No, foreign exchange control is very strict. Let's see if we can register foreign debts first.

For more details, please click "View original post".

Second, how do domestic bank cards save money abroad?

The so-called overseas deposit refers to the deposit deposited outside the country where the deposit currency is issued and used for the business of residents in the country where the non-deposit bank is located. Overseas deposits are not necessarily foreign currency deposits, for example, there are overseas pound deposits in markets outside London.

Chinese name

Overseas deposit

explain

Deposited outside the country where the deposit currency is issued.

trait

Not necessarily foreign currency deposits.

money

At present, the world's major international monetary countries.

Brief introduction of overseas deposits

Overseas bank deposits first appeared in London, England, and soon spread to some European countries. Because most of these deposits were originally in US dollars, overseas deposits are also called Eurodollar deposits. But now overseas deposits have spread all over the world, including Asian dollar deposits, Middle East dollar deposits and Caribbean dollar deposits. Moreover, the currency of deposits is no longer limited to US dollars. There are overseas mark deposits, overseas Japanese yen deposits, overseas pound deposits, overseas Swiss franc deposits and overseas French franc deposits. It is sometimes called European deposit.

Characteristics of overseas deposits

1. Overseas bank deposits, like other overseas financial businesses, have their sources and flows outside the country where the bank is located, which is the biggest difference from ordinary foreign currency deposits. Although the deposit currency of ordinary foreign currency deposits is also foreign currency, it may come from abroad, but its flow direction is the domestic of the country where the bank is located.

2. Because the source and flow of overseas deposits are outside the country where the bank is located, the country where the bank is located (the host country) naturally has much less control over such deposits than the domestic deposits and ordinary foreign currency deposits of the bank. Overseas deposits are generally not restricted by the highest interest rate and there is no minimum deposit reserve requirement. Lack of restraint greatly reduces the cost of operating overseas bank deposits and enables overseas banks to attract depositors at higher interest rates. At the same time, overseas banks can offer lower loan interest rates than domestic banks, which greatly increases the attractiveness of overseas banks to customers. On the other hand, overseas bank deposits generally cannot enjoy various preferential policies of the government for domestic deposits, such as deposit insurance, so the risk is greater than domestic deposits.

3. Since the overseas financial market is basically an inter-bank market, overseas deposits are mainly interbank deposits. Non-bank depositors are mainly institutional investors such as government agencies, international organizations, enterprises and other financial institutions, while individual depositors are mainly a few rich people. In contrast, the sources of domestic deposits and ordinary foreign currency deposits of banks are much wider, including large investors such as institutions and wealthy classes, as well as the vast number of small and medium-sized depositors.

4. The currencies of overseas deposits almost include the major international currencies in the world at present, and even include artificial currencies such as Special Drawing Rights (SDR). In contrast, the currencies of foreign currency deposits in various countries are much less, which is mainly due to government regulation and a country's limited foreign exchange sources.

3. Is it legal for domestic subsidiaries to borrow money from overseas parent companies?

Repost:

Lending between non-financial enterprises is allowed, but generally a capital occupation fee is charged.

The current tax law stipulates:

1. The expenses incurred in borrowing from non-financial institutions during the production and operation period are higher than the amount calculated according to the loan interest rate of similar financial institutions in the same period, which cannot be deducted before tax, but can be deducted before tax.

2. If the loan amount obtained by the taxpayer from the related party exceeds 50% of its registered capital, the interest expenses of the excess part shall not be deducted before tax.

3. Borrowing expenses incurred by taxpayers in foreign investment and borrowing funds can be deducted directly, and need not be capitalized and included in the cost of relevant investment (but the deductible borrowing expenses must meet the limits stipulated in the above tax law).