If you fantasize about a sea voyage or spend the weekend on the water with friends and family, boating finances can become complicated when there is cross-border transportation involved.
From buying vessels abroad to paying staff in other countries, yacht ownership typically entails agreements that cross many different laws and currencies.
For the avid mariner who wants effortless international banking, an international yacht account might be a place worth checking out.
One of the world’s first digital banks serving the yachting community, Jetonbank has helped thousands of yachting fans around the world save money for their boats.
Why Should Yacht Enthusiasts Consider an International Bank Account?
Convenience is perhaps the biggest reason why yachters should invest in an international bank account. Instead of using many local accounts in different countries or areas, one offshore account lets you access money from anywhere in the world.
This makes it easier to pay bills, transfer funds, deposit funds, and withdraw funds from yachting across national boundaries.
Another benefit is that an international account offers more financial flexibility. Boatowners will be able to easily sell vessels, parts or services that are overseas and accept payment from international clients without incurring foreign exchange rates and delays on every purchase.
Keeping money in a world standard such as the US dollar or the euro also lowers foreign transaction costs compared to multiple exchanges between domestic funds.
Privacy and anonymity are also another important advantage for high-net-worth yacht owners. Offshore accounts aren’t linked to a person’s identity in public, which saves personal financial information from theft or abuse.
This anonymity makes for a smooth global exchange without having specific account balances or transactions disclosed to any third party in every country.
What Are the Key Benefits of Using an International Bank Account for Yacht Management?
Beyond the personal conveniences, a worldwide banking system brings real operational benefits to yacht control.
The most significant is the potential to integrate vessel accounting into a single account, simplifying the process of record-keeping, budgeting, and financial management.
Everything that comes into and out of the yacht, such as charters and fuel, repairs, docking and crew fees, can all go through this single account.
This one-page overview of cash flows improves budgeting and decision making. Owners are able to have direct insight into what is truly being paid for the ownership and what is being earned.
They simply monitor budgets against actual spend in order to squeeze every last dollar from charter operations, or estimate the maintenance cost of the lifeboat against depreciation.
Since transactions are carried out in the same currency, it also makes reporting for tax easier than managing accounts from various countries and tender.
A foreign bank account also facilitates international yacht business transactions and cross border joint ventures. Working capital and revenue sharing work together rather than moving funds from one domestic account to the other every time you pay for a vessel.
The account also facilitates international payroll administration for freelancers working in remote locations.
Can an International Bank Account Support Yacht Financing Across Borders?
Buying multimillion-dollar luxury ships demands financial potency – and sometimes across national borders.
An international bank, such as Jetonbank, which specialises in yacht finance might provide a better flexibility than home-based solutions.
There are even offshore banks that offer yacht mortgages backed by currencies that you don’t see on the local market, reducing the exchange rate risk over the life of the loan.
Multi-currency accounts then make principal and interest payments easy no matter where the ship sailed. This sort of dedicated foreign lending gives consumers access to low rates and terms that aren’t available locally.
International bank lending can also lead to cross-border syndication between lenders. Should a yacht eventually be sold abroad, the current loan may be taken over by someone else in another country, which can make it more appealing and convenient.
The ideal offshore advisor will be familiar with sophisticated yachts and regulations around the world to facilitate lending solutions within different legal jurisdictions.
Are There Specific International Bank Account Options for Yacht Insurance Payments?
As with financing, properly insuring a yacht means having policies that allow you to use it around the world. A global bank account that accepts premium payments worldwide makes multi-national coverage simple, regardless of where the ship goes on seasonal trips.
Some offshore platforms integrate directly with top marine insurers to automatically process payments.
In addition to paying for premiums, the account also makes it easy for insurance companies to make claims should something happen. Instead of waiting for wire transfers to each other, the money flows right into the global account for repairs no matter where the yacht might be.
This instant access to money returns ships to the ocean quicker. The account also allows for insurance policies for crew health plans and liability across flags of convenience.
If you’re with a yachting experienced offshore bank, this gives you a "one-stop" solution for all insurance requirements, worldwide underwriting assistance, and payment capabilities all within the same global banking relationship.
What Are the Steps to Open an International Bank Account as a Yacht Enthusiast?
Most people are intimidated when it comes to opening an international account. But good providers want it to be simple. For example, Jetonbank seeks to make it simple without breaking the rules.
The registration procedure then entails typical know-your-customer checks such as ID, proof of address, source of wealth information, and occasionally references.
Since the account will be dealing with large sums of money, banks are legally obliged to comply with anti-money laundering laws.
Some additional steps specific to yachting clients may include vessel documents such as registration certificates, pictures, and build plans. It helps the bank determine what actually happens to yachting operations and revenue sources, thereby capping services and account levels accordingly.
After being approved, the international bank will instruct you in opening up the desired currency and transfer funds from an origin country account.
Further services such as cash management, payments/collections, foreign exchange, and tax planning can then be set up. To keep the account up-to-date means yearly status updates on the account and the connection.
An international bank should make every effort to provide an individualized global financial solution with a fantastic client experience.
A dedicated yacht person would find the ease and flexibility of an offshore account invaluable for a life that frequently involves travelling across multiple countries, regions and oceans.
From a recreational boater to an international charter captain, Jetonbank’s banking expertise helps you keep money moving on a global scale.
Contact Jetonbank today to learn more about opening an international bank account specifically for your yachting interests and activities.
Our experienced relationship managers can assist you in exploring what would suit your unique financial needs as a yachtsman.
