Where Should I Open an Offshore Bank Account?

This is a question that many, many people ask. If you are interested in diversifying your assets or planning a more robust wealth management strategy, then you’ve likely looked into the possibility of offshore banking.

More than likely, you’ve arrived at this article because you’re looking for the best offshore banking jurisdiction out there.

While you’re on the right path, we’re going to show you a new way to look at finding the best offshore banking service. Instead of focusing on what the world says, we’re going to take a look at your needs.

Before going any further, stop to ask yourself a few questions. Why do you want to bank in an offshore jurisdiction? Are you interested in keeping your assets anonymous? Are you looking for a low tax jurisdiction? Are you interested in relocating to a new country?

There are a number of reasons why you might be interested in offshore banking, and the best jurisdiction for you is going to depend on those reasons.

1. Are you interested in moving to a new country or having a second residence somewhere?

If you’ve considered setting up a second home somewhere, then there are offshore banking jurisdictions that will be more accommodating. For example, Panama is often a first choice for people looking to set up a second residency. To set up a second residency, you need to just register as a corporation and make a deposit at a Panama based bank. Technically, you don’t have to live in Panama to do this, but if you’re interested in real estate, property in Panama is affordable.

2. Are you a non-U.S. citizen?

The country you currently live in can have an impact on where you choose your offshore banking services. For instance, if you aren’t a U.S. citizen, then you can set up in Delaware, Wyoming, and Nevada without worrying about other jurisdictions being able to access your information. There are no income taxes in Delaware, which is another selling point. It’s also extremely easy and cheap to incorporate there. Interestingly enough, if you’re a U.S. citizen, the same rules don’t apply to you.

3. Are you doing business in Europe?

Although Cyprus saw harder times a few years ago, the country has since restructured and is now a preferred offshore banking hub for those who are also doing business in Europe. Cyprus is a member of the EU and Eurozone. There is no minimum capital requirement there, and you can get an Intra-Community Vat number, which is required to do business in other EU countries. Cyprus also isn’t a member of AEoI, which is a perk for anyone looking for privacy.

4. Are you looking for anonymity in investing?

If you’re looking to keep your investments secret, then look no further than Puerto Rico. Puerto Rico is one of the most secure jurisdictions for protecting your assets. Here, you can privately invest in offshore forex trading, metals, time deposits, and more.

5. Interested in a financial mecca for your business?

Hong Kong has a state-of-the-art offshore banking system that’s designed to help people run their businesses efficiently. There are minimum deposit requirements and setting up a company is easy with no minimum capital requirement.

When searching for the right offshore banking jurisdiction, keep your needs and goals in mind. From there, it’s easier to sort which jurisdiction will be perfect for you. When choosing a jurisdiction, always keep quality in mind. Look for a stable jurisdiction that has a desirable tax rate, as well as one that is beneficial for businesses. You’ll want to find a jurisdiction that offers great interest rates and makes it easy to bank. In addition, look for a jurisdiction that hasn’t had adverse action from the U.S. or other countries.

It’s important to always look at the quality of the bank you’re interested in. For example, look for a bank that holds a higher percentage of deposits. For example, banks in Belize are required to have 24% of deposits on hand. You also want to sure that you’re using a bank that will make things easier on you. A bank with online access, for example, will be much easier and convenient as opposed to a bank that requires you to be on-site for transactions.

The first step in finding the perfect offshore banking jurisdiction is to pinpoint your personal goals for wishing to diversify your assets in this way. Once you’ve got some answers, then you’re ready to find the perfect offshore hub.