An offshore bank account with a credit card is a very powerful tool.
In fact, just having a bank account and credit card in the right country can be wildly lucrative.
For others, the offshore bank account and credit card combo is about raw utility. Allowing them to run their businesses, make money, protect privacy, or as a backup banking option.
Whatever the case, demand is surging… and for good reason.
Unfortunately, the process for opening offshore bank accounts is often opaque, costly, and masked in misinformation. And the process of obtaining credit cards is no better.
So it’s not surprising that many people don’t know how to get started, or have never heard of this opportunity before.
So, we decided to help…
In this article, we’re going to reveal why the ‘offshore bank account with credit card’ strategy is so powerful, where the most lucrative opportunities exist, and how you can start taking advantage of it today
Let’s dive in…
Have you ever searched Google for anything about “credit cards” in English?
You’re instantly bombarded with US credit card promotions for… Americans, US residents, or those with “traditional” living and business situations.
If you’re like the typical GlobalBanks Insider, this “mainstream” information is totally useless to you.
Most Insiders are more international. And you probably are too, right?
They do business in multiple countries, bank on 2 or 3 different continents, understand the importance of establishing tax residency, and have zero desire to expose themselves to unnecessary liabilities.
So the one-dimensional “how to” articles written for mainstream credit card customers who’ve never left their home countries aren’t going to help.
Offshore credit cards are simply credit cards issued by a bank located outside of your home country.
For example, let’s say you’re a Canadian citizen with residency in the Bahamas and you have a US bank account and a US credit card. Guess what? You have an offshore bank account with a credit card from the US.
Or, maybe you’re a Brit with a bank account and credit card in Switzerland? Congrats, you have an offshore credit card.
Well, those exist, and if that’s the kind of credit card you’re after… you can get one.
But for most people, specifically non-US citizens, US credit cards are the most lucrative and sought after options. We’ll show you why (and how to get them below).
In the meantime, here’s how offshore credit cards work…
Offshore bank or card issuer signs an agreement with a credit card network (e.g. Visa, Mastercard, etc), and agree to the network’s rules. Then, they start issuing credit cards to individuals, businesses, and various entities.
Visa and Mastercard provide the payment system for clearing and settlement. And, they dictate and enforce the rules.
What if a bank gives credit cards to criminals and risky businesses that Visa/Mastercard doesn’t like?
Simple, the issuer is booted from the card network, can’t process payments, or issue cards anymore. It’s card program collapses. And, all the credit cards issued to their customers no longer work.
This happened to a bank in St. Vincent and the Grenadines, which you can read more about here.
So, choose your bank wisely. And, if you’re highly dependent on your credit or debit card– avoid banks with shady card programs, brand new card programs, or those that are known for making dumb compliance mistakes.
Offshore credit cards used to only be offered by traditional banks. But, things have changed. Now fintechs, EMIs, and payment systems can issue offshore credit cards too.
Now, there are thousands of offshore banks and credit cards to choose from.
We mentioned above that having an offshore bank account simply means having a bank account outside of your home country.
And, there are countless reasons why you might want a bank account with a credit card attached to it.
But, let’s get real…
What makes credit cards so ridiculously desirable?
In a word? America.
US credit cards are the pinnacle of credit card greatness and huge rewards.
And, foreigners, non-residents, businesses (and even people in the unlucky passport club!) can acquire US credit cards– if they have the right information, banks, and credit card strategies going in.
But, here’s why that matters…
The US credit system offers the most attractive and generous credit cards in the world. Literally, no other country in the world even comes close.
Sign up bonuses and perks offered on US credit cards are 3x to 10x higher than those offered in Canada, the UK, Australia, and other countries.
For example, in the US, it’s not uncommon for new customers to be rewarded with $500 to $2,000 in sign up bonuses after signing up for a single credit card.
To illustrate the value, someone on an entry-level salary and a decent credit score in the US can easily earn over 300,000 points per year through a few well-timed sign-up bonuses and strategic spending habits.
To be clear, 300,000 is equivalent to about six international roundtrip flights per year.
If you follow the strategies in our US credit card report, you can earn thousands in free travel rewards and bonuses to reap those benefits every single year.
But here’s the big secret…
Foreigners, non-residents, and expats can reap all the benefits of the US credit card system– free flights, travel rewards, cash bonuses– without an SSN and without incurring any of the US tax liabilities.
We share exactly how you can do this for yourself in our new report “US Credit Cards for Foreigners, Non-Residents, & Businesses”.
It’s all about US credit cards, building US credit history, and the best ways to benefit from sign up bonuses and travel rewards programs for foreigners, non-residents, and their businesses.
To find out how you can access our “US Credit Cards for Foreigners & Non-Residents” report and start accessing US bank accounts with credit cards, just click here.
Why do people want to open an offshore bank account with a credit card? There are countless reasons.
In this article, we’re discussing two types of credit cards, secured and unsecured. We’ll discuss prepaid cards, virtual cards, and their cousins in another article.
In the meantime, here’s what you need to know:
Secured Credit Cards
This is basically a debit card. And you’ll first put down a security deposit, ranging anywhere 100% to 200% of your desired spending limit. The amount required depends on the issuer and what country you’re opening the account in.
Unsecured Credit Cards
This is what most people think of when they hear “credit card.” An offshore bank issues an unsecured credit card to you based on your credit history. You don’t put any money down. You can just start spending and the bank trusts that you’ll pay it back, based on your past payment history and credit profile.
There are thousands of credit card issuers out there, and tens of thousands of credit cards to choose from.
Sorting through the sea of credit card options and determining which ones are best for you is time-consuming and frustrating.
And if you can’t find the right information or the right strategy from the get-go, you can accidentally shoot yourself in the foot and ruin your credit history in a certain country.
Bottomline, which credit cards you choose, the order you apply for them in, and your application method matters. And, having a credit card strategy that mirrors your goals is key.
Visa and Mastercard forbid certain types of individuals and businesses from using their networks. So, banks and card issuers automatically reject these groups in the application stage.
But after satisfying the network rules, banks and card issuers get to make up their own rules, applications, and eligibility criteria.
So, make sure you actually qualify and meet the issuer’s criteria before applying.
If the bank itself is risky and might go bust, then whatever credit or debit card you have with them won’t have much longevity. If the bank is shut down or Visa/Mastercard pulls the plug, you’re left financially stranded and cardless.
Make sure you’re dealing with a creditable card issuer– not a reseller, EMI with an IBAN in Mozambique, or fintech that started yesterday.
If you’re getting a card that requires a security deposit or a bank that expects you to deposit 150% of your credit limit, make sure you can afford it.
Likewise, estimate the yearly fees in advance. They can add up and you might determine that the card isn’t worth acquiring.
In fact, some countries have horrible credit card options that you’re better off avoiding.
For example, the UAE has unattractive credit cards with ridiculous fees, terrible FX rates if you spend abroad, and no perks. Plus, it’s extremely difficult to qualify if you’re a non-resident or a foreign company.
Every bank and fintech has its own card program these days. But all of their fee structures are different. Before applying for a credit card at an offshore bank (or other issuer), look very carefully at the fees. It’s not uncommon to see the following:
Knowing which fees you’re signing up for can make the difference between an incredibly useful tool and an incredibly expensive piece of plastic. So make sure you check!
Want to unleash the power of the “offshore bank account with credit card” strategy or discover the bank/credit card combination that works best for you and business? We can help.
Find the offshore bank account and credit card strategy that works best for you by becoming a GlobalBanks Insider.
If you want to know which specific banks will accept you, which credit cards are most optimal for your situation, which account opening strategies to use, the best ways to avoid high fees, and overcome obnoxious paperwork requirements, then we’d be happy to help you on your journey.
When you join GlobalBanks, you’ll also get instant access to our entire archive of Banking Intelligence Reports. These include proven strategies for opening accounts. We also share contact information for specific banks and bankers. And to make sure you don’t waste time, we’ll also provide details on each bank’s preferences, sensitivities, and more.
You will also get access to the GlobalBanks Database which includes easy-to-digest bank profiles, analyst insights, account opening contacts, and unique opportunities for the top banks in 50+ countries.
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