Banking in Andorra: accounts, custody and the evidence banks need

Choose the account around its use

A household account for expenses, a custody relationship for investments and an operating-company account solve different problems. Define expected currencies, counterparties, payment volumes and who will own and control the funds before approaching a bank.

Andorran residence is not a guarantee of acceptance. For an international business, the bank needs to understand the real activity and the connection between the company, the owners and the country.

Personal-account preparation

Prepare identity and address records, tax-residence information and a traceable source-of-wealth and source-of-funds history. For a business sale, that may mean the share-sale agreement and the transaction trail; for accumulated earnings, tax returns and statements tell a different story.

The documents should explain the money actually being transferred. A generic letter describing someone as wealthy is less useful than contracts, statements and tax records that reconcile.

Company and owner-manager banking

The account application should match the company’s ownership chart, authorised signers, commercial contracts and expected receipts. If management has moved to Andorra, the corporate-residence analysis and the account narrative should be consistent.

Separate the entity’s money from the owner’s immigration investment and household funds. That makes bookkeeping, tax reporting and ongoing bank reviews easier to support.

What deposit protection covers

FAGADI’s ordinary protection is EUR 100,000 per eligible depositor per institution. Aggregation means opening several accounts at one institution does not simply multiply the protection. Certain qualifying temporary high balances can have additional protection up to the published EUR 300,000 limit and within the specified period.

The investment guarantee framework is different. It is not insurance against a security falling in price. Confirm the legal entity holding the deposit or assets and the relevant scheme, especially where a group offers services across borders.

Opening remotely versus attending

Remote onboarding, document certification and any required visit depend on the institution, customer type and risk review. Obtain the bank’s current requirements before arranging travel or committing funds. Do not infer that an online banking app means the initial account can be opened remotely.

Moving investment assets

Cash transfers and custody transfers have different operational requirements. Prepare holdings, acquisition costs, instrument identifiers and any restrictions on transfer. A move of custody is not necessarily a sale, but an actual disposal during the process can have tax consequences.

Arrange the bank before the deadline

Residence and property transactions can impose payment or completion deadlines. Build time for documentary questions and account approval before those dates. We can help structure an account-opening file and coordinate the agreed process; final acceptance remains with the institution.