Internet has added many new dimensions to business. Many elements are digitized and in the cloud. Financial services have also gone online. App users are motivated to trade and shop in the electronic marketplace by their e-wallets. They prefer to open foreign bank accounts and payment system accounts remotely and access them from anywhere in the world at any time. The question is: should you choose a bank or a payment system?
Your ultimate decision on where to open accounts should depend on your answer why you need an account abroad. Fees charged by payment systems are cheaper than those of the banks. On the other side, you cannot get a loan or place a deposit in a payment system. Besides, the complexity of opening an account either with banks or payment systems is country-specific. God is in the details. Therefore, wherever you intend to open an account, you should ‘zoom in’ on the current situation and study many nuances. Our professional experts specialize in opening accounts across the world. All the details, trends, and updates are on their radars. Let their invaluable advice be your compass pointing in the direction of the right jurisdiction, bank, payment system, and account.
Foreign bank accounts opening: the main specifics
All financial institutions operate under a license. If they violate the CDD/KYC rules, the license may be revoked, and they may face criminal penalties.
However, banks and payment systems have different approaches to screening non-resident clients before opening accounts.
Banks always need to be sure that the beneficial owner deposits and deals with honestly earned money, not money laundering. Many banks require a face-to-face meeting with the customer and refuse to open an account otherwise. The pandemic has prompted changes to these rules, so remote account opening is possible at many banks as long as certain conditions are met.
Payment systems do not require an in-person meeting with the applicant. All documents can be submitted over the internet (scanned copies are sufficient), but some require that certified copies of the originals be sent by mail. The opening and use of payment system accounts is subject to specific requirements and rules set by every system individually.
To open a foreign bank account, non-residents will need to submit the following documents:
private persons – the passport, the proof of address, a bank statement and a bank reference, a CV; nationals of some jurisdictions may be requested to specify the source of income, a list of planned transactions, the expected turnover of funds, the reasons for opening the account, contacts details
legal entities – copies of personal documents of top executives, beneficial owners, authorized signatories, and a set of corporate documents. The bank will thoroughly scrutinize the account manager’s papers, the residence address, as well as the origin of the funds. Besides, the contracts with suppliers/buyers and the bank statement need to be submitted.
Many foreign banks prefer not to work with cash.
The safety of accounts and funds depends on specific guarantees and provisions stipulated in the country where the bank is registered.
To get an account at a particular bank, you need to know what documents to submit and in what format. It is difficult to work this out on your own without a specialist.
There are countries where banks specialize in opening accounts for non-residents. They open accounts after the online interview/identification, offer online banking, provide support in different languages, cooperate with offshore companies. Some banks even open accounts for companies that work in high-risk niches (gambling, fintech, cryptocurrency, etc.).
Among the countries that open offshore bank accounts for non-residents are Mauritius, Saint Lucia, Seychelles, Nevis, the Cook Islands, Belize, Dominica. You are welcome to look up our articles about these and other opportunities.
Our recommendations are: contact professional experts who know the intricacies of opening offshore and foreign bank accounts in different jurisdictions.
Free selection
of personal bank accounts abroad for
persons depositing €5000+. Expert services
based on 7+ years of experience in banking.
of personal bank accounts abroad for persons depositing €5000+. Expert services based on 7+ years of experience in banking.
Payment system accounts as an alternative to foreign bank accounts
Payment system accounts allow you to safely transfer non-cash payments around the world on the internet: pay salaries to employees, pay for services and goods, equipment, materials, components, and accept payments from customers.
Both private persons and legal entities can open payment system accounts. There are 4 steps:
- submit the application form
- submit a package of scanned documents (for companies – the Articles of Association and the Registration documents, for individuals – the passport, Taxpayer Identification Number (TIN))
- fill out the KYC questionnaire about the company’s business
- wait for the verification (identification).
Please note: companies that have just been registered and are not engaged in any business activities can open payment system accounts.
The advantages of payment system accounts include:
- simplified verification/identification
- focus on advanced methods of payments and confirmation of financial settlements
- smaller fees than those charged by foreign banks
- user-friendly mobile applications.
Please note: when you open payment system accounts, be sure you have studied essential nuances. We recommend payment systems in the USA, the Netherlands, Hong Kong, Finland, Lithuania, the UK, and some other countries.
Payment system accounts can be a very good alternative to foreign bank accounts. They are suitable for private persons, freelancers, companies. We recommend them particularly to clients engaged in e-commerce, IT, outsourcing of services across the world.
Any customer wants to open a bank or payment system account with a reliable, prestigious financial institution. Most clients prefer to do it remotely. We’ve been offering services in opening bank accounts and payment system accounts for over 10 years. Our experts can choose for you offshore and foreign bank accounts in the right jurisdiction or international payment system accounts, depending on your activities, needs, and expectations.
We can also help you register any business in the country where the conditions are most favorable for your plans.
If you have any questions, please contact our free online consultant, or book a free private session by writing to e-mail: info@offshore-pro.info or any messenger given at the top of this page.
What are the timelines for opening foreign bank accounts?
The terms of opening foreign bank accounts are country-specific and depend on the correctness of the submitted package of documents. It usually takes from 7 to 10 working days to open an account.
What documents do I have to provide to open my company’s PayPal account?
The company needs to submit copies of the registration certificates, documents of top executives (in some cases also of beneficial owners), a completed form, and a contact phone number.
What types of foreign bank accounts are available to non-residents?
Non-residents can open deposit accounts, investment accounts, personal accounts. Please look up articles on our portal for details of opening foreign bank accounts and payment system accounts in different jurisdictions.
