Offshore Banking Definition
Lets get a little more detailed, offshore banking is the financial concept of either placing assets (depositing) which are normally in the form of hard currency in the safekeeping of a bank account, or borrowing money (loans) from a bank which is located in an offshore financial center. In support of this concept, the offshore bank is limited by licensed to receive deposits and lend money to sources outside the jurisdiction where it is physically located. The term off shore is derived from the physically remote location of the offshore bank.
Supporting and Documented definitions for offshore banking/offshore bank are listed here:
In short, it all pretty much says the same thing about what offshore banking really is. Any time you have money deposited in or invested with a bank in a country outside the country in which you live and work, you are, in fact, banking offshore, even if that bank is just across the border. Any bank in the country in which you live and work is known as a domestic bank.
Offshore banking is a legal vehicle through which personal, international and global banking activity may be conducted under the umbrella of enhanced confidentiality, security and privacy. It is a form of asset protection whereby its interests and existence are protected from peering eyes.
It is wholly agreed that offshore banking offers several advantages. These advantages typically include: