Most first-hand reports shared here ended in success.
Based on 5 first-hand reports shared by the community, 4 reported success and 0 were declined for banking in Iceland. Reviewed for 2026.
Iceland: banking for non-residents and digital nomads. Iceland is outside the EU where, for a foreigner, accounts open in ways that vary by bank. Most banks work mainly with local and regional clients, so it pays to come prepared with proof of address, source-of-funds evidence and a clear account purpose.
Opening an account and going remote. Whether you can open remotely varies bank by bank; some applicants confirm opening remotely or online; others note an in-person branch visit was still required.
Reporting, AML and stability. Iceland takes part in CRS automatic exchange, so an account here is reported to your tax-residence country each year; it is not on the FATF/EU AML high-risk lists, so onboarding follows standard due-diligence rather than enhanced scrutiny; political and economic stability is rated high (World Bank governance indicators), which shapes the risk of capital controls, abrupt banking-rule changes or currency turmoil affecting your account.
What applicants report. What people brought: Non-resident kennitala from SKRA, Certified ID from home country, Reference letter from a bank in home country (Greek bank), VAT registration documentation, Kennitala (Icelandic national ID number), Registered address in Iceland, Residence permit or proof of legal stay, Notify bank of address change to abroad. practical tips from the community: Consider Arion or Íslandsbanki first as they have simpler documentation requirements; Prepare a bank reference letter from your home country in advance if set on Landsbankinn; App only in Icelandic, no English translation available; No notifications when bills arrive or money is transferred in; Arion app can be used to view Íslandsbanki accounts as a workaround; Get kennitala first — it is the prerequisite for everything including bank accounts. Treat this as community orientation, not a guarantee.
Bottom line. Banking access in Iceland is workable but uneven, so come prepared and keep a backup.
Grouped by bank — each applicant type is a row. Colour shows the reported outcome.
otheropens4 reports · strong signal
A newcomer to Iceland evaluated the three main banks based on their mobile apps. Arion was recommended for its English-language app, superior notification system, and cross-bank account integration. All three banks have similar fee structures and service quality. The Arion app is the only one with full English language support and the only one that can aggregate accounts from all three banks.
Matches your experience?
Non-resident kennitala from SKRACertified ID from home countryVAT registration documentationElectronic invoice setup required by RSKKennitalaRegistered addressExisting Arion accountFinding a deposit-enabled ATM
Conditions: Arion app has full English language support (some translations described as 'funny'/'not making sense'). The app integrates with accounts at Íslandsbanki and Landsbankinn, allowing a single app to manage accounts at all three banks.
Watch out: Low
Tips: Arion has the best banking app in Iceland with full English language support · Arion app integrates with all three major Icelandic banks for viewing accounts · Ask to enable international transfers explicitly when opening the account · Cash deposit at ATMs only available at select locations (Smáratorg confirmed working)
otheropens2 reports · moderate signal
Multiple expats confirmed that Icelandic bank accounts do not automatically close when leaving the country. The kennitala remains active indefinitely. One user reported successfully maintaining their Icelandic bank account for 8 years after moving abroad, with cards renewed and a foreign address registered with the bank. Simply notify the bank of your new foreign address and update your registration with Þjóðskrá.
Matches your experience?
Kennitala (Icelandic national ID number)Registered address in IcelandResidence permit or proof of legal stayNotify bank of address change to abroadCards may need address updates when expiring
Conditions: Bank accounts can be maintained from abroad. Kennitala cannot be voluntarily closed — it remains active indefinitely even after leaving the country.
Watch out: Low — accounts can be kept open long-term after leaving Iceland
Tips: Get kennitala first — it is the prerequisite for everything including bank accounts · EU/EEA citizens have a more streamlined path to kennitala · Non-resident kennitala is available via A-275 form for those who need banking without residency · One can get a temporary kennitala while waiting for full residency paperwork
otherconditional1 report · early signal
Landsbankinn was the most difficult of the three major Icelandic banks for a non-resident EU citizen to open an account with. They required a reference letter from a bank in the applicant's home country (Greece) in addition to standard documentation. The applicant abandoned this application and went with Arion and Íslandsbanki instead.
Matches your experience?
Non-resident kennitala from SKRACertified ID from home countryReference letter from a bank in home country (Greek bank)
Conditions: Requires bank reference letter from home country, which was seen as excessive compared to other Icelandic banks
Tips: Consider Arion or Íslandsbanki first as they have simpler documentation requirements · Prepare a bank reference letter from your home country in advance if set on Landsbankinn
otheropens1 report · early signal
EU citizen successfully opened an Íslandsbanki account alongside Arion for VAT/tax purposes. Process was similar to Arion — required non-resident kennitala and certified ID. The Íslandsbanki mobile app lacks English language support and does not send transaction notifications.
Matches your experience?
Non-resident kennitala from SKRACertified ID from home countryVAT registration documentation
Conditions: No push notifications for bills or incoming transfers. App is in Icelandic only with no English option.
Watch out: Low
Tips: App only in Icelandic, no English translation available · No notifications when bills arrive or money is transferred in · Arion app can be used to view Íslandsbanki accounts as a workaround
otheropens1 report · early signal
A foreign resident who had been with Arion Banki moved savings to Auður (Kvika Banki) for a 0.6% higher interest rate (5.65% vs Arion's rate). The account pays interest monthly with no lock-in period. Deposits are covered by the Icelandic Depositors' and Investors' Guarantee Fund up to 100,000 EUR. Reviewers considered it reliable despite not being a traditional retail bank.
Matches your experience?
Existing Icelandic bank accountKennitala
Conditions: Interest rate at time of report: 5.65% paid out monthly without funds being tied down. Deposits insured up to 100,000 EUR through the Depositors' and Investors' Guarantee Fund (TIF). 0.6% higher than Arion's savings rate at the time.
Watch out: Low — covered by deposit insurance up to 100K EUR via TIF fund. However, noted that no Icelandic bank account has direct government insurance — all covered by the same insurance fund.
Tips: Good option for higher interest savings — rate was 5.65% (Dec 2022), higher than Arion · Interest paid monthly, funds are not locked in · Insured up to 100K EUR by the Icelandic Depositors' Guarantee Fund
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