Permanent Resident vs Citizen: What’s the Difference?

In this article, we’re comparing the status of a permanent resident vs citizen. Importantly, permanent residents and citizens both have the right to reside in a country.

However, there are differences between these two groups, such as how residents and citizens are treated differently when establishing financial relationships in different countries.

We’ll be explaining these differences and answer common questions we receive about permanent resident vs citizenship status below.

This article is part of our free series on opening an offshore personal bank account online, which you can access here.

Feel free to use the table of contents to jump ahead to the sections most relevant to you.

Table of Contents

  1. Permanent Resident vs Citizen
  2. Frequently Asked Questions
  3. Do You Want Help Opening Bank Accounts?

Permanent Resident vs Citizen

The main difference between a permanent resident vs citizen is that a permanent resident has an acquired right to reside in a country while a citizen has the permanent and automatic right to reside in a country.

In both cases, permanent residents and citizens have legal status within a country and receive certain rights and privileges. However, permanent resident status is often defined by immigration law while citizenship is often defined through nationality law. It’s important to note that your residency and citizenship can impact where you choose to establish accounts for investments or even open online brokerage accounts.

When obtaining permanent residency, such as a Green Card in the United States, there are permanent residency requirements that need to be met. These requirements are fulfilled through the immigration process that allows individuals to obtain residency in a country.

It’s also important to point out that the specific benefits available to permanent residents will depend on the specific immigration status that they obtain. In most cases, countries offer permanent residence and temporary residence. Not surprisingly, the differences between permanent and temporary residence include different benefits, rights, and procedures.

On the other hand, citizenship can either be granted at birth or obtained by meeting certain citizenship requirements. One of the potential pathways to citizenship in many (though not all) countries is naturalization after a period of permanent residency.

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Frequently Asked Questions

Below are a few of the most common questions we receive from people looking into a permanent resident vs citizen. If you have further questions you would like to ask our team, don’t hesitate to get in touch.

Does Permanent Residency Mean Citizenship?

No, permanent residency does not mean citizenship. Permanent residency refers to an acquired legal status that provides individuals with similar rights to the citizens of a country. However, in order to maintain permanent residency, certain requirements need to be met. For example, most people need to spend a certain amount of time in the country each year in order to maintain their permanent residency status.

Is a Citizen the Same as a Resident?

No, a citizen is not the same as a resident. Citizenship refers to a person’s legal status in accordance with a country’s nationality laws while residence refers to a person’s acquired right to remain in a country after meeting specific requirements.

Can You Be Both a Citizen and a Permanent Resident?

Yes, as a citizen of a country, you automatically have the right to reside in that country. So, if you choose to live in your country of citizenship, it is your country of residence. On the other hand, if you do not live in your country of citizenship and have chosen to live in a different country, then you would be a resident of the second country.

Which Is Better Green Card or Citizenship?

Whether a US Green Card or US citizenship is better depends on your circumstances, preferences, what you are optimizing for, and how long you plan to remain in the United States. With this in mind, it’s important to carefully consider all of the options and potential outcomes before deciding whether a Green Card or citizenship is best for you.

What Is the Difference Between Citizens and a National?

In most cases, the terms citizens and nationals refer to the same thing, which is a person who is deemed a citizen of a country as defined by the country’s citizenship (or nationality) law. However, although rare, there are instances where a citizen of a country may not be a national of a country and vice versa. For example, citizens of certain Pacific island nations are considered “non-citizen US nationals”, which offers specific rights and freedoms though also has limitations.

Do You Want Help Opening Bank Accounts?

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GlobalBanks Team
GlobalBanks Team

The GlobalBanks editorial team comprises a group of subject-matter experts from across the banking world, including former bankers, analysts, investors, and entrepreneurs. All have in-depth knowledge and experience in various aspects of international banking. In particular, they have expertise in banking for foreigners, non-residents, and both foreign and offshore companies.

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