What is an FBAR and who needs to file?

An FBAR (FinCEN Form 114) is required for any US person — citizens, green card holders, and residents — who has foreign financial accounts that together exceeded $10,000 at any point during the calendar year. This includes Americans living abroad, immigrants maintaining accounts in their home country, and dual citizens. If the total across all your foreign accounts hit $10,000 for even one day, you're required to file.

What's the penalty for not filing?

Non-willful failure to file carries a penalty of up to $16,536 per account, per year. Willful failure can result in penalties up to $165,353 or 50% of the account balance, whichever is greater. Criminal penalties can include up to 5 years imprisonment. The good news: the IRS rarely penalizes taxpayers who come forward voluntarily with non-willful violations.

When is the FBAR deadline?

The FBAR is due April 15 each year, with an automatic extension to October 15. No extension request is needed — it applies automatically. For the 2025 tax year, the October 15, 2026 extension deadline is the current active deadline. We recommend filing as early as possible to stay ahead of the deadline.

How does the FinCEN submission work?

We generate your completed FinCEN Form 114 — both a FinCEN-compliant XML for submission and a PDF copy for your records. We walk you through uploading to the BSA E-Filing system, the same portal CPAs and tax professionals use. The upload takes about 2 minutes. Once submitted, you get a BSA tracking ID as proof of filing, saved in your dashboard alongside your PDF receipt.

How is my data protected?

Your SSN and account numbers are encrypted with AES-256-GCM before they're stored. The encryption architecture means we cannot access your sensitive data in plain text. All traffic uses TLS. Bank statement uploads are encrypted at rest and deleted after data extraction is complete.

What if I have accounts in multiple countries?

You can add as many accounts as you need — there's no per-account charge. We handle currency conversion automatically using Treasury Department exchange rates for the reporting year. Five accounts across three countries is the same $29.

Can I file for previous years?

Yes. You can file for any year going back 6 years. Each year is a separate filing. If you have multiple years of unfiled FBARs, we recommend consulting a tax professional about the Streamlined Filing Compliance Procedures before filing — it can protect you from penalties.

How is this different from using a CPA?

A CPA typically charges $200–500 for FBAR preparation. For straightforward filings, the work involved is primarily data entry — your name, bank details, and account balances. We handle that same process for $29 in about 12 minutes, with bank-grade encryption. For complex situations like delinquent filings, FATCA Form 8938, or tax treaty issues, a CPA is the right choice.

Can I file myself for free on the BSA site?

Yes, the BSA E-Filing system at FinCEN is free and open to the public. It's a functional but dated system — no save-and-resume, no currency conversion, and no error checking before submission. Most filers report it takes 45–90 minutes. FBAR File provides a modern interface with automatic currency conversion, error detection, and the ability to save your progress for $29.

Is my data really safe?

We use AES-256-GCM encryption — the same standard used by the US government for classified information. Your SSN and account numbers are encrypted before they're written to our database, using a key derived from your account. We cannot read them in plain text. Bank statement uploads are encrypted at rest and automatically deleted after data extraction.

FBAR Signature Authority: When You Must Report Accounts You Don't Own

What Is Signature Authority?

Signature authority means you have the power to control the disposition of money, funds, or other assets held in a financial account by direct communication to the financial institution. In plain English: if you can withdraw money, write checks, or direct transactions on a foreign account, you have signature authority.

Why It Matters for FBAR

The FBAR requires reporting accounts where you have a "financial interest" or "signature authority." These are two separate triggers. You can owe an FBAR filing even for accounts where you have zero ownership — the ability to transact is enough.

Common Signature Authority Situations

Corporate officers: If you're a CFO, treasurer, or officer of a US company with foreign bank accounts, you likely have signature authority over those accounts. The company's accounts must appear on your personal FBAR.

Nonprofit board members: Board members authorized to sign on the organization's foreign accounts have signature authority.

Family accounts: If a parent or relative added you as a signer on their foreign account "just in case," that's signature authority.

Business partners: If you can transact on a foreign business account, even if you don't own the business, report it.

The Exception: Employees with No Personal Interest

There is a narrow exception for employees or officers with signature authority but no personal financial interest, if the account belongs to: - A bank examined by the OCC, Federal Reserve, FDIC, or OTS - A financial institution registered with the SEC - An entity with equity securities registered under Section 12(g) of the Securities Exchange Act - An entity that has a class of equity securities listed on a US national securities exchange - A US government entity

If your employer is a publicly traded US company, their foreign accounts may fall under this exception. For private companies, partnerships, and foreign entities — no exception.

How to Report Signature Authority Accounts

On the FBAR, signature authority accounts are reported in Part IV (as opposed to Part III for accounts you own). The key fields:

The financial institution details (same as any account)
The account owner's name (the entity or person who owns the account)
Your title or role (e.g., "CFO," "Treasurer," "Director")
The maximum value of the account

The Maximum Value Question

Report the full maximum value of the account, not just the amount you're authorized to control. If a company account peaked at $5 million and you're an authorized signer, report $5 million.

Filing with FBAR File

When adding an account in FBAR File, select "Signature Authority" as the ownership type. Enter the account holder's name and your title. We'll route it to the correct section of the FinCEN form.