Decide yourself whether to bank with a big or small bank after you read what bankers think.

Would you consider going to work in a smaller bank or even a good reputable offshore bank in this economy?

Eve Daugherty Banking Executive

Absolutely. Smaller banks (in good standing) can be more nimble and can act quickly to determine a defined growth approach. Further, while the bigger banks may be struggling with economic factors, a well-placed regional bank may have the opportunity to "stand above the crowd", and quickly implement more effective risk management and process re-design to weather the economic storm well.

David J. Morris Mortgage Underwriter at Opus CMC

Most definitely. I've been in a bigger regional bank and would like to move into a smaller, local bank. Just looking for the opportunity.

James Gottemoller Personal Banker at US Bank

Yes. Smaller banks give you a chance to wear many hats. I have been in small, medium, large regional, and international. I would welcome the chance to participate in the closeness and multitasking of a small bank.

Ted Horan Vice President - Special Assets at Bank of America

I think I prefer smaller banks as a general rule. I am trying to find an opportunity into one now. I have worked at smaller to big regional banks in the past as well as a small non-bank commercial lender. Being a major cog in a small machine I have found more rewarding, than one of many cogs in a big machine.

Ginger Powell Treasury Services Professional

If you've not worked in a small bank environment before and have a large bank background, all of the above is true; however, don't discount the cultural differences that can sometimes make it very difficult to adjust and can be extremely frustrating. If you're in sales, it can be even harder, as a true high performance sales culture does not exist. I think many times, we take for granted the benefits that large banks have to offer, and having experienced both, the benefits of large bank experience far outweighs the small bank experience...good or bad economy!

Jane Campe US Bank

Yes I agree the culture can be difficult to adjust however as it relates to sales, my experience has been that the large banks do not adjust goals based on markets and competition. They just want to standardize across the footprint when there are clearly differences.

Reginald Walker Financial Consultant, Strategist and Manager

I've found that smaller banks can be more responsive from a customer view point. But I don't think we should forget that smaller banks did not go through stress testing or get bailed out. I personally have always liked the customer focus my smaller regional bank affords, but with my customers corporate assets, the stakes are higher and more services are needed than some regional banks can provide.

Shelley McDade CEO at Sunshine Coast Credit Union

Absolutely - you can impact outcomes more easily. Smaller institutions often provide opportunities for real market differentiation and usually you can make a bigger difference in a shorter time period.

Bruno Aguiar Client's Manager at Banco Popular

Yes, I would. Despite the financial crisis the banking sector is still one of the bests to work in. For those in sales positions, the relation with customers can be more satisfying working for a small bank. A small bank could have a focus in only some industrial sectors, which could be more attractive.

Lou Dunham CEO and Managing Principal CAMELSolutions LLC

There are approximately 8 thousand banks nationwide of which approximately 7 thousand are $1 billion in assets and under. Many of these are very profitable because they tended to their business and communities, unlike the larger Wall Street type banks. Smaller banks are an excellent opportunity for those interested in a banking career.

Frederick Sosa Experienced Finance & Business Development Professional

Sure. I've worked for larger banks and they do have their advantages. However, smaller banks can offer greater career growth opportunities, if there well capitalized. While they do face greater competition with larger banks, many customers like a more personal approach than the larger institutions. I see it as a comparison of Home Depot to, say an Ace Hardware store. While Home Depot is a great store, it can be quite overwhelming. Enter an Ace store, and you typically feel more comfortable, get faster service and spend less.

Acaria Almeida Vice President at Bank of America

You have a choice to be the big fish in a small pond or small fish in a big pond and that would depend on each one's preference. Yes- I would surely consider going to a small and reputable bank that encourages and reward strong work ethics.

Sidney Bostian Partner at Morse Capital Partners

Without a doubt. Well run smaller banks can offer a superior value proposition to most customers and allow skilled bankers to practice their craft in a professional manner.

Alex Freeman Exceptional & Visionary Leader with Advanced Skills in Management, Operations and Business Development.

Certainly, I went from a large bank to a smaller community bank (career move) then back to a larger, regional bank (relocated). Community banks are great, they really get the idea of "relationship" selling versus the bigger banks "throw enough stuff against the wall and some of it will stick" approach. In the current atmosphere of people bashing big banks, a real opportunity exists for smaller, community banks to grow their franchise.

Raj Rengarajan Financial Services

Smaller banks focus on associates and customers and as a result job satisfaction will be solid.

Joanne C Experienced banking professional

I would. Smaller banks allow you to learn more things. Previously, I worked for a small finance company and was able to learn the full spectrum for credit administration and documentation for housing and commercial loans. However, there are no more small banks/ finance companies left in this country. They all have merged to become big banks and there are only 2 finance companies left here. If given the opportunity in another country to go back to a smaller bank or finance company, I would certainly grab the chance.

Maciej Domański Deputy Branch Manager at Handelsbanken

It is worth to examine if your market area is one of core operations for the smaller bank. Good to know in order to not to find yourselves on one of first exist markets during cost cutting. Smaller bank OK, but on one of its core markets, other markets could not be the bank's priority in case of liquidity distress or cost cuttings:) Take care! Maciek

Calvin D. Johnson President & COO, Electronic Commerce Strategies, Business Strategy Consultant, Partner, Align FSC

I have carved out a niche consulting with banks in the $1 billion to $5 billion range. Very rewarding. Big enough to afford to do things. Small enough to have direct access to their C-level executives. Less bureaucracy. Usually not a lot of internal middle management bench strength or bandwidth to tackle tough issues. Generally when they engage you, they know that they have a problem that you can help them with and they are willing to listen to your ideas. Even better, they appreciate your help.

Corey Williams Assistant Vice-President at Citizens Bank & Trust

Absolutely. In my experience the smaller banks-especially those looking to grow- offer some of the best opportunities in the business. I work for a larger community bank now and have been able to learn more about banking and taken part in more initiatives than I ever could at one of the "too big to fail" banks.

Connie Lawlor Vice President - Group Controller at TCF Bank

I actually would consider a smaller bank for my next move. I have worked in two large international banks, and one regional bank. The larger banks have more of an infrastructure to tap into, but the smaller banks get down to basics, which some of the larger banks are lacking.

Linda Noland President of Stone & Associates Executive Search, Career Strategist, Professional Speaker

Thanks for the ongoing discussion, it's an interesting topic! I'm finding the smaller banks have more flexibility with hiring in today's market.

David Sanders SVP, Controller at NCB

Working for a small bank is great but you have to enjoy the way a small bank works. One needs to be able to go from the big picture to the small picture frequently and even get involved in doing things yourself. In addition, small banks do not have some of the great tools that larger banks have but this is changing all the time. The best part has been commented above, seeing more and having a greater impact.

Richard Williams Credit Risk Systems Support at The Royal Bank of Scotland plc

Yes I would go to a smaller firm. Many large banks are moving their operations and support areas to low cost operations centers in Buffalo, Raliegh-Durnham, Jacksonville and possibly Salt Lake City. I would go to a smaller firm to remain in the New York area.

Sanjeet K Verma AGM at IDBI Bank

The prospects can be more rewarding in a small fundamentally stong bank than a bigger bank. Hence, I would prefer such bank.

Andrea Owen Personal Bank Advisor at Santander Bank

Being really new to banking I cannot really say much but my first impression is that a large bank can give you more opportunities to develop yourself in a structured and mature environment. From my point of view larger banks (or operations) does not necessarily mean less customer focus /relationship. If you're committed and understand that customer is what moves the business you can act on that knowledge and have the best of both worlds!!

Leanna Andresian Competent Retail Banking Officer

I would say there're advantages and disadvantages of going to a smaller, bank. Larger financial institutions offer more in terms of career growth, resources to be offered to bank clients. Smaller banks offer personal attention and sometimes customized banking services which customers do appreciate.
Smaller banks are more customer oriented; as a banker I would have time to build and nurture professional relationships with new and existing bank customers. As a bank employee and a customer myself, I'd say when it comes to people's finances trust is #1 and when customers know and trust the banker (mostly from a smaller institution), then chances are they will continue to bank where they feel comfortable.
At the end of the day it comes down to happily doing your job as a banker / manager and delivering your promises to customers and colleagues. Smaller banks tend to value that.

Rakesh Sampath

Small banks allow your learning across the entire banking and financial domain and not just a single vertical per se. Also their focus is on service unlike larger organisations. The job satisfaction factor is pretty high. If given an opportunity to work with a smaller organisation I would certainly go for it.

Offshore Bank Accounts - European Tax Free Jurisdictions

There are eleven main European tax free or offshore jurisdictions in which one can establish an offshore bank account, international business company or even a trust perhaps, and through which one can structure ones financial and taxation affairs.

Depending on your own personal financial and residency status, it may just be that if you’re living abroad as an expatriate you can potentially benefit from the advantages these European tax-free jurisdictions offer, and the services the likes of offshore banks operating from these havens provide.

In this article we’ll provide you with an overview of the eleven European offshore centers and talk about the sorts of international and private bank accounts one can potentially hold within such a tax efficient jurisdiction.

In alphabetical order, here is an introduction to the eleven main European tax-free jurisdictions likely to offer offshore bank accounts and other services to expatriates and high net worth individuals, as well as international business persons and entities: -

Andorra

Other than annual registration fees, municipal rates, property transaction taxes and a sliding scale capital gains tax, there are no taxes for individuals or companies registered in Andorra. However, because the nation insists that there’s a 2/3rds local ownership of any offshore entity, the jurisdiction is not popular for the establishment of IBCs. If you’re after an offshore bank account however, Andorra might be the right location for you if you feel that you’d like your banker and perhaps God to be the only other people who know about your banking affairs! In other words, offshore bank accounts and numbered accounts held in Andorra are said to be exceptionally secure, secretive and private. Tax avoidance is not really considered a crime in the nation, however money laundering is, and Andorra was forced to sign up to the EU Savings Tax Directive but elected for the withholding tax option.

Cyprus

Cyprus was popular as a centre for the establishment of offshore companies until the nation joined the European Union back in 2004, since then it has become more expensive to operate a company from Cyprus – although tax levels are competitive when compared to non-tax havens within Europe. At the moment Cyprus is also a very popular place for the establishment of offshore bank accounts for international business companies registered elsewhere, and because banking secrecy levels are strictly maintained at the moment, it is considered a secure jurisdiction from which to operate an offshore bank account. Personal and company taxation can be low in Cyprus, particularly for IBCs and retired expatriates.

Gibraltar

With the use of special tax regimes, Gibraltar has been successful in attracting the asset management and offshore banking business of high net worth individuals who prefer the strong levels of protection the jurisdiction offers them, as well as additional benefits such as the fact that Gib has a favourable tax status, there are no exchange controls, communications and facilities are excellent, the government is stable and Gibraltar is an EU member.

Guernsey

The economy in Guernsey is certainly dominated by the financial services sector – therefore it is of no surprise that the government of the jurisdiction does all it can on a continual basis to ensure that the nation remains as competitive as possible to attract continued business growth. With the largest captive insurance sector in Europe, Guernsey also has strong banking, investment fund and trusts sectors too.

Ireland

There are a number of business areas in which Ireland provides offshore or tax efficient regimes, and Ireland is unique in that it has managed to successfully embrace full EU membership and all the benefits that have gone along with that membership together with all the added benefits of having an active and successful offshore environment! In fact, Ireland has successfully beaten the likes of the Channel Islands and the Isle of Man at their own game! Banks that offer attractive offshore services are established within the International Financial Services Centre in Dublin, and they benefit from the centre’s low tax levels.

Isle of Man

For private banking services for British expats and foreign nationals living in the UK, the Isle of Man is very popular indeed. The level to which services are offered to these private banking clients goes far beyond simple deposit taking and simple investment management, to incorporate everything from trust establishment and operation to managing the underlying companies or assets of the trust. The Isle of Man is also very well respected for the levels of investor protection it offers.

Jersey

Thanks to its excellent physical and financial infrastructure, Jersey is a popular choice for offshore banking, investment fund and trust business. The European jurisdiction is also as famous for its low tax offerings and stability as it is for its excellent levels of investor protection and its international reputation – making it a favorite for those seeking a secure yet reputable haven.

Lichtenstein

Not technically part of the European Union, Lichtenstein is still on the European continent and is also a member of the EEA. It provides for the establishment and management of very flexible types of ‘holding’ and ‘domiciliary’ company as well as ‘establishments’ and ‘foundations’ – all of which are tax-exempt. Trust law is also well established in Lichtenstein, however, the jurisdiction is perhaps more famous for its private banking services and the incredible levels of investor protection and privacy offered.

Luxembourg

Ironically, taxes in Luxembourg are very high indeed, however it provided for the establishment of tax-exempt holding companies which have now been replaced by Family Private Assets Management Companies, or SPFs. Unfortunately the jurisdiction is no longer hugely popular for offshore banking business since Luxembourg was forced to sign up to the EU Savings Tax Directive.

Monaco

If you’re looking for a typical offshore, tax-free jurisdiction in Europe then you might think that Monaco is surely it – however, you couldn’t be more wrong! Unfortunately, unless you’re exceptionally wealthy and you’re looking for somewhere to live tax efficiently and opulently at the same time, then Monaco is not the haven for you.

Switzerland

Home to the world’s largest private banking centre, Switzerland is the epitome of banking secrecy and offshore, tax efficient banking possibilities in many people’s minds! However, in recent years, in a bid to keep the likes of the EU and OECD happy, Switzerland has begun cracking down on legislation and practices that allowed for money laundering and tax evasion through Switzerland’s offshore bank accounts. Despite this fact, banking secrecy laws in Switzerland are tight and tough and highly maintained.
In terms of the offshore bank accounts that one can hold in each of the above named European tax-free jurisdictions, they again differ by country. For example, you might prefer Andorra or perhaps Lichtenstein if you’re looking for the ultimate in banking secrecy. Alternatively, if you’re seriously high net worth you may prefer to move to Monaco and have a private banker at your beck and call. If you’re an international citizen or an expat, perhaps the likes of Ireland or the Channel Islands would better suit your needs.
Offshore and flexible yet straightforward bank accounts are available to expats from the international banking divisions of major high street banks in some of the above jurisdictions such as Guernsey and the Isle of Man. Alternatively you can access private banking services for your own individual affairs or those of your company in European havens such as Switzerland or Gibraltar. No matter what your offshore banking needs are, seek professional advice about where best to establish your offshore finances.

Offshore Banking

Offshore banking has always been seen as the province of the rich and famous with accounts in tax havens such as Jersey, Switzerland and the Bahamas.

Certainly the image of the well-heeled or criminal classes flying off in private jets to stow their treasures in banks in glamorous locations, with the keys to their exclusive safety deposit boxes, does nothing to dispel this image.

However, technically, offshore banking simply refers to anyone with a bank account outside his or her country of origin, typically in a low-tax area. In recent years increased property prices have led to individuals with normal jobs and salaries left with large profits from the sale of property to deposit, and therefore such accounts have become more commonly owned.

The advantages of offshore banking are that it may provide those living in an unstable political climate to invest their money safely overseas. It can also offer offshore companies, trusts or foundations specific tax advantages.

However, the disadvantages can be that in the event of a financial banking crisis, offshore accounts can be less financially secure, leading to depositors having to wait a long time for compensation. Offshore jurisdictions are also frequently remote and costly to get to; though today this is less important, due to immediate online and telephone banking facilities.

When considering which account to choose, however, offshore banks generally offer the full spectrum of banking services including deposit taking, offering credit, wire and electronic funds transfers, foreign exchange, letters of credit and trade finance, investment management, fund management, investment services and corporate administration.

It is worth remembering, however, that High Street bank accounts offer many of these services. They are also frequently readily accessible and offer competitive interest rates, particularly through instant access savings accounts and individual savings accounts (ISAs). These factors may outweigh the glamour of offshore banking, particularly if you value face-to-face service.

Of course, there are social advantages to having an offshore bank account. Even if you open your Swiss bank account on holiday, it will always sounds impressive and imply that you’re wealthy and financially aware, even if you don’t strictly need one.

The account will also protect your funds from creditors in instances of financial liability, as offshore bank accounts are governed by the law of the country they are in rather that the country in which you are domiciled.

However, in the event of an international banking crisis, your funds may not ensure the same financial protection in an overseas bank account as they would in the UK.

Most UK balances under £50,000 are protected by the UK government. If they were invested abroad and there were a national accounting scandal, natural disaster or political coup, they may be extremely vulnerable.

It is also important to remember however, that while setting up an offshore bank account is not illegal, setting up such an account for an illegal purpose may well be. If you’re accused of tax evasion and have sent the money to an offshore account, for example, you may still be arrested here, even though the funds may remain untouched.

All in all, it’s better to play it safe. If you fancy the international cachet, can secure substantial and legal tax advantages and are investing in a stable economy unlikely to fall prey to political upheaval or disaster, then opening an offshore account may be for you. However, if you prefer to deal with a bank manager face to face, a domestic high-interest account may be a better bet.