A local bank account is one of the first pieces of admin to sort after landing — you can't get paid properly without one, and every day you delay it costs you in card fees and conversion charges. Here's how the local banks in Australia and New Zealand compare, what you need to open an account, and how to bridge the gap with Wise or Revolut before it's active.
Why you need a local bank account
This isn't optional admin — it affects your pay from day one.
Getting paid. Almost every employer pays into a local account by direct deposit. Turning up without one can delay your first pay cheque by weeks while you sort it out. If you're chasing a second-year visa through regional work, those same statements double up as evidence for your 88 days.
Avoiding conversion fees on everything you buy. Spending on a home-country card abroad usually means a foreign transaction fee plus a worse exchange rate, on every single purchase, for months.
Proof of funds for landlords and rentals. Local letting agents and flatmates often want to see a local account with a steady income history before they'll hand over keys.
Linking your tax number. Your bank account ties directly into your tax setup: a TFN in Australia or an IRD number in New Zealand, so payroll can tax you correctly from your first shift. Our TFN & IRD number guide covers how to apply for each.
Do you need a bank account before your TFN or IRD number?
No, in both countries — and assuming otherwise is what stalls people in their first week.
Australia: TFN
The ATO's Individual Auto-Registration process, which most working holidaymakers use once they're actually in the country, asks for a passport, an Australian postal address (a hostel, a host's address or a PO box all work), an Australian mobile number and an email. A bank account isn't on that list. Skip it and you're not locked out of banking either way — apply for your TFN and open your account in parallel rather than waiting on one to unlock the other. The real cost of delay is different: no TFN means tax is withheld at 45% from your very first shift, refunded later once it's sorted rather than lost for good.
New Zealand: IRD number
The "new arrival" IRD process needs a passport and your INZ application number, plus one of three things: an overseas tax number, an NZ bank account number, or a completed customer due diligence (CDD) check. A bank account is one option among three, not a hard prerequisite, which trips people up because the assumption runs the other way. If your account isn't active yet, the overseas-tax-number or CDD route gets your IRD number moving anyway.
Either order works. What doesn't work is letting one wait on the other by default — our TFN & IRD number guide covers the full application process for each, document by document.
Before you arrive: digital-first options
Set one of these up at home so you're never without a working card, even before your local account is active.
This section contains affiliate links (Wise, Revolut). If you open an account through one, we may earn a small commission at no extra cost to you. See our affiliate disclosure for details.
Wise
A multi-currency account and debit card — hold AUD or NZD, top up from your home account, and spend at the real mid-market exchange rate with a small, transparent fee.
Open a Wise account →Revolut
Similar multi-currency setup to Wise, with strong budgeting tools built in — handy for locking in an exchange rate before a big transfer.
Open a Revolut account →Wise vs Revolut: fees & exchange rates
Both use the real mid-market exchange rate rather than the marked-up rate your home bank likely charges, and both are noticeably cheaper than sending money through a traditional bank. Wise tends to be slightly cheaper for larger international transfers thanks to its transparent, itemised fee structure. Revolut's free tier caps free currency conversion per month before fees kick in, while its paid tiers remove that cap and add extras like insurance. For a working holiday, either is a solid bridge — the right one usually comes down to which app you find easier to use day to day.
What this bridge actually solves
Landing without a local account yet, avoiding the exchange-rate hit a home-country debit card takes on every purchase in your first few days, and moving savings across at a fair rate before your local account exists: that's the job Wise and Revolut do well. What they don't replace is being paid by name through an Australian or New Zealand employer's payroll, tapping in with EFTPOS everywhere a local card works, and the local account number some employers ask for outright before they'll put you on the books. Most working holidaymakers end up wanting both, not one instead of the other.
They work on the way out too
The same account that got you through your first week is worth keeping for your last one. A bond refund, a final payslip that lands after you've already flown home, or savings you want converted at a fair rate rather than through your home bank: all common at the end of a working holiday, not just the start. Close local accounts once everything has actually cleared, not the day before your flight — a bounced final payment because the account shut too early is an easy, avoidable mess.
Australia: opening a bank account Australia
The "Big Four" dominate, but digital challengers are popular with working holiday makers.
Major banks
ANZ, Commonwealth Bank (CommBank), NAB and Westpac are Australia's Big Four, and any of them will do the job. CommBank's app is generally considered the most polished, and its branch network makes it an easy default if you want in-person support. Digital-only options like Up Bank (built on Bendigo Bank's licence) are also popular with backpackers for their fast signup and no monthly fees.
What you'll need
A valid passport, your Australian residential address (a hostel address works for your first few weeks, and most banks accept it), and your visa details. Most banks also ask if you have a Tax File Number yet — you can open an account before you have one, but sort your TFN quickly afterwards so you're not taxed at the top rate.
Online vs in-branch
The Big Four all let you start an application online before you land, but most still require you to visit a branch in person within the first few weeks to verify your identity and activate the account fully. Digital-only banks like Up complete the entire process in the app, with no branch visit needed. Either way, budget on your card being ready to use somewhere between a few days and a couple of weeks after you apply, since branch appointment availability varies by city.
New Zealand: opening a bank account New Zealand
Four main banks, and one of the more backpacker-friendly banking systems around.
Major banks
ANZ, ASB, BNZ and Kiwibank are the four main options. ANZ is the most experienced with working holiday makers and often the most straightforward to open an account with before you even land. Kiwibank is New Zealand-owned rather than Australian-owned, which appeals to some, and has a solid reputation for customer service.
What you'll need
A valid passport, your visa, and a New Zealand address (again, a hostel or first booking works fine initially). Some banks let you start the application online from overseas and finalise it with ID verification once you land, which can mean your card is ready within days of arrival — others need you in the country first, so check before you fly if a fast start matters to you.
IRD number linkage
Your IRD number (New Zealand's tax number) links to your bank account so interest and pay are taxed correctly. Apply for it as soon as you land — without one, both your pay and any interest are taxed at a higher default rate until it's sorted. Our TFN & IRD number guide covers exactly how to apply.
Banks compared
How the main options stack up for a working holiday maker specifically.
| Bank | Monthly account fees | ATM access | App quality | Backpacker-friendliness |
|---|---|---|---|---|
| CommBank AU | None on basic accounts | Huge ATM network | Excellent | Very good — biggest branch footprint |
| ANZ AU | None on basic accounts | Wide ATM network | Good | Very good — long WHV track record |
| NAB AU | None on basic accounts | Wide ATM network | Good | Good |
| Westpac AU | None on basic accounts | Wide ATM network | Good | Good |
| Up Bank AU | None | Fee-free via partner network | Excellent | Excellent — fully digital signup |
| ANZ NZ | None on basic accounts | Widest ATM network in NZ | Good | Excellent — most WHV experience |
| ASB NZ | None on basic accounts | Wide ATM network | Excellent | Good |
| BNZ NZ | None on basic accounts | Wide ATM network | Good | Good |
| Kiwibank NZ | None on basic accounts | Good, plus NZ Post outlets | Good | Good — NZ-owned |
Fees and features are indicative and change often — always confirm current terms directly with the bank before opening an account.
Sponsored by Wise. If you open an account through this banner we may earn a small commission at no extra cost to you — see our affiliate disclosure.
What banking actually costs, roughly
None of these figures are fixed. They vary by provider and shift over time, so treat this as a shape, not a quote — confirm current numbers before you rely on them.
International transfers
Moving money between currencies, whether that's savings coming out to Australia or wages going home, usually costs you one of two ways: a flat or percentage fee, or a worse exchange rate baked in with no fee shown at all. Wise and Revolut both display the real mid-market rate plus a small, itemised fee, which is generally cheaper than a bank-to-bank transfer once you're moving more than pocket money. A bank's own "no fee" transfer is often the more expensive option once the exchange rate is accounted for, not the cheaper one it sounds like.
ATM withdrawals
Pulling cash out on a home-country card is typically the most expensive route: a foreign transaction fee from your home bank, sometimes a separate charge from the ATM operator, and a weaker exchange rate on top. Withdrawing from a local account once it's open, or from Wise or Revolut within their monthly free allowance, is usually cheaper — worth checking each provider's current allowance before you assume it's unlimited.
If a travel insurance payout lands as an international transfer, the same fee and exchange-rate logic applies — our insurance guide covers what to expect on the claims side.
Banking scams aimed at working holidaymakers
You're a predictable target: new account, unfamiliar banking system, and a habit of trusting messages that look official.
Never share a PIN or one-time code. Not with someone claiming to be your bank, a recruiter, or an employer you haven't even started with yet. A real bank never needs it read back to them.
Watch for phishing that impersonates your bank or employer. A text or email asking you to "verify" your account or confirm a payment, with a link to a site that looks almost right, is the most common version. Log in through the app or a URL you typed yourself instead.
Check the card slot before you use an ATM. Skimming devices are more common on standalone machines than ones built into a bank branch. A loose or oddly-textured slot, or a keypad that doesn't sit flush, is worth walking away from.
"Send us your bank login so we can pay you" is always a scam. A genuine employer needs your account number and BSB or sort code to pay you, never your online banking password. Fake job postings use exactly this line to drain an account, not fill it.
Getting your banking right on arrival
A few decisions that are easy to get wrong in the first week.
Start the application before you land if your bank allows it. Some Australian and New Zealand banks let working holiday makers begin the process from overseas, so your card is ready to activate as soon as you're in the country instead of waiting days for a new account to process.
Use Wise or Revolut as your bridge, not your permanent solution. They're brilliant for the first week or two while your local account activates, but employers and landlords generally expect a proper local bank account once you're settled.
Sort your SIM card before your bank account. Most banks send activation codes and 2FA prompts by SMS to a local number — see our SIM card & phone plan guide so you're not stuck waiting on a code that never arrives.
Use Wise for sending pay home, not your bank's international transfer. Bank-to-bank international transfers often bury a poor exchange rate inside a "no fee" transfer — a dedicated transfer app is almost always cheaper over a full working holiday.
Banking FAQs
The questions that come up most once people actually start opening accounts.
Do I need a bank account before I can apply for my TFN or IRD number?
No. Australia's TFN application doesn't ask for one at all. New Zealand's IRD "new arrival" process needs one of three things — an overseas tax number, an NZ bank account number, or a completed CDD check — so a bank account is one option, not a requirement.
Can I open an Australian or New Zealand bank account before I arrive?
Sometimes partially. Most major banks let you start an application online from overseas, but still need in-person ID verification once you land to activate it fully. Digital-only banks like Up complete the entire process in the app, with no branch visit needed.
What ID do I need to open an account as a backpacker?
A valid passport, your visa details, and a local address — a hostel address or your first booking is usually accepted for the first few weeks. Some banks also ask whether you have a TFN or IRD number yet, but not having one yet doesn't stop you opening the account.
Is Wise or Revolut better than a local bank account?
They solve different problems rather than competing directly. Wise and Revolut get you a working card fast, at a fair exchange rate, before your local account exists. A local account is what most employers and landlords expect once you're settled. Most working holidaymakers end up using both at different points in the trip.
What happens to my bank account when I go home?
Keep it open until everything has actually cleared — a final payslip, a bond refund, a deposit — rather than closing it the day before your flight. Once the balance is settled, moving what's left home through Wise or Revolut at a fair rate and then closing the account is the usual last step.