Comparison of the best banks in Luxembourg

Which is the best bank in Luxembourg?

Find the best bank account

In Luxembourg, most banks offer similar deals. Standard current accounts cost a few euros per month and usually include :

• One to two bank cards per account (Classic, Gold, Premier)
• Unlimited withdrawals from the same bank's ATMs
• Unlimited SEPA transfers to the accounts of the same bank
• One or more free cash withdrawals per month from other banks' ATMs (note: some banks do not offer free cash withdrawals) no free external withdrawal !)
• Some transfers offered to accounts at other institutions
• Possibly, preferential rates on credits, loans and discounts on subscriptions to additional banking products (housing savings plan, pension plan...).

The best bank accounts will cost between €3.50 and €9 per month, including the card. The price will mainly vary depending on the card you choose (Classic, Premier, Gold).

On the other hand, if you open an account in Luxembourg, you can expect to pay additional fees for payments and withdrawals abroad. A little advice: ask your banker if they offer a travel option. This will reduce your international bank charges (especially if you travel often!).

The cheapest online banks in Luxembourg

Some Luxembourg institutions offer current accounts at €0 per month. However, pay attention to the conditions:

• These accounts generally do not include no traditional bank card They offer "the best of the best" cards.VPay". These cards will allow you to pay in shops and withdraw money from ATMs. However, the VPay card is not accepted in all shops and online. It is often not accepted at toll booths, car parks or when making purchases on the Internet. If you can, we advise you to take an additional classic card.
• Some free online accounts do not include no possibility of bank overdraft If you have no money left in your account, you will not be able to pay. Find out more before you open your account.

If you have no problems with any of these points, please see the section "EcoYou can use the "Top" or "Premium" selection from our selection above to find the best online bank account. Alternatively, turn to our "Top" or "Premium" selection, which offer accounts with credit cards.

How to pay less bank charges?

Do you want to reduce your bank charges in Luxembourg? Here's how to do it...

Read the guide

Should I open a bank account in Luxembourg?

If you come from a foreign or border country (France, Belgium, Germany), you may wonder whether it is really necessary to open a bank account in Luxembourg. The short answer is: yes.

By having an account here, you can do several things:

1. Get a free LuxTrust certificate. LuxTrust is a digital identity certificate that allows you to access all your online procedures (Myguichet.lu, file a complaint online...). A LuxTrust certificate is also necessary to authorise online payments (it is the equivalent of 3D Secure in Luxembourg). This is why banks offer you a free LuxTrust in your name. If you do not open a bank account, you will have to pay for one.
2. Deduct bank fees and investments from your tax return : if you open a home savings plan or a pension plan in Luxembourg, you can deduct part of your investments and get the money back.
3. Benefit from precise and advantageous tax adviceThis will allow you to save even more on your taxes. Luxembourg regulations are complex: a Luxembourg banker will be able to give you the best advice and help you make the best decisions for your finances.

How to open an account in Luxembourg?

Opening a current account for a resident

If you are a Luxembourg resident, opening a bank account will be very simple:

1. Make an appointment with the bank branch of your choice (you can apply online at the bank's website or call the branch)
2. Bring the necessary documents to open the account: your identity card or passport, your residence certificate (or proof of address) and your employment contract or pay slip.
3. The bank advisor will take care of opening your bank account and creating your Luxtrust certificate, if you do not already have one.

Once the documents have been signed and the account has been officially opened, you will receive your bank card by post within 1 to 2 weeks. You will immediately be able to access your online banking interface by authenticating yourself with your LuxTrust token.

The best bank account for your needs

Compare current accounts in Luxembourg and find the best offer!

Compare bank accounts

Opening a bank account for a non-resident (border worker, expatriate, student, trainee...)

If you work in Luxembourg but live in an EU country, it is possible to open a bank account there. You may need it to receive your salary, for example.

Note that depending on your country of residence, you may be obliged to declare this account to the tax authorities. This account may therefore be taxed in your country (only a few euros per year, in most cases). Your Luxembourg bank advisor will be able to tell you what documents you need to provide.

You ask yourself which bank to choose for a cross-border commuter? Do not hesitate to consult this selection of bank accounts to find the right one for you. You can choose a free 100% online account, or a Premium account with a credit card that has many insurances (travel, car rental, etc).

Opening a joint account in Luxembourg

To open a joint account, all you have to do is come in as a couple after making an appointment with the bank advisor of your choice.

Each will then have to provide the following supporting documents:

• An identity document (identity card, passport)
• A certificate of residence (issued by the local authority at the time of arrival or removal) or proof of address
• An employment contract (the bank may ask for a direct debit) or the latest pay slips

The bank will be able to create two Luxtrust certificates (one for each member of the couple) and open the joint account. You will receive your joint bank card by mail within 1 to 2 weeks. Each will be able to access their online banking interface using their LuxTrust certificate.

However, the opening of a joint account must usually be accompanied by the opening of an individual account for each person (to receive their salary and pay their personal expenses). You will therefore need to choose the best current accountThis is to avoid paying too many bank charges.

Which bank account for a young person? (student, teenager, child)

In Luxembourg, banks offer very attractive current accounts for young people. Most of them offer account maintenance fees and one or more bank cards. However, you do not have to be older than a certain age to take advantage of this:

• up to the age of 18 for a teenager
• up to the age of 25 for a student
• up to 30 years for a young worker

To find the best account for a young person, check out the "Youth" section of the comparison at the top of this page.

Steps to change banks in Luxembourg

Direct debit transfers, card updates, account closure... We explain it all to you!

Read the article

Find a current account that suits your needs

In Luxembourg, there are as many banking offers as there are situations. Some are aimed at young professionals, others at European civil servants, or at those looking to save on their bank charges. Here are some tips:

• If you want good value for moneyChoose an account for €3.5 per month (or more). You will have a good card, good insurance, and the possibility to make withdrawals and transfers in Luxembourg, as well as abroad (but be careful, there will be limits that you must not exceed).
• If you like to travel and move around Choose a Premium account. You will have a card with very good insurance abroad. Be sure to check the charges for payments and withdrawals abroad by checking the bank's price list. If you travel all the time, you can also opt for a neo-bank that offers limited fees abroad, such as Revolut or N26.
• If you want to save on your bank charges: opt for an account between 0€ and 3€ per month. However, at this price, you will not be able to pay for your purchases online (you will only have a VPay card). However, you will be able to carry out all other daily operations: contactless payment in shops, cash withdrawals and transfers.
• If you are a young worker or a studentIf you are a young person, you can get a free account with a good credit card and preferential rates for your personal loans. Most banks offer special accounts with favourable conditions for young people.

You can easily compare the offers and find the one that suits you in the table at the top of this page.

Reducing bank charges and saving money

By comparing banks in Luxembourg, you can easily save on your banking fees. Here are all the fees you need to know:

• Card fees : Some accounts include a VISA Classic or Premier card. Other banks charge €20 to €60 per year for these cards. Make sure you include the price of the card in your fee calculation.
• Withdrawal fees : all withdrawals from ATMs of the same bank are free of charge. However, most banks charge a fee for each withdrawal from a different brand of ATM above a certain number of withdrawals per month. Be careful to choose a current account that offers a sufficient number of external withdrawals for you. If not, check the amount of fees for withdrawals from third-party ATMs.
• Transfer fees : you can make transfers free of charge to accounts at the same bank. However, some banks charge for SEPA transfers to accounts at other banks (this is rare, but it happens). Check the number of external transfers allowed each month and the charges that apply to each additional transfer.
• Bank overdraft fees : These fees are charged each time your account balance is negative. They can be flat fees (€50 commission for each overdraft), or a percentage of the amount owed to the bank (1% for example). If you have already experienced this situation, you know that this is an important point in choosing your future bank account. We advise you to choose a bank that does not charge an overdraft fee. You can check these points by comparing the price brochures of different banks.
• Bank overdraft interest : when you are overdrawn, you are charged extra fees. These are the so-called "agios". In Luxembourg, these interests vary between 7% and 9%. If you are used to being in the red, look for the account that suits you best, and has the lowest rate.

Getting the best bank card

Here are some tips on how to choose the right card for your spending: 

• To shop in Luxembourg or on the InternetFor example, if you have a VISA Classic or VISA Premier card (you will have better travel and cancellation insurance with a Premier card). You can also choose equivalent cards from Mastercard.
• If you spend more than €3000 per month on card paymentsIf you have a Platinum card, you may want to consider a Platinum card. The payment limits will be much higher, and you will have excellent insurance for your travels and trips abroad. Some policies even cover travel delays or cancellations. In addition, all your purchases will be covered. In some cases, you'll even have a personal concierge who can take care of complicated purchases for you! (like getting a bouquet of flowers delivered in a hurry for Valentine's Day, or finding two concert tickets for an event that is already sold out).

Overdraft, withdrawals, transfers: these bank charges are essential to know

Here is a summary of the fees that you should consider when comparing banking offers in Luxembourg.

Bank overdraft fees and commissions

• Overdraft fees are charged every time your account balance goes into the red. Some fees are fixed (e.g. €50 when you go into the red). Others are variable (1% of the amount overdrawn in fees). However, not all banks charge an overdraft fee.
• Overdraft interest (or "agios") are charged on amounts due. The average rate is 7% to 9%. In Luxembourg, all banks apply these fees. To calculate the amounts due, the formula is as follows: overdraft fee = (amount of overdraft x duration of overdraft x bank rate) / number of days in the year.

Once you have selected the bank of your choice, it is important to read the bank's price list on its website. Check the interest rates and the presence (or not) of overdraft fees.

Fees for withdrawals from third-party ATMs

Here are some particularities to know when opening an account in Luxembourg:

• All withdrawals from your bank's ATMs are free and unlimited. In some cases, you can also withdraw free of charge from ATMs in a partner network.
• Withdrawals from other banks' ATMs are often charged, between 1.5€ and 2.5€. On the other hand, you can have a certain number of external withdrawals offered each month. If you often withdraw cash, be sure to check how many external withdrawals you can make each month before opening an account.
• All institutions charge a fee for withdrawals made abroad in currencies other than the euro. These charges are in addition to the prevailing exchange rate. However, some banks include a limited number of free foreign withdrawals in their offers.

These elements can be compared by consulting each bank account's tariff brochure. These are usually publicly available on their website.

Charges for SEPA transfers to external accounts

Here is what you need to know about transfers to Luxembourg:

• Transfers to accounts at the same institution are always free and unlimited.
• Transfers to the accounts of other institutions are sometimes paying (€0.75 per transfer). However, a number of free external transfers are usually included in your current account.
• Some banks offer unlimited transfers to all bank accounts.
• All institutions will charge a fee if you make transfers in another currency.

VISA or Mastercard fees

On card fees, it depends on the policy of your bank branch:

• Some include a bank card in their current account offer. Some banks even include several cards! You can choose to have a VISA Classic and a VISA Premier for example. Or a debit card and a credit card.
• Others charge for the bank card as an option. Be sure to include the cost of this card (€20 to €60 per year for a Classic or Premier) in your comparison of banks.

In our selections, we indicate the presence of a card in the offer by the mention "Card included".

VISA or Mastercard fees

You may be charged a number of administrative fees for each exceptional transaction. These fees include, for example

• Charges for overdue letters or remindersThese letters are charged when you have exceeded your authorised overdraft limit, for example. These letters can be charged at €20 per unit!
• Card blocking or replacement fees In the event of fraud on your bank account, or if your card is lost or stolen, some banks will charge you a fee for stopping your card and issuing a new one. Check these fees carefully before committing yourself.
• The cost of urgently ordering a new card These are among the highest fees. Some banks charge €75 for express delivery of a new payment card with a new PIN code.

However, some Luxembourg banks limit these fees. For example, they offer to replace your bank card after you have stopped payment. We advise you to compare the tariff brochures of the different banks before making your final choice.

The best online banks for travelling abroad

Knowing your bank charges abroad

There's nothing worse than returning from a trip to find that you have to pay tens of euros in fees to your bank! To protect yourself from this risk, here's what you can do:

• Opt for a bank that offers free withdrawals abroad. The bank will only charge you the exchange fee.
• Remember to ask the lifting of foreign exchange commissions abroad to your advisor before you go on holiday. In most cases, bankers agree to offer you the fee for a short stay. This means that you will not pay any commission on your withdrawals or payments.
• Choose a card that offers good travel and repatriation insurancesuch as a VISA Premier or MasterCard Gold. Remember to make your payments and travel reservations (plane, hotel, Airbnb, car rental) with this card. Your purchases will be covered in case of cancellation or unforeseen circumstances.

However, most "traditional" banks still charge fees when you go abroad. That's why we recommend an online neo-bank for your travels.

Choosing a neo-bank for international business

Neo-banks are 100% online banks which allow you to manage your account in real time from a web and mobile interface. These banks do not have a physical branch. They are accessible in all countries, and have developed thanks to their aggressive pricing policy on payments and withdrawals abroad. Depending on the formula chosen, they offer :

• No charges for card payments abroad (within the limit defined by the chosen account)
• No foreign withdrawal fees below a certain number of withdrawals.

Two neo-banks are particularly popular in Europe: Revolut and N26. They offer an online account and different card packages. Nevertheless, read carefully the comparison between their different offers before choosing an account: certain limits apply to international payments and withdrawals depending on the package you choose.

Attention Tax: As these banks are based abroad, you will have to declare the accounts opened to the tax authorities in your country of residence every year. Depending on the country, the laws require you to pay taxes on money held in foreign accounts. However, in most cases these taxes amount to only a few euros per year.

Overview of banks in Luxembourg

What banks are in Luxembourg?

The country has a handful of banks. These include BIL, BGL, ING, Raiffeisen, Spuerkeess (the state bank) and POST (the incumbent telecom operator).

Find all these banks and their current account and credit offers (car, consumer, renovation) by clicking on this link.

How to choose your bank in Luxembourg?

If you are moving to Luxembourg to work, you may be able to take advantage of a promotional offer on a current account. Most banks have partnerships with local companies.

If you can't benefit from any special promotions, check out the comparison at the top of this page: you'll find the right bank for you!

Which account to choose in Luxembourg?

Are you hesitating between several offers? Here is a guide to help you make your choice.

Read the guide

Frequently Asked Questions (FAQ)