8 Comments on "The Best Offshore Banks of 2014"

  1. silo | October 29, 2015 at 16:37 |

    I have a question for you regarding UBS. I’ve been in contact with a relationship manager in Switzerland who has informed me that they no longer accept new clients wishing to form accounts for structures (no private banking for trusts, companies, etc…). I was wondering if you knew whether firstly this is true as it seems wrong and if it is true whether any of the other UBS locations do permit accounts for structures?

  2. CaribbeanFun2 | July 26, 2015 at 01:46 |

    Can you recommend an offshore bank which allows EUR or AUD deposits and has no account maintenance nor annual credit card fees? I’m an expat based in Taiwan and will leave to move to another country. However, Taiwan will close my account as soon as my visa expires, so I don’t have access to this money anymore. I can just open a new account in the country I’m moving to after arrival, but then I can’t access the Taiwan money anymore.

    There are many international banks in Taiwan, but the local regulations forbid it these banks to open an account for me in either Singapore or Hong Kong. They recommended me to fly there, but it’s seems kinda waste of money and time just to fly there for that.
    The closest I found so far is Standard Bank in your list, but they charge 20 Euro for the credit card per year.

    • Profile photo of Streber Streber | July 27, 2015 at 18:55 |

      Lloyds International will sometimes waive maintenance and debit (not credit) card fees if you deposit certain amounts. Maybe try giving them a call?

      But other than that – No, I’m afraid I can’t think of any bank that would fit the bill. While you can find low-fee banks across Europe (maybe not zero but close to it in terms of administrative fees), I have a hard time seeing them take on a client that isn’t going to make them any/much money while posing all the risks of being a non-resident banking client. If 20 EUR per year is too much, I am not sure where you can reasonably find a bank that would suit you.

  3. Profile photo of Teetotal b4bmm | June 11, 2015 at 16:47 |

    Hi Steber,

    I have seen above and checked their website Diamantbank for their term deposit rates, which amounts to 9.5-10% for Euro deposits. I have seen interest rates before of around the 12/13% mark for banks in Indonesia called rural banks but this is the highest I have seen for a bank accepting USD/EUR. What risks are involved with depositing money in a bank like this? Obviously Ukraine is having a lot of political issues right now which also adds to the risk involved but is it just the bankruptcy of the bank I need to worry about or what other factors would my deposit be in danger? I done a quick google search of the name of one of the banks owners, the other owners being registered to 4 different LLC’s, and he is one of the countries prominent billionaires who has some sordid past stories surrounding his name. Of course people dont get this rich by being Mr Nice but anyway I digress.

    • Profile photo of Streber Streber | June 11, 2015 at 19:39 |

      You’d also have to consider the sustainability of the interest rates. To offer interest rates that high, the bank must be making more money than that somewhere else, typically by its own investments, credits, or by selling the local currency. If the bank’s investments go bad, outstanding credits default, or the currency drops in value, the interest rates becomes unsustainable.

      The bank will either stop paying interest or take drastic measures to shore up enough capital.

      Sanctions are also a risk. Maybe not so much in Indonesia or even Ukraine but sanctions would mean you lose direct access to the funds. Withdrawal, if at all possible, would have to be done through back-channels, routed via various sketchy jurisdictions to dodge the sanctions – which in and of itself is usually a crime.

  4. Profile photo of Red Pill RedOne | May 30, 2015 at 00:15 |

    I truly appreciate the information on your site. It’s really interesting to read about banks in locations I never thought to consider.

    Have you had the opportunity to open an account for a Panamanian Private Interest Foundation with any of these banks? My experience trying to open an HSBC Hong Kong account for a Panamanian SA makes me hesitant to setup the foundation unless I’m satisfied with being stuck with only banking in Panama. I’m curious if banks in Switzerland and Austria would normally readily open an account for the PA Foundation. Perhaps it all depends on the $$$ to be deposited…

    In any case, would the investment products be limited to where I am currently resident personally (as the foundation’s Protector or council member) although the Foundation is its own separate legal entity from Panama? For example, it appears that many banks aren’t offering accounts that can be used for investing to residents outside of Switzerland, Liechtenstein, Austria, etc, and that’s if you’re even able to open the account. I wouldn’t want to go through the hassle to get the structure and account setup just to be disappointed with the minimal investment opportunities. Or do accounts under wealth management not have these compliance limitations?

    • Profile photo of Streber Streber | June 1, 2015 at 12:57 |

      Have you had the opportunity to open an account for a Panamanian Private Interest Foundation with any of these banks? My experience trying to open an HSBC Hong Kong account for a Panamanian SA makes me hesitant to setup the foundation unless I’m satisfied with being stuck with only banking in Panama. I’m curious if banks in Switzerland and Austria would normally readily open an account for the PA Foundation. Perhaps it all depends on the $$$ to be deposited…

      It is almost entirely about the amount of money involved. Very, very few banks will stick to their policies when you start talking millions with them. The ones that do are usually banks that try to position themselves as ethical banks, agricultural banks, or other niche banks.

      To answer your question: yes, I have opened bank accounts for Panamanian foundations with several of these banks. Too many to list and I doubt I’d remember them all but we’re mostly talking about banks in Andorra, Switzerland, Liechtenstein, Lebanon, Singapore, and a couple of higher-end banks in and around the Caribbean.

      In any case, would the investment products be limited to where I am currently resident personally (as the foundation’s Protector or council member) although the Foundation is its own separate legal entity from Panama? For example, it appears that many banks aren’t offering accounts that can be used for investing to residents outside of Switzerland, Liechtenstein, Austria, etc, and that’s if you’re even able to open the account. I wouldn’t want to go through the hassle to get the structure and account setup just to be disappointed with the minimal investment opportunities. Or do accounts under wealth management not have these compliance limitations?

      This largely comes down to finding a good service provider to act as foundation council. While you can act as protector to within reason dictate what the foundation does with the money, you as founder cannot be on the council, or you risk jeopardizing the integrity of the foundation. It is very important that your service provider understands your needs and expectations so that they introduce the foundation to the right bank or banks.

      You can include this in the foundation charter, by stating that the purpose of the foundation is to invest funds in the X, Y, and Z and that the profits from such investments be held by the foundation or paid out to the beneficiaries.

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