Finance Articles

All You Need to Know About Swiss Banking

There is a common misconception that people who cannot store their unaccounted wealth in their own country open accounts in Swiss banks. Even though this may be true to an extent, Swiss banks are well known for their sophisticated and discreet banking services.

Many of the rich and famous like film stars, business entrepreneurs, top government officials, presidents, etc, are reputed to have Swiss bank accounts. Then again, it is also said one need not be a multi-millionaire to open a Swiss bank account.

Brief Background of the Swiss Banking System

One of the most prosperous and economically advanced nations, Switzerland has the world?s largest gross domestic product (GDP). There are nearly 400 banks in Switzerland, which range from the ?Two Big Banks?, to smaller banks, serving single communities or selective clients. Considered as the world?s largest offshore financial center, the Swiss banking sector is renowned for its privacy, stability and protection of their customer?s information and assets. The Federal Banking Commission (FBC) regulates these banks.

Opening a Swiss Account

Often freely available, a Swiss bank account provides total confidentiality, strict privacy, and is tax-free. However, certain documents are required as proof to open a Swiss account. For example, people who are not residents of Switzerland need to furnish their passports, along with a passport size photograph. Depending on the profession, a current bank statement would be required to determine the client?s current financial condition. Along with this, certain personal information, like the date of birth, country of origin, etc., is also required.

A useful feature of Swiss banking is that it can also be done via correspondence as long as the customers follow bank rules and regulations. The bank and customer could interact through the Internet, telephone or snail mail.

However, a drawback of Swiss banking is that non-residents are expected to pay a hefty amount as deposit, and, the smaller accounts are more expensive to maintain. There is a clause especially for US citizens wherein they are expected to refrain from making any business transaction through their Swiss accounts, to keep their account privacy intact.

Deposit

A security deposit is needed in case the customer wants to obtain a credit card. Approximately 1.5 to 2 times the monthly credit limit is demanded, depending on the bank the customer chooses. This deposit is returned when the customer decides to discontinue the credit card, and has paid all outstanding bills.

Confidentiality

There are legends about mysterious numbered accounts in Swiss banks. Some high security bank accounts are given pseudonyms or special names instead of issuing them in the name of the customer, to preserve the anonymity of the customer. This number or name is used wherever the customer is referred. Moreover, even bank employees are expected to respect the customer?s privacy, the failure of which could land them in prison for several months.

However, Swiss banks, being very particular about preventing money laundering, crosscheck the authenticity of the information provided by the customer. If, during the scrutiny, the bank finds the information of a potential or existing customer connected to some criminal activity, a Swiss judge or prosecutor issues a lifting order. These investigations could include international criminal investigation for tax fraud, insider trading, or the infamous terrorist financing of recent times.

Closing of an Account

Despite a few negative notions about Swiss banking, closing an account is said to be easier than expected. No financial penalty is demanded, and neither is the money held hostage, like it is done in other off shore banking.

To conclude, the secrecy and discreet nature of Swiss banking makes them convenient and dependable. This not only helps customers to save money, but also is a viable means of attaining economic superiority in the business world and society as a whole.

Joe Kenny writes for the Credit Card Guide, offering the latest UK credit cards, visit today for introductory 0% balance transfers and start clearing credit card debt today. Visit today: http://www.cardguide.co.uk/

Other Article Sites

findabook.com  moneycd.info  a-mortgage.info   about-lemon-laws.info  aboutstudentloans.info
all-about-publishing.info  auctions-articles.info  bestcollege-university.com  bestispconnection.com
biblefolder.com  blogger-website.com  books-used.info  brokers-guide.info  buywindows.info  cable-dsl.info
career-miner.com  carpel-tunnel.info  cashinaflash.info  cashloanreviews.info  casinobell.com  chat-house.info
clearmycredit.info  collegeloantips.info  crones.info  depression-articles.info   dirnic.net  dishguides.info
divers-below.com  expodog.info   financewizz.com  fire-insurance.info  getgood.info  handleit.net   it-idea.info
health-supplies.info  hosting-right.com  insidealert.com  insurance-facts.info  jobs-employment.info
justgood.info  lookgold.net   lowcost-travel.info  money-source.info  myhostzone.info  numisblog.com
peoplesearchfinder.info  pr-articles.info  realeas.com   refinancing-guides.info  spyware-remove.info
telelot.info  the-law.info   toppaid.info  travel-deals.info  travelcorrect.com  wedding-guide-site.com
your-blog.info  your-credit.info

VA Mortgage Center.com Releases Educational VA Loan Video
VA Mortgage Center.com has released a new video aimed at educating Veterans and the community about VA Home Loan benefits. The four-minute video details the many unique aspects of VA Home Loans. The benefits discussed include the no down payment requirement, no private mortgage insurance, and the less stringent credit requirements for qualifying for a VA Loan.

Bigmouthmedia Recruits Head of Finance Vertical From Tesco Personal Finance
Following a surge in sales and client wins, leading Search Engine Marketing (SEM) agency, bigmouthmedia has appointed Chris Cathcart as Senior Strategist - Finance.

Nomis Solutions Sponsors Keynote Speaker for AFSA's Vehicle Finance Conference
Nomis Offers Free Profit Opportunity Assessment to Evaluate Current Pricing Practices and Measure the Impact of Profit-Based Pricing on 2007 Performance

Do You Need Accounting Software for Your Small Business?
If you're anything like me then you dislike with a vengeance doing your accounts and taxes.So how can you make this process easier, less painful and cut your accountancy fees?Well buying an accounting software package is one way.

Second Mortgage Loans
A second mortgage is a loan that is secured by the equity in your home. When you obtain a second mortgage loan the lender will place a lien on your house.

Choosing A Mortgage ? It?s Not All Fixed
If you are a homeowner looking to limit the effects of rising mortgage rates you should make sure you consider discount-rates as well as fixed-rates. Whilst fixed-rate mortgages give people certainty of payment, they may not have the cheapest cost over the life of the mortgage. Particular care should be taken when there is a prospect that interest rates may start to come down- in these circumstances taking out a three or five year fixed rate mortgage may be throwing money away.

Getting The Best Second Property Mortgage Deals
It doesn?t matter whether you are buying a second property with the intentions of just having it as a holiday home, or if you are going into it with the intention of turning it in to a holiday buy to let business, when it comes to getting the best second property mortgage deals you are going to have to go about it the right way.

Elizabeth Rose Earns Certified Mortgage Planning Specialist (CMPS) Designation.
Certified Mortgage Planning Specialist helps clients focus on utilizing tax strategies, retirement planning and equity management to create a well planned debt strategy with the mortgage as the centerpiece.

Business Angels Investment
Sometimes new businesses can find wealthy benefactors who are willing to invest their capital in the business in return for compensation. These individuals are called ?business angels.? This name comes from the fact that they step in to an investment situation when no one else will. Often small businesses have difficulty acquiring money for their starting costs. Large investment corporations and traditional lenders are often unwilling to take on the risk associated with beginning a small business. Business angels provide for this need. To the new business owner, they truly are angels, because they save the day in a desperate investment situation.

Bad Credit Car Finance Can Be Found Cheaper Online
Those individuals who have less than a perfect credit rating will struggle to find a loan when it comes to buying a car. Even if they do succeed, they usually get stung with high rates of interest for having bad credit. However, there is hope by way of turning to bad credit car finance as a way of purchasing a new or second hand car.

Inexpensively Protect Your Automotive Investment with a Car Cover
You've just purchased your dream car. After many months (or even years) of saving, you are now driving home from the car dealership and you suddenly realize, "How am I going to protect my new investment".

Selective property investment could find value in Spain
Spanish property investment could still offer good value for money if purchasers know where to look, it has been suggested.

Get the Best Rate on Your Home Mortgage Loan
Home mortgage interest rates hit record lows in 2004 and have remained at record lows as we go through 2005. It is possible today to get a thirty-year fixed rate home mortgage loan for under five percent, and an adjustable rate mortgage can be found for under four percent if you look hard enough!However, record low mortgage rates do not mean that you should take the first mortgage offer made to you, even if it sounds low.

Nationwide QuickBooks Accounting Software Services Announced by Exact Accounting Services, Inc.
Business owners struggling with their accounting software can now get live QuickBooks help through the Internet via remote access screen sharing.