Banking License | Law&Trust International

Banking Licenses

Banking license is unified state document that entitles to conduct banking activities.

These include granting of credits, raising funds for deposits, currency transactions, conducting payments through bank accounts, etc.

Offshore Bank License

Law&Trust International has been providing assistance for companies in acquiring banking license, including in the offshore zone, for many years. We guarantee comprehensive support to companies that are interested in obtaining license for conducting banking facilities in the following countries: Australia, Belize, Great Britain, Hungary, Germany, Cyprus, Latvia, Lithuania, Malta, New Zealand, Panama and the Czech Republic.
In case of availability of banking license, you are legally entitled to conduct banking transactions. Moreover, it does not matter whether you are going to accept deposits and grant loans, or you will only provide services for VIP clients.

Term of Banking License

It should be taken into account that banking license is issued without limiting its term of validity. However, the foregoing does not mean that it is issued once and for all and its operation can not be terminated. There is such concept as revocation of license. In certain cases, the license can be revoked by the Central Bank of jurisdiction that has issued the above license in due course.

There are the following grounds for revoking banking license:

  • Failure to comply with the Central Bank's regulations or other serious violations;
  • The capital adequacy of the credit institution ceased to exceed the threshold of 2%;
  • The credit institution is incurring deficit of funds and certain miscellaneous factors.

  • In the event of taking decision to revoke license, the Central Bank appoints interim management to resolve administrative issues. After that the bank can be voluntarily liquidated or declared bankrupt. However, the abovementioned situation happens rarely enough.

    No such incidents occur in case of responsible and conscientious doing business, and banking license serves its owner for many years.

With responsible and conscientious business conduct, such incidents do not happen, and a banking license has served its owner for many years.

How To Obtain Banking License?

Banking licenses are issued by the regulatory authority of jurisdiction in which you established your bank. In order for you to have license for banking activities, it is necessary to go through long-term and complicated procedure, which primarily involves filing an application.

Banking licenses are divided into different categories, and the terms and procedure for obtaining license depend on the foregoing categories.

Numerous banking specializations include card and settlement services, provision of retail services, cash and fund management, trade finance and others.

The most expensive and time-consuming process is obtaining package license combining all the services listed. However, you can apply for obtaining specialized banking license, which is aimed at providing only one banking service.

There are many reasons according to which companies tend to obtain offshore banking license. But the main advantage is time-efficient consideration of the application for obtaining banking license and relatively flexible system of requirements for establishment of a bank in the offshore zone.

If you are interested in obtaining offshore banking license, please contact us. Law&Trust International conducts preliminary consultations with the purpose of clarifying the needs of clients and providing them with the necessary legislative and practical information.

By having timely consultation with our specialists, you will save time for preparing documents and avoid financial losses. If the above advice is not sufficient for you, then we will undertake the entire process of obtaining banking license. We will work in order to obtain fully fledged license for you.

Countries

Obtaining banking license in Australia

CountryAustralia

Licensing of banking activities in Australia is a procedure that credit institutions undergo in order to obtain the right to conduct banking transactions. The article will consider the features of obtaining banking license in the territory of the Australian Union.

The Australian banking sector is regulated by the Law “On Banking Activities” of 1959 and includes both banks and other financial institutions, namely: credit cooperatives, building societies that provide limited range of services similar to banking ones.

Obtaining banking licenses in Belize

CountryBelize

Obtaining banking license in Belize is related with involvement of professional lawyers. Law&Trust offers services of its specialists at cost-efficient prices. Integrated approach to solving issues allows to provide legal support to the applicant at all stages of preparation and consideration of the application form.

The main regulator of capital in the country is the Central Bank. This organization has developed two acts on financial investments, namely: BFIA and IBA. Both documents fully regulate activities of all banks, credit companies, as well as other representatives of the financial sector of the state.

Obtaining a banking license in Cyprus

CountryCyprus

Issuance of certificates for conducting financial activities in the territory of Cyprus is carried out by the Central Bank of the island. Application can be submitted by the owners of existing corporations for the purpose of expansion.

When considering a package of documents, preference is given to those applicants whose banks are registered in jurisdictions with strict selection criteria.

The package of official documents should necessarily include a letter of recommendation or an attachment regarding registration with the original signature of the authorized person of the registrar country of the counterparty’s bank.

Obtaining a banking license in Germany

CountryGermany

The present article describes the process of submitting application for obtaining license for banking or financial services in Germany.

Obtaining any banking license in Germany is subject to the regulation of the KWG (Kreditwesengesetz).

The law provides for three categories of institutions:

  • Credit institutions;
  • Financial institutions;
  • Financial enterprises, to which different license requirements apply.

Obtaining a banking license in Hungary

CountryHungary

Banking license entitles to conduct credit and financial operations. Hungary is a country with a two-tier banking system.

The National Bank is at the first tier, and it operates as the Central Bank, pursuing monetary policy to strengthen the national currency. Commercial banks are at the second tier, and they are directly related to the National Bank of the country.

If you plan to conduct financial and credit operations, then you have to necessarily obtain a permission for banking activity in Hungary.

Obtaining a banking license in Latvia

CountryLatvia

Banking license entitles to conduct credit and financial operations. Hungary is a country with a two-tier banking system.

The National Bank is at the first tier, and it operates as the Central Bank, pursuing monetary policy to strengthen the national currency. Commercial banks are at the second tier, and they are directly related to the National Bank of the country.

If you plan to conduct financial and credit operations, then you have to necessarily obtain a permission for banking activity in Hungary.

Obtaining a banking license in Lithuania

CountryLithuania

Banking license is a document that is compulsory to be obtained in order to render economic services within particular country.

The foregoing document regulates the actions of the organization, determines the range of permitted transactions and currencies. Banking license is also necessary for financial business in Lithuania.

Obtaining a banking license in Malta

CountryMalta

Malta is one of the most optimal jurisdictions for registering financial enterprises and formalizing their activities. The firm that has obtained certificate for rendering investment or other economic services in Malta is entitled to expand into the territory of other countries, as well as interact with clients around the world.

It is possible to clarify information regarding the issue of obtaining banking license in Malta by the phones of Law&Trust. Our lawyers will specify a detailed work plan during the first free consultation, inform about the package of documents, as well as approximate amount of the set of services.

Obtaining a banking license in New Zealand

CountryNew Zealand

One of the most attractive and profitable sectors for foreign entrepreneurs in New Zealand is financial one.

Legislation provides the most favorable conditions for operation of non-residents in the banking business:

  • Founders, shareholders and directors of financial organizations may be citizens of any country;
  • Ability to provide services to private and corporate clients around the world - the functions of an international bank;
  • Zero tax rate;
  • Agreements on avoidance of double taxation have been signed with many countries, including Russia;
  • The amounts of the statutory fund and capital reserves are not limited;
  • There is no control by the central bank of the country - the Reserve one;
  • Minimum reporting - companies, established by non-residents, submit accounting and audit reports once per year.

Obtaining a banking license in Panama

CountryPanama

The jurisdiction of Panama has many advantages for registering business in the sphere of financial activities.

The procedure for obtaining licenses for non-residents is being currently simplified in the country, however, strict selection is necessary to be passed before obtaining certificate.

Obtaining banking license in the United Kingdom

CountryUnited Kingdom

Obtaining banking license in the UK is a task that only a group of professional lawyers can cope with. Interaction with foreign legislation implies detailed examination of all regulations, and work in the financial sphere does not tolerate legal errors.

In order to become the owner of a certificate for conducting banking activities, it is necessary to register own company in the territory of England.

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