Have you been navigating the web looking for virtual bank account providers around the world? Or in specific continents such as America, Europe and Australia? Then you are in the right place You can create a virtual bank account using the web or app of the virtual bank account providers without having to visit a bank. Virtual banking can be accessed from many countries in the world.
Virtual bank account providers
Countries such as the US, the UK, the EU, India, Brazil and some African countries such as Nigeria can have free virtual bank accounts with instant virtual debit card or prepaid credit cards
You can also open non-residents accounts and multicurrency accounts with account providers such as Wise and others.
Virtual Crypto bank accounts are also on the rise. There are a number of new banks that offer services for both the normal moneys and cryptos, for example Nuri, Revolut and Wirex.
What is a Virtual Bank Account?
A virtual bank account is an account offering banking services electronically. This means that you can access banking services through a virtual online bank account without having to visit a physical bank. When you open a virtual bank account, you get a virtual bank account number.
Are Virtual Banks Secure?
Similar to brick-and-mortar bank, virtual banks are regulated by financial regulatory authorities in countries they operate in and customers’ deposits are insured. Additionally, virtual banks have to meet Payment Card Industry (PCI) compliance requirements to ensure that clients’ data is secured. Virtual banks that are not fully licensed banks operate in partnership with traditional banks to protect account holders’ funds.
How Virtual Bank Works
A virtual bank account is an online bank. To start using one, you will need to first open an online virtual bank account by filling an online application on the bank’s website or its banking app. You will then need to make a deposit to the account. Depending on the bank, some virtual bank accounts come with a personal IBAN number or business IBAN number. Moreover, some banks provide crypto banking services.
How to Open Virtual Bank Account
It is even more easy to open a virtual bank account today. It can be done by just simply filling out an online application or download the app and register. Most virtual banks would not require you to make deposits immediately but would need to confirm your identity in the long run. As such, they will allow you to make transactions but to a certain limit amount when they ask you to send them your identity card or driving license. However, they do not limit your account or freeze any of your transactions before they request for proof of identity.
CHECK ALSO: How to Open a Bank Account in Hong Kong Online
A Review of Best International Virtual Bank Accounts
If you have always dreamt of opening an international virtual bank account, then, the below options are the best for you. With these banks, it is easy to open a virtual bank account online. Normally, a virtual checking account will not accrue interest on deposits. Although you will hardly get a global virtual bank account with interest, you can save a lot of costs when you travel abroad.
Wise Multi-currency, once TransferWise, is an online bank with IBAN that also offers one of the best banking solution and money transfer services around the world. Founded in the UK in 2010, Wise allows users to create multi-currency personal and business accounts, send and receive money, and convert currencies. It also offers Wise debit card and Wise virtual card. Its currency exchange service uses mid-market rates, which makes sure that your currency exchange is of the rate of the market.
Report IBAN discrimination:
IBAN discrimination is when a bank or company doesn’t accept your IBAN because it’s not from the same country in which the bank or company is based. IBAN discrimination is against the law. If you experience IBAN discrimination, report it.
2. N26 Bank
N26 is a well known banking solution established in Germany offering virtual bank account online with European IBAN in SEPA region and the US. To register on N26 virtual bank, you can use N26 website or N26 app for Android or iOS. You need to make a video call to verify your details.
N26 featured in Forbes "list of best banks" in 2021 ranks N26 #1 bank in Italy and Austria, the second-best bank in France, the fourth best bank in Spain and 13th in Germany.
However, just as Brexit, N26 bank is no longer available in the United Kingdom.
The bank offers a standard account, a premium account and a business account. The accounts have no hidden fees and come with a physical debit MasterCard and N26 virtual card. For international money transfer, N26 has partnered with Wise to make money transfers cheaper and easier for their customers. There is no fee to receive money from anyone. Transferring money in the same currency as your N26 account is free.
You can also open a free bank account with N26 and start banking immediately.
N26 bank account in Germany without Schufa
The main challenge people often face when trying to open a bank account in Germany is the Schufa, which is the German credit score. You can only get the German credit score if you have lived in Germany before or had a German bank account. Thankfully, there are ways around this, for example by opening a bank account in Germany without Schufa with N26 Flex account. Very easy.
Payoneer is a US virtual bank account provider that has was put in place and available since 2005. Payoneer is available to customers in over 200 countries. It is one of the best alternatives to PayPal for online merchants and freelancers. Account holders get Payoneer debit card and Payoneer virtual card. They can also receive payments in local currency from international companies.
Bunq is an online bank located in Netherlands founded in 2015, which supports countries in the European Economic Area (EEA). All citizens of the EEA that are residents in the supported countries can sign up for Bunq and get a virtual bank account. Non European citizens residing in one of the supported countries can sign up for Bunq account using the documents required from this page.
You can open both personal and business accounts with Bunq. However, for business accounts, your business must be registered in the Netherlands, Germany, France, Italy, Spain, Austria, Belgium or Ireland. Bunq Travel Card is a popular product for frequent travelers. Bunq is a fully licensed bank in the Netherlands, which means clients funds are protected by the Dutch Deposit Guarantee up to €100,000.
Bunq German IBAN
Bunq is the first online bank located out of Germany and that offers German IBANs. At the moment, Bunq IBAN for German account holders is available for new account holders with Personal accounts.
Revolut is an online bank that was found in the year of 2015, which offers personal and business IBAN bank accounts in EUR, GBP, money transfer and currency exchange services. The accounts come with a MasterCard/Visa debit card and Revolut virtual card.
Revolut is one of few banks around the world that offer crypto banking services. Revolut crypto service allows account holders to buy and sell bitcoin and other cryptocurrencies.
Revolut’s cryptocurrency transactions are not safeguarded under the UK Electronic Money Regulations 2011 or covered by the Financial Services Compensation Scheme. They are also not regulated by the Financial Conduct Authority (FIC).
Monese is an Estonian bank that offers multi-currency borderless virtual bank account with IBAN and money transfer services to customers in the European Economic Area (EEA). The multi-currency accounts are in GBP, EUR and RON the European Economic Area (EEA).
Monese allows you to open more than one account. Your primary account will be the account you open first. You can open a secondary account in GBP or EUR at no additional cost as well as a joint account. All accounts come with Monese debit MasterCard and Monese virtual card. Its Simple account is a completely free account, ideal for receiving salaries and paying bills.
Bankera is blockchain-based bank from Lithuania. It offers multi-currency accounts, IBAN, SEPA and SWIFT payments to businesses and individuals. In addition, Bankera offers crypto-backed loans without the need for criteria like credit score to issue a loan. Bankera account is available in many countries around the world. Countries where you cannot open Bankera account from include the US, Iran, and North Korea.
8. Rewire (Bank for Migrants in Europe)
Rewire is an online bank that offers banking and money transfer services online to documented migrants in Europe. Rewire account comes with a European IBAN account and international debit/prepaid Mastercard and a virtual card.
Rewire customers include migrants from Europe, Asia, and Africa. You can send money to several countries using Rewire. Some of the countries are Nigeria, the Philippines, Nepal, Uganda, Ukraine, Kenya, South Africa, India, Sri Lanka, China, Senegal, Thailand, and Ghana.
Virtual Crypto Bank Accounts
There are many new financial institutions (banks) that offer services for both fiat money and cryptocurrency. Some of the banks leading in the fiat/crypto space are Nuri, formerly Bitwala, Mistertango, Wirex and Fidor Bank.
Best Virtual Banks for Selected Countries
For some countries such as US, UK, Italy, Ireland, Nigeria, Australia and some countries in Europe, there are many virtual banks dedicated and that are focused on these countries. However, some virtual banks will not work only in one country as they support many other countries. Let's checkout some of these best virtual banks for most countries
Best Virtual Bank Account in USA
There are several benefits of having a US virtual bank account for US residents and non-US residents. You can get free virtual bank account without SSN (Social Security Number). Some of the online banks that you can get a virtual bank account in USA include Payoneer, N26 US, Wise and Zenus bank(US virtual bank for global clients). Some more examples of best banks in USA are as follows:
Simple Bank: Once known as the first neobank, Simple was an American virtual bank that provided an individual checking account and shared accounts. However, the bank announced its closure in January 2021.
- Chime Bank
- First Boulevard (virtual bank for African Americans)
- Kraken (first ever cryptocurrency company to be awarded a U.S. state banking charter)
- TD virtual banking
- Ally Bank
USA Virtual Bank Account for Non-Residents
If you are not living in the USA, then you surely are the one that need a US virtual bank account the most. Most online programs such as affiliate marketing pay only into an American bank account or charge extra cash to pay into an international account. Web entrepreneurs don’t need to go to the US to get an American virtual bank account, you can now easily create virtual bank account online.
Virtual bank account for non residents in the US come with debits card and virtual card. You can apply for a virtual bank account with a debit card. There are also many virtual banking services that offer virtual prepaid cards. These prepaid cards can draw funds from Google AdSense, Amazon Payments or PayPal. The card is usually a Visa/MasterCard.
Best Virtual Bank Account UK
Wise is the best online bank to open free virtual bank accounts in UK. Alongside, we have Revolut, Monese and Monzo.
Virtual Bank Account Ireland
Virtual banks have also entered the Irish market. This means you can open a free virtual bank account in Ireland for personal use or business without having to visit a bank. Most virtual banks will offer you a virtual card and a physical debit card. Unfortunately, most virtual banks supporting Ireland do not offer Irish IBAN. However, this should not be a problem. IBAN discrimination is against the law, so you should consider reporting any bank that doesn't respect that rule to the Central Bank of Ireland and the CCPC.
Virtual Bank Account in Italy
If you are a resident or a non-resident in Italy, you can open a virtual bank account. The Italian law has made it easier to open Italian bank account online. However, it is easier to open one if you reside in Europe. For non European residents, this task can be almost impossible. Thanks to N26, you can open an online bank account in Italy and get a free debit Mastercard.
N26 best bank in Italy 2021
N26 bank is ranked #1 on Forbes list of the world’s best banks in 2021. It is rated the first best bank in Italy and Australia, the second-best bank in France, the fourth best bank in Spain and 13th in Germany. N26 bank account in Italy comes with Italian IBAN.
Virtual Banks in Nigeria
Nigeria is one of the leading fintech hubs in the African continent alongside South Africa. The fintech ecosystem is thriving with virtual banks offering personal and business accounts, debit cards, loans, virtual dollar cards in Nigeria, etc. This means, all eligible Nigerians can open a Nigerian bank account online without having to visit any bank.
Frequently Asked Questions on Virtual Bank Accounts
How to Make It Work with Virtual Bank Account
Now, more than ever, it is possible to make financial transactions without necessarily visiting the bank. As an alternative, customers visit the banking website or app and complete their financial transactions online, whether on their mobile phones or computers. You can also use a virtual bank account for PayPal verification. As such, virtual banking has been coined as Internet banking, mobile banking or online banking.
How to Deposit Money in Virtual Bank Accounts
The question about how to deposit cash in your virtual account is easy to answer. The traditional way of doing things would be asking your employer to deposit your check directly to your account or visit the bank with cash. Well, did you know that you could also do deposits your check with your virtual bank account? All you have to do is to deposit it using photo check deposit by taking photos of the front and back of the check with your smartphone.
Depending on the bank, you can use their website or app for this. For some, however, you will have to mail the check. Other means of depositing money in your virtual bank account include a bank transfer, direct deposit, Apple Pay, Samsung Pay and Google Pay.
How to Withdraw Money from Virtual Bank Accounts
You can withdraw funds the same way you would with traditional banks. Like any other bank, virtual banks also issue debit cards or virtual cards. Therefore, you can withdraw your funds using ATMs. Fortunately, some virtual cards enable you to withdraw money from ATMs. Considering virtual banks do not possess their own ATMs, you will be surprised that the transaction fees are the same, if not lower, than those of ATM card owners of the same bank. This is because most virtual banks do not charge ATM withdrawal fees. Other methods of withdrawing money include wire transfer, check, bill pay feature, and cashback at a store.
Virtual Bank Providers Main Benefits
The above virtual banks and others will solve most of the problems people have with traditional banks such as exorbitant fees and paperwork. Virtual banks can also help online entrepreneurs have been facing receiving bank account problems when dealing with American and European companies or verifying services such as PayPal.
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