HISTORY OF OFFSHORE BANK ACCOUNTS
14 August, 2019
It is an unfortunate fact that Europeans have always been subjected to relatively heavy tax burdens. This was as true on the British Isles as it was on the continent. Europeans were faced with the prospect of watching their hard earned assets and wealth diminish. Every grasp of the tax collector’s hand plundered their wealth. Therefore, the continent was ripe for a solution.
Then a solution came. The small, island nation state known as the Channel Islands came up with an idea. They convinced these frustrated depositors that deposits placed in its banks could be free from scrutiny; hence, the heavy-handed taxation burden. These benefits convinced many wealthy Europeans. Soon this service thrived. Other small jurisdictions took note. They, too, became savvy to the foreign capital-attracting magnet and they began to revamp their banking institutions. A handful of countries adopted sound, pragmatic banking rules and regulations. Thus, they eased the potential concerns of investors and depositors. The Offshore bank was off to a running start!
And soon the term “Offshore banking” became synonymous with any smaller, haven jurisdictions. They offered safe, secure, confidential banking with practical regulations. Soon the rest of the world was “in the know.” They began to look at these havens as viable solutions to their needs. Americans, Africans, Asians, etc., found these Offshore bank accounts quite useful for a myriad of reasons. Unlike their banks at home, these Offshore banks were not regularly subjected to political turmoil or economic strife. Most educated business people knew them the for their political and financial stability and asset protection benefits.