Hi all!
I just joined the BB, and I must say, you guys are awesome! I'm going to be spending next semester in Madrid, and I was wondering if I could get some advice on finances while abroad. I've heard that every time I want to withdraw money from an ATM machine while in Spain, I will be charged a $5 fee. Would it be better for me to just open an account in a Spanish bank for the time that I'll be there? If so, how would I go about doing this and what documents would I need to present to the bank? Thanks so much for your help. I hope I bump into some of you while in Madrid! Dios le bendiga.

Coolata--

Why don´t you check out opening a CITIBANK account where you can access your account from around the world? There are offices in Madrid, but I think you can also open one online at www.citibank.com ...

[ 12-30-2001: Message edited by: MadridMan ]

Opening a bank account is definitely a good option.

You only need an ID card, passport or other such document, and a couple of pesetas (1.000 for example). While here, you are not charged for getting money in the ATM machines as long as you do it in the machines of your brand (for example, if you open an account in BBVA you may get money from the Servired ATM machines, if you open it in the Santander Central Hispano you should use the TeleBanco 4B machines).

Fernando

I opened a bank account when I spent six months in Madrid in 1986. It is still probably the easiest option for a long term stay. Come to think of it, I didn't actually close the account when I left Spain and I'm sure I had a few thousand pesetas in it at that time.....I wonder if the account will still be open?

If you decide to open a bank account in Spain, try considering one of the "Caja" institutions such as the Caja Madrid ( www.cajamadrid.es ). They are closely tied to the state and are a non-profit institution. Therefore their service charges, if any, are considerably lower than the commercial banks. You can access your account online as well as in any of the branches, and through ATM machines.

If earning interest is your goal, try any of the online banks like Bankinter ( www.bankinter.es ), Patagon (www.patagon.es) or ING Direct...which has offices in the United States (I´m not sure about the other two. From what I understand, Patagon offers a 4% interest rate which is heads and shoulders above the majority of the banks here in Spain.

[ 12-30-2001: Message edited by: MadridMan ]

Spanish banks are notorious for paying NO interest on a savings account. So it really doesn't matter in which bank you have an account. In Madrid, Caja Madrid is convenient because there are so many branches. There are even offices of Caja Madrid in many of the provincial capitals. The minimum (to escape charges) was 50.000 pesetas. I wonder what it will be in euros?

Sometime in the summer, I attempted to open a cuenta de ahorro de no residente on line in preparation for my move to Madrid next year. I was disappointed to learn that Citibank does not offer any interest on savings for non residents. Patagon on the other hand wanted one million peseta minimum. Needless to say I decided to wait until I'm Madrid so I can shop for a better deal.

With the Spanish banks that offer accounts to non-residents (all of them?), I would suggest doing business with these institutions.

From my experience this last week, Citibank in the Salamanca offered no benefit to a fellow US citizen. My ATM demagnitized, and the credit card I wanted cash from (without a pin - I will not leave again without a PIN on ALL cards! ) was a Citibank. THEY WOULD OFFER ME NO SERVICE AS A NON-CUSTOMER IN SPAIN.

To my surprise, Caja Madrid was glad to advance pesetas from my American card.

Apparently, Citibank treats itself as a separate entity in Spain. From my experience with them...
keep your money with a Spanish bank!!!

Any Madrileños want to comment on what banks in Madrid offer the best services and value. Making an informed decission on who to bank with would help us would-be/will-be transplants...

Citibank in Spain is not considered a good bank. Keep in mind that the financial sector was one of the first ones liberalized, it is very internationalized and very comptetitive. Is one of our most powerful industries.

If you ask which is the best bank I would answer: what do you expect? It always depend on what you want from the bank.

If you want to leave the money alone for long periods of time then your choice is a Caja (for example Caja de Madrid, www.cajamadrid.es .)

If what you want is a place to temporally keep your money with almost no return for it, but you want to have a very extended ATM machines net, then your choice is a big bank, as Santander Central Hispano or Banco Bilbao Vizcaya http://www.santandercentralhispano.es , www.bbva.es ).

Perhaps what you need is other kinds of services, as buying theater and cinema tickets from the Internet, a good reimbursment (return) and a reasonable net of ATM machines. Then your choice would be La Caixa ( www.lacaixa.es ).

If what you want is to have a very big return, then don't put it in a bank. You may put it in an investment fund, in La Bolsa (budget, buying small percentages of companies, like in the Dow Jones) or in other such investment.

Hope this helps.

Fernando

[ 01-03-2002: Message edited by: MadridMan ]

[ 01-03-2002: Message edited by: Fernando ]

Citibank besides is a huge behemoth with its fingers in all sorts of nasty things.

When I arrived I first went to la Caixa which will give accounts to non residents.