Many people that are exploring the world of offshore banks may be interested in doing business with a Panama bank. There are some misconceptions about banking in Panama, so it is important for potential investors to know that banks in Panama have worked hard to clean up their image as a non cooperative tax haven.

The anti-money laundering laws in Panama have been tightened in recent years. The banking system that the new laws and regulations created is one of the most private and competitive of all offshore banks, but the international offshore banking community continues to monitor the banking industry in Panama, so investors know that all rules and laws are followed.

One of the biggest benefits to doing business with a Panama bank is the assurance that your money and your privacy are protected.

At one time, Panama was the home of over 150 offshore banking companies. Since the reforms that were instituted in the mid 1990s, that number dropped to just 80 banks. The banks that survived the reforms have a high level of legal compliance.

They work with the international banking community to report banking activity that may be part of a criminal enterprise, but they still maintain strict confidentiality of all legal account holders. Placing your money in a Panama bank is a legal and safe alternative to domestic banks.

Placing your money in a Panama bank will give you definite tax advantages. While you have to pay taxes in your home country on money before it is deposited in your bank account, it is allowed to grow tax free. All interest in placed back in your Panama bank account is not subject to being taxed. You do not have to live or conduct business in Panama to benefit from the tax advantages and privacy protection that a Panama bank can offer.

No matter what type of offshore bank account you need, there is a Panama bank that can accommodate you. You can open business and personal accounts in addition to setting up special merchant accounts. Even if your money is in a Panama bank, you will still have access to you account using a secure Internet connection.

You can use the Internet to transfer money between accounts and to perform other banking transactions. For even easier account access, many Panama banks offer ATM an debit cards in addition to international checking accounts.

Opening a bank account in Panama requires a minimum deposit that varies according to the bank rules. Some banks also have minimum balance requirements in addition to the minimum deposit rules. If the balance drops below the minimum, some banks will charge hefty fees.

There are many options to choose from if you decide to open an account with a Panama bank. Your choices include incorporating as an IBC or offshore company or opening a personal account. Most banks require that you prove your identity. This proof can be a notarized copy of you passport. You may also need letters of reference from your current financial institution.

Deciding what to do with your money can be a difficult task. You want to make sure you money is safe. You also want to reduce your tax burden, limit financial liability and product your privacy when conducting your financial business. If all of these match your financial priorities, you may be well serve by placing your money in the Panama banking system.

One of the biggest benefits for account holders in the Panama banking system is a reduced tax burden. While you still must pay United States taxes before you transfer money to your bank account, once the money is in the Panama banking system, any interest your money earns is not subject to local taxes. This can offer you significant savings.

If you are in need of estate planning services, many banks in Panama will help you in that area. You may also be eligible for a higher interest rate on your money. Asset protection from future liability is also a major benefit of Panama banking.

Panama banking can also offer you the ultimate in financial privacy. Complete anonymity is possible by taking advantage of Panama banking accounts like IBC accounts and Panama corporations. All of your transactions will be secure and Panama banking officials will never disclose your identity. You can conduct all of your banking business with full confidence that your privacy will be protected.

You don’t have to live in Panama to take advantage of Panama banking. Many Panama banks offer telephone, Internet, fax and email access to your Panama bank account. It is easy to deposit money into your account and to transfer money between accounts. ATM and debit cards are available for most accounts, making it easy to access your accounts from anywhere in the world. Unlike United States banks, most Panama banks don’t have a daily transaction limit,so you have complete access to your money, not matter how much you need to withdraw.

Opening an account in the Panama banking system is easier than you might think. You never have to travel to Panama, although you may wish to. All you need to supply is a notarized copy of your passport. You may also need to supply letters of reference from any current banks where you have accounts. Business partners may also need supply reference letters for you. Once all of your documentation is received, your account will be opened.

The Panama banking system uses the U.S. dollar as the official unit of currency, but other major currencies are accepted, including the Euro and the Canadian dollar. Cash can be deposited into your bank account by transferring funds from one account to another or by wiring money. You can also send a certified bank check to add funds to your Panama bank account.

There are many benefits to having an account with a Panama bank. You are the only one who can decide if the benefits of a reduced tax burden, confidentiality and easy access to your accounts are right for you.