The western banking system is insolvent! This is not a myth, nor a headline seeking statement. It is the bitter truth. Take a closer look at most of the local banks and you will note that they have already failed the “stress test’. Besides, the FDIC’s insurance fund is far below the legally required level. The system is blinking red! From academic to practical tests, one conclusion that everybody should go for is getting an offshore account. Well, why have an offshore account?
This post takes you deeper into offshore bank accounts to underscore the numerous advantages you can derive by opening one. One thing you must get right at this point is that having an offshore account is legal, does not amount to tax evasion, and is purely on personal choice. The only thing you are required to do is disclosing the amount when it reaches a specific amount. Do not take any myths, be knowledgeable by exploring this post on why having an offshore account is the best idea?
Lower the political risk of keeping all cash in an insolvent system
When you keep money in a bank account, you are the easiest target by the government in the highly controlled banking system. Many governments in the west are sinking very fast and deeper into insolvency and have in turn passed legislations that make it very easy to take your cash away.
A couple of years ago, the Cyprus government stole people’s money to bail the banking system. On a lovely Friday evening, everybody went to sleep without a clue of what was coming. The government took all the people’s deposits and used it to bail out the banking system. People were shocked to find all accounts frozen on Saturday morning.
You think Cyprus is too far away and a similar situation is not possible back at home? Think again. In fact, your government might already be doing it. In Spain, the bank deposits are taxed while Argentina, Poland and Portugal have nationalized the retirement savings.
Other destructive controls that make saving in the western banking system include capital controls and frenzy of freezing your bank accounts at the slightest provocation especially lawsuits. Many people who keep asking why have an offshore account have reconsidered their position after reviewing governments’ insolvency and inherent risks.
Better protection of your assets
In most western countries, there are more than 12 million lawsuits filed annually as Legal Resource Networks reports. Because of this you are at a great risk of being dragged into the court whether in labor battles, insurance related issues, mortgage problems or any other issue.
One in every 12 adults are involved in lawsuits annually, the lawyers are competing to get your money. Besides, the governments are waiting for such opportunities to freeze your assets with just a click of a mouse. By placing some cash in an offshore bank account, you become less attractive to lawyers and the government cannot freeze your assets because it lacks jurisdiction in foreign countries.
An offshore account gives you all the peace of mind you want
With an offshore account you are sure of getting all the peace of mind that you want. The account is your insurance policy because most foreign banks are well capitalized and can give you all the cash you want anytime. This makes it easy to access cash for emergency whether back at home or abroad.
Besides, they are not under intense control of their governments and, therefore, your deposits will be safer, and less attractive to legal predators. From this post, you can now appreciate why having an offshore account is so critical.