Uruguay Private Banking

Private Banks & Banking In Uruguay

Uruguay is not an offshore centre, nor does it have a reputation as a tax haven outside of Latin America. Although briefly blacklisted by the OECD in April 2009, it was later removed from the list.

Uruguay banks are now more solid than in previous years. They had a number of problems because the banking system was heavily dependent on next door neigbour Argetina. So when Argentina suffered a banking crisis in 2001/2002 it pulled private banking in Uruguay down with it because half of Argentina had an offshore account in Uruguay. The banking situation has improved after foreign banks were brought in but at the same time by bringing in foreign banks, Uruguay has lessened its effectiveness as an offshore center, because foreign banks head-quartered in a high-tax country want to know what's going on in Uruguay.

Uruguay Bank Secrecy is recognized as one of the strongest in the world, but nevertheless it took a hit after 9/11, since the Uruguayan economy is heavily dependent on dollars. One of the most chilling provisions of the patriot act and all the acts that were passed subsequent to it, was that every foreign bank that has a correspondent bank account in U.S dollars is required to appoint a U.S registered agent and to respond to U.S Government requests and subpoenas as if they were in the U.S, even if that means violating their own law. So consequently, if you had money at Citibank here in Uruguay, because they have a dollar account they are required by U.S law to provide information if your home government requests information about you from the United States under a treaty provision. The U.S government will then use its power to compel Citibank to give up the information even though that violates the laws of Uruguay.

Uruguay Bank Account Confidentiality

A few years ago we adjusted our portfolio at Capital Conservator because the Central Bank of Uruguay brought in new rules that require the disclosure of third parties when wires are being sent and forbids them being sent by third parties without full identification. This would expose our clients' identities to anyone who looks at the bank wire so we have chosen to vastly scale back our banking here and remove it to other places.

Uruguay Government-Owned Banks

Banco de la República Oriental del Uruguay and Banco Hipotecario del Uruguay are government-owned. BROU is Uruguay's largest bank, and offers loans on the best terms and at the best rates. Opening an account is simple if you are resident in Uruguay. Banco Hipotecario specialises in mortagage loans.

Uruguay Private Banks

The most popular privately-owned banks include: Banco Bandes Uruguay S.A., Crédit Uruguay Banco S.A., Nuevo Banco Comercial S.A., Discount Bank S.A., Banco Santander S.A.

Additionally, there are a number of foreign banks which will offer private banking services or wealth management. However, as mentioned above, these services do not offer much in the way of privacy. If you bank in Uruguay with an international bank that has its HQ in a high-tax country, don't expect protection from Uruguay bank secrecy for your private bank account.

Capital Conservator is not a bank, but it is licensed to hold accounts in trust for its clients at partner banking institutions. This method ensures the highest degree of client confidentiality possible. Capital Conservator does not bank in Uruguay but has administrative offices there. In this way we are excellently placed to advise clients on their private banking options in South America.

Why not chat with one of our specialist account managers today and arrange a holistic evaluation of your financial position, specifically tailored to let you safely grow your assets? Please call +598 2 6963186, or email marcha_kuypers@capitalconservator.com. Our friendly, helpful staff is standing by to assist you.