How To Open Altbank Account

Alternative bank accounts" might refer to accounts offered by financial institutions that are not traditional banks, such as online banks, credit unions, or neobanks.

Here are general requirements that you might encounter:

Our adventure started with a grand idea in January 2014, when we were provisionally allowed to offer a non-interest banking window under Sterling Bank. From that moment, we knew we were destined to create something special – a dynamic bank that speaks your language and respects your individuality.

Our journey took a significant leap forward in July 2023 when the Central Bank of Nigeria (CBN) issued a Banking License to The Alternative Bank, enabling us to operate as a fully-fledged, standalone bank.

At the heart of our journey is ACE -our Advisory Committee of Experts, who ensure every step we take is in harmony with the ethics of Non-Interest Banking (NIB).

It’s time to say goodbye to boring banking and embrace a world of possibilities with The Alternative Bank.

Financial Solutions for our Partners

We have used the Qard (Interest-Free Loan) contract for our:

 

• Current Account
• Savings Account
• and Kia-Kia Account.

Mudaraba (a partnership where there is the owner of the fund and a manager of the fund) is used for:

 

• Hajj Savings Account
• Trust Account
• and the Profit-Share Investment Account.

We have adopted a structure based on Wakala (representation/agency) and Mudarabah for our Termed Deposit Account.

We also have a variation of Istisna (Build-to-Order) contracts for our Project Finance transactions, while we prefer to use Ijarah (lease) for Asset Financing.

Murabaha (purchase and resale at a markup) is what we apply to our Trade Finance products.

We have a unique Small Business product which – it is unique because we are using several contracts that fit our customers’ needs, such as Murabaha, Ijarah, Wakala, Istisna, Qard-Hassan, and Salam (Deferred Delivery).

Our Home Finance product is based on three modes:

• Diminishing musharakah (diminishing partnership),
• Ijarah and
• Murabaha.

Requirement For Opening Alternative Bank Account

Identification Documents: A valid government-issued ID is typically required. This could be a passport, national ID card, driver's license, or any other officially recognized identification document.

• Proof of Address:

Banks often require proof of your address, such as a utility bill or rental agreement. The document should be recent and in your name with verifiable address.

• Social Security Number or Tax ID:

 In some countries, you may need to provide your Social Security Number (SSN) or Tax Identification Number (TIN) for tax reporting purposes.

• Minimum Initial Deposit:
• Some banks may require an initial deposit to open an account. The amount varies and depends on the type of account you are opening.
• Application Form:

You will likely need to fill out an application form. This form gathers essential information about you, such as your name, contact details, and employment information.

• Employment Information:

Some banks may ask for details about your employment, including your employer's name and contact information.

• Credit Check:

Depending on the type of account, the bank may conduct a credit check. However, alternative banks may be more lenient than traditional banks in this regard.

• Legal Age Requirement:

You typically need to be of legal age to open a bank account. The age requirement varies by country and can range from 18 to 21 years old.

• Consent for Background Checks:

You might be required to give consent for the bank to perform background checks as part of the account opening process.

• Special Requirements for Non-Residents:

If you are a non-resident, there may be additional requirements, such as a visa or proof of residency in your home country.

Additional Documentation for Business Accounts:

If you are opening a business account, additional documentation, such as business registration certificates and tax identification numbers, may be required.

Benefits Of Opening A Sterling Alternative Bank Account

Opening an alternative bank account can offer various benefits, depending on the type of alternative bank or financial institution you choose. Here are some general advantages associated with opening an alternative bank account:

• Lower Fees:

Many alternative banks, such as online banks and neobanks, operate with lower overhead costs, allowing them to offer reduced fees compared to traditional banks. This can include lower or no monthly maintenance fees and transaction fees.

• Higher Interest Rates:

Some alternative banks offer higher interest rates on savings accounts and certificates of deposit (CDs) compared to traditional banks. This can lead to better returns on your savings.

• Innovative Technology:

 Alternative banks often leverage technology to provide innovative and user-friendly banking experiences. Mobile apps, online platforms, and advanced features can make managing your finances more convenient.

• Accessibility:

Many alternative banks operate exclusively online, providing 24/7 access to your accounts from anywhere with an internet connection. This can be advantageous for individuals who prefer managing their finances remotely.

• Quick Account Setup:

 Opening an account with sterling Alternative banks is often quicker and more straightforward than with traditional banks. Digital account openings can be completed in a matter of minutes.

• Financial Inclusion:

Some alternative banks focus on serving underserved or unbanked populations. They may provide access to financial services for individuals who have limited access to traditional banking.

• Specialized Services:

Certain alternative banks specialize in niche financial services, such as ethical banking, Islamic banking, or community-focused initiatives. This allows customers to choose services that align with their values and preferences.

• No Physical Branch Requirements:

Online banks and neobanks typically do not have physical branches, reducing operating costs. This absence of brick-and-mortar locations can contribute to lower fees and better interest rates.

• Transparent Fee Structures:

 Alternative banks often promote transparent fee structures, making it easier for customers to understand and manage their finances without unexpected charges.

• Digital Security Measures:

 Alternative banks prioritize digital security and often implement advanced encryption and authentication measures to protect customer information and transactions.

• Environmental and Social Considerations:

Some alternative banks, particularly those focusing on ethical or sustainable banking, prioritize environmental and social considerations in their operations and investments.

• Flexible Account Options:

Alternative banks may offer flexible account options, including specialized accounts for students, freelancers, or specific demographics. This allows customers to choose accounts tailored to their unique needs. It's important to note that while alternative banks offer various advantages, individual preferences, financial goals, and the specific features of each bank should be considered when choosing a banking provider. Always review the terms and conditions, fees, and services offered by the alternative bank to ensure it aligns with your financial objectives.

Frequent Asked Question About Sterling Bank Alternative Bank

As of my last knowledge update in January 2022, specific frequently asked questions (FAQs) about Sterling Bank's alternative banking services might not be readily available. However, here are some general questions that individuals might ask about alternative banking services, which could be adapted for Sterling Bank or any other financial institution offering alternative banking:

1. What is an alternative bank account?

An alternative bank account refers to non-traditional banking services provided by financial institutions. It may include online banking, digital wallets, or specialized accounts catering to specific needs.

2. How do I open an alternative bank account with Sterling Bank?

The process of opening an alternative bank account with Sterling Bank may involve visiting a branch, completing necessary documentation, and meeting specific account requirements.

3. What types of alternative bank accounts does Sterling Bank offer?

 

Sterling Bank may offer various alternative accounts, such as online savings accounts, digital wallets, or accounts with specific features tailored to different customer needs.

4. Are there any fees associated with Sterling Bank's alternative banking services?

Inquire about the fees and charges associated with maintaining alternative bank accounts, including transaction fees, monthly charges, or any other applicable costs.

5. Can I access my alternative bank account online?

Find out if Sterling Bank provides online access to alternative bank accounts, allowing customers to manage their accounts through internet banking or mobile apps.

6. What security measures are in place for alternative banking services at Sterling Bank?

Learn about the security protocols implemented by Sterling Bank to protect customers using alternative banking services, such as encryption, multi-factor authentication, and fraud prevention measures.

7. Is there a minimum balance requirement for altbank accounts?

Check whether there is a minimum balance requirement for alternative bank accounts with Sterling Bank and understand how it may affect your account.

8. Can I link my altbank account to other financial services?

Inquire about the possibility of linking your alternative bank account with additional services, such as investment accounts or other financial products offered by Sterling Bank.

9. What benefits come with Sterling Bank's alternative banking services?

Understand the features and advantages of choosing alternative banking services at Sterling Bank, such as convenience, accessibility, or any special perks associated with these accounts.

10. How do I troubleshoot issues with my alternative bank account?

 

Learn about the customer support and troubleshooting processes in place for alternative banking services at Sterling Bank, including contact options and available resources.

11. Are there any limitations on transactions for alternative bank accounts?

Understand any transaction limits or restrictions associated with alternative bank accounts at Sterling Bank, including withdrawal limits, transfer restrictions, or any other relevant details.

Kindly check the most recent and accurate information by visiting Sterling Bank's official website or contacting the bank directly

Conclusion,  to draw a conclusion about Altbank account, it's essential to consider factors such as its features, fees, customer service, and overall reputation compared to other banking options. Without specific details, it's challenging to provide a definitive conclusion. However, generally, an analysis of these aspects can help determine if Altbank meets your banking needs and preferences effectively