Offshore Banking ? Do You Really Need It?

Posted by Sterlingoffshore on July 18th, 2016

When exploring options to secure your finances, you might come across offshore banking and wonder if you need it and if it is the best option for your goals. An offshore bank account is also known as a foreign bank account, and it is essentially a bank account that you establish outside your homeland or country of residence. There are many benefits associated to having an offshore bank account—benefits that a local bank cannot provide you.

•    Minimize political risk – Your government can become one of the biggest threats to your savings. Governments that are becoming insolvent may turn to desperate measures such as imposing high bank deposit taxes, bail-ins, and nationalization of retirement savings, and capital controls— measures that are already being implemented in Cyprus, Spain, Argentina, and Poland. People who have over 0,000 in their local bank accounts can be targeted by the government. To protect your money, you can place some of it in an offshore bank account. By doing this, you are making it much harder for your government to freeze, devalue, or confiscate your money.

•    Better banks and banking systems – Most banking systems in first world and Western countries are fundamentally unsafe and unstable. By keeping your money in a stable offshore jurisdiction, you do not have to worry about your earnings being compromised or used by another entity. Offshore banks are typically more responsible in handling your savings.

•    Protect your assets – 15 million lawsuits are being filed in the US each year, and the majority of these lawsuits aim to access your funds and assets. An offshore bank account can protect your savings from government agencies and other entities that would like to gain access to your money or freeze your assets.

•    Better interest rates for deposits – Many offshore banks pay higher interest rates than what local banks offer. You may get more out of your savings account and efficiently grow your wealth when you go offshore.

•    Maintain your privacy – You do not have to declare that you have a foreign financial account if its balance remains under ,000, and you are not using any LLC or trust structure.

•    Diversify your financial portfolio – Having foreign currencies can help diversify portfolio risk, internationalize some of your earnings, and protect your power to purchase currencies. Most domestic banks offer few options for having foreign currency. Offshore banks typically provide more convenient platforms for holding any foreign currency of your choice.

About the Company:
Sterling is a leading licensed and regulated corporate, trust, fiduciary and fund services provider delivering specialised solutions for a global clientele of international corporations, institutional investors, high net worth individuals and families as well as their intermediaries. Whether an end user of our services or an intermediary, Sterling provides an efficient, personalized approach to ensure smooth, efficient delivery of services that meets the requirements of each client.