Before you start

Valid passport plus your Israeli ID — Teudat Zehut (national ID) for residents/olim, or passport + visa/work permit (e.g. B/1) for non-residents
An Israeli mobile number and a local proof of address (rental contract, arnona municipal-tax bill, or utility bill) — most banks and apps require both

Step-by-step

1
Pick a bank and track (big bank vs. ONE ZERO)
Decide between a branch bank (Hapoalim, Leumi, Discount, Mizrahi-Tefahot) — best if you need a local banker, business services or an 'oleh' package — or ONE ZERO, Israel's first fully digital bank, with a flat monthly plan and no per-action nickel-and-diming. Olim should ask each bank about its dedicated oleh account and any fee waivers; these are negotiable, not fixed.
OnlineWho: You (compare fee schedules on each bank's site and the Bank of Israel fee-comparison pages)A few hours of researchFree
2
Gather documents and book a branch / verification appointment
Collect your passport, Teudat Zehut or visa, proof of address and (for non-residents) proof of income or employment. Branch banks often want an appointment; even ONE ZERO and other digital flows require an in-person or video identity verification because Israeli regulation mandates face-to-face KYC for a first account. Non-residents should expect extra source-of-funds questions.
In personWho: You, with a bank clerk or the app's verification flowSame day to a few days to get an appointmentFree
3
Open the account and complete FATCA/CRS forms
At account opening you sign the account agreement and tax-residency declarations (CRS), and — if you are a US citizen or green-card holder — a FATCA W-9 with your SSN. Olim with a Teudat Zehut are usually approved on the spot; non-resident (toshav chutz) accounts go through a compliance review and may take a few business days for final approval.
In personWho: You and the bank's account-opening/compliance staffSame day for olim; up to several days for non-residentsUsually free to open; monthly fees start once active
4
Set up cards, online banking and the payment apps Israelis actually use
Activate your debit/credit card and the bank's app and online banking. Then install Bit (Bank Hapoalim's near-universal P2P app, used across all banks) and/or PayBox — this is how Israelis split bills, pay landlords and reimburse friends. ONE ZERO customers run everything through its app. Negotiate your fee track now: ask explicitly for the cheapest 'maslul' (plan) or oleh discount.
Mobile appWho: YouSame day once the account is liveCards often free or a few ₪/month; Bit and PayBox are free to install

Documents you’ll need

Valid passport
Teudat Zehut (national ID) for residents/olim, or visa / work permit (e.g. B/1) for non-residents
Proof of Tel Aviv address (rental contract, arnona bill, or utility bill)
Proof of income / employment (often required for non-residents)
US citizens/green-card holders: Social Security Number for the FATCA W-9 form

Things most newcomers don’t know

Treat your fee plan as negotiable: ask the banker to put you on the cheapest 'maslul' (fee plan) or an oleh track, and revisit it yearly.

Israeli retail banking is unusually fee-heavy — monthly account-management charges plus per-action fees — and the Bank of Israel regulates fee transparency precisely because customers overpay by defaulting to standard tariffs they could negotiate down.

Source: Bank of Israel — banking fees / consumer information

If you want to avoid branch hassle and nickel-and-dime fees, ONE ZERO's flat-fee digital model is the cleanest option — but you still verify identity in person.

ONE ZERO launched as Israel's first new bank in decades with an app-first, flat-subscription model, directly targeting the big banks' fragmented per-action fees; Israeli KYC rules still require face-to-face/video identity verification for a first account.

Source: ONE ZERO (Bank One Zero)

Download Bit and/or PayBox on day one — they're how Israelis pay each other for rent splits, restaurants and second-hand purchases.

Bit (Bank Hapoalim) is near-ubiquitous across all banks and PayBox is widely used; without them you'll struggle to transact socially, since many person-to-person payments in Israel skip bank transfers entirely.

Source: Bank Hapoalim — Bit app

Common mistakes to avoid

Assuming it's fee-free: the standard tariff stacks monthly account-management fees with per-transaction charges — always ask for a low-fee or oleh plan, or you'll quietly overpay
US citizens skipping FATCA: you must declare US tax residency and provide an SSN (W-9); banks freeze or refuse accounts that don't comply, and Israel has a large US dual-national population so this is strictly enforced
Non-residents expecting same-day approval: a toshav chutz account triggers extra source-of-funds and compliance checks and can take several business days — and some branches are reluctant to open them at all
Showing up without a local address proof or Israeli phone number — both are routinely required, and a foreign number can block app verification
Relying on English everywhere: branch English service is variable and account agreements are in Hebrew — bring a Hebrew-speaking friend or choose an English-friendly central Tel Aviv branch

Some of this may be out of date. Spotted something inaccurate? Help us keep it right for the next newcomer.