Offshore banking sounds like an idea only reserved for the extremely wealthy. The truth is that it much safer and easier than the average person believes it to be. So what is it about offshore banking that attracts people to it? Well when you research the answer you will find that it is not as complicated as you would think. Offshore bank accounts offer many advantages over domestic banking. Many offshore banks offer greater security, increased privacy and greater financial freedom and flexibility than do domestic banks. This helpful resource will provide you with some tips, hints and insights on this opportunity.
What is Offshore Banking?
Offshore banking is just as it sounds. It is banking in a depository institution that is located outside of the country of residence of the depositor. Offshore banking is not just limited to small nations such as Belize, the Caymans, and Cyprus but it also includes countries such as China and European nations, including Switzerland, the Netherlands, and Belgium among others. Each country has its own regulations that govern how their banks operate, but in the end they then to accomplish very similar things. This includes a regulatory environment that helps insure the safety and security of the bank as well as a due-diligence system to keep the bad guys out.
Why Bank Offshore?
So does banking outside of the United States really provide you with any benefits?
The answer to that question is yes, there are many benefits to opening an offshore bank account. One of the most important and most valued benefits of offshore banking is privacy. In the United States, laws like the US Bank Secrecy Act of 1970 and even the USA PATRIOT Act make identity of all domestic bank account holders very easy to find. That makes banking privacy almost nonexistent.
Offshore banking regulations in many countries, in contrast, hold the privacy of their account holders in the highest regard. This means that with the exception of certain serious criminal matters such as terrorism, smuggling, or money laundering, offshore banks in many countries are under no obligation to turn over the names of their account holders to any third parties. Not only is this level of privacy in offshore banking an industry standard but there is legislation in many of the the countries in which these banks reside that mandate the privacy and confidentiality of account holders. This is ideal for people who have assets they wish to protect from civil litigation.
Offshore Banking for Lawsuit Protection
According the American Bar Association in 2006 The United States was home to more than a million lawyers and that civil suits have increased 12% from 1993-20002. Today, the United States has the majority of the world’s lawyers – 80% of the world’s lawyers practice in the US. It also has the majority of its lawsuits. In fact the US has a whopping 96% of the the world’s lawsuits. Many of them are frivolous in nature. This should make protecting your assets a priority.
As many people know, a frivolous lawsuit, even if it is blatantly false, can seriously harm a person’s financial well being whether the lawsuit is successful or not. The legal fees that are involved in a lawsuit may be so great that it is cheaper to throw a financial settlement to the plaintiff to make the lawsuit go away. By placing your assets in an offshore bank account you are protecting yourself from lawyers and frivolous lawsuits because not only are your assets in a different jurisdiction than you but they are governed by very strict privacy laws.
The level of asset protection and privacy that offshore bank accounts provide are especially critical for business owners who wish to protect the things they have earned. The combination of strict banking privacy and holding assets under the legal jurisdiction of another country, would discourage many lawyers pursuing lawsuits against you because of the extreme difficulty in obtaining “payday settlements.” This is especially true if the account is held in an offshore asset protection trust with a licensed trustee. If the judge commands you to bring funds back from an offshore account, he may compel you to do so. But if the funds are held inside of your trust and guarded by a licensed, insured, reputable trustee who resides offshore, the judge does not have the jurisdiction to compel the foreign trustee to comply.
In addition to the benefits of the increased privacy, offshore bank accounts also provide a greater degree of freedom than domestic bank accounts do. Domestic accounts may prohibit you from engaging in certain wealth management services, but many offshore banks can open up these lucrative and beneficial financial opportunities. The reason these investment opportunities are available to offshore banks and their clients is because there is significantly less government intervention in banking affairs.
Through an offshore bank account you can enjoy the benefits of utilizing international funds in different currencies and the exchange rates of those currencies. Possessing an offshore bank account opens up business opportunities that are not available or are limited in certain jurisdictions and allows for easier investments in emerging markets and developing countries. This would often allow investors to receive a better return on their investments than what they could receive domestically. In addition to these additional investment and business opportunities some offshore bank accounts oftentimes offer more favorable interest rates to their account holders.
What’s Safer? US Banks or Offshore Banks?
Another benefit that comes from having an offshore bank account is that in many jurisdictions the banks are very stable. Now I know what you may be thinking now: “How is that possible?” The plain truth of the matter is that between 2008 and 2012, there were 465 US banks that failed. Moreover, the most recent annual in-depth analysis by Global Finance found that of the world’s top 50 safest banks there were only three (3) US banks that made the list. There was not even one US bank in the top 30 safest banks. Not one. According to this list of the 50 safest banks in the world published by Global Finance, the top 10 safest banks were all located in Europe.
Now this is not to say that the US banking industry is on the verge of imploding and that an economic meltdown is coming right around the corner. These statistics simply show that there are other countries offshore that provide more stability in their banking systems than does the US. This is often through banking regulations that require stronger balance sheets. Plus many of these institutions offer better returns to account holders and provide for a wider array of investments. This level of stability allows the account holders to diversify their assets, better protect those assets and guard their financial privacy.
Offshore Banking Simplicity
Finally, most people have the idea that getting an offshore bank account is a long, arduous, and complicated process; one that is only reserved for people who can afford to pay high priced lawyers and fees to set up offshore accounts. This may have been true decades ago when setting up offshore bank accounts were horrendously difficult and expensive due to the need to travel to the bank. But with the birth of the digital age and the use of computers connected to the internet, obtaining and monitoring a offshore bank accounts are almost as easy as operating domestic bank accounts.
In this day and age just about any adult person can apply for an offshore bank account by contacting an eligible introducer such as our organization. The internet has removed the exclusivity of offshore bank accounts and has created an environment where anyone can apply and maintain an account without having to pay exorbitant legal and processing fees to lawyers. Plus there not a requirement to travel to the location of the offshore bank in many jurisdictions. Because the services provided by offshore banks are now more accessible to about everyone it is far easier to apply for an offshore bank account and reap the potential benefits that it provides.
Offshore bank accounts have been surrounded by a lot mystique over the past few decades. The average person believes that they are reserved for only the wealthiest of individuals and therefore all of the potential benefits are only for them. That is one belief that we are happy to state is untrue. The benefits of privacy, asset protection, institutional stability, and flexibility in offshore banking are available to everybody. Are you are a business owner who is looking to protect his business assets or someone who wants to enter into lucrative investment opportunities in foreign markets? If so, many asset protection experts strongly suggest looking into obtaining an offshore bank account.
Offshore Banking Privacy and Security
Banking privacy and security is a major concern. It is a priority that you and your money are safe. OffshoreCompany.com regularly recommends banking institutions that participate in a central banking system. The system is highly regulated and implements stringent accounting practices, which provides a stronger infrastructure and independent oversight for local offshore banks. Many institutions provide secure and private offshore banking accounts to American and foreign corporations and local government officials. The institutions provide employment and support the local economy. Because of the economy’s dependence on the financial services sector, the privacy and financial safety laws are a longstanding and stable. It is critical that all prospective clients make the right choice of jurisdiction. We perform extensive research on many of the top offshore bank account providers and are glad to provide helpful information to help you make the proper choice.
Offshore banks in some countries participate in mandated financial protection insurance systems. Security and privacy is taken very seriously. Offshore banking security and privacy is statutorily enforced, meaning, it’s the law, limiting any information whatsoever to be shared with a third party, including foreign governments. Naturally, laws permit offshore bank account providers to share information in cases of severe criminal acts or terrorism. Banking privacy is not taken lightly. In Switzerland, for example, any employee violating a customer’s privacy is punished severely by law including stiff fines and jail time. So, depositor privacy is taken very seriously. It is also important that the foreign bank not have a domestic branch. This is because the domestic branch can be subjected to fines until the foreign branch coughs up information. Which banks have the best combination of safety, security, online access and openly accepts foreign clients? That’s where a company like this one comes in.