Bank or postal account

Cash

Cash is being used less and less. But it is very good for keeping an overview of your finances (see also 4 Budget): You can see how much you have and notice when you spend the money. This is often not the case with bank transfers or credit card purchases.

For paying directly in shops bars, at the market etc., cash is best. If the person you want/need to pay is not there, you can make a deposit into their account at a post office (you can only make a payment at a bank if you have an account there). The same applies if you receive money from someone.

As soon as someone is legalized in Switzerland, it is an advantage to have an account at a bank or at the post office. For example, you have to pay rent, receive wages and so on.

Post Office or Bank

For many people it is common to have a private account with Postfinance. By law, there must be a network of post offices and postal agencies in Switzerland. Post agencies may be located in shops but they do not offer as large a range services as post offices. These post offices and agencies offer basic payment transaction services and acceptance and delivery of mail.

You can make deposits at any post office, even if you don’t have your own account! If a post agency is located in a shop, you cannot make cash deposits, only with a Postfinance Card, Maestro- or V-Pay-Card. When you open a private account you can apply for a free yellow Postfinance Card. The yellow Postfinance Card is popular and you can use it to withdraw money from numerous cash machines.

If more money comes in than you spend, you can leave the money in the account. However, you get very little interest on your money. If you spend more money than you have in your account, you will have to pay a lot of interest. Try not to get into this situation. When you open your account, you can also indicate that your limit is 0 francs, which means that you cannot go into the red.

The post office and banks, charge different fees for account management (0 to 60 francs and more per year), depending on how much money you have on the account and whether you use other services provided by Postfinance or the bank. If you wish, you can receive a paper statement every month (which costs money). You can receive the statement online free of charge. The Postfinance Card is free of charge.

Which bank is the cheapest? Each bank has advantages and disadvantages; this also applies to Postfinance. It is very difficult to recommend one particular bank. See the comparison portal moneyland.ch. If you want to open an account with Postfinance, you can either go the a post office or do it online.