The benefits of an offshore savings account can seem endless. Just a few of the advantages that you’ll enjoy when opening a personal offshore savings account could include better interest rates, lower overhead and banking fees, the potential for lower taxes and even greater diversification, which reduces your vulnerability and mitigates financial risk.
Knowing all that, it certainly makes sense to open your own personal offshore savings account. To get started and have a personal account through an offshore bank, here is what you should know and what you’ll need to provide.
Choose Your Offshore Location Carefully
Arguably the most important step in the process of setting up a personal offshore savings account will be choosing the right offshore location. Keep in mind that offshore can refer to plenty of different destinations across the globe, but not all are alike.
Choosing a destination like Belize is a smart choice if you’re looking for financial security, stability in both the government and the banking system, high reserve requirements for local banks and a very tax-friendly jurisdiction.
Once you have selected the right offshore destination, you can narrow down the banking options until you find the perfect financial institution that meets your needs.
Supply Proof of Identity and Residence
Wherever you choose to open your offshore savings accounts, one of the requirements will always be providing proof of your identity and your address. This might include providing your Social Security Number, a copy of your passport or a copy of your driver’s license. To prove your address, you may need to submit mailed correspondence or a utility bill with your address clearly stated.
If you wish to open an offshore savings account in Belize, your address should be located somewhere outside of Belize, proving that you are a foreign national who can take advantage of the offshore banking opportunities in the country.
Fill Out an Application Form
To open an offshore savings account, you will typically need to fill in an application form. This can sometimes be done by printing out a form and mailing it to the bank of your choice, or you may be able to fax it in or send it via email instead. The application form will generally ask for basic information like name, address, occupation, contact information by phone or email and nationality.
Provide a Bank Reference
Most offshore banks will ask prospective bank account holders to submit a bank reference letter from a current or past bank. This basic letter might need to state a current balance, but it can also state a previous banking history and a strong working relationship with no major financial problems related to the account holder.
Choose the Right Type of Savings Account
Finally, don’t forget that there is not just one type of offshore savings account to choose from. You can opt for the more traditional savings account, or you could choose a lifestyle account, which boasts higher interest rates as your balance grows. Another option might be a term deposit account.
If you want to take advantage of the many benefits that offshore banking can provide, you may be ready to follow these steps and open up your very own personal offshore savings account.
