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Multiple intermediaries. Time zones. Regulations. Jurisdictions. Cross-border payments are significantly more complicated than domestic payments. Canada’s payment system isn’t directly connected to Australia’s. And the United States’ payment system is not connected to England’s. Because currencies are closed-loop systems, you can’t physically transfer currencies overseas to make an international payment. Countries simply do not have direct connections to each other’s payment systems. That’s why there’s so much complexity surrounding cross-border payments. Instead, an interbank system is used to credit an account in one country and debit the same amount in another country. Because not all banks have direct relationships with one another, intermediary banks (or correspondent banks) sometimes have to get involved to help enable transactions. The less common the currencies in the transaction, the more corresponding banks will need to be involved. This translates to slower and more expensive transactions. - Each bank will take a processing fee and foreign exchange fee.  - At each stage of the process, the balances will need to be updated for the payee and recipient. -The payment will need to be checked for local fraud and crime requirements, too. - Different time zones, bank opening hours, and holidays will further slow down the payment. The good news is new digital disruptors like Finatec are now on the scene to improve cross-border payments and eliminate the complexity. #internationalbusiness #paymentprocessing #fintech #businessbanking 

How we process international payments? 🌍 Our customers have expressed the need to pay their suppliers and staff who invoice them in currencies other than Euro and Sterling, or who are based outside of Europe. This valuable feedback has inspired the development of our multi-currency payout solution. At Fire, we approach multi-currency payouts by utilising local payment rails. This empowers our customers to make payments in 14 different currencies to countries worldwide. Leveraging these local payment rails allows us to provide international payments at a significantly reduced cost compared to SWIFT transfers. Some prominent examples of domestic payment schemes include ACH in the United States, SEPA in Europe, Faster Payments in the UK, and NPP (New Payments Platform) in Australia. As we rely on local payment rails, payments are limited to accounts situated in the same country as the payment currency. For example, USD payments can only be sent to a USD account based in the United States of America, while AUD payments are designated for AUD accounts held in Australia. When sending a multi-currency payment, you specify the amount you want your recipient to receive in their domestic currency. We'll convert the sending currency, such as Euro or Sterling, to the recipient's currency at the current market rate, providing you with cost and conversion certainty. We are continuously working to enhance our services. If there's a currency that you need but is not currently supported for international payments, we would greatly value your feedback. Are you interested in making payments to your partners abroad? Contact us at [email protected] and facilitate payouts in 14 different currencies! #multicurrency #fintech #DigitalPayments #PaymentsTechnology #paytech #FutureOfBanking #crossborder #crossborderpayments #crossbordertrade #crossbordertransactions #internationalpayments

International fintechs Paysend and Currencycloud sign major global expansion deal #australianfintech #fintech #fintechnews #ukfintech #FX #forex #currency #foreignexchange #payments #digitalpayments #growth #expansion

💼 Exploring International Payment Methods: Enhancing Global Transactions 🌐 Navigating the complexities of international payments is essential for modern businesses and individuals conducting transactions across borders. Here’s a glimpse into various methods available: 🔹 **Wire Transfers**   - **Overview:** Also known as bank transfers or SWIFT transfers.   - **Purpose:** Ideal for larger transactions; offers security despite potential higher fees and longer processing times. 🔹 **International Money Orders**   - **Overview:** Prepaid instruments issued by financial institutions.   - **Purpose:** Ensures secure international fund transfers with limitations on maximum amounts. 🔹 **Credit and Debit Cards**   - **Overview:** Widely accepted for international purchases and ATM withdrawals.   - **Purpose:** Provides convenience with considerations for foreign transaction fees and currency conversion costs. 🔹 **Online Payment Platforms**   - **Overview:** Services like PayPal, Wise, and Payoneer.   - **Purpose:** Facilitates seamless international payments with competitive exchange rates and reduced fees compared to traditional methods. 🔹 **Cryptocurrency**   - **Overview:** Digital currencies such as Bitcoin and Ethereum.   - **Purpose:** Enables swift and potentially cost-effective international transactions, though subject to market volatility. 🔹 **Foreign Exchange (Forex) Services**   - **Overview:** Offered by forex companies and brokers.   - **Purpose:** Provides competitive exchange rates and lower fees for international money transfers, essential for global financial operations. 🔹 **Letters of Credit (L/C)**   - **Overview:** Guarantees from banks ensuring payment under specific trade conditions.   - **Purpose:** Enhances security in international trade, safeguarding both buyer and seller interests. 🔹 **Trade Finance Instruments**   - **Overview:** Includes bills of exchange and documentary collections.   - **Purpose:** Facilitates international trade payments, ensuring goods are delivered before payment, vital for smooth trade operations. Understanding these diverse payment methods empowers businesses and individuals to choose the right tools for efficient, secure, and cost-effective global transactions. Which method do you rely on most for your international financial operations? #InternationalBusiness #GlobalPayments #Finance #Entrepreneurship #LinkedInLearning #accountant #Payment

The system that controls the movement of money across borders is complex! If you look around, everyone is building a tech stack to help international buyers and sellers move money at the speed of lightning. Is this not what we all envision? That we can send money at the blink of an eye? Now, indulge me! How can we solve this complexity? Stablecoins! We have a token that is pegged to a fiat currency like USD or EUR that enables financial transfers at unparalleled speeds while making money available almost instantly. With this payment method, the seller stands to benefit in this way: He/she accesses the funds instantly! This helps the business person to invest the money back into the business as opposed to where they have to wait for the transfer to be cleared by the bank. How does the international buyer benefit? They can receive their products faster without the need to wait for payments to clear! Is that not a promise of an online marketplace? Now, we are seeing global companies such as J.P Morgan, Citi, Visa etc embracing and adopting stablecoins as a means of payment & settlement. This adoption is leading more corporations and financial institutions to look into this new generation of payments. Would you like to be among part of my community to explore this payment innovation? In the comments section, I've shared a link where you can join our waiting list to be among the first to know when our services will be available.

Currency exchange was the biggest financial challenge in 2023 for businesses*. But not for WeRoad. WeRoad avoids this problem by exchanging currencies at the interbank rate and using our multi-currency accounts to avoid hefty fees. Interbank rate available within allowance and during market hours. T&Cs apply. *Source: Revolut Business 2023 payments research in the UK, Ireland and France.

The US-to-Mexico corridor comprises the world’s largest remittance flows, topping $63 billion in 2023, up 7% since 2022 and accounting for up to 4% of Mexican GDP. Stablecoins are typically much more cost-effective than traditional remittances, which cost an average of 6.35% of the face value.

Foreign exchange can be costly for a business, especially in the travel industry ✈ 🏖 ⛵ 🍻 Would you like to be able to be paid in multiple currencies for free? How about no charge for holding multiple currencies, so you can exchange when the rate is more attractive? Would you like to exchange your currency at the interbank rate? Would you like virtual cards that offer cashback for travel agencies? I am sure the answers to all these questions is yes, you would be mad to say no. Send me a message and I can tell you more about how we can do this for your travel business, just like we did for WeRoad Happy Monday

In today's global economy, international payments are undergoing a rapid transformation driven by technological advancements, regulatory changes, and shifting trade dynamics. As businesses expand globally, the demand for efficient, secure, and cost-effective payment solutions has never been higher. However, challenges such as currency volatility and geopolitical tensions persist, underscoring the need for innovative approaches to managing cross-border transactions. Recent developments, such as strategic partnerships between financial institutions and fintech companies, exemplify the industry's commitment to addressing these challenges. From streamlining FX hedging processes to embracing digital trade documentation platforms, these innovations are reshaping the international payments landscape, offering new opportunities for businesses to optimize their global financial operations. This article delves deeper into the trends, challenges, and innovative solutions shaping the future of international payments. #InternationalPayments #Fintech #CurrencyVolatility #GlobalTrade