Offshore Online

Offshore online banking is a form of banking where most types of operations can be carried out online. The bank is located in an offshore jurisdiction and the account holder is located in another country. Transactions like fund transfers, balance inquiry, bill payment and a host of other banking transactions can be performed without leaving your country of residence and all from your office or home.

Not all offshore online banks offer the same services and facilities. For those who are engaged in offshore investments or international business, offshore online bank accounts are very important. This will facilitate easy payment for international investments and also save on taxes paid by these individuals or companies. There are several offshore online banks where you can open an account. The concept of offshore online banking is to facilitate wealth protection and also conduct global business in a private and confidential manner.

What You Should Know

An individual or a company can choose an offshore online bank in one of the zero tax or low tax jurisdictions. Apart from low tax or zero tax jurisdictions, the major factor for many is privacy’ or secrecy’. Some of the other services you should look for when opening an offshore online bank account are:

  • Direct deposit of funds
  • Remote deposit of funds
  • Commercial and consumer lending
  • ACH/Wire Transfers / Electronic Fund Transfers (EFT)
  • Basic credit facilities
  • Forex
  • Access to capital via international debit cards
  • Wealth management
  • Offshore brokerage account
  • Offshore trading account
  • Trustee services
  • Administration services

Offshore online banks normally tend to focus on either commercial banking or consumer banking. With consumer banking there are two categories; retail consumer and private banking.

Retail Consumer – This type of account is for the average individual seeking to open an offshore online bank account.
Private Banking – This is for high net worth individuals who are seeking other investment opportunities.

Advantages Of Offshore Online Banking

Here are some of the advantages of offshore online banking:

Protection From Sovereign Risk

Parking your funds in offshore online bank accounts will mitigate the risk of loss of capital arising from litigation, freezing of funds by government and/or political and economic unstability.

Tax Benefits

Most of the offshore jurisdictions have little or no income tax implication on income earned from businesses or investments made offshore.

Higher Interest Rates

Many offshore online banks located in tax free or low tax jurisdictions operate with low costs and hence they provide better interest rates as compared to other banks.

Access To Statements

As with any online bank account, offshore online banks also offer their clients access to their banking statements online.

Money Management

Offshore online bank account holders can transfer their funds between accounts anywhere in the world instantly.

Some of the other advantages of offshore online banking include opening trading accounts and offshore brokerage accounts. You can invest directly from your account, which is mostly free and also has tax advantages. Online trading is very efficient and is one of the advantages of offshore online banking.

Online Banking

Offshore online banking has gained popularity and is one of the sought out areas of consumer banking in the corporate or business sector. The advantage of offshore online banking is that apart from allowing you to conduct business the traditional way, it opens up several international business opportunities and allows you flexibility and diversity in terms of your banking needs.

One of the biggest advantages of offshore online banking is that it allows you to transact and conduct business from any location around the globe in a variety of currencies. Though not all banks offer this service because of the costs involved, it is one of the features you will need to check if you are planning on opening an offshore bank account.

What Is An Offshore Online Banking Account?

An offshore online banking account is a bank account that is held in a bank located in an offshore jurisdiction.

Any individual, businessperson or company can open an offshore online bank account. There are various benefits of an offshore online bank account.

Services

When opening an offshore online bank account, you should check whether the bank offers a full range of services or just limited services. Not all banks offer the same services, but these are some of the services your offshore bank should offer you.

  • Direct deposit of funds
  • ACH/Wire Transfer / EFT – Electronic Fund Transfers
  • Remote deposit of funds
  • Basic credit activities
  • Consumer and commercial lending
  • Offshore/international debit cards
  • Access to capital globally
  • Forex – currency exchange
  • Offshore brokerage account
  • Offshore trading account
  • Wealth management
  • Trustee services
  • Administration services

Popular Offshore Online Banking Jurisdictions

There are several offshore jurisdictions you can choose for your offshore online bank account. Here is a list of some of the popular offshore jurisdictions.

  • Antigua
  • Bahamas
  • Bermuda
  • Barbados
  • British Virgin Islands
  • Cook Islands
  • Cyprus
  • Channel Islands
  • Dominica
  • Hong Kong
  • Malaysia
  • Mauritius
  • Malta
  • Monaco
  • Macau
  • New Zealand
  • Luxembourg

Benefits Of Offshore Online Banking

There are several benefits in opening an offshore online bank account. Here is an overview of the benefits of offshore online banking.

Tax Saving

One of the main reasons people choose offshore online banking is because of the tax savings they can receive. Many offshore jurisdictions have low or no tax implications from income derived from their assets or investments hence, offshore online banking is the popular choice for them to park their assets.

Higher Interest Rates

Since offshore banks operate with very low costs, they are able to offer clients higher interest rates. With an offshore online bank account, you will be able to earn more interest compared to many normal multi-national banks.

Stability

Offshore banks are located in stable political and economic jurisdictions. You can be sure your assets are safeguarded in a stable jurisdiction.

Protection

Your assets held in offshore banks are safe from lawsuits, divorce or any other risk. You do not have to worry about having your accounts frozen by the government.

Money Management

With an offshore bank account, you will be able to transfer and access your funds to and from any part of the world. You will also be able to invest in international markets, which you normally would not have access to without an offshore online bank account.

You can contact us and speak to our financial advisor about offshore online banking before opening an account.