Are you contemplating storing your money in an offshore bank account?
What country’s banking institutions should you trust with your cash?
What is the best country for offshore banking?
Here are the top 10 countries for opening offshore bank accounts.
Also if you haven't registered your business anywhere particularly yet, consider these countries for offshore company registration as well, as this might directly impact which offshore bank account you can use.
1. Hong Kong
Hong Kong is an incredible option for offshore banking.
As one of the most profitable and popular financial centers in the world, Hong Kong offers many perks to its foreign banking customers.
With an efficient legal system, favorable tax system, and robust telecommunications and financial infrastructure, Hong Kong is a prime destination for offshore banking.
It's one of the best places to register your company where not only it acts as a tax haven, but it also offers fantastic financial services, global business connections, and is an effective gateway into the Chinese market.
Interested in opening a Hong Kong business account remotely? Create an account today and get access to 11 currencies in one account.
This is probably the first country that comes to mind when you think of an offshore bank account, and for good reason.
Many high net worth individuals in the United States trust their money with Swiss banks thanks to their commitment to privacy and steadfast asset protection.
The sophisticated banking network of Switzerland is comprised of roughly 300 financial institutions.
As of 2018, it is estimated that the total assets held by the Swiss banking network amount to USD 7 trillion; and almost half of that are owned by foreigners.
What makes Switzerland such a popular destination for foreign money?
It’s thanks to the privacy laws of Swiss banking.
In Switzerland, bankers are prohibited from divulging any information about their customers' accounts without the customer's consent.
Swiss banks offer their customers some of the most stringent privacy policies; especially their foreign customers.
If your Swiss banker illegally releases information about your bank account, they can face up to six months in prison and a hefty fine.
In such a politically and economically stable nation, there’s no question that Swiss banks offer the best privacy and asset protection policies of any foreign banking destination.
If you’re looking to bank overseas in pursuit of more favorable interest rates, Belize is your destination.
This Central American country has the highest interest rates for foreign bankers than any other country on the list.
After accounting for inflation and banking security, it turns out that Belize has a real interest rate of roughly 2.3%.
Belize has a very high real interest rate thanks to its low inflation rate, which is only projected to decrease through 2021.
Like Switzerland, Belize is a fairly politically stable nation and offers some benefits to foreign bankers.
International accounts are immune from local taxes and exchange control regulations.
Additionally, account holders can choose to bank in most major currencies.
Belize is also praised for its foreign account privacy policies.
If you value safety above all, Germany is the foreign banking destination for you and your money.
Germany’s banks take up four spots in the top ten safest banks in the world.
This is mostly thanks to the superb economic stability of the European country.
Germany’s robust remote banking system allows you to open a bank account without being present.
You could open a bank account in Germany from the comfort of your home in the United States, depending on the bank you choose to do business with.
Additionally, German banks are known for rewarding foreign bankers who travel to and through the European Union.
Security, perks, and convenience make Germany an excellent foreign banking destination.
5. The Cayman Islands
When it comes to taxation benefits, no country can compare the Cayman Islands.
The Caymans are thought to be a tax haven, offering international bankers minimal taxation liability.
When banking in the Cayman Islands, you will undergo no direct taxation.
You will pay no capital gains tax, no corporate taxes, nor withholding, property, payroll, or income taxes.
Additionally, there is no exchange control meaning that fund transfers coming in or going out of the islands are completely free in any currency.
If you want to keep your money in a beautiful, tropical tax haven, the Cayman Islands is the offshore banking country for you.
This is the best offshore banking country for high net worth individuals.
Singapore has a reputation for being a safe and stable country for wealthy people to store their assets.
Singapore banks offer a wide range of wealth management services.
These include financial advice, tax guidance, estate planning, legal counsel, and investment management.
If you’re looking for the absolute best financial services a foreign bank can provide, consider storing your cash in Singapore.
Like the Cayman Islands, Panama offers international bankers a favorable taxation situation.
Panama uses a territorial tax system, meaning that all income generated from a foreign country is exempt from local taxes.
Panama is yet another secure and beneficial offshore banking destination.
8. The Republic of Seychelles
As a very small country with a population of less than 100,000, you may have never heard of it before reading this article.
Seychelles, like Panama, does not tax the income of foreign banking customers.
Seychelles banks also protect the privacy of their customers, bound by law to refrain from divulging customer account information.
The Island of Nevis is a premier destination for offshore banking thanks to the numerous benefits for companies.
When individuals and companies from the United States decide to bank offshore, they choose Nevis.
Nevis banks offer strong asset protection and companies based in Nevis are allowed to create flexible organizational structures.
The process of registering in Nevis is simple, can be done remotely, and the country offers competitive interest rates.
As one of the largest financial hubs in Africa, Mauritius has a stable and financially booming economy, making it a great place to store funds.
The banks of these countries allow bankers to open their accounts very quickly, in as little time as two weeks.
Back to you
Opening a bank account in another jurisdiction is a great way to help your business thrive.
Even if it's not a tax haven, you might find other benefits of using foreign laws or even physical location to your business's financial success.
One of the most common jurisdictions in the world is Hong Kong. You can get started today with Statrys and get access to a remote, virtual business account in under 48 hours.