Why so complicated to open offshore account?

[brutalzorn]

I have just submitted my passport, utility bill CV and business description to an agent for Standard Bank Mauritius!!

They want website, and more details business description.

I can not write all this for account opening.. what is wrong with this bank?

 

[negon]

You can't avoid to prepare the documents and submit them to the bank if that‌ is what they require to open the account.

All banks have to collect more and‍ more information about their customers because of the increasing requirements to KYC and reporting!

 

[brutalzorn]

So do you know of bank that don't need more then passport and utility bill?‌

 

[negon]

Not really, but what documents do you have troubles with to provide?

 

[brutalzorn]

I need a reference letter, advance business description and professional reference! I have no one‌ to get that from! 🙁

 

[thegazelle]

For a personal account, there are a number of banks that you can use passport,‌ utility bill, and maybe a bank statement or a bank letter. For a business account,‍ it is understandable that they want more information as presumably more money will be moving⁠ back and forth. It is not unreasonable for any bank to expect this and for⁤ those with legitimate businesses with nothing to hide, I certainly understand why they would ask⁣ for business description and references. They don't know whether or not your business is a⁢ front for illegal activities or money laundering, etc., so if I was in the bank's︀ shoes, I would ask the same questions.

 

[brutalzorn]

Thank you very much @thegazelle but what to do if my bank refuse to provide‌ such a letter? They say I need to contact a lawyer he want $300 for‍ this 🙁

 

[thegazelle]

I don't have any experience with a business account but a bank reference letter is‌ really an objective look at some numbers: 1. how long you have been a client,‍ 2. current balances, 3. whether you have had any insufficient funds, bounced cheques, etc. Not⁠ sure why a bank would not provide this. If your current bank was tied to⁤ your business, I would imagine that it would describe typical transaction movements as well, but⁣ again, there are people better suited to answer the business account questions than me.

 

[Thirsty Beaver]

You are concerned about few things, believe me I have all the documents‍ any bank in the world needs (website, recommendation, statements ... etc.), but still it is⁠ becoming an impossible task to open a business offshore account! It seems like banks are⁤ shying away from offshore businesses.

 

[brutalzorn]

yeah I know.. I can get⁤ the documents required if I want but even you have the docs. you can't get⁣ the account.. very odd situation ns2

 

[Thirsty Beaver]

Yep.......... This was not the situation few years ago. They are talking about globalization but‌ do not give a damn for startups with low budgets!! It is one way to‍ cut off newbies into business and keep businesses among biggies.

 

[brutalzorn]

You think that's the reason for why they are doing it? I was thinking about‌ it but thought it was just because they want to get rid of money laundering‍ and stuff.

 

[dirtyharry]

The problem is most often that the US has put so much pressure on banks‌ (latest swiss banks) so the other countries and banks have been following this. After FATCA‍ came into play it got even more worth.

 

[brutalzorn]

Makes sense, thanks