Opening an RFC Account in Sri Lanka

Opening a RFC account in SL has become one of those really difficult tasks just like most other things, maybe it was always this difficult. Anyway I headed to HSBC Bambalapitya branch in hopes of opening an account few days ago as I do all my banking at HSBC.

As soon as I went in a customer service agent offered to help me out and I started to inquire about opening the account. She tells me I have to

1. Deposit a minimum of $ 500.
2. Must have proof that I worked overseas where I was paid (salary or allowance) in a foreign currency.
3. Returned to SL within the last 6 months.

To start with I didn't have $ 500 and couldn't get hold of any due to government cracking down on black market dealers. Earlier you could walk into one of those small shops in pettah and buy dollars without a hassle. Now not only they refuse to sell dollars they tell you no in a downright rude manner.

So I was busted and went home but decided to call HSBC customer care hot line and ask about the requirements again as I had the feeling the agent I spoke to didn't have much of a clue about RFC accounts.

To my surprise the sweet voice on the other end of the line tells me I can open an account with a zero balance as long as there is a minimum transfer of $500 coming in to the account from an overseas or another RFC account in SL within 2 weeks of opening the account.

Next day I went back to the bank and spoke to a different agent. She knew the exact requirements and had my account created within 5 minutes. Few things to note are

1. You will have to maintain a minimum balance equivalent to 25000 rupees in your bank portfolio (this includes all you RFC, savings and checking accounts) else I believe there is a penalty.
2. You will not be able to deposit USD notes at the counter unless you have proof you worked overseas and returned within the last 6 months.

Again the above might not be entirely correct as bank staff seemed to be mostly clueless about current regulations and I don't blame them with SL regulations changing every other day :).