Recent two years have given all of us a hard lesson to learn. Growing Covid-19, numerous anti-government protests, fluctuations in fiat currencies and the wildfires that multiple prestigious governments failed to extinguish. All these examples were underlining one ugly truth. What if our governments are not as trustable as they seem? This sudden loss of trust increased the persuasion of separating the eggs into different baskets rather than one. According to the latest statistics, offshore bank accounts have made a dash up to 60% worldwide since 2019. Why do people prefer to open overseas accounts? What are the pros and cons of utilizing an offshore banking service?
Firstly, to clear out the clouds, we better define what an Offshore Account is. In a nutshell, it is a bank account in a foreign country rather than the country where the person lives. Therefore, a French businessperson who has a bank account in Malta is an offshore account holder or vice versa. Except for the last puzzling situation of our world, there are many reasons why people consider to utilize offshore banking accounts.
Protect what is yours! Even if it is against your own country!
Do you really think your money is safe in your country? Think again! In retrospect, during the recent European Union financial crisis, Greek and Iceland citizens faced strict capital controls leading them to panic for their future. Expats in Cyprus had challenging times to take their money out of the country in 2013. The nationalization of retirement savings in Portugal underlines that even our retirement is not secure. None of the countries are totally safe. Neither European ones nor the rest of the world! This is exactly why you must consider opening a bank account overseas.
Reduce your taxes!
Most of the offshore companies provide tax advantages for foreign investors. In some cases the taxation difference can be dramatically low. For instance, offshore accounts in Malta can reduce your tax outcome to 5% a year. When you search in detail, you can be surprised about distinguishing policies for expat accounts.
Grab the advantageous interest rates!
It is no secret that European banks are stingy about interest rates. But it is very likely to find profitable offers and promotions in other regions. Furthermore, besides tasty interest rates, you can have free health insurances and discounts in certain airlines.
Save yourself from ripoff exchange rates!
If you are a business person trading in multiple countries, an offshore bank account in a country where you are already doing business can be quite beneficial. Majority of offshore companies have years of experience to place the best foreign exchange rates customized for your multi currency account portfolio.
You are special!
Your offshore account can have excellent customer support and an online banking app where you can monitor your assets 24/7/365. Most of the prestigious offshore companies provide personal management and seamless customer services.
In Jeton, as a prestigious e-wallet, our services are not so different from offshore accounts’. Evenmore, all our services come with low transaction fees, fast money transfers, solution-oriented customer support and much less documentation requirement. With the pluses, why not choose Jeton as your Plan B?
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