Whether fuel, or repairs, or international docking, the bills add up fast for modern sailors. In this blog we will discuss how having an international bank account can ease the worries of a yacht owner on the financial side.
Let us explain what an international account is, how you can open one and why Jetonbank is arguably the best bank for tech-savvy sailors.
What is an International Bank Account, and How Does It Help Yacht Owners?
An international bank account, or offshore bank account, is a bank account that you open and maintain in a country other than your country of residence.
Opening an account with a bank in a different country means account holders have access to banking services all over the world.
An international bank account offers a few key benefits for yacht owners:
- Comfort for global business: Having a yacht means owners regularly relocate across countries and continents. A bank account abroad makes it convenient to move funds across the country for fuel, docking charges, and repairs while on the move. This frees up yacht owners from the need for multiple domestic bank accounts and currency conversion costs.
- Online/mobile banking all over the world: Most foreign banks offer robust online/mobile banking services. This allows yacht owners to monitor their accounts any time of the day and anywhere they have access to an internet connection. Services such as bill payment, bank transfers, currency exchange are all easily available on the go.
- Privacy and secrecy: Many yachtsmen would appreciate the extra secrecy of an offshore bank. Private banking transactions are protected under more stringent bank secrecy laws than with home accounts. This is enticing for high net-worth individuals.
- Tax planning: Depending on where you live and what your citizenship is, tax planning can be achieved by setting up an international bank account. In certain countries, the profits made on yacht charters or sales performed on an offshore account may be taxed at zero or lower rates. Tax professionals should be asked to help owners make a decision based on their own circumstances.
- International yacht purchases/sales: An international bank account makes it easier to wire funds for large yacht acquisitions or cross-border sale proceeds. It also facilitates the financial legitimacy required for these trades.
An overseas bank account makes managing cash easier for boat owners operating around the world. It’s easy, private, even tax-deductible — very nice perks for yachters.
How Do I Open an International Bank Account for Buying Yacht?
The steps to opening an international bank account to pay for yacht-related items such as purchases are as follows:
- Check offshore banks: Do your research for companies such as Jetonbank which is licensed to provide offshore banking services to yachting clients. Take into account things such as the website, supported currencies, fees.
- Gather documents: Most banks require such things as ID/passport, proof of address, and wealth source. Others might require additional yacht ownership documents for marine clients.
- Fill out the application: Submit the required information through the new client onboarding process, available on the bank’s website. These might include values such as account expected activity, initial deposit amount.
- Application/documents & submission: Email, fax or mail the completed forms and notarized copies of supporting documents to the bank.
- Verification: Identity, address, and source of wealth checks will be conducted by the bank in 1-4 weeks (depending on the situation).
- Account opening approval: Once the transaction is cleared, the bank provides account opening approval and details. One initial deposit is enough to open the new international bank account.
- Activate account: Account is now available for yacht financial operations around the world through the bank's website and mobile app.
It takes some paperwork to open an international bank account but yacht money transfers can be made virtually anywhere. Jetonbank automates the process for marine customers.
How Do I Open an International Bank Account for Yacht Financing?
For yacht owners who want to buy by bank loan, an international bank account is essential for the easy payment of the loan.
Here are the key steps:
- Pre-approval: Reach out to preferred lenders and make pre-approval requests for a yacht amount through your new or existing international bank.
- Loan conditions: Directly ask the lender about terms such as interest, term of repayment. A global bank account makes you creditworthy.
- Documents for loan: Enclose loan documents and loans online after checking your offshore bank account with the lender.
- Yacht purchase: Upon approval of the loan, move the loan amount from your local bank account to the yacht seller account for purchase.
- Payment: Your foreign bank pays pre-arranged monthly loan payments via monthly direct debit over the course of the term.
- Early settlement: You can also settle the loan at any point in time by sending a wire transfer from the offshore account to pay off the loan early.
Loans from international banks are easier than domestic accounts because you’re working with a foreign bank.
It makes it easier to make international fund transfers important for yacht financing. Banks such as Jetonbank also provide banking service to marine clients.
How to Sell Yachts with an Offshore Bank Account?
Luxury yachts are sold with the help of foreign buyers. Money is collected automatically from these transactions by an offshore bank account.
Here are the key steps:
- Advertise yacht internationally: List yacht worldwide on world boating sites and brokers to increase your buyers base.
- Screen buyers: Take the time to review buyer finances by requesting bank references ahead of time. An offshore account shows credibility.
- Negotiate sale price: Talk directly with foreign buyers about sale price and down payment.
- Create purchase contract: Create contracts with payment deadlines and details for offshore accounts to ensure legal protection.
- Deposit: Receive an advance percentage of the purchase price (10-30% typically) through wire transfer to your account offshore.
- Transfer ownership of yacht: When the full amount has been deposited in the offshore account, transfer title and keys of yacht to the new owners.
- Exchange pleasantries: Close out sale conversations on a high note to build relationships within the industry.
International yacht sale money collection becomes easy if you partner with an offshore bank such as Jetonbank, that offers strong security and international reach. Buyers and sellers alike benefit from the transparency.
Which Digital Bank is the Best to Open an International Bank Account for Buying Yacht?
While you’re considering which online bank you should open an international account with, Jetonbank is a yacht owner’s favorite.
Below are some of the reasons why:
- Made for yachting customers: Being an offshore bank specializing in private banking, Jetonbank knows the exact financial requirements of yachters.
- Online banking: Our internet banking platform facilitates the management of funds on desktop and mobile across the globe with bank-grade security.
- Multi-currency accounts: Accounts are held in USD, EUR and other major currencies for easy exchange. Low exchange fees on transfers.
- Quick account opening: The fully digital process takes 2-4 weeks, faster than traditional offshore banks thanks to streamlined verification online.
- Low minimum deposit: The minimum initial deposit is $5,000, compared to $50,000+ at some competitors, so better for owners.
- Expert marine services: Services such as pre-approval letters facilitate yacht loans and buying internationally with one bank account.
- Security and anonymity: As a reputable offshore bank, Jetonbank assures the highest levels of anonymity for high net worth customers.
For all these benefits, Jetonbank is the ideal international banking account to run yacht ownership finances, from buying to selling, and beyond.
Managing funds to buy a yacht is quite tricky when it comes to international transactions. The international bank account centralizes your money operations and brings countless advantages and conveniences over your home-based accounts.
For yachters and buyers/sellers, Jetonbank provides the marine sector with cutting edge digital offshore banking services. It consolidates yacht money transactions into one single global account. If you are ready to simplify yacht finances anywhere in the world, open an international bank account at Jetonbank today.
