In an increasingly globalized world, offshore banking has become a surefire way to protect your privacy, gain access to different markets, and secure better overall services. Whether you’re interested in offshore private banking or business banking, choosing the country in which to open an offshore company or an offshore account makes all the difference.
By making the right choice, you can optimize your tax strategy and keep more of your profits. You can tie yourself to a stronger currency than that of your nation, and can also ensure you always have a plan B in the case things turn sour.
In this article, we’ll talk about the top countries with the best offshore banks and offshore banking services, regulations, and more.
Best Offshore Banking Countries: Parameters We’ve Considered
Before we talk about the top countries with the best offshore banks, let’s first discuss a couple of parameters we’ve used to make our list.
1. Ease of Opening an Offshore Bank Account
The first couple of things we considered were how easy it is to get access to offshore banking services, how long it takes to get an offshore bank account, and whether the whole process can be done online or if you need to be there in person.
In some countries that allow offshore banking, such as the US, you can open a bank account in a matter of weeks. And, depending on what type of bank you want to open an account with, you can do it both in person and online.
On the other hand, in Portugal, to open and get access to offshore banking, you first need to obtain a NIF number (Portuguese tax number), which you can only do in person. This means that in order to open an online offshore bank account or a regular one, you still need to go to Portugal.
2. Currency Stability
Another important thing when looking for options to open offshore bank accounts is to evaluate the currency of the country you have in mind. Why is that important? Well, it’s simple: when you open an offshore account, you’re tying yourself or your business to the currency of the country you’ve opened an account in. Because of that, it’s vital you make the right choice.
For example, if you open an offshore private banking account in Poland, you’re tying yourself to the Polish Złoty, a currency not known for stability or strength. However, if you open an offshore account in Portugal, you’ll tie yourself to the EURO, which is far more reliable. And, if you want to bind yourself to the most stable currency, that’s also a reserve currency for most of the world, you could get an online offshore bank account in the US.
3. Deposit Amount
Depending on the country, type of account you want to open, and the exact offshore bank, you’ll probably have to pay a certain amount of money as a deposit. For example, to get an account in Portugal, you should prepare a deposit of around $340. In contrast to that, to get access to offshore banking services in Poland, you should expect to pay around $560.
Other countries might require you to pay much higher deposits. For example, in the US, to get an online offshore bank account with a medium-sized bank or a credit union, you could expect to pay a deposit in excess of $10,000. Now, this high price tag does come with a lot of benefits and is much safer than having an account in Poland or Portugal.
4. Access to Financial Institutions and Services
When you pick a country for your offshore banking needs, you’re also choosing what financial institutions and services you want to gain access to. For instance, if you open an online offshore bank account in the US, you’ll get access to some of the best financial services and institutions in the world. You’ll be able to open US accounts with payment processors like Stripe or PayPal, gain access to US financing options, and much more.
Keeping all of your money in a bank is not always a good idea because of inflation. By establishing a presence in a foreign country, you’ll also be able to invest in it. For example, with an offshore account in the US, you’ll be able to buy US real estate, apply for US mortgages for nonresidents to do that, or even invest in the US stock market.
Want to open an online offshore bank account in the US? Get in touch with NRI!
6 Countries With Best Offshore Banks
Here’s our list of top countries with the best offshore banking services:
1. USA
The USA boasts the best offshore banks and financial services and is widely considered one of the best tax havens for business in the world. However, to fully take advantage of all the benefits, your company can’t generate any US-sourced income. Two of the best states to set up a business entity are Wyoming and Delaware. If you do everything correctly, you can pay 0% in taxes. That is precisely why tens of thousands of foreign nationals choose the US as their offshore destination.
When it comes to ease of opening an offshore bank account, the US offers different options. If you want to open an account remotely, you can go with one of the many online banks. These types of financial institutions won’t require a large deposit (or any deposit at all) but will ask you to provide certain documentation, such as your passport, bank statements, and 1 of the 3 tax identification numbers.
On the other hand, if you want to open an offshore bank account with a regular/brick-and-mortar bank, you’ll have to travel to the US and do it in person. Depending on which bank you choose, you’ll probably have to pay a deposit, which typically ranges from $10,000 to $100,0000.
Whether you open an offshore bank account with an online or a physical bank, you’ll gain access to various US financial services like US mortgages for foreigners. You’ll also be able to open US accounts with various payment processors, which will allow you to streamline international transactions.
Additionally, when you open a US bank account, you’ll tie yourself to the US dollar, the most stable currency in the world, which also serves as a reserve currency for a large number of countries.
The list of top US banks for offshore accounts includes institutions such as:
Best Offshore Banking Countries: USA Benefits and Cons
✅ Remote or in-person account opening
✅ Easy to medium account opening difficulty
✅ No or low deposit for online US banks
✅ 0% taxes for companies without US-based operations
✅ Top-of-the-line offshore banking services
❎ High deposit requirements for brick-and-mortar banks
Want to open a bank account in the US and get access to the best offshore banking services? Book a free call today!
2. Portugal
Portugal is another place that has some of the best offshore banks. The country also has an easy bank account opening process, with the downside being that you have to do it in person. The reason for that is that you need to get a NIF number (Portuguese tax number), and you can only do that by visiting a local government office.
On the flip side, the deposit you’ll have to prepare is only around $340. And, by opening an offshore bank account in Portugal, you’ll gain access to different financial services and will tie yourself to the EURO, a relatively good and stable currency. Just be aware that there’s a possibility of Portuguese banks charging you fees and putting restrictions on your account.
The list of top Portuguese banks for offshore accounts includes institutions such as:
Best Offshore Banking Countries: Portugal Benefits and Cons
❎ In-person account opening
✅ Easy account opening difficulty
✅ Low deposit requirements
❎ Possible fees and banking restrictions
3. The Isle of Man
The Isle of Man is a really good option if you’re looking for offshore banking services. This place offers online offshore bank account opening, and the process of doing so is relatively easy. The main downside is that you can basically only open an offshore savings account or checking account.
When it comes to deposit requirements, the Isle of Man is on the higher end of the spectrum. In most cases, you’ll have to pay between $6,500 and $100,000 to open a bank account. The exact deposit amount will depend on the type of account you want to open, the specific bank, and the type of offshore banking services you want to gain access to.
The main currency in this self-governing dependency is the British Pound. This means that by opening an account here, you’ll tie yourself to GBP, a strong and reliable currency. It’s not as good as tying yourself to the mighty US dollar, but it’s still a fine option.
The list of top Isle of Man banks for offshore accounts includes institutions such as:
Best Offshore Banking Countries: The Isle of Man Benefits and Cons
✅ Remote account opening
✅ Easy account opening difficulty
❎ High deposit requirements
❎ Possible high fees and banking restrictions for nonresidents
4. Poland
Poland, like Portugal, is just one of several European countries that have the best offshore banks with easy account opening processes. To get a bank account in Poland, you won’t need to have a Polish address or to provide various additional documents that some other places might require. The downside to this is that you can’t open an offshore account online. Instead, you have to do it in person, which will require you to travel to Poland.
The deposit requirement for opening a bank account and accessing offshore banking services in Poland is very low and is around $130. The main currency in the country is the Polish złoty. However, it’s important to note that Polish banks allow you to open an account in Euros.
The list of top Polish banks for offshore accounts includes institutions such as:
Best Offshore Banking Countries: Poland Benefits and Cons
❎ In-person account opening
✅ Easy account opening difficulty
✅ Low deposit requirements
❎ Possible high fees and banking restrictions for nonresidents
5. Georgia
Georgia is another great European country that offers foreigners reliable offshore private banking and business banking services. This country is not a member of the European Union, which, in the eyes of some people, makes it a less safe option for offshore banking.
With that being said, Georgia is still one of the top countries that offers the best offshore banks and services to foreigners around the world. Opening an account in Georgia is pretty straightforward and can be done both in person and online. However, we have to mention that it’s far easier to open a bank account in person than it is to do it remotely.
The deposit requirement is high, at around $6,000, which is a lot, especially when taking into account the types of banking services you’ll have access to. The other main issue is that by opening an account in Georgia, you’re tying yourself to the Georgian Lari. Although it is possible to open accounts in other currencies.
The list of top Georgian banks for offshore accounts includes institutions such as:
Best Offshore Banking Countries: Georgia Benefits and Cons
✅ In-person and remote account opening
❎ Easy to medium account opening difficulty
❎ High deposit requirements
❎ Limited access to offshore banking services
6. Panama
For an average foreigner, Panama doesn’t really offer the best offshore banks. To get the most out of this country’s offshore banking, you’ll need to be on the higher end of the spectrum and willing to put in a larger deposit, in excess of $10,000. If you’re willing to do that, you’ll get to experience the great offshore private banking and business banking services of Panama.
The country uses two currencies, the Panamanian balboa (PAB) and the US dollar. You can freely choose which one you want to use when you open an online offshore bank account here. Speaking of which, the whole process of opening an account in Panama can be done online, meaning you won’t have to travel there.
The list of top Panamanian banks for offshore accounts includes institutions such as:
Best Offshore Banking Countries: Panama Benefits and Cons
✅ Remote account opening
❎ Medium account opening difficulty
❎ High deposit requirements
❎ Limited access to offshore banking services