Benefits of Offshore Banking in Panama
Whether you are trying to protect $50,000 or $5 million you need to select an offshore banking jurisdiction that offers true asset protection and rock solid banking privacy laws. Panama stands head and shoulders above the crowd.
Panama Has Strong Banking & Privacy Laws
Panama has the strongest financial privacy laws in the world. A court order indicating evidence of serious crimes from a Panama court is the only way that the account signatory on a Panama bank account can be found out by a third party. Bank accounts in Panama can be created using an anonymous corporation further protecting your privacy. Sadly, many jurisdictions have excellent privacy laws on paper but they are not enforced. This is not the case in Panama where banking secrecy laws are not only enforced but offenders face jail time for breaking these laws, a strong deterrent.
Personal vs. Corporate Offshore Bank Account
The requirements to get a personal bank account in Panama are much less strict than to get a corporate bank account and often does not even require the applicant to visit Panama to open the account. But are personal bank accounts suitable as asset protection vehicles? The answer is no since any wires coming in or out of a personal account will have your name on the wire which completely destroys your privacy, the reason for moving money offshore.
Stability of Panama Banks
Panama banks have a reputation for conservative lending practices. For example, foreigners who would like to get a mortgage must pay 30% of the money up front. Panama has no idea what a sub prime mortgage is. Furthermore, Panama does not lend money to purchase foreign real estate instead choosing to lend in a market where the true property values are well known to them. Panama does not have a central bank and hence Panama banks do not have a lender of last resort like the Federal Reserve in the US. If a Panamanian bank was on the verge of failure no one would be there to bail them out so they are forced into conservative lending practices.
Panama Canal Expansion
Panama is currently experiencing an economic boom with an economy that is set to increase by over 9% this year vs. a 10% increase last year. This economic boom is partially fueled by the Panama Canal expansion project which is a multi billion dollar project to widen the Canal to allow larger ships passage. Upon completion, revenues for the Canal are expected to double. In addition, operation of the Canal is a highly profitable part of the Panama economy with some ships paying upwards of $500,000 for passage.
Interest Rates on Panama Bank Accounts
Interest rates for savings accounts in Panama in many cases are comparable to rates attainable onshore. There is one bank in Panama that pays almost 7% interest on large deposits. The average interest rate on savings accounts is roughly 4.5%. Interest earned on your money in a Panama bank account is tax free by Panama law. With conservative lending practices and features and services similiar to an onshore bank, offshore banking in Panama is as good as banking down the street at your local bank with the added privacy bonus.
Panama Has Strong Banking & Privacy Laws
Panama has the strongest financial privacy laws in the world. A court order indicating evidence of serious crimes from a Panama court is the only way that the account signatory on a Panama bank account can be found out by a third party. Bank accounts in Panama can be created using an anonymous corporation further protecting your privacy. Sadly, many jurisdictions have excellent privacy laws on paper but they are not enforced. This is not the case in Panama where banking secrecy laws are not only enforced but offenders face jail time for breaking these laws, a strong deterrent.
Personal vs. Corporate Offshore Bank Account
The requirements to get a personal bank account in Panama are much less strict than to get a corporate bank account and often does not even require the applicant to visit Panama to open the account. But are personal bank accounts suitable as asset protection vehicles? The answer is no since any wires coming in or out of a personal account will have your name on the wire which completely destroys your privacy, the reason for moving money offshore.
Stability of Panama Banks
Panama banks have a reputation for conservative lending practices. For example, foreigners who would like to get a mortgage must pay 30% of the money up front. Panama has no idea what a sub prime mortgage is. Furthermore, Panama does not lend money to purchase foreign real estate instead choosing to lend in a market where the true property values are well known to them. Panama does not have a central bank and hence Panama banks do not have a lender of last resort like the Federal Reserve in the US. If a Panamanian bank was on the verge of failure no one would be there to bail them out so they are forced into conservative lending practices.
Panama Canal Expansion
Panama is currently experiencing an economic boom with an economy that is set to increase by over 9% this year vs. a 10% increase last year. This economic boom is partially fueled by the Panama Canal expansion project which is a multi billion dollar project to widen the Canal to allow larger ships passage. Upon completion, revenues for the Canal are expected to double. In addition, operation of the Canal is a highly profitable part of the Panama economy with some ships paying upwards of $500,000 for passage.
Interest Rates on Panama Bank Accounts
Interest rates for savings accounts in Panama in many cases are comparable to rates attainable onshore. There is one bank in Panama that pays almost 7% interest on large deposits. The average interest rate on savings accounts is roughly 4.5%. Interest earned on your money in a Panama bank account is tax free by Panama law. With conservative lending practices and features and services similiar to an onshore bank, offshore banking in Panama is as good as banking down the street at your local bank with the added privacy bonus.
About the Author:
To find out more about Panama offshore banking or to find out more about our offshore banking services please visit our website.
posted by Credit Counseling at
12:25 PM
0 Comments:
Post a Comment
Subscribe to Post Comments [Atom]
<< Home