BANKS IN THE
EU
OPENING A BANK ACCOUNT IN THE EU
One of today’s biggest challenges for Business is banking in the EU. Companies from every industry see their accounts being closed by banks every day. This is causing significant issues. How can you trade without a reliable bank account?
Nowadays, since banks are closing client bank accounts indiscriminately, having one account is not enough. The main because banks are moving away from the corporate banking industry. Many believe their bank would close their accounts for specific reasons. These could range from suspicious transaction to not maintaining enough businesses. This is, unfortunately, not true anymore. The days your bank will keep your account open because of the length of your relationship are over.
WHY DOES THE EUROPEAN BANK NOT WANT BUSINESS ACCOUNTS?
Banks in the EU do not want the payment business as it is not feasible. The risks faced by banks is just too high when compared with the return from such accounts. Regulators require banks to monitor each transaction that passes through their accounts. This makes the majority of bank accounts loss-making. Also, because of the vagueness of AML laws, banks face enormous regulatory pressure. These come in the form of huge fines if accounts are for money laundering purposes. With adverse interest, there is no more advantage of having massive deposits on their accounts
EFFECTS ON BUSINESS BANKING
Having an issue with your bank can stop your operations. We all know what happens after that. What is worse, businesses are resorting to less secure options in desperation. Some payment service providers are charging exuberant fees for their account holders. This is why today, one cannot rely on one solution. Having two or more bank accounts or payment solutions is essential to ensure business continuity.
BANK ACCOUNT SOLUTIONS FOR MY BUSINESS?
At E&S, we have anticipated such a need. Today, we have a database of over 40 banks and Payment providers open for business banking clients. These are banks who specialise in corporate banking or are Payment providers. Depending on which industry you are in, we can match you with the best banking solution. We also ensure that they charge fair fees. Contact us on LinkedIn Deborah Vella or email us on [email protected]. We will immediately get bank to you with suggestions on what accounts are right for your Company!