A good question Nowadays, the warnings of “close friends” about the placement of their money outside the country are often heard.

Affirmations such as that in the bank in your country of origin you can be calm because your money is insured by the government and there is no such guarantee with offshore banking.

Let’s see

If you live for example in the US, you could be insured by the government. But if you live in a third world country, politically and economically unstable, will it have compensation for expropriation?

You could be putting yourself at risk even more by leaving all your money at home instead of going abroad.

And what does it mean to be insured by the government? Whatever happens, a natural disaster or an accounting scandal or a bankrupt bank, will the government have the will to pay its losses in full?

Choose your offshore bank properly

Make sure it is safe enough for your particular needs. 

If you have a significant amount to be deposited for a prolonged period, it is better that you go to one of the Swiss or Austrian world-class banks.

If you are looking for an option to make profitable daily business operations, your needs are mainly focused on bank charges and the speed of money and not on the deep security of your funds in that country.

Normally, you will not have any substantial amount in the left column of your account, for more than a couple of days.

There are a lot of options for these cases, for example, in the Baltic countries, known as one of the banking centers of the world. And so on, so far.

In general terms

It is a question of common sense. You are at risk only when you do not know what and how you do it, no matter what you are doing, shopping at the supermarket next door or in offshore banking.

Do not enter unknown waters. Take reasonable precautionary measures and have a safe and reliable bank with your offshore bank.

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