Multi-currency account 101: What it is and how it works

Key takeaways: 

• Cross-border B2B transactions are projected to exceed $42.7 trillion by 2026, making multi-currency management a critical priority for growth¹.

• A multi-currency account allows you to receive, hold, and send various currencies without needing separate bank accounts in different regions.

• Airwallex’s Multi-Currency Accounts provide access to local account details around the world so you can send and receive money quickly anywhere you operate.

In 2026, cross-border B2B transactions are projected to exceed $42.7 trillion, driving a 25% surge in business adoption of multi-currency accounts¹. As 92% of banking leaders pivot toward real-time solutions to bypass legacy banking constraints (a trend highlighted in the 2025 Global State of Business Banking report), companies are slashing foreign exchange (FX) costs by up to 90%, as seen in modern fintech implementations like those by Airwallex².

This shift has resulted in a 90% satisfaction rate among early adopters, a stark contrast to the 40% typically seen in traditional banking environments². This transformation isn't limited to corporations; personal adoption is rising 10% annually as digital nomads and expats seek the same transparency¹. 

Whether for a global enterprise or an individual traveler, multi-currency accounts save an average of $40 to $100 per thousand dollars transferred, replacing slow, expensive wire transfers with instant, borderless financial freedom. Below, we explore how multi-currency accounts work and the key benefits and challenges.

What is a multi-currency account?

A multi-currency account is a specific type of account that allows you to receive, hold, convert, and send funds in multiple currencies all in one platform, enabling lower transaction costs. For example, you can collect in EUR or GBP to use or convert to US without mandatory conversions or hidden fees.

Unlike a traditional bank account that is limited to a single domestic currency like USD, a multi-currency account provides you with a single platform to manage various global currencies such as EUR, GBP, AUD, and more.

How does a multi-currency account work

Multi-currency accounts provide the user with local bank details for multiple countries within one centralized platform.

• Local Rails: When you receive money, it arrives via domestic payment networks (like ACH in the US or SEPA in Europe), avoiding expensive SWIFT fees.

• Currency Conversion: You can convert balances between currencies at real-time interbank rates.

• Consolidated Management: You view all your balances (e.g., $5,000 USD, £2,000 GBP, €3,000 EUR) in one interface, simplifying your global accounting.

With Airwallex, you can hold and exchange over 20 currencies, including USD, EUR, and GBP, at interbank rates. You may also receive local bank details (routing, account numbers) to accept USD and other currencies via domestic rails.

What are multi-currency accounts best for?

Anyone can use multi-currency accounts, whether businesses or individuals, and both find them indispensable for saving money and improving efficiency. 

Business with global operations

Enterprises dealing with international suppliers or remote teams can pay and get paid like a local, eliminating the “ transaction fees” or  "forced conversion" that happens with traditional banks.

Frequent Travelers

Avoid the high markups of airport kiosks or standard credit card foreign transaction fees by spending directly from a local currency balance.

Freelancers

Independent contractors working for international clients can provide local account details to ensure they receive their full invoice amount without it being eaten by intermediary bank fees.

E-commerce businesses

Sellers on platforms like Amazon or Shopify can collect revenue in the currency customers pay in, holding those funds to pay international manufacturing costs later.

When not to choose a multi-currency account?

A multi-currency account does save money and improve efficiency, but it might be unnecessary for certain groups. 

• Your financial transactions are 100% domestic: It isn’t necessary to have a multi-currency account if you only receive your local currency. You can simply open a local bank account.

• Low international activity and low-value transactions per year: A multi-currency account offers little financial or practical advantage if you only make one or two small international purchases per year. Standard bank transfers usually handle these transactions efficiently already. 

• Require physical branch services in multiple countries: Most multi-currency account providers are on a digital-first model. If physical presence or local banking relationships are essential, a standard local bank account will be more appropriate. 

Benefits of having a multi-currency account

Multi-currency accounts offer several benefits, including:

• Quicker transfer times: Multi-currency account providers may have partnerships with local banks and financial institutions 

• Lower transaction costs: Better exchange rates and lower fees for currency conversion than banks

• Streamlined financial operations: You can access multiple currencies on one platform. 

• Better cash flow: Holding funds in the original currency until exchange rates are favorable.

Challenges of having a multi-currency account

Even though multi-currency accounts have tons of benefits, they come with a few challenges, including: 

• More compliance requirements: Due to AML (Anti-Money Laundering) laws and reporting obligations, opening a multi-currency account may require extensive documentation.

• Variable transaction limits: Some providers may have limits on how much you can hold or transfer in specific currencies or for a specific period of time.  

• Digital-only support: Most providers don’t have physical branches, which may be a hurdle for those who prefer in-person banking.

• Low interest rates and variable fees: While some multi-currency accounts provide low or zero fees for currency conversion, they do have high charges for account maintenance, ATM withdrawals, or wire transfers. Also, generally speaking, these accounts do not provide an attractive interest compared to traditional bank accounts. 

Are multi-currency accounts safe?

Yes, multi-currency accounts are generally safe if you select a reputable and regulated provider. 

Modern fintechs like Airwallex are regulated by financial authorities in every region they operate. Airwallex utilizes: 

• Safeguarding: Funds are held in ring-fenced accounts at tier-one banks.

• Encryption: High-level PCI DSS compliance and SOC1/SOC2 security standards.

How to choose a multi-currency account

When comparing providers, look at the number of supported currencies, the transparency of FX margins, and the ease of integration with software like Xero or QuickBooks.

There are a few key features to compare, including:

• The number of currencies:  A user can change how your global business operates.

• Fees and exchange rates: They can affect your costs, and you should look for a provider that helps you reduce costs.

• The speed of processing: It varies depending on whether they leverage local infrastructure or use banking partnerships.

As you compare business account providers and check out demos, don’t forget to consider your future goals. While you might only operate in a few countries now, you’ll benefit from an all-in-one solution like Airwallex that can support continued international growth. Apart from the ability to collect, manage, and move money globally, our multi-currency ability also lets you control and track your international business expenses and accept payments from your international customer base. 

Business  vs. personal multi-currency accounts

The main difference between business and personal multi-currency accounts is that business accounts offer advanced features such as invoicing, multi-user access, and system integrations, along with better cost control. Personal multi-currency accounts, on the other hand, are simpler and designed for individual travelers or occasional foreign transactions, but they lack business tools and compliance benefits. 

The Business Multi-Currency Account

Best for: Freelancers, SMEs, and E-commerce sellers (Amazon, Shopify, etc.).

• Local Bank Details: This is the "killer feature." You get unique IBANs, Routing Numbers, and Swift codes for different countries. To a client in London, you look like a local UK business, which builds trust and avoids expensive international wire fees.

• Batch Payments: If you have 50 freelancers to pay in 10 different countries, business accounts let you upload one file to pay them all at once.

• Accounting & Tax: Most business accounts sync directly with software like QuickBooks or Xero. This automates your bookkeeping by tagging transactions with their equivalent value in your "home" currency at the time of the trade.

• Team Management: You can issue physical or virtual debit cards to employees and set individual spending limits in specific currencies

Why Airwallex is good for eCommerce

Airwallex empowers eCommerce businesses by allowing them to collect revenue in local currencies, effectively bypassing the high conversion fees often charged by global marketplaces. By holding these funds in a multi-currency wallet, sellers can pay international suppliers or manage digital ad spend directly, protecting their profit margins from unnecessary FX markups. Our platform integrates seamlessly with major online stores like WooCommerce and Magento, providing a unified financial ecosystem that simplifies global scaling.

The personal multi-currency accounts

Best for: Travelers, digital nomads, and people with family abroad.

• Simplicity: Designed for individual use. You can pay for a coffee in Paris using a travel card linked to your Euro balance without paying a 3% "foreign transaction fee."

• Cost-Effective: Often has no monthly maintenance fees. You typically only pay the mid-market exchange rate when you swap currencies.

• Legal Note: You should not use a personal account for business transactions. Many providers (like Wise or Revolut) will flag or close personal accounts if they see constant business-related incoming transfers, as it violates their Terms of Service and complicates Anti-Money Laundering (AML) checks.

Understanding multi-currency accounts vs. wallets

The fundamental difference lies in how money enters versus how it is stored. A multi-currency Account acts as a formal banking gateway, providing unique local bank details (like IBANs or Routing Numbers) to receive third-party payments. In contrast, a Wallet is a digital storage hub designed for holding, converting, and spending funds, but it often lacks the formal infrastructure to receive direct "bank-to-bank" transfers from customers.

The Airwallex Advantage: A Unified Financial Ecosystem

Airwallex bridges this gap by integrating both functions into a seamless "Hub and Spoke" model, allowing businesses to collect, hold, and spend globally without the friction of traditional banking.

• The "Spokes" (Global Accounts): These function as your international collection network. Airwallex provides you with dedicated local bank details in 60+ countries. These accounts allow you to receive payments from customers in their local currency (e.g., USD via ACH or EUR via SEPA) as if you had a physical bank branch in their country.

• The "Hub" (The Wallet): This is your central treasury. Once funds enter a Global Account, they flow instantly into your Multi-currency Wallet. Here, you can hold balances in 20+ currencies, perform real-time FX conversions at market-leading rates, or bridge funds to your Airwallex Corporate Cards for immediate spending.

How Airwallex supports multi-currency accounts

Airwallex offers Global Accounts that scale with your business. We provide:

• Access to 20+ currencies.

• Local account details for the US, UK, EU, HK, and more.

• Zero monthly fees and competitive interbank exchange rates.

• Integration with global payment gateways to streamline your checkout process.

Examples of  multi-currency accounts providers

Business multi-currency accounts

• Airwallex: Best for eCommerce and other high-growth businesses needing deep software integrations and local account details in 20+ countries.

• Wise Business: Known for transparent, flat fees and ease of use for small enterprises.

• Revolut Business: Preferred by companies requiring robust tools for managing team spend.

Personal multi-currency accounts

• Revolut: Great for travelers seeking a user-friendly app interface.

• Wise: Ideal for individuals needing simple, mid-market rate transfers with high transparency.

• HSBC Global Money:  A solid bridge for those who want multi-currency features within a legacy bank environment.

Alternative to multi-currency accounts 

If a multi-currency account isn't right for you, alternatives include:

• Corresponding Banking: Traditional SWIFT transfers through your local bank.

• Digital Wallets (PayPal/Venmo): Good for small P2P transfers but usually carry high FX fees.

• Credit Cards with No Foreign Transaction Fees: Useful for spending, but not for receiving or holding foreign business revenue.

Our methodology for evaluating multi-currency providers

To create our comparison of multi-currency accounts, we looked at dozens of online providers in the US and evaluated them on key factors such as account fees, minimum deposits and account balances, currency support, and global functionality. 

We also considered digital-first features, like mobile apps, fully online applications and account activation, and small business software integrations. In addition to examining the providers’ websites, we read numerous reviews from industry experts and users on social media platforms and review sites, such as Reddit and Trustpilot.

Frequently asked questions about multi-currency accounts

1. How many currencies can I hold in an Airwallex account?

With Airwallex, you can hold, convert, and manage over 20 currencies in your Global Account, including major currencies such as USD, EUR, GBP, AUD, and HKD.

2. How do local account details reduce fees?

Local account details enable payments to be processed via domestic payment rails, rather than cross-border SWIFT transfers, helping you avoid intermediary bank fees and expedite settlement times.

3. Can a multi-currency account help me avoid forced conversions?

Yes. By holding and spending in the same currency, you can avoid unnecessary currency conversions, thereby protecting your margins and enhancing control over working capital.

Sources:

1. https://www.juniperresearch.com/press/b2b-cross-border-payment-transaction-values/

2. https://www.tech-channels.com/techchannels-blog/92-are-concerned-about-current-levels-of-legacy-systems-and-technical-debt