Everything and everyone are going digital, from communications and commerce to finance. They are attracted by the convenience and instantaneity of e-transactions, not to mention the array of benefits that comes with said digital tools. One such tool is the digital wallet, particularly a multi-currency wallet.
Digital wallets played a big role in the 30% growth of tap-to-pay transactions. So, what is a multi-currency wallet? If you’ve never used a multi-currency wallet, now’s the time to learn what it is and how it can benefit you!
What Is a Multi-Currency Wallet?
To better understand what is multi-currency wallet, let’s first define a digital wallet. A digital wallet is an online tool that allows users to make electronic financial transactions. A multi-currency wallet is a digital wallet that supports e-money transactions. The main difference is that it’s a digital wallet that can hold various currencies. It also allows users to receive and send fiat currencies from one account. For instance, you can trade between currencies like MYR, USD, and more using Merchantrade Money multi-currency digital wallet or the eWallet.
How Does Multi-Currency Wallet Work?
Now that we’ve defined what is a multi-currency wallet, let’s dig deeper into how it works. A multi-currency wallet works the same way as any digital wallet, without a currency limit. It also enables users to collect payments of any currency and pay bills. It’s very easy to deposit into and withdraw funds from the multi-currency wallet. Trade funds from bank accounts, mobile money, and even cryptocurrency wallets.With a multi-currency wallet, users can also manage their funds. Some multi-currency wallets, like Merchantrade Money, even come with prepaid Visa cards and a variety of top-up, cash-in, and withdrawal channels. For instance, users can receive money in their eWallet when funds have been remitted via Western Union.As with any bank account, expect charges when using a multi-currency wallet. Common fees could apply to withdrawals, transfers, maintenance, and overdrafts. Additional services such as a sales draft retrieval could have a minimum fee too.
Benefits of Multi-Currency Wallet
When dealing with various currencies, you’d have to create bank accounts in different countries—a complex and time-consuming method. This disadvantage follows you through the management of said accounts.When bookkeeping, for instance, you’ll have to reconcile your invoices and receipts. This involves logging in to all your accounts and compiling multiple information. There’s also the added factor of dealing with different fees and real exchange rates per account. All these complicate your accounting process and eat up accounting resources.Fortunately, multi-currency wallets can bridge this inconvenience. It does so by enabling you to conduct all your transactions from a single account. No more need for multiple accounts for different currencies. What’s more, you can also streamline your financial and bookkeeping process.
Avoid Hefty Costs
Remitting using bank accounts attracts transaction, conversion, and other related fees. International payments, especially, rack up an expensive charge. As for business bank accounts, they are charged just for retaining the account. These charges may seem minimal, but they compound into a hefty amount over time. More so if you are to open and operate multiple bank accounts.With a multi-currency wallet, you can avoid these unnecessary costs. Multi-currency wallets charge competitive service fees, and their annual maintenance fees are also fairly minimal.
Further, a multi-currency wallet enables you to send or pay money using the local currency of a country. For instance, your money is in US Dollars, and you want to send money to someone in the Philippines. The traditional way would be to go to the bank, where they would have to convert the money into Peso first and charge you a conversion fee. With a multi-currency wallet, however, there’s no need to convert the money. Just send money in the form of local currency for that country. For example, if you’re sending to Malaysia, you can send in Malaysian Ringgit.
Easy and Instant Transactions
Multi-currency wallets also have simple interfaces, which makes them easy to use. In a matter of a few clicks, you’ll be able to convert, trade, withdraw, and deposit money into your account.Transactions are also pipelined, so that processing time is significantly shortened. Without mechanism delays, you can send and receive money instantly! International transfer time is also shortened. It now takes a maximum of two to three days to complete one transaction.
Help Business Grow
Multi-currency wallets are proving to be a reliable support for growing businesses. Aside from the earlier benefits, the digital wallet also helps businesses provide a responsive payment option for their customers.How is this payment option responsive? Customers can pay using their preferred currency. They no longer have to go through money-converting parties such as banks. This, in turn, makes your products, services, and payments more accessible to customers.Further, since all your transactions, local and cross-border, are using the same channel, it’s easier to account for them. This helps with expense tracking and reduces accounting mistakes. All these results in more satisfied customers, higher customer retention, and ultimately, increased profit.
Merchantrade Money: The Best Multi-Currency Wallet
Hooray! You’ve just learned the answer to what is a multi-currency wallet and how it works. Not to mention the array of benefits that comes with using it. Ready to start using a multi-currency wallet? Select yours wisely from the rise of available e-finance tools like digital wallets.Consider its functionality; your digital wallet should be able to hold multiple currencies. Offered rates should be competitive, its interface easy to use, and it should keep all your transactions secure. Merchantrade Money, for instance, lets you manage your funds in Ringgit Malaysia or other foreign currency in quick, easy, and convenient transactions! Apply now to get these benefits.