Offshore merchant accounts are offered by overseas banks, which don’t have account restrictions such as your native country banks. Offshore merchant accounts are somewhat more valuable than on shore accounts, because they provide more tax benefits and are multi-currency accounts enabling international trading.
Off shore merchant accounts are a new happening. These accounts allow one to exchange 24 hours a day, 365days a year. As off shore merchant accounts are tax-free, offshore businesses will offer cheap products compared to their competitors. These accounts are also helpful for high-risk organizations like the ones engaged in gaming, pharmacies, phone card sales, timeshare rentals, multi level marketing, and credit counselling and repair.
The benefits of foreign merchant account for online gaming merchant accounts involve tax benefits, improved security and privacy, multi-currency trading allowing international exchange, settling currencies of one’s own choice, no restrictions on the quantity and size of trades completed, short set time (usually 1 week) and also international fraud protection. But initial setup costs, ongoing discount charges and transaction prices could be quite higher than onshore accounts.
Off shore merchant accounts are all readily available for everyone else. The process is simple and simple. You have to own a Forex trading company and a banking accounts on the name of the corporation. Most foreign banks will demand security in the form of an upfront cash deposit or even a ongoing cash reserve.
Many international economic companies and overseas banks offer overseas merchant accounts. Finding an offshore bank and applying online is not so hard. You have to clearly measure the benefits you can receive, privacy, security and tax benefits offered by the lender, and the size and history of the bank.
Offshore merchant accounts usually don’t require the genuine physical presence of the company in the foreign exchange. Most providers normally have relationships with lots of banks in various jurisdictions and so they provide overseas merchant account for those who have accounts in their own banks.