Bank Account issues for cross-border commuters and businesses in the Nordics

Cross-border commuters who live in one Nordic country and work in another needs a check-in bank account in the country where they work, but the regional information services are reporting an increase in cases where banks are denying individuals to open an account since cross-border commuters lack a personal identification number and national ID from the country where they work. This problem is very frequently reported in Sweden. Further, cross-border commuters who live in Sweden and start working in Denmark have been denied the right to open a bank account in Denmark, either because they could not present two valid forms of ID, or due to the fact that the employment had lasted less than six months. 

In cases where Danish businesses have attempted to open a business account in Sweden, Swedish banks have required that the individual present proof of da Swedish personal identification number. In another case, a Danish business with customers in Sweden successfully managed to open a bank account in a Swedish bank. The bank then required a samordnings- or organisation number, or the bank account would be closed. The Swedish public authorities had not, in this case, issued a samordnings- or organisation number to the business as its limited activity in Sweden had not required it to be taxed in Sweden. 

Cross-border commuters and businesses who are active in the border regions find this to be a significant obstacle and have had to spend a substantial amount of time on something that is considered a basic right within the EU/EEA. This has on some occasions meant that the business has chosen not to continue its business on the other side of the border. The Danish Erhversministeriet (Ministry of Industry, Business and Financial Affairs) states that “the right to a basic check-in account only applies to individuals and not businesses who are cross-border commuters. The right does not apply to business accounts, but the bank’s industry organisation Finans Danmark has issued a recommendation to its members to allow access to business accounts under a number of specified conditions”. 

If a cross-border commuter is missing a Swedish proof of identity, the bank can still check the commuter’s identity with the help of an identity card issues by a public authority that states the individual’s citizenship. In the event that a bank refuses the cross-border commuter to open a bank account, the individual can turn to the bank’s complaints department and ask to have the decision reconsidered. This possibility is not always highlighted by the bank which means that not all customers are aware of their right to appeal the bank’s decision. This is considered a problem.