If you have business partners in Turkey, you may be interested in opening a corporate bank account in Northern Cyprus. This would bring you serious advantages in dealing with your Turkish associates. However, you have to meet certain requirements in order to set up an account with the Northern Cyprus bank. Please apply for our professional consultations and learn a number of important details related to this process. Below we describe the terms and conditions of acquiring financial services from one of the largest N. Cypriot banks.
Banking system of Northern Cyprus
Due to political reasons mostly, Northern Cyprus has recently started acquiring offshore zone features. It offers several valuable advantages to international entrepreneurs. Unlike in Southern Cyprus, the banking system in the north is designed by the Turkish model instead of the European one. It is also important to realize that similar to Crimea, Northern Cyprus is recognized as an independent state by Turkey alone.
The regulatory body for the N. Cypriot bank is the Central Bank of Northern Cyprus. It supervises the activities of all financial institutions located in this territory including joint Turkish-Cypriot banks and foreign bank branches. Tourism industry is actively developing in the norther part of the island. Besides, some tax incentives have been introduced recently. These factors have contributed to the growth of the financial sector in the region. In addition to that, Cyprus has a favorable geographical position between Europe, Middle East, Asia, and Africa. After a sharp economic downfall, both Southern and Northern Cyprus have demonstrated stable growth for four years in a row now.
What benefits does a foreign client of the Cypriot bank obtain?
A corporate bank account in Northern Cyprus provides for an opportunity to make easy and inexpensive transactions to the local and Turkish-registered companies. One feature makes Northern Cyprus banks dissimilar to their European counterparts: the former guarantee almost total confidentiality of their clients’ financial information.
Major advantages that Northern Cyprus banks offer:
- The information covered by bank secrecy can be disclosed only on a court decision;
- Bank accounts are opened fast especially if you own some real estate in Northern Cyprus;
- English language support is provided;
- Lenient due diligence requirements to foreign customers;
- The possibility to manage the bank account remotely;
- Comparatively low costs of banking services.
Who can open an account with the Northern Cyprus bank?
If you intend to set up a bank account in Northern Cyprus, you will be well advised to apply for professional assistance in this matter. Offshore-Pro Group specialists can help you collect all the required documents and fill out the application forms in the proper way. You have to bear in mind the fact that Cypriot banks take client identification very seriously. If they cannot fully identify a prospective client, they will deny services to him or her. We will gladly help you prepare for the identification procedure in advance in order to increase your chances of passing this test. Even though Northern Cyprus banks are supportive and loyal to their customers and they do not care very much about the origins of your capital, client identification is extremely important for them.
Before you begin the process of opening a bank account in Northern Cyprus, you should find out if there are any obstacles in the way. Unlike most European banks, Cypriot financial institutions do not produce any lists of undesirable jurisdictions. However, some restrictions apply anyway. Thus, banks in Northern Cyprus will definitely not service the companies that are on the OFAC (Office of Foreign Asset Control) lists.
Restrictions on types of economic activities
The central condition that the N. Cypriot banks put forward is complete disclosure of the client’s personality. The banks are unlikely to provide services to you if they suspect that you have earned your capital through criminal or fraudulent activities or that you are involved in terrorism financing. This is the main restriction on the types of your company economic activities.
Corporate account in the Northern Cyprus bank for a non-resident: the services and the tariffs
A non-resident bank account in Northern Cyprus will open wide perspectives for the development of your business. The client company (corporation, foundation, partnership, trust, etc.) will have access to a variety of banking services and products. Northern Cyprus banks are multifunctional. Apart from providing classical financial services, they can consult the client on the following issues:
- How to overcome difficulties that arise due to the differences in the local, regional, and international legislations;
- How to satisfy the needs for business development in Northern Cyprus;
- How to use the banking services to raise funds.
When you establish a corporate account with the Northern Cyprus bank, you will gain access to the following main features:
- The possibility to make local and international transactions;
- A foreign currency account;
- A metal account (gold, silver, platinum, palladium);
- Banks guarantees;
- Bank loans;
- Leasing opportunities;
- Export factoring;
- Letters of credit;
- The Northern Cyprus bank pay cards (debit and credit ones);
- Deposit accounts;
- Intermediate financing credit accommodation;
- Storage of valuables.
The bank clients also can make use of some non-baking services such as trust, fiduciary services, and consultancy. The bank managers will advise on project financing, charitable fund structuring, and many other matters. Besides, you can have access to the stock market and commodity funds via this bank.
The account opening fee is 1,000 EUR with the Northern Cyprus bank. The annual account maintenance fee is also 1,000 EUR and it is charged at the end of each year. The transaction commissions vary as they depend on the transaction amount. Normally, they will fall between 0.25% and 5% of the transaction amount.
Account and transaction currencies
You can open a corporate bank account for your company in Norther Cyprus in one of the following world currencies:
- US dollars (USD);
- Euros (EUR);
- Swiss francs (CHF).
Operations in other currencies are also possible including the use of deposit accounts. In case you deposit money in a different currency with this bank, it reserves the right to place it on deposits in correspondent foreign banks. You will have to cover the cost of this transaction.
Types of account that can be opened with the Northern Cyprus bank
Foreign clients can establish the following types of accounts with this bank:
- Current corporate account;
- Hard currency account;
- Metal account;
- Deposit account;
- Investment account;
- Anonymous (numbered) account.
The banks also provides for the opportunity to use the corporate account for performing operations with promissory notes, cheques, and other financial instruments. The bank managers will follow your instructions precisely.
We recommend: To learn about the full spectrum of the financial services that the Northern Cyprus bank provides please apply for our consultations. We will not only help you set up an account in this bank but also disclose to you its full potential for developing your business.
Northern Cyprus banks are actively expanding their international contacts and establishing new connections. They have already started to cooperate with a number of large foreign investment banks. This does not only facilitate the bank clients’ business but also leads to the lowering of transaction tariffs, and increasing their speed and effectiveness.
The bank clients have round-the-clock access to their account information via the Internet banking system. You can give transaction and other instructions via various media such as the telephone, fax, e-mail, and so on. All phone calls are recorded.
In this connection, it has to be borne in mind that the bank assumes no responsibility for the misuse of the communication media through the client’s fault. The bank cannot be held responsible if a certain instruction has been carried out twice because it has been given via two different channels and/ or by two different authorized account users.
Types of bankcards
The clients can enjoy the advantages of using the pay cards issued by the Northern Cyprus bank:
- Credit cards;
- Debit cards.
You can obtain any (or both) of the most popular cards from the bank: VISA and MasterCard. You can use these cards anywhere in the world to pay for goods and services and withdraw money from countless ATM’s. The bank has agreements with the card issuing companies.
We recommend: Please consult our specialists on the card tariffs and commission fees.
How to open a corporate account with the Northern Cyprus bank
You have to collect the full set of required application documents and undergo the client identification procedure in order to open a corporate bank account in Northern Cyprus. Before opening an account for the company, the bank managers will want to find out who the true UBO’s (Ultimate Beneficiary Owners) are. Our specialists will gladly assist you in going through the identification procedure safely and swiftly.
The procedure of opening a corporate bank account in Northern Cyprus:
- To ensure success of your application for banking services in Northern Cyprus please request our assistance. You can do it by simply writing to firstname.lastname@example.org.
- You will have to cover the cost of our consultation services. We accept payments made by traditional methods such as a bank transfer or a credit card but we also do not mind being paid via PayPal, Western Union, or other suchlike payment systems. We also accept payments in Bitcoins. The price of this service starts at 3,999 EUR.
- You will also have to collect the full package of application documents and fill out the bank forms. All the documents have to be in the English Language. We will ascertain that the document package is complete and help you with the bank forms too.
Application document package for opening a corporate bank account in Northern Cyprus
The following documents are required at the preapproval stage:
- The latest version of the company Memorandum and Articles of Association, a legalized copy of.
- Company Registration or Incorporation Certificates, notarized copies of.
- Photocopies of company directors’ passports with their signatures.
- Utility bills for the directors and the company head office to serve as proofs of addresses.
- Board of Directors resolution to open a corporate account in the Northern Cyprus bank and a document authorizing the company representative to sign the application documents on behalf of the company.
- A Power of Attorney authorizing the company representative to open the bank account bound with a photocopy of his or her passport.
- Bank application form, correctly completed.
- The most recent financial reports certified by the company directors.
Please note that the bank Compliance Department may request additional documents when considering your application for services.
It is important to remember that banks often have specific requirement to the verification marks on the documents. With the Northern Cyprus bank that we are advertising here, the documents shall contain the following verification elements:
- “Certified as a true copy of the original”;
- Name of the certifier and his or her signature.
We recommend: Obtain detailed instructions on the looks of the document copies from our consultants. Banks usually have specific requirements and those can be different with each bank. For instance, they may require black-and-white or colored copies of the documents; they may want the signature to appear on the last page of a multipage document or on all pages, etc. Besides, every bank will have a list of officials who are qualified to legalize the document copies.
The terms of opening a corporate bank account in Northern Cyprus
In order to accelerate and facilitate the process of bank account opening it is a good idea to apply for our professional advice. Usually a corporate account in the Northern Cyprus bank will be opened within one month. However, there is a way to open the account much faster even though some additional costs are involved.
We will be happy to guide you through the process of establishing a corporate bank account in Northern Cyprus. Please place a consultation service request at email@example.com.