Have you been looking for a way to be able to receive payments from European or American customers or friends and family who live in the UK or the US? Are you wondering how you can receive payments into your Nigerian bank account from the US or anywhere in Europe with the lowest fees possible? Are you looking for a way to withdraw money from various sites that support only previously mentioned bank accounts or PayPal? You are in luck, as we welcome you to the PayoutStream guide on ‘How To Open a European or American Bank Account from Nigeria‘.

Let’s get right into it. You might have heard about Transferwise. Commonly used for making international money transfers. Transferwise stopped this service for Naira a few years ago due to uncertain reasons that included their loss of confidence in the value and stability of Naira. After some time, however, in 2017, they regained their confidence and from that moment onwards, Nigerians abroad have been able to send money to their relatives and friends, constructors, and businesses with some of the lowest rates available. 

In addition to being able to send money abroad or while abroad, Transferwise recently added a new service to their portfolio: the Borderless Account. We at PayoutStream love the borderless account. Let us see exactly what it is.

What is the Borderless Account?

The Transferwise borderless account is almost like a bank account you get when you open a FREE user account with Transferwise. There are no monthly fees and no subscription fees. With your borderless account, you get instant international bank details to receive money from over 30 countries around the world with zero fees. That means you’ll get:

  • Australian account number and BSB code
  • British account number and sort code
  • European IBAN
  • US account number and routing number
  • New Zealand account number

By gaining access to these details, you can easily collect payments or money transfers from anyone (an individual or a business) from these countries and no one pays any fees! How, you might ask? Well, a wire transfer from a bank account in Germany to France is free (Eurozone transfers). Because you have a European IBAN bank account, the sender from any European country can make a transfer to your account for free. Similarly in the US, the UK, Australia, and New Zealand. Simply give the sender the details of the bank account that their currency is in. For example, let us assume you need to get paid from the US (either a company or an individual), simply give them your fresh US account number and account details you will see on your Transferwise dashboard.

In addition to the zero fee transfers, you will get to hold and convert over 40+ currencies in your account. Including Naira!

Argentine Peso
Australian Dollar
Bangladeshi Taka
British Pound
Bulgarian Lev
Canadian Dollar
Chilean Peso
Chinese Yuan
Croatian Kuna
Czech Koruna
Danish Krone
Egyptian Pound
Euro
Georgian Lari
Hong Kong Dollar
Hungarian Forint
Indian Rupee
Indonesian Rupiah
Israeli Shekel
Japanese Yen
Kenyan Shilling
Malaysian Ringgit
Mexican Peso
Moroccan Dirham
Nepalese Rupee
New Zealand Dollar
Nigerian Naira
Norwegian Krone
Pakistani Rupee
Peruvian Sol
Philippine Peso
Polish Zloty
Romanian Leu
Russian Ruble
Singapore Dollar
South African Rand
South Korean Won
Sri Lankan Rupee
Swedish Krona
Swiss Franc
Thai Baht
Turkish Lira
Ukrainian Hryvnia
United Arab Emirates Dirham
US Dollar
Vietnamese Dong

Argentine Peso
Australian Dollar
Bangladeshi Taka
Brazilian Real
British Pound
Bulgarian Lev
Canadian Dollar
Chilean Peso
Chinese Yuan
Colombian Peso
Croatian Kuna
Czech Koruna
Danish Krone
Egyptian Pound
Euro
Georgian Lari
Hong Kong Dollar
Hungarian Forint
Indian Rupee
Indonesian Rupiah
Israeli Shekel
Japanese Yen
Kenyan Shilling
Malaysian Ringgit
Mexican Peso
Moroccan Dirham
Nepalese Rupee
New Zealand Dollar
Nigerian Naira
Norwegian Krone
Pakistani Rupee
Peruvian Sol
Philippine Peso
Polish Zloty
Romanian Leu
Russian Ruble
Singapore Dollar
South Korean Won
Sri Lankan Rupee
Swedish Krona
Swiss Franc
Thai Baht
Turkish Lira
Ukrainian Hryvnia
United Arab Emirates Dirham
US Dollar

As mentioned earlier, all these services are available for individuals as well as businesses. If you want to get paid by someone in GBP, USD, AUD, EUR, or NZD, then the sender does not have to have a Transferwise account. In addition to the previously mentioned lovely services, it is also possible to get a free Transferwise MasterCard debit card. Although the official statement is that currently, only European customers are able to get the card sent to them, it is possible to get a beta invitation for the card. To do so, simply open a Transferwise account HERE and verify your account. See the short tutorial below on how to do that. These cards will not be sent to everyone, but you might just try your luck!

Pricing

Alright, all this sounds lovely and exciting, but we all know what really matters, right? How much does it cost to use Transferwise? Fortunately, Transferwise is very transparency oriented and all costs will always be shown to you upfront. That might be the reason why they have an ‘excellent’ label with a 9.2/10 trust score on the popular Trustpilot reviewing site. Let us review some of the most popularly asked questions about the fees related to Transferwise:

This list might leave you wondering, so how do they make money? There are a few transactions that Transferwise might charge you a fee for. 

  1. Adding money to your balances: if you do that via a bank transfer to your borderless bank account, then it is free. However, debit and credit cards may have a fee. Please note that you can not directly transfer Naira to your borderless account. You can send many other currencies, however, and then convert them into Naira. Withdrawing Naira is easy and cheap, as usual to Transferwise. Let us repeat that, you can send and receive about 40+ currencies and convert them to Naira or withdraw them as Naira. However, you can not deposit Naira directly to your borderless account. This can be done only by having another currency in your local bank account, which in turn can be converted into Naira if you so wish. When withdrawing, you can choose to either convert any of the currency you have on your borderless account into Naira and withdraw it OR simply withdraw any currency you have and Transferwise will automatically convert it into Naira. Which leads us to another point:
  2. As seen on the above table, Transferwise charges you when you convert between currencies (either during the withdrawing process or if you simply choose to convert your US dollars on your borderless account into Naira, for example). The exact amount depends on the currency and the exchange rate. However, the good news is that Transferwise always charges you the mid-market exchange rate, which means the exchange rate you can find on Google is the rate they charge you. No markup fees for Transferwise!
  3. Another time you will be charged something is during withdrawal. This is always a fixed fee and depends on the currency. The fee for withdrawing Naira is 360NGN. 
  4. The last time you could be charged money is when you use your Transferwise Mastercard debit card. It is FREE if you have the currency available at your borderless account. However, if you are visiting Nigeria and you have only Pounds on your account, you will be charged the conversion fee mentioned in the second point. Please note that if you received your Transferwise debit card in the US, then you cannot use it in Nigeria. Cards received elsewhere will be fully functional.

You can check out all the current charges by clicking HERE. Choose the tab ‘Borderless account’, click on ‘Pricing’ and go to the last line on the first table where it says ‘Add money to your account’. Click on ‘See price checker’. If your friends or customers have a Transferwise account as well, then transactions between you two are free of charge!

How to open a Transferwise borderless account?

We have a video tutorial available for this, as well as a tutorial with our live deposit to our Transferwise account and a transfer to our personal Nigerian bank account. Please click HERE to see our video tutorials and if you like what you see, like and subscribe to our channel (if the link does not work at the moment, please accept our apologies, we will do our utmost to update the link soonest).

The step-by-step guide:

Step 1: Click HERE to open your free Transferwise account. You can either click on the ‘Borderless account’ tab in the header and then click on the light blue button ‘Get your free borderless account’. 

The second way is to simply click ‘Register’ on the home page. Every registered account with Transferwise is essentially a borderless account.

Step 2: Choose either you want to open a personal or business account. You can switch between them without logging out once you have registered for both. If you do plan to use a business account as well, we strongly advise you to open it as soon as possible, as the verification for business accounts can take longer than for individuals. 

Once you have chosen your account type, enter your personal details. It is of utmost importance that this information is correct. Please double check.

Step 3: You will receive a message with a code to set up your 2-step login. This ensures the security for your account and you will always be sent a message to your phone in order to access your account.

Step 4: Verification. If you plan to use Transferwise to transfer money, you will be required by law to verify yourself (for smaller amounts you might not initially need to verify). Do not worry, the process is fairly easy.

You will need to provide a valid ID: it can be a passport (a photo page only) or your national card (note that Transferwise accepts only the new type!).

You will also need to provide a valid proof of address. That can be: a bank or credit card statement (photo/scan of a physical letter or PDF of statement); vehicle registration; photo driving licence showing your address and expiry date; utility bills: gas, electric, or landline phone (no mobile phone bills); any other government or financial institution-issued document.

It is possible that you might be asked to do a ‘selfie verification’. That means you should take a picture of yourself holding your valid ID.

The verification process usually takes up to 2 working days. However, in our example, it took about an hour. If you plan to transfer money right away, please verify your account first, as this might delay your transfer because they will not process it until your account has been verified. 

Step 5: By now you have a functioning Transferwise account! Well done! However, to fully utilize it, head over to ‘Balances’ on the left side of the dashboard. Once the page has loaded, click on ‘Add a balance’. You can choose any of the 40+ currencies to hold or convert your money into. You can open any of these balances for free. 

To get access to the free European, UK, or American bank account, repeat the previous step: click on ‘Add a balance’ and confirm. You will see the currency will pop up on your dashboard under the heading ‘Balances with local bank details’. Click on the currency and you have all your bank details there. The next step is to send the details to anyone you need to get paid from. These could include freelancing websites like Fiverr, betting websites while doing matched betting, e-commerce sites, customers around the world or simply friends and family.

The last step would be to add money to any of your balances. This could be done free of charge if you transfer any of the currencies that you have local bank details on Transferwise. 

We truly hope our tutorial has helped you in any way, be it having more options to do international transfers, collect money cheaply from businesses overseas or simply send money to your loved ones with the best price possible. We hope tutorials like this encourage Nigerians to look beyond the country and continental limits and grasp the wast opportunities awaiting in the world of e-commerce, international business, and many more. Due to advancements such as Transferwise, we have the opportunity to sell our ideas, products, and services to almost anyone in the world without technological limitations when it comes to payments and processing. If you enjoyed or gained new insights from reading our post, please share this with all your friends. If you need ideas on how to make money online via Fiverr, matched betting or affiliate marketing, please read some of our posts regarding such material from here:

How to Make Money Online Selling eBooks 

How to Make Money with Matched Betting in Nigeria 

How to Create a Blog in Nigera under 30 Minutes

If you have any questions about our post or about Transferwise in general, please do not hesitate to comment and we will do our utmost to get back to you as soon as possible.


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