How to open an offshore bank account in Europe?
Think how to save money while doing a transfer to the international bank?
In this case, an offshore bank account in Europe turns out to be the best thing for those who work or buy property abroad and have to transfer money between international accounts in the international currency. This may sound like an episode from an action movie, but in reality, it is a fast-pacing trend in the banking sector.
Offshore bank accounts vary dramatically, so it may take some time to select the most suitable one before starting your new business adventure.
Let’s have a look at the benefits of opening this type of bank account in Europe:
- Reduce the political risks. This kind of risk is growing in many countries. More and more governments are sinking into insolvency and have to turn to the same desperate measures used in the times of economic crisis. This can be a big threat to the savings on your account.
- The finances kept on the offshore accounts cannot be confiscated, blocked, devalued that easily. This means you can have your money any time you need it.
- Stable banking systems and banks. European economy is one of the healthiest in the world. The national governments support the banking system by encouraging the international investments and cooperation.
- The corporate accounts in Europe are almost always more reliable custodians for the corporate earned-savings.
- More options to improve your financial state. You may put your money with a trusted name as the protective method. What might be difficult for your understanding is that the bank takes money off of the top of your savings. That’s the way it makes money.
- Most offshore bank accounts in Europe are protected through the platforms of life assurance wrappers. These platforms deliver much more opportunities for expanding your private capital. If you are not sure how to proceed with the offshore account registration, it’s better to find the expert who can help you to select the correct place for keeping your money. And this is where an element of risk comes in, as the bad money management can lead to financial loss.
- Lower tax rates. Offshore banks usually pay interest without tax deduction. Basically, those who do not pay taxes on the worldwide income can benefit from this kind of bank account.
- Under any circumstances do not try to evade taxes, especially with the new penalties stated by the government.
- Currency diversification. Keeping your savings in a foreign currency can reduce the economic risks and your purchasing power.
- Higher interest rates, namely, higher returns on the deposits.
- Ability to act quickly, regardless of how big your account is going to be.
When it comes to corporate bank accounts in Europe, they are usually opened in countries other than where the clients are located. You are given the freedom to access your account from any location. A corporate odd in Europe offers the option of not belonging to a particular country and its legislation.
It’s worth to remember that a corporate bank account is one of the factors adding points for your tax residence. Nevertheless, a bank account alone can hardly be enough to prove the tax residence when required.
Each bank offers its own guidelines on the process of opening of bank accounts in Europe. They may sound easy, but in the majority of such cases the banks go out of their way to make the process more complex. For instance, some banks require the offshore registration to be made in person without the third parties. Other banks require a letter of introduction from your bank in the place of the official residence. And there are banks which won’t even talk to you unless you have at least a $500,000 turnover. However, the reality is that opening of an offshore bank account can be made by an average person having a couple of thousands as the starting capital. The amount may increase if you need to open a corporate bank account in Europe.
If you live in Europe, opening a European bank account won’t cause much trouble. All you need is a confirmation of address, a couple of phone bills and a valid ID card. But opening a bank account in Europe without residency requires some additional paper work.
Offshore banking is nothing but a high level of financial sophistication. It has something to offer to any person and any kind of business formation.