Written by Attorney Cem Arda Tepe, registered at Istanbul Bar
Among the most popular routes for Turkish citizenship by investment is bringing foreign currency into Turkey, converting it to Turkish Lira, and depositing it in an interest-bearing account. This route requires depositing USD 500,000, converted into Turkish lira, at a Turkish bank and holding it there for at least three years.
The requirement is set out in Article 20(2)(ç) of the Regulation on the Implementation of the Turkish Citizenship Law. Under that provision, a foreigner who deposits at least USD 500,000, or the equivalent in foreign currency, with banks operating in Turkey, on condition that the deposit is held for three years, may acquire Turkish citizenship by Presidential decision once the Banking Regulation and Supervision Agency has certified the investment.
Step-by-step Guide for Turkish Citizenship Through TL Bank Account Deposit
The first step to be eligible for this route is to open a bank account. This can be done remotely through a power of attorney issued to a lawyer in Turkey. The power of attorney can be issued either abroad in a Turkish consulate or embassy, or in Turkey at a notary.
In some cases, a notarised translation of the passport must also be submitted along with the national ID. Finally, a tax number must potentially be obtained and submitted for the bank to start the proceedings. Documents issued abroad may also need to be legalised before they can be used in Turkey; see our guide to the apostille procedure for official documents.
The Deposit Process at the Bank
The bank must receive all of the relevant documents for the preliminary assessment of the individual investor. This assessment process is usually completed within one business day, but in some cases it can take several days.
The next step is transferring the relevant amount to the bank account, which usually takes a few more business days. Once the cash or currency is received in the Turkish bank account, the bank proceeds with the final stage: converting the money through the Central Bank and obtaining the relevant DAB document. This document is required for a citizenship application.
Both private and public banks, such as VakıfBank, QNB Finans, and others, provide these services, and our lawyers can advise you on choosing the right one for you. As a rough estimate, the bank stage takes around two weeks.
The entire process at the bank can be completed with a power of attorney. Further details regarding the financial steps of this stage can be provided by our lawyers upon request. You can find out more about the Turkish Central Bank and the Banking Authority's involvement through an initial consultation.
Required Documents for the Bank Account and Deposit
The background check at the bank can be completed within one business day once the following documents are submitted:
- National ID (notarised translation)
- Passport (notarised translation)
- Power of attorney
- Tax number
Once the funds are transferred, the deposit account is opened within 24 to 48 hours; the Central Bank handles the currency exchange, and a Turkish lira interest account is set up. The whole process can take approximately one week. The Banking Regulation and Supervision Agency (BDDK) will issue the required certificate for the citizenship application within 2 to 3 days.
Residence Permit Application Stage
Following the bank stage, a residence permit application is made. This can also be done with a power of attorney. This stage requires submission of important documents such as marriage certificates, birth certificates, or criminal record certificates.
The timeline for the residence permit stage is usually 10 days to 2 weeks. This stage requires in-person attendance. Clients who prefer it can shorten the timeline by booking a premium appointment.
Documents Required for Residence Permit Application of Investors
- 2 biometric photographs
- Residence permit registration form (application made via e-ikamet.goc.gov.tr)
- Certificate of compliance
- Identity card of the country of citizenship
- Photocopy of passport translation (visa page, if from a country subject to visa requirements)
- Birth certificate
- Photocopy of previous residence permit or work permit, if any
- Power of attorney and photocopy of bar association card
- Fingerprint data
- Health insurance covering the requested period
- Criminal record certificate obtained from the foreigner's country within the last 6 months (original, or a notarised copy with the original shown to the official)
- Certificate of address (title deed and property numbering document, declaration of undertaking, lease agreement, or petition for office address)
- Photocopy of the investor's passport and marriage certificate for spouse
- Fees: Residence Permit Card Fee (964 TL), Residence Permit Fee (653.70 to 3,359.90 TL), Single-Entry Visa Fee (9,376.40 TL)
- Pink file
A fuller walkthrough of these documents, including the format each one has to be in, is set out in our article on the documents required for Turkish residence permit applications.
Premium Appointment for Residence Permit
Usually, the residence permit stage takes another 10 days. However, there is a premium service for 1,000 USD. This service ensures that the residence permit application is completed within one business day. It provides additional procedural benefits, such as completing the entire process in one place and identifying missing documents immediately.
Some clients prioritise speed at this stage, since they have limited time to spend in Turkey, and because biometric data must be registered in person, personal attendance is required regardless.
The fee for additional family members for a premium residence permit application is 500 dollars per person.
The Bank Deposit Route Compared to the Property Route
The bank account opening route is preferred as the most straightforward route. It does not involve the heavy due diligence required by the property route, where the land registry, the municipality, the contractor's credit score, and other factors must be reviewed prior to purchase. In the real estate route, the property's value must be accurately determined to avoid investment losses. The real estate market is also exposed to broader macroeconomic swings.
That said, the property route has its own benefits, such as access to the secure property market in cities like Istanbul. It sits in subparagraph (b) of the same article, at a threshold of USD 400,000. We have a further guide on Turkish citizenship by property investment. You can contact our lawyers directly for further information regarding the due diligence stage and a comparison with the bank account deposit route.
The route of converting to Turkish Lira and maintaining it in an interest account is a very straightforward process with a relatively predictable outcome, including the interest rate, which is fixed for either a monthly or annual term.
The current interest rates for monthly accounts are around 30%. Different banks offer similar rates. Some foreign clients prefer to lock in annual interest rates, since this provides certain tax benefits.
Key Takeaways
- The bank stage for a Turkish lira-denominated time deposit account is usually completed within 2 weeks.
- A premium service for a one-day residence permit application process can be purchased for an additional USD 1000 for the main applicant and USD 500 per family member.
- Further information on bank interest rates and financing options can be provided upon enquiry. Both monthly and annual term deposit options are available.
