Posted by 
For no particular reason, other than being able to share our experience with you, we recently opened a bank account here in Nicaragua. Although relatively straightforward the process to do so was a little long and drawn out.
With a smile on my face, a pocketful of patience and the required documentation in hand (see below for the detailed list) I arrived at our local Banco Lafise Bancentro branch here in San Juan del Sur.
The time was approximately 12:45 pm.
At 3:30 pm, a little less than 3 hours after arriving, I walked out the door with my account number in hand and instructions to return in one week’s time to pick up my debit card.
One week later, as promised, my debit card was ready for pickup.
When I returned to Bancentro to pick up my card the representative that helped set up my account greeted me with a, “Buenos dias, Don Gordon” and one hour later I had debit card in hand with online banking and fraud protection setup.
The task of opening a bank account in Nicaragua without having residency was officially complete.
Other than a $2.50 USD service charge for optional fraud protection we do not incur monthly fees to have this account.
Since opening our account I have successfully completed a wire transfer. It took a few days for the funds to show up, but overall the transaction went very smoothly. I was impressed that I received an email from the bank notifying me that a deposit had been made to my account.
WHAT YOU NEED TO OPEN AN ACCOUNT
Foreigners who wish to set up a bank account with Lafise Bancentro are required to present the following:
- Copy of your passport
- Copy of your driver’s license or government issued ID
- Copy of last year’s income tax statement
- Reference letter from your home country bank
- Bank statement from your home country showing your current account balance
- Two reference letters from Nicaraguan citizens
- Rental home agreement or proof of home ownership (in Nicaragua)
- Copy of your beneficiary’s passport
- Minimum $50 USD to deposit
This may seem like a long list, but in order to alleviate money laundering, banks worldwide — including those in Nicaragua — want to know where your money is coming from.
IS A NICARAGUAN BANK ACCOUNT REALLY NEEDED?
For the past four years we’ve managed just fine without a Nicaraguan bank account. During this time we’ve always just used our Canadian debit card to withdraw funds from our account at an ATM.
In fact, since moving here there has only been one instance when we we felt it would have been beneficial to have a local account. That was in 2012 when we purchased our truck.
I still say we don’t really need this account, but at the same time it does add a level of convenience to our day to day life. Just like in Canada I can use my bank account to pay bills online. I can also add minutes to my cell phone. I can even transfer money to friends that also have Bancentro accounts.
Last night I noticed a sign at a local restaurant offering a 20% discount if I used my debit card to pay my bill.
For the first time in four years I used my Visa debit card, instead of cash, to pay for groceries. This felt a little odd, yet somehow familiar to life back in Canada.
Just to let you know, I have received discounts at restaurants on several occasions using my Canadian Visa credit card. The banks seem to run special discount programs with some regularity to encourage use of their products and seem to extend it to affiliated cards.
Thanks. This has been a question for me.
I’ve seen elsewhere that a reference from your home country’s bank is needed. What is that exactly?
Hi JM,
A reference from your home country’s bank is a letter stating that you are in fact a customer, how long you’ve been a customer, what types of accounts you have and confirmation that those accounts are in good standing.
Let us know if you have any other questions.
Cheers,
Elisha
Do these letters of reference have to be in Spanish?
Hi Zen,
No, they do not. Ours were in English.
Cheers,
Elisha
Hi Gord and Elisha,
Question: Your list includes the item: “Copy of your beneficiary’s passport”. Who would the beneficiary be?
Thanks.
Claire
Hi Claire
Your beneficiary is the person you would like to leave the heaps of cash in your bank account to if you died. I suggest Gordon MacKay, but you may have someone closer to you.
Cheers,
Gordon
Why didn’t you get your permanent residents after 4 years?
Hi Armand,
The reason we do not currently have residency is because we do not qualify.
Kind regards,
Elisha
Thank you for sharing this! Answered my question 🙂
Sorry for being late to this post! What were the transaction fees like when you transferred funds from your Canadian account to your new Nicaraguan account?
Hi IKEUSA,
We have not transferred funds from our Canadian account so we are not able to speak to transfer fees.
Cheers,
Gordon
Hi Elisha & Gordon
When you used your Canadian debit card were you able to take out US $ or cordobas? Also what was the exchange rate like?
Hi Jeff,
Yes, we were able to take out either USD or córdobas using our Canadian debit card. For withdrawals you’ll get whatever the current world exchange rate is minus whatever your financial institution charges, which is usually 2.5%.
Cheers,
Elisha