Bank Account Opening

Bank Account Opening

To operate and engage in business activities, companies need a bank account. This bank account must follow international legal principles that safeguard the contract between the bank and its customer, whilst simultaneously protecting the global financial system by avoiding that obscure transactions enter the value transfer system. The constant challenge of regulators to avoid abuse triggers financial institutions to scrutinize its customers. Banks these days are seen as one of the crucial gatekeepers to maintain confidence in the financial system. The substantial amount of scandals concerning the banking industry remains problematic. Hence the reason that bank account opening, and periodic evaluation became paramount. Our vast experience in the financial industry is beneficial for our clients and ensures that the process from account opening to maintaining the bank account follows a smooth and immaculate approach. The result is that our clients experience limited challenges with incoming and outgoing transfers.

In the past, exposure to unsecured debt, excessive risk taking, reliance on non-resident deposits and a relatively lax attitude towards money laundering, made Cyprus vulnerable for financial crises. A clean-up of the industry is ongoing whilst several financial institutions already closed. Even though non-performing loans still exist, a joint-effort by the industry and regulator diminish the risk involved for the systemic financial institutions. Therefore, we aim to introduce our clients to robust financial institutions whose failure would be a threat to society and thus must be rescued at all times. Considering the risk of unexpected bank failure, we guide our clients to a risk averse financial strategy and avoid unnecessary challenges.

Financial services provision is no longer the exclusive domain of banks. Specialized FinTech firms can obtain a license to become a certified payment service institution or an electronic money institution. In Europe, such licensing is controlled by the European Central Bank (ECB) in cooperation with the individual member states and governed by the Payment Services Directive (PSD II). It is important for customers to realize that Electronic Money Institutions provide no protection of account balances at IBAN accounts of its clients, since deposits are held with a different financial institution. Therefore, beneficiaries of Cyprus Companies should seek to diversify their financial holdings and not rely on just one financial institution for its transactions.

The banks and financial institutions of our choice allow our clients to operate an international business. This means that access to stable and easy to operate internet banking facilities, bank cards and access to tailored solutions of commercial finance are available. We aim to help our clients structure their operation so that they always qualify for deposit protection and assist where needed in correspondence with the bank, to ultimately let our clients focus on their core business activities.