Wealth, Health & Performance

Published by Corb7 International Inc.

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Crazy Uncle Ted’s Bank Account

May 13, 2025

Entrepreneur & Author

JeffCorbett.com

Would you really want it?   

  ——-

Let’s say for a second that you have a crazy uncle named Ted.  He is genuinely a nice guy but nuts. Ted has recently cleared out a bank account with UBS and now wants to give it to you.  Keep in mind it has zero dollars or euros in it.  Would you want it?  Probably not and why would you.  Lord only knows what old Ted did within that bank account or if he has a debit card still attached to it. Plus, the bank just called, and you are going to need to produce the same background information to take over that account as if you are opening a new one.

It doesn’t make much business sense does it?

Why then would you consider buying a vintage company with an existing account previously owned by a total stranger?  Again, it doesn’t make much business sense does it?  Ahh, but that is exactly what is being sold on the internet.  Plus, for this privilege and a few others of dubious value you will get to pay five to six times the real market value.

Buying a company with an existing bank account can be dangerous due to several financial, legal, and compliance risks. Here’s why:

Unknown Financial Liabilities

  • The account may be tied to outstanding debts, or overdrafts that you’re unaware of.
  • Creditors could attempt to collect from that account after you acquire the company.

Fraud or Money Laundering Risk

  • The account could have been used for illicit activities (e.g., money laundering, fraud).
  • Once the company is in your name, you could be held liable or become a subject of investigation.

Regulatory Compliance Issues

  • Banks have KYC (Know Your Customer) and AML (Anti-Money Laundering) obligations.
  • If ownership changes and the bank isn’t properly informed, it may freeze or close the account.
  • You might be unable to operate the account legally without redoing due diligence.

Hidden Legal Risks

  • The company may have legal claims against it (e.g., lawsuits, unpaid taxes), and the account might be subject to garnishments, liens, or asset freezes.

Reputational Risk

  • If the account has a history of suspicious or unethical transactions, your business reputation may be tainted by association.

The existing bank account pitch has recently reared its ugly head again and at best is nothing more than a sales gimmick with no real value.  If you are tempted to go that direction you will pay dearly for it.

Hope you enjoy this issue and have a great week. 

me

About The Publisher

Jeff Corbett
As entrepreneur, author and magazine publisher with over 25 years’ experience in the global marketplace, I enjoy writing as an advocate for international business and personal freedoms. Thanks to my experiences building businesses I also have a tremendous interest in reading or writing about motivation and self-discipline.