Opening a Dollar Account in Nigeria
Nigeria has a new policy where all international payments and remittances must be in US dollars. So, to receive money from foreign countries, you’ll need to open a dollar account in Nigeria, also known as a Domiciliary Account.
This guide will show you how to open a dollar account, its benefits, and the steps involved.
How to Open a Dollar Account in Nigeria:
Choose a Bank
There are 21 commercial banks in Nigeria. Some of the best banks to open a dollar account are First Bank, UBA, GTBank, Access Bank, and Stanbic IBTC Bank.
Fill Out the Application
Pick up a dollar account opening form from any of the branches of the chosen bank. Fill out the form and meet the requirements, which usually include:
- Completed Dollar Account opening form
- ID proof (driver’s license, passport, or national ID)
- Passport photograph
- Completed reference forms
- Proof of address (utility bill from the last 3 months)
Start Receiving Funds
After meeting the requirements, you can start receiving funds into your dollar account. Note that transactions come with fees.
Receiving Dollars in Your Dollar Account: To receive dollars in your account, you can use bank-to-bank wire transfer or money transfer services like Remitly, WorldRemit, and TransferGo.
Pros of Opening a Dollar Account in Nigeria:
- No need to convert foreign funds into the local currency
- Protect against Naira exchange rate fluctuations
- Convert US dollars into Naira at your convenience
- Access to a US dollar Visa or Mastercard
Withdrawing Dollars from Your Dollar Account: You can withdraw US dollars by filling a withdrawal form and submitting it at the bank teller.
Best Bank to Open a Dollar Account
GTBank, UBA, and First Bank are the best options to open a dollar account.
Converting Dollars into Nigerian Naira: You can convert your dollars to Naira through your bank or a Bureau de Change (BDC) operator. BDC operators usually have better rates than banks in Nigeria.
Cost of Opening a Dollar Account: Dollar accounts in Nigeria are usually free to open, but some banks may require a minimum opening balance of around $100.
Note: A dollar account in Nigeria is also called a Domiciliary Account or Dom Account.
In Nigeria, the cost of opening a dollar account can vary, with some banks offering it for free. Others, however, require a minimum opening balance that ranges from $100 to $500. Note that the United Bank for Africa (UBA) dollar account has a $0 minimum opening balance requirement.