Question
I’m getting ready for my move next week. I’m settling in Alicante for now. I have read about the Wise money transfer account. But how necessary is it. I want to open a Spanish bank account with one wire transfer from my bank in the US. Wouldn’t that be sufficient? What are the benefits of using Wise then? Also, can anyone recommend the best bank in Spain for expats?
Answers
These are the answers of some Facebook group members:
“Are you keeping a US account? My pension goes into Schwab and I transfer it into Sabadell using Wise. That’s all I use it for. Once you have your Spanish account, your monthly bills are paid from there and any national transfers can be completed using the IBAN number of the individual.”
“Bank charges can be quite high in Spain that’s why some people use accounts like Wise. You would be better off transferring money through Wise as it has a European IBAN number therefore the Spanish bank doesn’t charge to deposit money if you do decide to open a Spanish bank account.”
“You don’t really need a Wise bank account. You can just sign up with Wise and use it to transfer money from your US accounts when needed. Usually much cheaper than bank transfers and after the first few the money transfers in seconds. I’ve been transferring money monthly for years and it’s been flawless.”
“Use Wise as it is far cheaper than a Spanish bank if you do not have your TIE. After you get that N26 is a no fee virtual bank. Withdraw at any ATM without fees.”
“I use Wise to convert my money as exchange rates are better than banks. I then transfer my money to my Caixa account. Caixa charges no monthly fees. A minimal annual fee for debit card.”
In conclusion, opening a Wise money transfer account is not strictly necessary for those settling in Spain and looking to open a Spanish bank account. However, many expats find it beneficial for several reasons. One of the main advantages is that Wise offers a European IBAN number, which can help avoid high bank charges when transferring money from a US bank account.
Additionally, using Wise for money transfers can be cheaper than using traditional bank transfers. Some expats also use Wise to convert money at better exchange rates before transferring it to their Spanish bank account. Ultimately, the best bank for expats in Spain may vary depending on individual needs and preferences, but a few options that were recommended in the Facebook group include Sabadell, N26, and Caixa.
This article is no legal nor financial advice, and it is based on Spainguru’s Facebook group‘s members experience and internet research.
