Digital Bank Accounts for Singapore Companies: A Complete Guide
For many new companies in Singapore, the first banking challenge isn’t choosing between DBS, HSBC, or OCBC. It’s whether a traditional bank account will even be available right away. This is where digital bank accounts have stepped in. By offering fast onboarding, low fees, and modern features, they have become the go-to option for founders who need to get their operations running quickly.
Unlike traditional banks, these fintech platforms, often called digital banks or neobanks, focus on solving startup pain points. They offer multi-currency accounts, affordable international transfers, expense management tools, and integrations with software founders already use. For early-stage companies, they often provide the first practical alternative to a full corporate bank account.
This article is Part 2 of our Singapore Business Banking Guide series. In Part 1: Opening a Corporate Bank Account in Singapore, we explained the requirements and process of working with traditional banks. Here in Part 2, we take a closer look at digital bank accounts: what they are, why they have become popular, and where they still fall short. In Part 3, we compare leading providers such as Wise, Aspire, Airwallex, and Revolut to help you decide which option may fit your company’s needs.
Table of Contents
Key Takeaways on Digital Bank Accounts in Singapore
Digital accounts are not full banks: Providers like Aspire, Wise, Airwallex, and Revolut operate as regulated fintech platforms that offer banking-style services to Singapore companies.
Digital banks have become the go-to option for startups: Fast onboarding and low fees make them especially attractive for newly incorporated companies or founders based overseas.
Features extend beyond basic banking: Multi-currency wallets, affordable international transfers, corporate cards, and software integrations solve pain points traditional banks often overlook.
Limitations remain: They cannot hold large capital amounts as securely, provide loans, or match the credibility of a traditional bank account. Some payment gateways also still require settlement to a bank account.
Could be used as part of a mix: For many startups, a digital account may be entirely sufficient in the early stages. As the company grows, a traditional bank account may become necessary for financing, investor confidence, or large transactions.
What Are Digital Banks or Neobanks?
The terms digital bank and neobank are often used interchangeably to describe fintech platforms that provide banking-style services online. In Singapore, providers such as Aspire, Wise, Airwallex, and Revolut fall into this category.
It is important to note, however, that these platforms do not have a MAS-license to operate as a full bank. Instead, they operate under Singapore’s payment services regulations as licensed fintech companies. This means they can issue accounts, process payments, and offer tools such as multi-currency wallets and corporate cards, but they cannot provide the full range of services associated with a traditional bank, such as loans or deposit insurance.
Under Singapore law, only MAS-licensed banks can:
- Hold deposits covered by the Deposit Insurance Scheme;
- Offer full banking products such as loans, overdrafts, and credit facilities;
- Provide access to the entire domestic clearing system (e.g., cheques).
For founders, this distinction matters mainly for compliance and risk management. In practice, digital banks or neobanks serve as a fast and flexible alternative to traditional banks, especially valuable during the early stages of a company’s operations.
Why Digital Bank Accounts Have Become Popular in Singapore
For many startups, the biggest challenge with banking in Singapore is not just the time it takes to open a traditional bank account. It is whether the application will even be accepted. Major banks often reject companies with foreign shareholders or directors unless they can already demonstrate business activity in Singapore. For newly incorporated startups, meeting that threshold is rarely possible.
Digital bank accounts have stepped in to close this gap. They offer founders a fast, accessible way to get banking-style services without long waiting periods or upfront proof of local operations. Their popularity has been driven by several advantages:
Faster setup
Multi-currency support
Lower barriers for foreign founders
Transparent and lower fees
Affordable international transfers
Integration with business software
Modern financial tools
Limitations of Digital Bank Accounts
No lending or credit facilities
Limited ability to hold large capital amounts
Investor perception
Integration gaps
Regulatory requirements
Cash and cheques
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Digital vs Traditional Bank Accounts in Singapore
| Factor | Digital Bank Accounts | Traditional Bank Accounts |
|---|---|---|
| Onboarding speed | Online application, approval within days | Lengthy process, often weeks, often with in-person interviews |
| Eligibility | More accessible to startups with foreign shareholders or directors | Often require proof of local operations before approval |
| Fees | Transparent, lower FX margins, no minimum balance | Higher fees, minimum balance requirements, hidden charges possible |
| Multi-currency support | Built-in, flexible wallets and transfers | Available, but often costly and slower |
| Lending and credit | Not available | Loans, overdrafts, and credit facilities available |
| Investor perception | Seen as convenient but less established | Viewed as credible and trusted by investors and large clients |
| Integration with software | Direct links to accounting, payroll, and e-commerce tools | Limited integrations, more manual work |
| Cash and cheque handling | Not supported | Fully supported |
| Large transactions | Possible, but less common for high-value deals | Preferred option for larger transactions |
Best Digital Banks in Singapore
Aspire
Wise
Airwallex
Revolut
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Founder, SUITSFORME Pte LtdFinal Thoughts
Digital bank accounts have become a powerful tool for startups and SMEs in Singapore. They offer speed, flexibility, and modern features that traditional banks often cannot match, and for many early-stage companies they are entirely sufficient. Over time, however, most businesses add a traditional bank account for credibility, financing, or handling large transactions.
Next, we recommend reading the final part of our banking guide series, Wise vs Aspire vs Airwallex vs Revolut, where we compare these digital banks side-by-side to help you decide which may best suit your company’s needs.
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