Opening a Bank Account in Australia — Guide for New Indian Migrants

Opening an Australian bank account is one of the first practical steps when you arrive. Without a bank account, you cannot receive salary, pay rent, or set up utilities.

This guide covers how to open an account, which banks Indian migrants commonly use, how to send money back to India cheaply, and what you need to know about Australian banking.

Which Banks Do Indian Migrants Use?

Australia's "Big Four" banks are Commonwealth Bank (CBA), Westpac, ANZ, and NAB. All are reliable and widely accepted. Most Indian migrants use one of these for day-to-day banking.

Commonwealth Bank (CommBank / CBA)

• Most branches and ATMs across Australia
• Strong mobile app (CommBank app)
• NetBank online banking
• Commonly recommended for newcomers — wide branch coverage is useful when you first arrive

ANZ

• Strong in all major cities
• Good mobile app
• Slightly more competitive fee structures on some accounts

Westpac

• Another major option; widely used

NAB

• Popular with Indian IT professionals, particularly in Melbourne

ING, Macquarie Bank, Up Bank (digital-only)

• Fee-free accounts, often with competitive interest rates on savings
• No branches — fully digital; good once you are settled but less ideal if you need branch services when first arriving

Can You Open a Bank Account Before Arriving in Australia?

Yes — Commonwealth Bank, ANZ, NAB, and Westpac all allow you to open an account online before you arrive. This is very useful: you can receive your TFN correspondence and have a bank account ready on arrival.

Typical process for pre-arrival account opening:

1. Apply online on the bank's website from India
2. Provide passport details and contact information
3. Account is created in your name with a BSB and account number
4. You activate and verify the account when you arrive in Australia (within a specified period — typically 6–12 months)
5. You will need to verify your identity in-branch (or via video call for some banks) when you arrive

What Documents Do You Need to Open an Account?

When opening an account in Australia (in-branch):

• Passport (primary ID)
• Australian visa (if not yet a citizen or PR)
• Australian address (some banks accept an initial address, including a hotel or temporary accommodation)
• Tax File Number (TFN) — not mandatory to open an account, but you should provide it. Without a TFN, your bank withholds tax on interest at the top marginal rate (47%)

Understanding Australian Bank Accounts

Transaction account: Your main everyday account — linked to your debit card, used for salary deposits, bill payments, and day-to-day spending.

Savings account: Higher interest account. Most banks offer savings accounts with bonus interest if you do not make withdrawals in the month (reward savings accounts).

Term deposit: Fixed-term deposit at a fixed interest rate. Suitable for money you do not need for 3–12 months.

BSB: Bank State Branch code — a 6-digit number identifying your specific bank and branch. Combined with your account number, this is what identifies your bank account in Australia (equivalent to IFSC + account number in India).

ATM and Card Fees

Australian banks charge fees for using other banks' ATMs — typically $2–$3 per withdrawal. Strategy: use your own bank's ATMs, or use retailers that offer EFTPOS cash-out (supermarkets often provide $100–$200 cash with a purchase at no extra charge).

Most everyday accounts now have no monthly fee if you meet minimum deposit requirements (e.g., deposit $2,000+ per month — your salary usually covers this).

Sending Money to India — Cheapest Options

Bank international transfers are convenient but expensive — fees of $20–$30 per transfer plus a poor exchange rate.

For sending money to India, use a money transfer service:

Service	Typical advantage
Wise (formerly TransferWise)	Real mid-market exchange rate, low flat fee
Remitly	Fast delivery options, competitive rates
Western Union / MoneyGram	Wide pickup network in India
SBI Australia	If you have an SBI account — direct transfer to SBI India
ICICI Bank Money2India	Competitive rates for ICICI account holders

Wise is widely used by Indian migrants for its transparent pricing and the mid-market exchange rate (no hidden margin). Compare rates before each transfer — they fluctuate.

RBI reporting: Transfers from Australia to India via wire are monitored by the Reserve Bank of India. Large transfers may require documentation at the Indian end for compliance purposes.

NRI Banking — NRE and NRO Accounts in India

If you are an Indian citizen or hold an OCI card and live outside India, you are classified as a Non-Resident Indian (NRI) for Indian banking purposes.

As an NRI, you can hold:

NRE (Non-Resident External) account:

• Indian rupee account in India funded by foreign income
• Fully repatriable — you can transfer the money back to Australia at any time
• Interest is tax-free in India (note: treatment in Australia depends on your Australian tax residency status — seek advice)
• Principal and interest can be repatriated freely

NRO (Non-Resident Ordinary) account:

• Indian rupee account for income generated in India (rental income, dividends, pension)
• Repatriation limited to $1 million USD per financial year (subject to conditions)
• Interest is taxable in India (20% TDS for NRIs)

Notify your Indian bank when you emigrate to Australia — your resident savings account must be converted to an NRO or NRE account.

Frequently Asked Questions

Can I keep my Indian bank account after moving to Australia?

Yes — convert your existing Indian savings account to an NRO account. You can continue to use it for Indian income and expenses.

Is there a minimum balance required for Australian bank accounts?

Most transaction accounts have no minimum balance requirement but may have monthly fees if you don't meet deposit conditions. Read the product disclosure statement before opening.

My employer wants to pay me in cash. Is that legal?

Your employer must pay you in a way that can be documented. Being paid in cash is legal but unusual; ensure your employer provides payslips and reports your income to the ATO.

I am on a student visa. Can I open an Australian bank account?

Yes — student visa holders can open Australian bank accounts. You will need your passport and student visa.

Bank products and fees change regularly — verify current offerings directly with each bank.