Opening a bank account in Australia: a guide for newcomers
A bank account is one of the first things to sort out when you arrive in Australia — and, happily, it is also one of the easiest. The major Australian banks are used to dealing with newcomers, and the process is fairly straightforward.
Opening an account before you arrive
Some of the major Australian banks let people who are not yet resident in Australia open an account online before they arrive — all you need is your passport and your granted visa. The account is ready when you land, and you simply visit a branch to collect your card and complete identity verification within the first few months.
This is a good option if you already know you are coming to Australia and have a set arrival date. Check each bank’s website for their specific conditions.
The major banks
Australia’s four largest banks — often called the “Big Four” — are Commonwealth Bank (CBA), Westpac, ANZ and NAB. All four have wide branch networks and full-featured mobile apps.
Beyond the Big Four, there are many smaller banks (ING, Macquarie, Bank of Queensland and others) and neobanks (Up, Revolut and others) that charge lower fees but have fewer branches. Some people use two accounts: one with a major bank for everyday transactions, and one with a low-fee bank for savings.
Types of account
Transaction account
This is your everyday account: receiving your pay, paying bills, shopping. It comes with a debit card (Visa or Mastercard). Most banks offer a fee-free transaction account if you meet a minimum monthly deposit condition.
Savings account
A higher-interest account used to put money aside. It usually pays a bonus interest rate if you make no withdrawals and add a minimum amount each month. It is not meant for everyday spending — transfer money across from your transaction account when you want to save.
Don’t confuse a savings account with a term deposit
A term deposit is money locked away for a fixed term — you cannot withdraw it before the term ends without paying a penalty. It is not suitable for newcomers who are still building an emergency fund.
Documents you’ll need
In Australia, identity verification follows a “100-point” standard — you need to combine documents that add up to 100 points on each bank’s set scale. In practice, a passport plus your visa is usually enough for a newly arrived foreign national.
Documents that are commonly accepted:
- Passport (the highest-scoring item on the scale)
- Visa (confirmed through the Department of Home Affairs’ VEVO system)
- An Australian residential address (if you already have one)
If you open the account online before you arrive, you verify with your passport and visa number — the Australian address can be added once you land.
Features to look out for
Mobile app
Most Australian banks have good apps: fast transfers (PayID/Osko for near-instant domestic transfers), bill payments, temporary card freezing, and viewing your transaction history. Compare the apps before you choose — this is something you will use every day.
PayID
PayID lets you receive transfers using a phone number or email instead of a BSB and account number. PayID transfers usually complete within seconds. Register a PayID after you open your account.
Foreign transaction fees
If you still make payments on a foreign card or transfer money back home regularly, watch out for currency conversion fees (often around 2–3% per transaction at many banks). Some specialised accounts and services have noticeably lower fees for international transactions.
BSB and account number
The BSB (Bank State Branch) is a 6-digit code that identifies the bank and branch — you need it to receive transfers from other people or to set up your salary payments. The account number is the unique code for your account. You receive both when your account is created.
Next steps
Once you have a bank account, the next important step is to apply for a TFN so you can work legally and lodge tax — see the related guide on what a Tax File Number (TFN) is and how to apply for one.
To plan your spending from your new account, see the related guide on the cost of living in Australia and how to budget.