Offshore savings Updated:
A range of offshore savings accounts are available, designed specifically for customers who prefer to keep their money outside the UK.
Here we've gathered some tips on how offshore accounts can work for you.
Offshore savings accounts are run from the Channel Islands or the Isle of Man or Gibraltar.
There are various types of offshore savings accounts available, tailored to satisfy different needs, for example:
You can set up the accounts even if you live and work in the UK as a UK resident. Offshore savings may be notice accounts or no-notice accounts and can offer annual or monthly income (monthly income accounts may suit you if you are looking to use interest payments to supplement your regular income), and can pay fixed or variable rates of interest.
A range of providers offer offshore accounts, many of which are operated by subsidiaries of the major banks. However a number of providers have pulled out of the market in the last few months.
It may be possible to operate these accounts via a branch, telephone, post or online, although always check the operational details to be sure the deal suits you.
The two key points to remember when considering an offshore account are:
When looking for an offshore account, consider the same factors as you would when looking for a UK-based product. As well as the rate and investment amounts, look at whether you want to receive interest annually or monthly and whether you want a fixed or variable rate.
Check the provider's terms and conditions to avoid falling foul of any restrictions or penalties once the account is running.
Compare savings accounts to find the best deals using our best buy tables or whole of market offshore provider search: find the best offshore savings rates.
Disclaimer: This information is intended solely to provide guidance and is not financial advice. Moneyfacts will not be liable for any loss arising from your use or reliance on this information. If you are in any doubt, Moneyfacts recommends you obtain independent financial advice.
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