Business banking in Hungary

How business banking works in Hungary

Hungary is a European Union member that uses the Hungarian forint rather than the euro, so most domestic business is settled in forint while many companies also need euro and other currencies for trade. Business accounts are offered by large domestic banks such as OTP Bank, MBH Bank, K&H Bank, Erste Bank, Raiffeisen Bank, UniCredit Bank and CIB Bank, and by licensed electronic money and payment providers such as Wise Business and Revolut Business that accept companies registered in Hungary. A Hungarian financial transaction levy applies to many payments and is usually passed on through account pricing, so compare the full fee schedule rather than the headline monthly fee.

Who can open a business account

A registered Hungarian business can open an account. That includes a sole trader, the egyeni vallalkozo, and companies such as a Kft, which is the limited liability company, a Bt, which is a limited partnership, and a Zrt. The people who control or represent the business complete identity and source of funds checks. Wise Business accepts sole traders and companies. Whether Revolut Business accepts a sole trader depends on its registration, so check with Revolut. Non residents can apply, but acceptance depends on the provider and your circumstances.

Traditional banks compared with neobanks

Traditional Hungarian banks give you a domestic forint account, cash handling, lending and a branch network, and they usually require an in person visit to open a business account. Neobanks such as Wise Business and Revolut Business open online in days and are strong for multi currency payments and lower cost foreign exchange, but they do not handle cash and do not replace a domestic bank for every need. Many Hungarian businesses use a domestic bank for forint operations and a neobank for international payments.

Requirements and documents

Requirements vary by provider, and the exact documents depend on your legal form. A typical Hungarian business application asks for the following. Verify with the provider

• Proof of the business, such as the company registry extract for a Kft or other company, or the sole trader registration for an egyeni vallalkozo, together with the Hungarian tax number.
• Identification for every owner and authorised representative, usually a passport or national identity card, plus proof of address.
• For a Kft, the founding documents and evidence of the share capital, which is a minimum of HUF 3,000,000, along with source of funds information requested under know your customer rules.

How to open an account

1. Choose a provider and account type that match your legal form and how you handle cash and foreign currency, and read the fee schedule, including the Hungarian transaction levy, as of the date you apply.
2. Gather your business registration, tax number, owner identification and proof of address, and for a Kft your founding documents and share capital evidence, then complete the provider identity and source of funds checks.
3. Open the account online with a neobank, or in branch with a Hungarian bank. A newly formed Kft opens an account after or alongside registration, since a company must hold a payment account.