Posted on 15 July 2011
Tags: adult person, America, American banks, ATM, bank account, bank card, bank client, bank policy, bank saying, banker, banking, Banking in Switzerland, banking services, Banks and Institutions, Business, commercial register, countries in the world, existence, financial services, food, GDP, groceries, income sources, laws and regulations, millionaires, ordinary people, ordinary people bank, PIN privileges, pink slips, private bank, private banking, Product Issues, Product Recall, prosperous nations, regular banks, relevant website, swiss bank, Swiss banks, Switzerland, teller, third world countries, UBS, USD, working in switzerland, Zurich
The GDP of Switzerland is higher than most of the countries in the world and that is why it is counted in one of the most prosperous nations in the world. To open an account there you will see the sign board outside the bank saying ‘Private Banking’, which is always a satisfying to anyone who wants to open a new account, especially at the Swiss Bank. But actually that private bank is for millionaires, who are mostly from the third world countries and it requires $100,000 as a first deposit. Opening regular account does not need such a big deposit and is relatively the easier one.
An Account Opening
In Switzerland, according to the laws and regulations any adult person can open an account. However, the bank holds the right to reject any customer for providing the services. For example, the bank can refuse to provide the services to a politically-exposed person, which can harm the bank’s reputation if that person becomes the bank client. The bank can also refuse to provide services to a person whose income sources are not reliable for the bank, or that person is generating income from criminal activities.
An Account for Companies
There are two types of accounts for companies in Switzerland.
- Companies registered and working in Switzerland.
- Companies registered and working abroad.
For the company, registered and working in Switzerland, the bank can gather the relevant information about the company. The information can be collected from the Swizz Commercial Register on the company’s relevant website.
For the company, registered and working outside Switzerland than they must provide the relevant information required by the bank and prove its existence.
Swiss Banks Vs American Banks
One of the significant differences between the ordinary people bank and the Swiss bank is that, the regular banks let you pay the bills by sending pink slips in the mails. However, since American’s are used to the power of plastic while paying for the groceries or food at a restaurant, they hardly ever prefer the use of the credit cards. So when both the credit card and the checkbooks aren’t available, then there is no option left. One thing people don’t understand about the Swiss Banking is the monthly cash limit in the ATM machines. It’s quite confusing that why there are limits defined for the cash withdrawal. Different people go and try to persuade the teller to increase the monthly cash limit for the cash machines, and the tellers too, unwillingly, give them an approval.
PIN Privileges
Swiss accounts, sometimes also put people into trouble by changing their bank card. People often rush to the bank by such complaint and they are asked that they will get a different type of a bank card. Furthermore, the bank sometimes withdraws the PIN privileges. Read the full story
Posted on 09 May 2011
Tags: account, accountholder, bank act, Bank secrecy, Banking in Switzerland, banking information, banking system, Banks, borrowings, criminal offence, criminal offense, death sentence, financial crunch, fiscal requirements, french kings, german citizens, german gestapo, information secret, Jews, secrecy rules, swiss bank account, Swiss Bank Accounts, swiss bankers, swiss bankers association, swiss citizens, swiss civil code, Swiss National Bank, UBS, united states, World War II, ww
The Swiss banking system follows code of secrecy for more than 300 years. The code of secrecy started from, the era of French Kings who needed high confidentiality, the fiscal requirements and capacity to return the borrowings.
The legality of the secrecy is even much older than the system. In 1973, The Great Council of Geneva implemented directives to keep all the information of their account holders secret for the bankers.
Switzerland’s Bank Act of 1934
This confidentiality of information made the Swiss bank accounts more popular around the globe to keep the funds of various rulers and other secret and safe. The banking rules permit any account holder to claim damages from the banker in case he or she perceives that his or her information had been leaked anyway. But the banker could not be prosecuted for criminal offense for disclosing the information. The same secrecy codes prevailed until the end of nineteenth century.
Read the full story
Posted on 20 January 2011
Tags: account, account holder, accounts, America, amoun, Auditing, auditor, bank, bank account, Bank Accounts, Bank secrecy, banker, bankers, banking, Banking in Switzerland, banking laws, bankrupt, bankruptcies, Banks, banks in switzerland, Business_Finance, capacity, citizen, conditions, country, court, credit, criminal proceedings, Deposit account, different methods, Economy of Switzerland, employee, Ethics, EUR, European Union, Federal law, Federal Reserve System, government, Inheritance tax, interest, investmen, Law of the United States, laws, laws and regulations, legal formalities, Offshore bank, private citizen, regulations, savings, savings banks, securities, Swiss, swiss bank, swiss bank account, swiss bank account exemptions, swiss bank account laws, swiss bank account regulations, Swiss Bank Accounts, swiss banker, swiss bankers association, Swiss banks, swiss federal banking commission, swiss government, Switzerland, taxation, Terms And Conditions, UBS, united states, USA, With-holding
Opening an account in Swiss banks is accompanied with some rules, laws, and regulations. The basic rule is about the age of account opener, that if the account opener is a national of any other country, other than Switzerland, that account opener should be above 18 years old. The exemption and taxation on your amount is also done under certain rules.
Laws and Regulations of Swiss Banks
In Switzerland, nobody, even the Swiss government is allowed to reveal any information regarding accounts or account holders until an account holder is not a criminal.
But in USA even a private citizen has an easy access to it, i.e. in America any one; even a normal citizen can get information of any account holder. The Swiss banker’s requirement of client confidentiality is found in Article 47 of the Federal Law on Banks and Savings Banks, which came into effect on November 8, 1934. In the books of banking laws, this article act is defined as;
“Anyone acting in his/her capacity as member of a banking body, as a bank employee, agent, liquidator or auditor, as an observer of the Swiss Federal Banking Commission (SFBC), or as a member of a body or an employee belonging to an accredited auditing institution, is not permitted to divulge information entrusted to him/her or of which he/she has been apprised because of his/her position.”
Exceptions of Swiss bank accounts
It is discussed in Swiss Bankers Association that no bank is allowed to provide the information and details of any account to any one.
Read the full story
Posted on 14 January 2011
Tags: Banking in Switzerland, banking services, banks in switzerland, bonds, central bank, Credit Suisse, federal act, Federal Government, FINMA, high-interest, individual investors, Investment Fund, investment funds, investors, Major, minimum balance, numbered account, private banking, private banking services, private banks, rate interest, securities markets, semi-government banks, Standard, stocks, stocks bonds, supervisory authority, swiss bank, swiss bank account, Swiss Bank Accounts, Swiss Banking Procedures, Swiss banks, Swiss banks-Postal, Swiss Financial Market Supervisory Authority, Swiss National Bank, Switzerland, UBS
Swiss Financial Market Supervisory Authority (FINMA) regulates all the banks in Switzerland. The Swiss Financial Market Supervisory Authority is an institution that regulates activities related to bank, securities markets and investment funds.
Major Banks
Four type of banks operate in Switzerland, Central bank, private banks, semi-government banks, there are 327 authorized banks in Switzerland, UBS and Credit Suisse are the largest Swiss banks and account for over 50% of all the deposits in Switzerland. The Swiss National Bank, founded by Federal Act serves as central bank. The federal government does not hold any shares; its shares are publicly traded and are held by the individual investors, and are held by private and semi-government banks.
Read the full story
Posted on 09 January 2011
Tags: bank, bank failure, Bank secrecy, banking, banking act, Banking in Switzerland, Business_Finance, CHF, DRUG TRAFFICKING, Economy of Switzerland, Finance, insider trading, internet banking, law, Law_Crime, non-bank securities dealers, Offshore bank, Privacy, prosecution, public attorney, refined investment services, regulatory agreement, securities dealers, strict law, Swiss, swiss bank, swiss bank account, Swiss Bank Accounts, swiss bankers association, Swiss banks, Swiss franc, Swiss Francs, swiss law, swiss laws, Switzerland, UBS, united states
Swiss laws are very strict regarding the relationship between a bank and its customers. If the bank violates this relationship a punishment shall be imposed. Banks must very careful therefore and not divulge any kind of information regarding their customers, without, taking permission.
Punishment
Swiss law treats a violation by the bank very seriously. The Swiss public attorney will immediately start prosecution against the bank.
The punishment imposed could be up to 6 months of imprisonment and a fine of 50,000 Swiss Francs. In addition you may even sue the bank separately.
Exceptions
There are certain exceptions to this strict law of privacy. Information may be divulged if criminal activities are taking place. This includes drug trafficking, organised crime or insider trading.
Privacy
The biggest advantage of having a Swiss bank account is the privacy that you can enjoy. The privacy allowed to a customer is indeed a blessing. You might not want anyone to know about your money.
Read the full story
Posted on 09 January 2010
Tags: accounts, bank, Banking in Switzerland, Business_Finance, comment, dollar, income, Money, Privacy, Swiss banks, Switzerland, UBS, USD
As the Swiss bank, UBS announces to turn over the names of suspected American tax evaders to US authorities, concerns have risen over the fate of the age-old banking system of Switzerland. For a very long time, Swiss banks have been trusted over secrecy on financial transactions. Now that analysts are predicting the end of Swiss banking system as we knew it, many wonder where to hide their million dollar stash. We have a few suggestions
- Go to Zimbabwe: while Mr. Mugabe may promise to never give your names to concerned authorities, unfortunately your money would become almost worthless after being converted to Zimbabwean currency. Read the full story
