Andorra As an Option For Private Bank Accounts

For those who do not know, is a small tax haven principality of Andorra in the Pyrenees between France and Spain. Andorra Since no income tax or corporation tax, it has developed something of a financial services business back over half a century. The private banking divisions of Andorran banks tend to operate very much along the lines of Switzerland, Austria and Liechtenstein banks.

Since Andorra banks offered similar benefits to those countries, but Andorraless known (and therefore have flourished under less pressure) Andorra banks. It is important to note that foreign banks have traditionally been strongly discouraged from opening in Andorra by the Andorran government. Andorran banks have a local capital, have strong balance sheets and are very conservative. They are not exposed to risky business practices.

In particular, Andorra was little known in the U.S., and had only a few American customers, so long after Switzerland andAustria began refusing business from U.S. citizens, Andorra banks were happy lot with the Americans, care, rather than reject the work of the French and Spanish citizens.

Andorra is still an excellent place for private banking. For a small country, you'd be surprised at the level of know-how. We have worked with several banks in Andorra over the years and have been impressed with all of them.

From 2009, however, led the scurrilous attack on tax havens of Obama,Gordon Brown and French President Nicolas Sarkozy have had something of a negative impact on Andorra. Sarkozy, a shameless promotion seekers, has been particularly vociferous in his criticism of Andorra, probably because of his political connections there - in his capacity as President of French Republic, he also happens to be Co-Prince of Andorra.

After the time of writing, Sarkozy has launched an internal commotion among political parties in Andorra, some of them for moreCapitulation to OECD demands, while others are fiercely independent and protective of tax status of Andorra. This is not decided yet and we have to see what happens. The foreign with established accounts in Andorra are not affected and probably will not be - but it pays to be alert.

In the interest of diversification, Andorra banks, however, the expansion and diversification in the direction of North and South America. Between them they have opened subsidiaries and branchesIn Uruguay, Panama and the Bahamas. The main objective of these offices is to give the Latin American market, if you consider that Andorra mostly speak Spanish and the cultural similarities make the most attractive market. Also remember that a business in Latin America remains relatively easy for banks, while allowing the search for customers in the European Union or United States banks to suspend a lot more anger and regulatory requirements for information, etc.

The advantage for clientsis that this network of European and American offices are available in account opening for European and American account holders to support them.

All Andorran banks have a policy requiring that personal meetings before the opening of bank accounts. These meetings can either Andorra or in the remote offices to take, no matter where you want to open the account. This means, for example, that you can visit Andorra to an account in Uruguay, open, or vice versa.

The option to visit Andorrais of course convenient for Europeans - they can open an account far away from the European Union without having to travel all the way to Uruguay. Also the possibility of the visit, for example, Panama is convenient for North Americans, even if they ultimately decide to open an account at the headquarters in Andorra.

A third possibility is to organize the meeting to be held elsewhere, at a bank officer or representative. These people travel frequently and may be able to visitCity in your neighborhood. Our local "Mr. Fixer" that handles Andorra advise banks and coordinate them.

The personal encounter obligation may at first glance seem an inconvenience, but actually useful to get a feel for the services of the bank. "You do not know until you go."

In addition, opening an account is easy. At the hearing you should present your passport, a bank reference and documents proving the origin of the funds.

Of course, in the case ofCorporate accounts, you must also show the company documents. In any case, you should find out exactly what is required before the meeting can be so well prepared.

The only other important thing to note is that these private banks and their main business is investments. Andorra African banks do not want a business of the active kind, with lots of wires or checks in and out. If you opt for this type of account, our second option (see below) is betterAlternative.

All Andorran banks automatically work on a multi-currency account system, so you can keep different currencies within the same account. Since it is a full-service private banking relationship, you can also negotiate other services such as secured loans - for example, you can borrow against your portfolio in order to make further investments to increase gearing. They will also guarantee to foreign banks for the purpose of real estate loans. All banking services are possible andYou will speak directly with intelligent, skilled bankers, many languages, including English, Spanish, German, Dutch, Scandinavian languages, Russian, etc.

What is the next step? If you want to open a bank account in Andorra, it is almost essential, from someone who is already known to be introduced to the bank. This policy not only gives the banks a much higher level of comfort, but it works - that is the exact reason why one can not over Andorra banks,in scandals such as Ponzi schemes, etc. involved in real traditional private banking, this kind, it is about relationships.

Introducers can not risk its reputation with banks by making the "wrong" kind of business, whether criminals or simply people with dirty money, the bank at the time because it takes a lot of questions then progress is never waste. These banks are in the business of caring for money for rich people. You do not want people, waiting to be heardpaid a huge amount of some dubious Ponzi scheme or a non-existent Nigerian oil executive, they contacted out of the blue via e-mail. The first step in advance, otherwise it is to show that you clean about how to do, confidential business information seriously.

If this procedure strictly, you will find you end up with a very personal account in a first class western bank. If you do, you will not!

This is the information they need:

• A clear scanned copyYour passport

• A contact postal address and telephone number to be given to the Bank

• information about whether this will be opening a corporate or personal account, and the name the account is in.

• Expected opening deposit, and projected balance after the first year.

When you requested this information you will hear again, usually within one or two days sent. If your account has already been approved, you can make a phone call from a banker and expect aMeeting will be set up.