Personal Wise account closed

[OffshoreJJ]

wise started giving balance cashback. 0,99% for euro, 1,8% for uk and 2,33% for usd.
BUT they deduct immediately withholding tax to tax office.
so they know you gt money there and what's in your account...

 

[clemens]

I only received pennies so far, nothing that will buy me a car.

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One of my favorit articles in Mentor Group ~ Sending money anonymously archieve Financial Anonymity

 

[OffshoreJJ]

clemens said:
I only received pennies so far, nothing that will buy me a car.
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yes me too but at 2,33% is more then a savingsaccount but not taking risk leaving more on wise then necessary

 

[sekiexpress]

Thanks for the insights guys, pretty useful 😀

The only last doubt I have here is:

If I set up an account like Airwallex, Revolut Pro or any that allows me to receive income and then if I transfer that to my personal account and the bank asks me for information, would it still be “income business” or what type of income is that?

I am still basically receiving money I made from business activities to a personal account that I want to use for spending and personal use.

If the bank asked me for the origin of funds, what should I say?

Sorry if that question looks silly, but still doubting, and this is all kind of weird.

It should be easier to use the money you make legally and in a legitimate way, but seems a bit tricky and some banks make you feel like a criminal.

Thanks again 😀

 

[backpacker]

Jade33 said:
wise started giving balance cashback. 0,99% for euro, 1,8% for uk and 2,33% for usd.
BUT they deduct immediately withholding tax to tax office.
so they know you gt money there and what's in your account...
Click to expand...

This is only applicable to EEA residents.

 

[OffshorePhantom]

Jade33 said:
wise started giving balance cashback. 0,99% for euro, 1,8% for uk and 2,33% for usd.
BUT they deduct immediately withholding tax to tax office.
so they know you gt money there and what's in your account...
Click to expand...

Also, they deduct a 30% WTH regardless of your country of residence, which is incorrect. For example, most EU countries have a tax treaty with Belgium and also have WTH exemption in some cases (Belgium - Corporate - Withholding taxes) so their WTH of 30% regardless of the country of residency is not even correct.

 

[wellington]

TBF the first thing i consider when someone mentions 'affiliate marketing' = ponzi scheme they are marketing for a % commission which will drag wise into a AML nightmare (usually with SDNY).

Also just from a personal note, i think Affiliate Marketers promoting schemes (ponzi/pyramid/crypto) should die a slow death with painful cancer, seen so many people's lives destroyed by such (and others enriched by it).

 

[Forester]

sekiexpress said:
Thank you very much for your detailed information. Really appreciate it, it is very useful for us 😀
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You are welcome.

sekiexpress said:
Would you guys also consider opening a bank account in Georgia as a possibility?
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If you run some business with Georgian subjects, then yes. Otherwise no. Times of using Georgia for offshore accounts are gone.
Search here at forums for more information re: Georgia.

sekiexpress said:
If I set up an account like Airwallex, Revolut Pro or any that allows me to receive income and then if I transfer that to my personal account and the bank asks me for information, would it still be “income business” or what type of income is that?
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The information would be: This is a transfer from my business account to my personal one, to use it for my personal purposes.

sekiexpress said:
I am still basically receiving money I made from business activities to a personal account that I want to use for spending and personal use.

If the bank asked me for the origin of funds, what should I say?
Click to expand...

Whatever you say, can produce troubles 🙂 ;( /Depending on a leniency of a bank, of course./
Really, do not use a personal account for business activities...

Last edited: Feb 9, 2023
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I am just a simple countryman. Anything I say is only a personal opinion, not a certified advice 🙂

If you think it makes sense, you can like it; if opposite, please, tell me, why I am wrong...

 

[sekiexpress]

wellington said:
TBF the first thing i consider when someone mentions 'affiliate marketing' = ponzi scheme they are marketing for a % commission which will drag wise into a AML nightmare (usually with SDNY).

Also just from a personal note, i think Affiliate Marketers promoting schemes (ponzi/pyramid/crypto) should die a slow death with painful cancer, seen so many people's lives destroyed by such (and others enriched by it).
Click to expand...

You have no idea about what you say. Not everybody do bad stuff you can do affiliate marketing with Amazon and many legit stuff buddy.

Forester said:
You are welcome.

If you run some business with Georgian subjects, then yes. Otherwise no. Times of using Georgia for offshore accounts are gone.
Search here at forums for more information re: Georgia.


The information would be: This is a transfer from my business account to my personal one, to use it for my personal purposes.

Whatever you say, can produce troubles 🙂 ;( /Depending on a leniency of a bank, of course./
Really, do not use a personal account for business activities...
Click to expand...

Thanks for your advice.

I close it unless anybody want to keep debating. My account was re-opened again, but warned about not using personal accounts for that.

At least I can keep my account 😀

 

[wmaeser]

Wise are even worse than PayPal. You'll get burned eventually.

 

[Expatgenie]

kalel said:
As a 10 years affiliate who generated prolly over 30m in commissions and who pretty much worked with dozens of aff networks and programs I dunno a single one that doesn't allow a corp to be the beneficiary of aff commissions. All EMi banks are super strict regarding the source of funds, actually most banks that have clients or corps that are not in of the same country as the bank will be suspicious of incoming wires.
You mentioned an LLC for some reason so I'll tell you this - after doing BVI 10 years ago, then HK for the past 5 years or so, I now have an LLC in the US with a US bank account. Considering you don't reside in the US, have no boots on the ground in the US have no IP in the us you are considered a disregarded entity, meaning you are exempt from income tax for the LLC. Moving money to the LLC and your personal account is as easy as chugging a bag of oreos. Your tax return at the end of the year is a simple form. For a non US citizen/resident it's a great solution, actually a tax haven of sort if you meet the above mentioned terms. You as the sole owner have a W8-BEN in front of the IRS,
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But is it not that if you have sales in US to US customers then you should pay tax for that? I looked at US company and its great but did not go for one yet as lots of my sales will come from US owned affialite networks. But I hope I understand wrong🙂

 

[Au999]

Expatgenie said:
But is it not that if you have sales in US to US customers then you should pay tax for that? I looked at US company and its great but did not go for one yet as lots of my sales will come from US owned affialite networks. But I hope I understand wrong🙂
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If you're an affiliate it's not you making the sales personally, not you supplying products to customers - all you're doing is creating an introduction, or generating a lead or whatever. You're providing marketing services to a company and that company is then paying you a marketing fee, which if you're set up correctly will be disregarded for tax in US and pass through to wherever you DO pay tax.

 

[Expatgenie]

Au999 said:
If you're an affiliate it's not you making the sales personally, not you supplying products to customers - all you're doing is creating an introduction, or generating a lead or whatever. You're providing marketing services to a company and that company is then paying you a marketing fee, which if you're set up correctly will be disregarded for tax in US and pass through to wherever you DO pay tax.
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That sounds logic. Thanks a lot for the explaination

 

[mrrolex]

Wise, after 7 years of being a loyal customer they closed my account after I send a regular transfer to my bank. I started to use it as a primary bank 1 year ago and never had an issue. Suddenly with the account closed and a few thousand there I don't trust them anymore!

 

[backpacker]

mrrolex said:
Wise, after 7 years of being a loyal customer they closed my account after I send a regular transfer to my bank. I started to use it as a primary bank 1 year ago and never had an issue. Suddenly with the account closed and a few thousand there I don't trust them anymore!
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To use Wise as a primary bank account is unwise. It is actually not even a bank, just an EMI.

1. Why did they close your account?
2. In which jurisdiction are you located per Wise records? Portugal, or elsewhere??
3. Is your other bank account located in a different location (country) then where you have reside?
4. Are you doing high volume transfers to "difficult" countries?
5. Are you doing high volume transfers?
6. Did you do transfers to stock brokers or the like?

For a meaningful discussion, the above should be disclosed.

 

[mrrolex]

backpacker said:
To use Wise as a primary bank account is unwise. It is actually not even a bank, just an EMI.

1. Why did they close your account?
2. In which jurisdiction are you located per Wise records? Portugal, or elsewhere??
3. Is your other bank account located in a different location (country) then where you have reside?
4. Are you doing high volume transfers to "difficult" countries?
5. Are you doing high volume transfers?
6. Did you do transfers to stock brokers or the like?

For a meaningful discussion, the above should be disclosed.
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1. They have requested proof of income which is on their statements, forex income basically.
2. Wise Belgium. Residency in Portugal
3. I have several banks, but usually i transfer to US and Portugal
4. No.
5. No, less than 5k monthly
6. Deposit and withdraw to forex brokers

 

[troubled soul]

forex brokers is not allowed

https://wise.com/acceptable-use-policy-eea

mrrolex said:
6. Deposit and withdraw to forex brokers
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• Platforms allowing the trading and/or exchanging of FX/CFD/options.

 

[backpacker]

azb1 said:
forex brokers is not allowed

https://wise.com/acceptable-use-policy-eea

• Platforms allowing the trading and/or exchanging of FX/CFD/options.

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People never read Terms & Conditions, then wondering when suddenly the music stops.

Wise is for small transfers. No transfers of big money, no speculation, and certainly no FX/CFD brokers.

mrrolex said:
6. Deposit and withdraw to forex brokers
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So, that's the reason why they closed it.

 

[Alexmorgan]

backpacker said:
People never read Terms & Conditions, then wondering when suddenly the music stops.

Wise is for small transfers. No transfers of big money, no speculation, and certainly no FX/CFD brokers.


So, that's the reason why they closed it.
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does Duckascopy Bank and Advcash considered as broker and wise may close account if sent money to those banks?

 

[Forester]

mrrolex said:
6. Deposit and withdraw to forex brokers
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backpacker said:
People never read Terms & Conditions, then wondering when suddenly the music stops.
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Perhaps not never but frequently 😉

backpacker said:
So, that's the reason why they closed it.
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Exactly. Wise just discovered the TOS breach relatively late, as their systems are far from operating well.

Alexmorgan said:
does Duckascopy Bank and Advcash considered as broker and wise may close account if sent money to those banks?
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Putting aside the general unpredictability of Wise debated here many times:
Transfer to Dukascopy should not generate any problems. Advcash they may classify as a dubious institution and run some compliance => generate problems.

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I am just a simple countryman. Anything I say is only a personal opinion, not a certified advice 🙂

If you think it makes sense, you can like it; if opposite, please, tell me, why I am wrong...