How to Open a Bank Account in Malaysia in 2025

Malaysia's GDP is projected to grow by USD 157.6 billion, or 35.37%, between 2024 and 2029.  This economic growth offers significant opportunities for both individuals and businesses. For individuals, it means a stronger job market. For businesses, it translates to better investment opportunities.

If you're planning to relocate to Malaysia or establish a business there, securing a bank account is essential. 

So, where should you start? This guide provides an overview of banking in Malaysia, outlines the steps to open a bank account, and addresses common questions regarding costs, processing times, etc.

The most distinctive characteristic of Malaysian banking to understand is its dual system, which incorporates both conventional and Islamic banking options.

• Conventional Banking: This system operates like most international banking systems, using interest rates for deposits and loans. 
• Islamic Banking: Adhering to Islamic principles, this system prohibits interest. Instead, Islamic banks use profit-sharing structures for financial products. For example, if a bank lends to a business, the business repays without interest and shares profits with the bank. If the business doesn't profit, the bank doesn't benefit either. Islamic banking is accessible to everyone, regardless of religion.

The choice of banking system depends on your financial objectives. If you prefer banking without interest, Islamic banking could be suitable. However, it's advisable to verify whether they offer the specific products you require, as some may have fewer options, especially in investment.

Yes, a foreigner can open a bank account in Malaysia, but eligibility depends on the bank's requirements. Generally, you'll need to provide more documents than residents, and you need a reference from your employer or a Malaysian contact. 

Most banks will require you to be present in person during the verification process.

To open a bank account in Malaysia, like anywhere else, you'll need proper documentation. The required documents vary based on the bank and the type of account you're applying for, but below is a common list:

Non-permanent residents and non-residents can open bank accounts in Malaysia, but additional documents will be required depending on the bank's requirements. Often, a valid passport and an active visa or proof of legal status in Malaysia are necessary. 

Here are some of the common documents:

Now that we've covered general banking information in Malaysia and the usual required documents, this section breaks down the account opening process into five common steps. 

These steps will guide you through the common requirements, regardless of whether you're a resident or non-resident and whether it's for personal or business purposes.

The first step is to determine which type of account suits your needs. Here are common types of accounts available for both residents and foreigners in Malaysia.

• Savings Account: A savings account helps you set aside money for future needs and allows you to access your funds with a debit card. You'll need an initial deposit, and some banks require a minimum balance. 
• Current Account: An everyday banking account may require a good banking history and credit score to open. In Malaysia, your credit score can be obtained from two primary credit reporting agencies: CTOS and CCRIS. However, some banks offer basic current accounts with minimal eligibility checks.
• Fixed Deposit: A savings account where you deposit a set amount for a fixed period at a fixed interest rate, offering higher returns than regular savings accounts.
• Foreign or Multi-Currency Account: An account allowing you to hold and transact in one or multiple foreign currencies, useful for international transactions and currency management.

Once you've decided on the type of account you want to open, it's time to choose a bank that offers the account types and the functions you need. 

There are many Malaysian banks to choose from, each with its own perks and advantages. 

Here's a list of the “Big 4”, or the most popular banks in Malaysia:

You can explore additional options by referring to this directory of authorised banks in Malaysia provided by the Malaysian Central Bank.

Once you've selected the bank and the type of account, visit the bank to check eligibility and prepare the necessary documents.

In addition to the documents, you should be able to download an application form to fill out or obtain one through the bank's contact channels.

Once submitted, the bank will review your application. Depending on their assessment, you might need to communicate with them or provide additional documents.

Some banks will require you to visit a branch to obtain a fingerprint stamp for background checks and identity verification.

Verification processes for business accounts are mandatory and more complex than those for personal accounts. 

Once your application is approved, the bank will notify you and provide instructions on activating your account. This process may include:

• setting up online banking, where you will likely receive login credentials or be guided through creating them
• depositing an initial amount

Some banks may require you to visit the branch to activate your account.

Opening a traditional bank account online in Malaysia is challenging, especially for foreigners. Most banks allow you to apply online but require a visit to a bank branch to complete or activate the account. For foreigners, the process is even more complex due to stricter verification requirements.

Let’s look at some of the top bank online account opening conditions:

• CIMB offers the OctoSavers Account-i, which can be opened entirely online, but eligibility is limited to Malaysian citizens with MyKad identification. For business accounts, all authorised signatories must physically visit branches for verification despite the availability of online account openings.
• RHB facilitates online account opening and electronic KYC (Know Your Customer) processes; however, you need MyKad to activate the account.
• Maybank provides online account opening services exclusively for existing customers.

If opening an account completely online is crucial, it's advisable to research the specific bank and account type beforehand. Checking their website or contacting them directly can provide clarity on the online application process.

In Malaysia, most accounts don't have an opening fee, but you often need a minimum deposit to start. Minimum deposits range between MYR 200 and MYR 1,000 for personal accounts and MYR 1,000 to MYR  3,000 for business accounts.

Opening a bank account in Malaysia takes a few hours to a few days, but for foreigners, it might take up to a week or more.

The time varies based on the bank, account type—with basic savings accounts being the fastest—and whether you have all the required documents. In some cases, such as opening a business account, being a foreigner, or having missing paperwork, the process can take longer due to additional verification requirements.

Setting up a bank account in Malaysia is a straightforward process, provided you have all the necessary documentation and understand the requirements specific to your residency status, whether you're a resident or a non-resident.

While Malaysia offers products for non-residents and has some online options to begin the process, completing the application may require some time and effort, particularly for non-residents, as verification likely requires in-person presence.