Millennium Bank Review – Scam?
Posted by Best Bank Rates under [ Bank Reviews ] on June 7, 2007I’m sure most of us looking for good bank deals have come across Millennium Bank (www.mlnbank.com) and their almost ridiculously high interest rates. Is Millennium bank a scam? Let’s take a look.
The best CD rate that they are currently offering is 8.25% APY on a 5 year CD, but their rates on other maturities are also significantly higher than your average bank, with the 6.50% on a 1 year CD—their lowest rate—half a point higher than the next best deal available these days (FNBO Direct’s 6.0% savings account promotion). Minimum deposits on their rates range from $5,000 to $100,000 – though I pity the fool who deposits $100,000 into a offshore bank account that’s not FDIC insured! On their website, they claim:
Millennium Bank is a subsidiary of United Trust of Switzerland, SA, a Swiss-registered private trust company that was founded in 1931. United Trust of Switzerland is located in the heart of Geneva’s financial district and has its registered office in the Canton of Zug. United Trust of Switzerland’s extensive experience in the financial services sector provides Millennium Bank with a solid foundation and access to correspondent banking relationships. These correspondent relationships allow Millennium Bank’s customers to expeditiously conduct their cross-border, multi-currency transactions.
However, if you dig a little deeper you will find that “Millennium Bank is located in Kingstown which is the capital of St. Vincent and the Grenadines (SVG).” A quick pop over to Wikipedia shows that St. Vincent has a population of just 119,000, it’s main industry is banana production, and has an unemployment rate of about 22%. In addition, “There is a small manufacturing sector and a small offshore financial sector whose particularly restrictive secrecy laws have caused some international concern.” Sounds just a tad bit shady, if you ask me.
Their website itself is poorly designed and hardly inspires enough confidence for me to invest $1,000, much less $100,000. They also have a testimonials page that can only be described as a joke, with anonymous testimonials from people ranging from “business owners” to “retired mechanical engineer” to “Monsignors.” Another quick visit to Wikipedia reveals that a “Monsignor” is “an ecclesiastical honorific title for clergy of the Roman Catholic Church.” Surely if an annonymous priest is willing to endorse the bank it must be trustworthy!
They claim to be a subsidiary of the “United Trust of Switzerland, SA” but conveniently mention that “Due to a long-established tradition of providing absolute confidentiality for its premier private clients and its unwavering commitment as a private trust, United Trust of Switzerland does not offer a public website.” How unfortunate. A Millennium Bank analysis I came across over at Investment International gives a mixed review.
In conclusion, I would stay far far away from this bank. Not only is it not FDIC insured, but it’s foreign location makes reclaiming deposits a headache waiting to happen. While it may not be a complete scam, the risks far outweigh the rewards. The classic adage comes to mind – if it’s too good to be true, it probably is.
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14 Comments on “Millennium Bank Review – Scam?”
I was interested in the whole idea that there was this clear scam site on the internet, so I decided to check it out.
I have found evidence that shows that there is actually a great deal of banking occurring on the island. “There is an established offshore banking industry on the island and companies such as Argon LTD., St. Vincent and the Grenadines National Bank and St.Vincent Trust Service can provide you with essential information for the setting up of companies and trusts.” (SOURCE: http://www.svgtourism.com/channels/1.asp?id=23)
stopping by to say hello
From what I read here:
http://www.investmentinternational.com/productA/june.htm
It’s a bank that is less than 10 years old. Sounds to me like a money laundering operation, or something offshore so you can avoid taxes. Why bother? Seems more trouble than it’s worth. And if you really want a Swiss bank account, apparently you can open them pretty easily while you are on holiday there. (One of my friends did this for kicks.)
Many small island nations issue stamps and provide banking services so they can raise their GDP. Think the Cayman Islands. Many more countries offer offshore banking than the Caymans. This is probably one of those cases.
Like they say: if it sounds to good to be true, it’s probably illegal. I would run, not walk away from this “bank” Thanks for providing this forum to expose such dubious offers.
fuck that bank!! lol
Here’s an idea. First of all, if you have the 100K to invest, chances are, you can certainly afford the airline ticket to go down there and check it out face to face. It is very simple to do. For the statement on here with reference to avoiding US taxes on investment accounts? uh, what kind of investor are you? Why do you think people invest OFFSHORE? Of course it’s not FDIC insured. This is NOT in the United States nor applicable laws apply there. I beleive people need to open their eyes here a bit before they invest. This isnt for the casual investor to drop say $326.53 in a CD. Go down the street to your local Mom and Pop investment house and lay your money down and sleep good at night knowing your going to reap the benfits of a terribly low to marginal return. This institution is just fine to do what real investors want it to do…..shelter and relocate assets not wanted to be known by others. What a great concept.
If you did come to St. Vincent you most certainly would be convinced. The son of the Governor General is the Bank’s Controller. The Governor General is not just a Governor General but he is also a prominent Doctor on the island (retired) and shareholder of the prestigious young Island Resort Limited.
Better yet, William Weiss will have his own hospitality to share with you. Perhaps a ride in his luxurious executive jet/s. How about some fine wine and Russian prostitutes. He might even introduce you to his good friend Ralph Gonsalves, Prime Minister and leader of the Unity Labour Party; the most corrupt government ever to hit St. Vincent and the Grenadines.
I would know, I live here.
A quick look at a reference that the bank gives, i.e the IFSA of St Vincent & Grenadines, the local banking authority, reveals that Millenium Bank had its licence revoked by the IFSA on 27 Dec 2006 and will be liquidated. So much for the great rates…
http://www.stvincentoffshore.com/fin_institutions.htm
The following is a complete and updated list of all the banks licensed to conduct international banking business in St. Vincent and the Grenadines under Section 4 of the International Banks Act No. 40 of 2004.
All of the banks listed below carry Class A International Banking Licenses.
If an entity’s name does not appear on this list, this means that it does not hold an offshore banking license of any kind in St. Vincent and the Grenadines. There are at present no banks with Class II offshore banking licenses.
Millennium Bank Inc. 33 BK 2000
Financial Service Centre
Stoney Grounds
Kingstown, St. Vincent
Tel: (784) 451-2100 Fax: (784) 451-2101
Website: http://www.mlnbank.com
Email: client-service@mlnbank.com
Contact: Mr. Marcus Ballantyne
There are two Millennium Banks, apparently, if not more. There is one offering decent though not astronomical rates in Illinois and it is FDIC insured. The one in Illinois is at
http://www.milbnk.com whereas the one offshore is mlnbank.com and does not seem to be even remotely related. Poor choice of name, though, for the newer bank in Illinois!
There are several Millenium Banks in the U.S. They are all above aboard, and, of course, they pay interest that is well below this Millenium.
sounds like people who dont have money and ar,ent concerned about our american economy and like usual are sceptical of any comp. of less than 50yrs “young”.come on people this can be fought in the counrt of law. wake up!
sounds like people who dont have money and ar,ent concerned about our american economy and like usual are sceptical of any comp. of less than 50yrs “young”.come on people this can be fought in the court of law. wake up!
i would like to know where do i find all the info about the banks in switzerland? A pretend-person of finances Alejandro Garcia
thank you