How to Choose the Right Bank for Your First Account

Short answer: To choose the right bank for your first account in Bangladesh, look at five things: safety (a financially strong bank, since deposits are insured only up to Tk 2 lakh), fees (account maintenance, card and SMS charges in the schedule of charges), convenience (a branch or ATM near you, and a good mobile app), the right account type (savings, student or digital account), and future needs (where your salary will be paid, and where you may later want a credit card or loan). For most people, a well-capitalised bank with a strong app, low fees on small balances and a branch nearby is the best start.

Below, we explain each factor, show what fees to expect, and give a simple checklist to compare banks before you open your account.

Choosing a bank because it was nearest

Nadia, 19, opened her first account when she started tutoring in Dhaka. She chose the bank whose branch was on her road. A year later, she found small charges every six months, an SMS fee, a debit card fee, and an app that barely worked. When her university asked for fees by online transfer, she had to stand in a branch queue.

“I picked the closest door,” she says. “I should have picked the bank that fits how I actually use money.”

1. Safety first: is the bank strong?

Bangladesh’s banking sector has had serious problems in recent years. From 1 January 2026, five troubled Islamic banks (EXIM, Social Islami, First Security Islami, Global Islami and Union Bank) were merged into Sammilito Islami Bank. Depositors with more than Tk 2 lakh can withdraw only Tk 1 lakh every three months for two years, though deposits up to Tk 2 lakh are fully protected, UNB reported. The lesson for a first-time customer: the strength of the bank matters.

How your deposit is protected

Under the new deposit protection law, each depositor is insured up to Tk 2 lakh per bank, double the earlier limit, and insured money must be paid within 17 working days if a bank closes, down from 180 days, The Daily Star reported. That covers about 93% of bank accounts. For a first account, your balance is likely to be fully covered, but if your savings grow beyond Tk 2 lakh, consider spreading them across more than one strong bank.

Signs of a strong bank

• A good credit rating from a licensed rating agency, usually published on the bank’s website.
• Low non-performing (bad) loans, shown in its annual report.
• No recent news of liquidity problems, withdrawal limits or Bangladesh Bank intervention.
• Deposit rates that are not far above the market. Unusually high rates can signal a bank that is struggling to attract money.

2. Fees: read the schedule of charges

Every bank publishes a schedule of charges. For small savers, the most important is the account maintenance (service) charge, collected twice a year. Under Bangladesh Bank rules from 2019, the limits for savings accounts are:

Average balance	Maximum charge (each half-year)
Up to Tk 10,000	No charge
Tk 10,000 to Tk 25,000	Tk 100
Tk 25,000 to Tk 2 lakh	Tk 200
Tk 2 lakh to Tk 10 lakh	Tk 250
Above Tk 10 lakh	Tk 300
Current account (any balance)	Tk 300

Source: The Business Standard, October 2019. Check each bank’s current schedule; VAT may apply.

Also compare: the debit card annual fee, SMS alert charges, cheque book fees, charges for using other banks’ ATMs, and fees for statements and certificates. A bank with a slightly lower interest rate but no card or SMS fees can leave you better off.

3. Choose the right account type

Account	Best for	Notes
Savings account	Most first-time customers	Earns some interest; low or no maintenance charge on small balances
Student account	School and university students	Often very low opening deposit and reduced fees; may need a guardian
Digital or e-KYC account	People comfortable with apps	Opened online with NID and a selfie; often limited transaction limits at first
Salary account	Employees	Opened through your employer; often free, with card and loan benefits
Current account	Business owners, frequent cheque users	No interest; fixed maintenance charge
Islamic (Mudaraba) savings	Those who prefer Shariah-based banking	Profit sharing instead of interest

4. Convenience: app, ATMs and branches

• A good app is now the most important convenience. Check that it lets you transfer money instantly through NPSB, pay bills, add money to bKash or Nagad, and download statements. Read recent app store reviews.
• ATMs and branches near your home, campus or office still matter for cash and paperwork.
• Agent banking outlets are useful outside big cities.
• Customer service: call the hotline before you open the account and see how long it takes to reach a person.

5. Think about the future

Your first bank is often the bank that later gives you your first credit card or loan, because it can see your history. Banks often give their own customers lower income requirements and faster approvals. Standard Chartered, for example, sets a lower minimum income for personal loans to its own payroll clients than to people paid elsewhere, as we found in our Standard Chartered personal loan review. If you expect to need a card, a home loan or a long-term savings scheme, choose a bank that offers them on good terms.

What you need to open an account

• National ID card (or birth certificate and guardian’s NID for minors)
• Passport-size photos (or a live photo for digital accounts)
• Nominee’s photo and NID copy
• Proof of address, such as a utility bill, if asked
• Information about your income source, for the bank’s KYC form
• An e-TIN for larger accounts or certain services
• An initial deposit, which varies by bank and account type

A simple checklist to compare banks

1. Is the bank financially strong, with no recent withdrawal limits or crisis news?
2. What is the half-yearly maintenance charge at my likely balance?
3. What are the debit card and SMS fees?
4. Is the app reliable, with instant transfers and bill payments?
5. Is there an ATM or branch close to where I live or study?
6. What is the savings interest or profit rate?
7. Will this bank help me get a card or loan later?

Mistakes to avoid

• Chasing the highest deposit rate at a weak bank.
• Not naming a nominee, which can make it hard for your family to access the money.
• Leaving an account unused for years; it can become dormant and need reactivation.
• Sharing your PIN, OTP or card details with anyone, including people claiming to be bank staff.
• Keeping all large savings in one bank above the Tk 2 lakh insurance limit.

Back to Nadia

Nadia compared three banks using the checklist above. She moved her savings to a strong bank with a reliable app and no SMS fee, and kept her old account only for a small fixed deposit. “Now I pay my university fees from my phone,” she says. “And I know my money is in a bank I would trust for a loan later.”

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This article is for general information only and does not recommend any bank. Fees and rates change; check each bank’s current schedule of charges before opening an account.

Frequently asked questions

Which is the best bank for a first account in Bangladesh?

There is no single best bank. Choose a financially strong bank with low fees on small balances, a reliable app and a branch or ATM near you. If you have a job, your employer’s salary bank is often the easiest choice.

Is my money safe in a Bangladeshi bank?

Deposits are insured up to Tk 2 lakh per depositor per bank, and must be paid within 17 working days if a bank closes. Choosing a strong bank and spreading larger savings adds more protection.

Do I pay fees on a small savings account?

Under Bangladesh Bank rules, there is no account maintenance charge on savings accounts with an average balance of up to Tk 10,000. Other fees, such as debit card or SMS charges, may still apply.

Can I open a bank account online?

Yes. Many banks offer e-KYC accounts opened through an app with your NID and a live photo, often with lower limits at first.

What documents do I need?

Usually your NID, photos, a nominee’s photo and NID, and an initial deposit. Students under 18 need a birth certificate and a guardian.

Key words explained

Term	What it means
Schedule of charges	A bank’s published list of all fees.
Account maintenance charge	A fee for keeping an account, usually collected twice a year.
Deposit insurance	Protection of deposits, up to Tk 2 lakh per depositor per bank, if a bank fails.
e-KYC	Electronic “know your customer”: opening an account online with NID verification.
Nominee	The person who receives your money if you die.
Dormant account	An account frozen after a long period without use.
Mudaraba	An Islamic banking arrangement where the bank shares profit instead of paying interest.

How we reported this

We used The Business Standard’s report on Bangladesh Bank’s 2019 rules on account maintenance charges, The Daily Star’s report on the new deposit protection law, UNB’s January 2026 report on the Sammilito Islami Bank merger and withdrawal limits, and our own Standard Chartered review. We do not recommend any specific bank; readers should compare current schedules of charges directly.

Editor’s note: Nadia is illustrative, created to show how a first-time customer might choose a bank. She is not a real person. The rules come from the published sources listed with this article.