What Is a Multi-Currency Account?
A multi-currency account allows you to hold multiple currencies in one account and transfer funds to a bank or other Payset client with low foreign exchange anywhere in the world.
A multi-currency account can streamline how you manage your finances. Whether for business or personal use, a multi-currency account provides you with added freedom and flexibility and removes barriers to payments and transfer methods.
Here is everything you need to know about multi-currency accounts.
When you exchange funds from one currency to another, we provide the best possible exchange rate taking into account the time of the trade and currency pairs. If, for example, you work with multiple currencies, make purchases in other countries, travel frequently, invest in foreign currencies, pay staff in other countries, or receive payments in other currencies, a multi-currency account can save you time, money, and work compared to a traditional bank account.
From your personal IBAN account, you can transfer money to bank accounts around the world as well as send and receive free and instant transfers to and from other Payset clients. You can send funds using a diverse network of payment networks, including SWIFT, SEPA, Target2, Faster Payments, CHAPS, ACH, FedWire, and more.
When you exchange funds from one currency to another, we provide the best possible exchange rate taking into account the time of the trade and currency pairs. If, for example, you work with multiple currencies, make purchases in other countries, travel frequently, invest in foreign currencies, pay staff in other countries, or receive payments in other currencies, a multi-currency account can save you time, money, and work compared to a traditional bank account.
There are lots of banking institutions and financial services that will aid you in opening a muti-currency account. Often they can allow you to convert and transfer a considerable number of currencies.
Before you open a multi-currency account with any platform or service, make sure you have explored all of the different options available to you and have found the best type of account to suit your financial needs.
How Does a Multi-Currency Account Work?
A multi-currency account works in the same way as a standard bank account or electronic wallet. Although the services provided will change depending on where you choose to open your account and who you choose to open the account with, all multi-currency accounts should allow you to:
In the same way that fees can occur with a standard bank account you may run into additional charges with a multi-currency account.
You could be charged for a number of actions including; making withdrawals, account opening and closure fees, transfer fees, and more.
The frequency or amount of these charges will often vary and if you ask your banking agency they will usually be able to tell you exactly how much you will be charged and which services you will be charged for before you open your account.
When Should I Choose a Multi-Currency Account?
It can be difficult to work out if a multi-currency account is the correct type of account for you and your needs. For those who need a quick way of confirming whether or not they may need a multi-currency account, we have put together a list of common uses for this type of account. If two or more instances or uses apply to you then you may benefit from opening a multi-currency account.
You may benefit from opening a multi-currency account if:
- You send payments and receive funds internationally
- You sell products or services online or across international borders
- You employ staff members who work in other countries
- You often work with international clients
Things to Consider When Opening a Multi-Currency Account
Not everyone needs a multi-currency account. If you’re debating whether to open an account you should consider what your needs and financial goals are first. Make a list of any additional banking services you need or those that will make accounting a little easier for you.
It is also important to consider the overall cost of opening a multi-currency account and weigh up whether the benefits you would receive from having a multi-currency account outweigh the additional charges that come with maintaining the account.
If you are operating a medium to large-scale international business then any additional costs may be worth paying to reap the benefits the account offers. However, if you are an SME or an individual considering opening a multi-currency account then you may have to think about how often you are likely to use the account and if paying the additional fees is worth it.
Do I Need a Multi-Currency Account?
Whether for personal or business use, there is so much more that you can do with a multi-currency account than a traditional bank account.
If you make sales or purchases in foreign currencies, work freelance or pay overseas staff, make frequent currency exchanges, or hold funds in more than one currency then a multi-currency account is definitely for you.
The era of being restricted by a traditional bank account is over. Modern business and life is international. A multi-currency account allows you to swiftly and cheaply move your money across borders and currencies.
Who Would Benefit Most From a Multi-Currency Account?
Global pay roll
- Pay staff with low to no fees
- Make payments in 38 currencies
- Ensure tax and regulatory compliance
E-commerce
- Accept payments in 34 currencies
- Easily withdraw to your bank account
- Send free transfers to/from Payset accounts
Freelancers
- Get paid in 34 different currencies
- Pay less fees on money transfers
- Easily transfer funds to your bank
Affiliate programs
- Pay partners in their chosen currency
- Track all payouts from one dashboard
- Enjoy excellent reporting features
Startups
- Operate globally in up to 38 currencies
- Send/receive international and local payments
- Manage all payments from one dashboard
Marketplaces
- Collect global payments in your own currency
- Reach more clients in more regions
- Easily manage payments from multiple marketplaces
Who Qualifies for a Multi-Currency Account?
You need to be at least 18 to open a multi-currency account and many accounts opened in bank branches are only available to residents of certain countries. You will also need to have enough money to cover any minimum balance requirements when initially opening the account with your provider.
With platforms such as Payset, you can open a multi-currency account as a resident of numerous countries around the world, and you can limit the fees that you would usually incur when transacting with a traditional bank.
What Fees Apply When Opening a Multi-Currency Account?
The biggest disadvantage of having a multi-currency account is that there are significant additional fees and charges that you can incur when making transfers and withdrawals amongst many other services that the account offers.
Many platforms and banks that provide multi-currency accounts will charge you a fee to open to account, there may also be fees per transaction as well as an annual maintenance fee.
While the fees are usually small they are often frequent and can build over time particularly if you are using the account to make multiple transactions per day. There may be some way to negotiate these fees with a bank or financial platform but eventually, everyone has to pay something as the process of international transfers often includes intermediary banks and a lot of people along the line to oversee the transactions and conversions.
If you would like to work out exactly how much you could end up paying in additional fees per year for your multi-currency account you can add up your average number of transactions per year and compare the per-transaction rate and your chosen multi-currency account provider with the kinds of currency exchange rates that you typically see at your bank and decide which would amount to more savings. If you’re making regular conversions, the multi-currency account is likely to be cheaper.
Multi-currency accounts aren’t the only way to make international transfers. In fact, you may decide that there is an easier option for you.
Security with Payset. Protecting Your Money
FCA-Regulated
Pay Set Limited is an authorized electronic money institution incorporated under the laws of England and Wales. Client funds are protected by segregating 100% of client funds from Pay Set's own funds in compliance with the regulatory requirements of the UK.
Audited Regularly
We undergo annual audits to ensure compliance with all FCA regulations for an EMI. In the event of insolvency of Payset, since client funds are segregated from our own in a safeguarding account in a top European bank, your funds are fully protected.
High-Security Transactions
Payset adheres to the highest security protocols available to ensure maximum protection for all your transactions. We comply with all aspects of the EU’s latest Payment Services Directive (PSD2), require 2-factor authentication, and use manual monitoring and machine learning to safeguard all transactions.
Data Protection
We are a fully GDPR-compliant institution that adheres to the EU’s stringent data protection regulations. We are committed to keeping your personal data safe and providing full transparency in how we collect, store, and use your data.
Anti-Fraud Protection
We employ the most advanced anti-fraud measures to protect your money, including KYC and AML regulation compliance, a detailed onboarding process, regular monitoring for unusual transactions, and one-to-one communication to ensure personal service.
Easily Reach Client Support
The Payset team is always available via multiple channels (email, phone, chat, WhatsApp) no matter where you are in the world. We safeguard your funds via both manual and automated processes, and you can easily reach us for assistance or to discuss any concerns you may have.
Alternative Options to Consider Before Opening a Multi-Currency Account
There are many alternatives to opening a multi-currency account. For example, there are also money transfer services and online electronic wallets such as Payset that allow you to send your money in over 34 currencies without the need for a multi-currency account. You can start sending money across the globe or in person today using your existing bank account.
Create A Multi-Currency Account With Payset
Open a multi-currency account with Payset today!
Payset makes cross-border banking easy, affordable, and secure. We are among the world’s premier online payment solutions.
Based in London, England, we make payments easier for clients around the world every day. Choosing Payset for your multi-currency account means choosing personal service, advanced security, and modern convenience. Come see for yourself.
Frequently asked questions
What is a multi-currency account/virtual IBAN?
A Payset multi-currency account allows you to receive money in 34 different currencies and send money in up to 38 currencies, all within the same account.
You can deposit and withdraw funds, convert currencies at competitive exchange rates, and hold your chosen currencies to capitalize on market movements.
A Payset multi-currency account allows startups and business owners to receive payments from clients virtually anywhere in the world and pay suppliers, staff, and contractors quickly and affordably in their chosen currency.
- Funds can be deposited and withdrawn from the account for a small fee.
- Account holders can send and receive money with other Payset users for free.
- Depending on your region, you can use various payment networks from your Payset account, including SWIFT, SEPA, ACH, Fedwire, Faster Payments, BACS, and CHAPS.
- Once you register an account, you will be provided with a Virtual IBAN (International Bank Account Number), which makes all of these transfers easy.
- We provide you with local payments and collections. For example, transactions in USD, EUR, CAD, and GBP are processed through the local payment networks, which is far cheaper and takes minutes as opposed to days
Are there limits on the amount of money I can send and receive?
No, there are no transaction limits on Payset multi-currency accounts.
However, higher-volume transactions may require additional anti-fraud verification. If you plan to make a large transaction, contact us in advance to avoid verification delays.
Which currencies can I send and receive in my account?
Payset allows you to receive payments in 34 currencies. You can send payments from your account in 38 currencies. For more details, check our payment guide.
How do I add money to my account?
You can add money to one of your Payset currency balances in one of three ways:
- Provide the account information to any person or company to pay you funds into the account from any bank account in the world.
- Send money to your account from another one of your accounts in another financial institution.
- Ask another Payset user to send you funds internally.
How do I send money from my account?
Once you have opened your verified IBAN account and added money to a balance, transferring funds is simple.
Simply log in into your account and add a beneficiary, then simply “make a transfer” in your preferred currency to that beneficiary.
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