One of the most important things to look at when deciding where to put an offshore account is secrecy. The main point in having an offshore account is keeping it secret, so why make an account that is easily viewable by enemies? The bank we choose should zip up their lips and forget that our account even exists unless they are court-ordered under just cause to reveal information. Nowadays, you can’t trust word of mouth anymore. That is why banking in Belize often seems unwise. You make enemies with the wrong person or trust someone who is easily manipulated and your offshore account is compromised. This shouldn’t happen. There should be government imposed penalties for revealing information about these accounts without just cause. Countries like Belize? Yeah, right. But Panama has no problem throwing people in jail for this offense and conveniently losing the key. Banks in Panama are going to keep your money secret. Trust us.

Another concern that can compromise secrecy is the MLAT, or the Mutual Legal Assistance Treaty. Under this treaty, countries are giving other governments the authority to search through the bank accounts of possible criminals and suspects. While it is important to have this sort of agreement for obvious reasons, countries who do not restrict the use of the MLAT or regulate their banks are not where you want your money.

Panama, as mentioned before in other articles, only will agree to the MLAT under extreme situations where people’s actions are illegal and should be dealt with. They only allow investigations on money laundering, drug dealing, kid pornography and terrorism charges. In addition to this, they will not just allow other countries officials to leaf through bank accounts until they find the criminal they wanted. They need proof of just cause and have the right to repel any legal action that may be taken if there isn’t enough. In addition, Panama’s MLAT asks other countries to first try prosecuting said criminals in their own country first. This means that they can’t look into someone’s files unless they have a past criminal record. If you don’t have a criminal record, then don’t worry about this legal action. It will not affect you.

Finally, unlike other big offshore banking countries, such as Switzerland, Panama does not extend their MLAT to tax issues. Tax evasion is not considered a big deal in Panama and thus they don’t treat it as such in international matters. They will not allow their accounts to be prosecuted for more than a civil suit. Panama also does not allow their bank account information to be leaked in event of a bankruptcy, divorce or other similar events where earnings must be stated.

Panama respects their offshore bank account’s privacy, enforces it and makes sure that only the real criminals lose their privacy. Definitely the type of country you would want to put your money in!