Offshore bank accounts are not just good for wealthy people. The amount required to open an offshore bank account varies from bank to bank, so everybody can find the best option for their assets. It’s also important to know that an “offshore bank account” is actually an account held at a foreign bank.
What complicates the picture a little is that there are specifically “offshore banks.” These are not just to be found abroad and generally offer very discrete but lawful services that are fully in compliance with local laws. Many think that the only goal in opening an offshore bank account is tax evasion. However, there are several other international business needs that offshore banking services can meet. The most important criterion in the world of offshore banking is always security.
What threatens assets kept in domestic accounts the most?
On the basis of Eastern-Central European experience, it is worthwhile for clients to open an account where their savings are safe. One of the most threatening situations is the suspension of services. This is a situation in which, due to bankruptcy or some government measure or perhaps a strike, the banks simply do not open. In such a situation, bank deposits kept in a remote country that can be accessed at any time become extremely valuable.
It is not forbidden to open an offshore bank account. If the holder of an offshore bank account gets involved in a crime, there is practically no offshore bank that could (or would) protect its client’s anonymity. However, offshore bank accounts can perfectly protect their account holders from unnecessary transparency. Nonetheless, we would still warn all our readers that they should observe all applicable laws regarding offshore banking. Ask our colleagues for free expert advice on this!
Some people want to keep their assets safe from their business partners or the ever-watching eyes of competitors, preventing them knowing where these assets are kept. It is worth remembering how jealous competitors are always seeking opportunities to ruin their business rivals. Offshore bank accounts also offer a great alternative to avoid financial disputes between spouses. Even family law experts recommend that spouses have savings of their own that are independent of their partner. Representatives of the media can also embitter the lives of wealthy people and everybody knows that it is not a good idea to make wealth publicly known.
Are offshore bank accounts safe?
Clients’ assets are safe up to a certain limit even in the case of the bank’s bankruptcy in the European Union, Switzerland or the United States and some other jurisdictions because they are guaranteed by the state or the Union. However, this does not apply to low-tax countries or tax havens in tropical countries. Depending on the given country, a possible bank bankruptcy may result in the loss of all the money of clients, which should be taken into account. There is a good solution even in truly remote and exotic locations. There are trusted banks and international financial institutions in these countries too, which cannot afford to let their clients suffer any damage at any of their branches even if a volcanic eruption destroys their bank branch operating on a remote island.
How can a bank account opened in a remote country be managed?
The key to fast and secure money management is definitely online banking. Any process, transfer, investment or even the opening or closing of various accounts can be handled in a matter of minutes via the Internet.
Ask our colleagues for advice on how to open the most effective offshore bank account!
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