Currently, with daily improvements and updates in the sphere of technology, human life has become more convenient and comfortable. After the discovery of the virtual world and specific services in this regard, people can see a very high level of the future. Such changes and improvements affected many spheres of our life. In the case of finance, new payments systems, the crypto world, and new opportunities in this regard made life easier for each of us. Yet, transferring money from one country to another is still not convenient as it should be. Many negative features such as high fees and long processes, make people see this action as one of the hardest and most expensive processes.
However, multi-currency accounts solve this issue. With such an account, transferring money is simple and you will be able to control your money in different currencies in your account. Such services will be perfect for international businesses and personal needs. In this short article, we want to tell you all that you need to know about multi-currency accounts. If you still don’t know enough information about multi-currency accounts or you are not sure that this type of account can be helpful for you, we suggest you read this article until the end.
Do you know what a multi-currency account is?
There are many ways to define a multi-currency account. Yet, simply, in place of opening many different bank accounts in different countries with different currencies, you can open a multi-currency account and control your money in different currencies in your account. By using this way, fewer fees will be charged and less time will be wasted. Currently, some banks and financial institutions are offering users to open multi-currency accounts with access to the US dollar, Canadian dollar, Chinese yuan, and more.
The perfect use of a multi-currency account is that people will be able to transfer their money from their comfort zone to another country as quickly as possible with fewer fees compared to the traditional ways. The multi-currency account allows users to receive funds in different currencies and spend them in other currencies without any additional fees. By increasing the number of banks and institutions that offer multi-currency accounts, it is better to check different variants and services before making a choice.
How does a multi-currency account work?
People think that multi-currency accounts operate in very different ways compared to what we use now. However, we want to inform you that this is the wrong idea about foreign currency accounts. Such accounts operate almost the same way that today we use our bank accounts in the online format. You can enter your account in a different country, make payments, send, receive and make online activities in the same way as today’s bank accounts. The main difference is about fewer fees, using currencies in different regions, faster and without additional procedures. Yet, the important part is to know more about foreign currency accounts before opening one and know if such an account works for you.
Multi-currency accounts: pros and cons
As said before, multi-currency accounts are a perfect financial service with many abilities. However, users should be sure that it works for them before opening an account. In this regard, we believe, if you know your needs completely and expect from your banking account, with the following information about the advantages and disadvantages of foreign currency accounts, you will be able to make your choice and no doubt more.
Benefits of foreign currency accounts
By reading the following points, you will be able to know about the benefits of multi-currency accounts.
- Having and controlling your money in more than one currency
- Faster and quicker money transactions
- Ability to check, manage and make different types of activities with your money from any country in the global community.
- Possibility to use the debit card provided by a financial institution for making instant transactions.
- Simple and easy online actions with a multi-currency account. (Online platform)
- Fewer fees to be charged for any transactions especially in different countries and with other currencies.
Drawbacks of foreign currency accounts
For sure, any new technology and possibility is not perfect. There are several points that we need to mention here so you can see the weak side of multi-currency accounts.
- The limit number of currencies that are covered and can be covered by users
- Limitation in banking payment systems. Visa and Mastercard not supported
- Fees for creating a multi-currency account
- Fees for making transactions to another country.
Yet, using digital banks in place of classic types can change the negative features of foreign accounts. It will be beneficial for users to know more about digital banks that are providing multi-currency accounts, to make the best choice possible.
Who needs a multi-currency account?
By what I said previously, now you know more about the definition, pros, and cons of foreign accounts. Yet, if there are still some doubts about opening or not opening such accounts, we made your life easier here. By answering the following questions, you will understand if a multi-currency account can be helpful for you or if it will not be useful for you. Should be noted, if your answer is “Yes” to all questions below, you should start to find the best and most suitable service for yourself as quickly as possible.
- Do you have an international business that needs to make payments in different countries?
- Do you send money to any family members or friends that live in different countries?
- Do you work with freelancers or remote workers that are based in different countries?
- Do you have international clients?
- Do you sell or buy goods from different countries?
- Do you need to make international payments regularly?
How to choose a service?
The main point that you will need to pay attention to help you in choosing your service, is the amount and volume of your transactions to other countries. Also, how many times usually you will need such transactions. For instance, large and average size businesses can enjoy the multi-currency accounts that operate from banks. Such options can support and cover all your transactions needed and also users can enjoy the additional services and features.
On the other hand, for small businesses, digital banks will be perfect alternatives. Such banks can cover all types of transactions and make it quick and instantly with fewer charges than usual and traditional ways. Currently, so many digital banks are operating by offering multi-currency accounts to their users. We can name Wise, Payoneer, etc. Knowing more about such digital banks that provide multi-currency accounts, can help users to make the right choice.
Other options to a multi-currency account
With improvements in the sphere of technology and electronics, currently, many platforms and companies are available and operating that can be counted as the best alternatives for foreign currency accounts. For sure there are some advantages and disadvantages to such alternative options. Yet, no fees for conversion in time of sending and receiving money is a perfect feature of almost all alternative options too. Here we can name Wise, Payoneer as good options in this regard.
It is worthy to know, alternatives provide fewer fees compared to bank options. However, the downside of alternatives is about no rates and interest will be added to your balance compared to bank options. Although, knowing about alternative options is important and can give you ideas about futures in this regard.
Top 5 multi-currency accounts
As mentioned before, currently there are many banks and digital banks that offer multi-currency accounts or services in this regard. Such as HSBC, DBS, Citibank. Yet, below, we reviewed the 5 most popular among users.
- Payoneer
Payoneer is one of the most popular financial platforms among users, especially in the USA. It is providing some payment offers that make life easier for its customers. Shortly to say:
- With Payoneer, users can send and receive money with the use of an e-wallet
- Users can make a wire transfer or online payments
- Also, they can use Payoneer cards
- A virtual bank account and also prepaid Mastercard debit card of Payoneer
- There are so many huge and famous companies today cooperating with Payoneer
- No minimum balance needs with Payoneer
- Supports more than 5 currencies
- Free money transfer to Payoneer account
- Cheap
- Payeer
Payeer is an online platform that provides users opportunities concerning cryptocurrencies and to easily use this new currency. This platform is designed in a multi-currency format and users will be able to deposit, buy, sell and withdraw cryptocurrencies via this online platform. Some of the main features of Payeer are:
- Currently, Payeer is supporting 7 different cryptocurrencies. The main ones are Bitcoin, Ethereum, DASH, etc.
- Payeer is also supporting the withdrawal and deposit of fiat currencies, trade of fiat-fiat, and crypto-fiat.
- Customer service that is available for users 24 hours,
- The mobile app that is easy to use and available for both Android and iOs users,
- Low fees and commissions.Wise
- Revolut
Revolut is an online platform that provides users with some financial services to have better management of their money and more possibilities in the future. Here we want to mention some of the main features and advantages of this online platform:
- Users will be able to make payments in more than 30 countries,
- Split the bills easily,
- Have the budgeting tool for their expenses
- Get cash bags and bonuses from popular online sites
- Revolut is allowing customers to link all their accounts to this platform, so in this case, everything will be available in one place, and controlling it will be easier.
- This platform is giving the ability to users to make a money transfer easily and has perfect exchange rates
- This platform provides opportunities for investment and cryptocurrencies.
- MuchBetter
Muchbetter is counted as one of the most awarded e-wallets apps that not just provide banking activities, but also offer a secure atmosphere for the ease of their customers. There are specific features about this brand that made it more popular than other platforms such as:
- The Importance of Security for Muchbetter. Muchbetter is protecting the information of their users not just with touch ID, device pairing, or dynamic security codes,
- Also, Muchbetter is offering a contactless way of payment, an easy joining process, and a perfect user experience.
- Muchbetter is having 7 different offices around the world and the mobile app of this platform can cover 17 different languages.
- Wise
The last and one of the most popular institutions that offer multi-currency accounts in most countries in the world is Wise. It is not like a bank and not any loan offers. Yet, several features made this platform more popular among users around the world:
- Holding, sending, and receiving money in more than 50 different currencies
- You can use the debit card of Wise and use your money in different countries
- No minimum balance needs
- Quick and easy transactions to many regions
Conclusion
The global community is changing and daily we face new improvements and discoveries especially in the sphere of technology and electronics. In this regard, we need to move on with all updates and enjoy the benefits and services that are trying to make our life easier and simpler than before. The multi-currency account is one of the important steps to a better and modern future. Businesses of different sizes can enjoy this account’s offers and improve their companies in the international community.
As mentioned in the article, Multi-currency accounts can make a huge change. But users should read and know more about such accounts and banks that are providing services to know if they will work for them or not. Thanks to alternative options that are providing us with foreign currency accounts such as Payoneer and Wise, today everyone can try and use such platforms. We believe, by using multi-currency accounts in this digital world, the future can be more convenient and comfortable for everyone.
