account executive (for my unopened account) has received the bad vibes I have sent her, as I have just received the following email;

"Junto con saludarlo le informo que necesito me pueda completar estado de situación que le envío en archivo adjunto ,me lo puede enviar por esta misma vía si le es mas cómodo.
Esto es para enviarlo a Santiago y que me autoricen la apertura de la cuenta corriente."

There could yet be some progress made

When I started banking with Itau (Bank Boston at that time), my salary was not paid into that account directly but into a USD account in an overseas bank. I then wired money to Chile (and the UK) as needed. New staff are still opening accounts today and I haven't heard of any new requirement here for direct deposit of salary.

To square with Admin's comments, I was able to open the account easily (with an exotic form of residence) because of my company's relationship with the bank locally -- I don't claim that is a typical case or will work for most temporary residents, but I do believe it means that someone in Itau has discretion to open you the account in principle. It seems from the comments here that usually they don't want to or the right person isn't asked, but that's another matter. I suspect it will depend on how well they know your company.

Cheers,

James.

Post removed by admin

You know, I am going to clip that last post because the user really does not understand what they are saying and anyone reading it is going to be off on a wild goose chase.

They are not a bank, but a brokerage house. We have contacts with them, and yes you can open an account but it is not a CHECKING ACCOUNT!!!

Ill try and get back to explain why when I am not on a blackberry.

admin wrote:You know, I am going to clip that last post because the user really does not understand what they are saying and anyone reading it is going to be off on a wild goose chase.

They are not a bank, but a brokerage house. We have contacts with them, and yes you can open an account but it is not a CHECKING ACCOUNT!!!

Ill try and get back to explain why when I am not on a blackberry.

I didn't see the last post, but I would like to hear your explanation when you are at a computer.

yea, tell you what. I am going to give them a call first, before I stick my foot in my mouth. A couple of years ago when I talked to them about it, they would not give anyone the time of day that did not have mega money to invest. Say, in the half million dollar range and up, which is not the problem foreigners are facing.

There has been a lot of recent reworking in the financial service sector related to brokerage investment accounts and foreign investors. Like they merged the stock market with Peru and Columbia. The Columbian and Peruvian drug dealers got to be loven that, thus there might be a loosing of the money laundering law compliance song and dance that is the big stickler if they are now allowing trading from all that drug money.

Still, they are not a bank. They are a brokerage, in the old school sense of brokerage, not an Etrade sort of brokerage. You are not going to go buy your groceries or pay your housekeeper with that account. You might be able to park some money to say buy a house.

My "Estado de situacion" was completed and submitted this morning. Lots of "Not applicable" blank spaces, but it was received with lots of "no es problema" responses to my questions.

It now rests with the demi-gods in Itau HQ in Santiago...

As an FYI - I asked about how long it would typically take to transfer monies from my Australian account into this alleged new account. Maximum of 72 hours was the response.

ryanar wrote:As an FYI - I asked about how long it would typically take to transfer monies from my Australian account into this alleged new account. Maximum of 72 hours was the response.

I used to find that incoming transfers to Itau took a bit longer than that. Usually a week or so if I recall correctly, but on a few occasions as long as a month or two (only one of which involved a 5-figure sum, when I bought the house). At the time I guessed some bank administrator in Santiago was holding onto the cash for investment or just being incompentent, but when I later read Admin's comments about the money laundering committee it made a bit more sense... Nowadays I have my salary deposited here directly, so I haven't made any incoming transfers for a couple of years. Outgoing SWIFT transfers, however, have always arrived at their destination within a day or two.

My message today from my account exec;

"Junto con saludarlo le informo que me fue bien con la aprobación de su cuenta corriente y los productos asociados a ella"

Following that, I've visited the bank, signed a truck-load of documents and have ink stains on my thumb. It's taken a year, but it looks like I've got there in the end.

Still, it feels like the only reason I've been able to pull this off is due to the fact that my employer uses the same bank.

Thanks to all of the contributors to the topic of banks generally who have pointed the way.