International Financial Transactions
Generally, this type of financial transaction is viewed as inter-temporal, which means that the transaction takes place over time. An international loan represents a trade of present goods or money for future goods or money.
By the theory of time value of money, the current value of a dollar does not equal its future value. Individuals and organizations looking to borrow from a lender must pay back an amount above the value of the original principal amount borrowed.
The interest rate represents that compensation from the borrower to the lender for the opportunity to use the money for a specified time. In international economics, individuals that borrow in the international arena have attractive investment opportunities.
Offshore Bank Accounts in Belize
Consumers looking to obtain money through international borrowing will find the transaction much easier to conduct if done with an offshore bank account in a country such as Belize. Offshore banks provide many of the same services as onshore banks provide:
- Accounts are available in different currencies, such as Sterling, Canadian dollars, U.S. dollars or Euros. Click here to see the benefits of offshore accounts when dealing with different currencies.
- Credit cards such as Visa and Master Card give account holders easy access to money held in offshore banks. These cards can be used to make purchases and withdraw funds at ATMs all over the world.
- Prepaid debit or credit cards are used the same as standard cards after the account holder pre-loads the cards with funds from the offshore bank account.
An offshore account at a bank in a country such as Belize ensures the account holder’s international monetary transactions occur securely. Many offshore banks will request the standard client information necessary to open any kind of bank account, such as references, monthly income and applicable identification.
Generally, opening an offshore bank account can take one to two weeks to obtain approval. When the account receives approval, the client will be notified of the account status, number and complete directions to wire funds for the initial deposit. Once accomplished, the client will discover that borrowing money on the international market goes quickly, easily and safely.