Aug 24, 2019

Is offshore banking safe?

Offshore Banking and Offshore bank account

Offshore banking is done in banks that located in a different country as opposed to its bank account holder, and offer different jurisdictions and have different banking laws than those in the home country of the bank account holder and there are many types of offshore banking services.  Countries that support and practice offshore banking are known as offshore centers of the world and some of these countries are The Caribbean, Seychelles, Switzerland, etc.  Given that banks that offer such services must bridge the gap and make a difference between the offshore and domestic sectors, the Central Bank must approve the offshore banking services to a non-resident and therefore the services provided by a bank are called offshore banking.

An offshore bank account is also an account that is actually opened in a country other than the one in which the account holder is a resident and it can be opened as a company account and as an individual account.  An offshore bank account can provide the account holder with different types of services than a bank in his home jurisdiction, but there is also the possibility that opening one might have slightly more requirements and different rules than a bank account in the home country of an account holder.  But in the end, an offshore bank account has its benefits such as tax relief, business flexibility, the possibility of more interesting investments. etc.

Is offshore banking safe?

This is certainly one of the most asked questions we get from clients.  Given that anything and everything can be read on the Internet and that people often have a misperception about the meaning of the word “offshore”, and they still do not understand how offshore banking works, it is understandable.  All in all, the answer to the question is YES, it is 100% safe and legal. Offshore banking has always been associated with suspicious transactions such as tax evasion and money laundering.  Many banks have made progress in the last few years to ensure that all taxable money is reported and new anti-money laundering rules have been introduced, which is why today the vast majority of people who open an account in offshore banks use these accounts from absolutely legitimate reasons in a legal way.  One of the advantages of offshore banking is that offshore financial centers around the world are often considered economically and politically more stable to open a non-resident bank account than in a home country, with a much lower risk of being able to seize or freeze your assets.

Every individual is able to open an offshore bank account if he or she meets the requirements of the chosen bank, and can open it for personal and business purposes.  Offshore banking provides greater privacy to the user, which is a great advantage in contrast to banking in his home country.  This means that if someone wants to check an offshore bank account holder and determine your discoverable assets, it will only be possible to find out information from the home country of the account holder. 

The advantages of offshore banking

Some of the advantages that offshore banking offers are for example: 

  1. The possibility of banking in different currencies and in several currencies at the same time 
  2. If there is a currency devaluation, high inflation, war or coup in the country that the account holder lives, the bank where the offshore account is opened enables one to avoid those kinds of risks that may occur due to unfavorable economic climate 
  3. Tax relief 
  4. Maximum flexibility when it comes to bank account management and disposition, online access and online banking 24/7 
  5. Greater privacy than in home country 
  6. Offshore banking in the world financial centers offer more impressive investment services and solutions to their clients

Who can benefit from offshore banking?

A person who wants to open an account outside the country in which he lives.  It does not matter whether the account is opened for private or corporate purposes, the main goal is because the person protects his assets, has advanced security etc. BY using the previously mentioned benefits he or she should be eligible to benefit offshore corporate account opening. Also, offshore banking in some jurisdictions is friendly to gamblers, gamers and trading. It is very important to choose the right jurisdiction to go with when it comes to offshore banking, and that’s where we come in to help and provide advice.

How can you open an offshore bank account?

Today, the internet is a part of the everyday life of almost every individual. With that being said, it is completely logical and convenient that an offshore bank account can be opened online, with ease and no hassle in a safe way. Of course, the process of opening an offshore bank account depends on the bank you are going with, but most of them do offer the possibility of opening one without having to visit the bank or an office physically. The client would be provided with help regarding any misunderstanding during the process from a support manager. The first step is to select a bank and Offshore Pro Group will make a tailored offer just for you or your company’s needs.

Offshore Pro Group has been in the financial consultancy business for years and we will gladly help you find the best financial solutions if you decide to seek our advice. Please write to us to [email protected] or use WhatsApp or our live chat to get in touch with us. Whatever communication means you choose, we will be able to suggest the solution that will fit your personal outlooks and your individual investment preferences best!