Yes, You Need an IBAN Account

If you are an international business that has been working with different countries and sending money abroad for a long time, you need to open an IBAN account. Even if you are a business start-up still reading business books about how to expand, and are planning to grow and go international, you should start thinking about opening an IBAN business account. We will tell you more about why and where to do it in our article.  

IBAN: What Is It?

IBAN is an acronym, which stands for International Bank Account Number. Its purpose is to facilitate transactions between banks in different countries, primarily in Europe. Why do you need an IBAN? Transfer money within Europe and outside faster. The number of obligatory details for payment documents will be reduced. It will be easier to identify the payer and the beneficiary, as well as the bank that services them. It will be possible to open such accounts both in euro (EUR) and dollars (USD), other world currencies are also represented. The developers of IBAN are planning to introduce QR codes, using which business and private entities will transfer money within a few minutes.  

Where to Open an IBAN Account

When it is necessary to open an IBAN account, one thinks that this can be done exclusively in the bank, but it is not so! The best banking books point to other electronic money institutions on the market, for example, Genome. The question arises, what to choose? Now we’ll describe and compare the traditional bank and the Genome account point by point, so you can decide for yourself what’s right for you. 

  1. Opening an account

To open an IBAN account in a bank, you will need to prepare a list of documents, stand in line, and spend your time with a consultant. To compare, it takes a couple of minutes to open an online account at the Genome e-money institution, which is, by the way, licensed by the National Bank of Lithuania. All you have to do is create an IBAN account and verify it with your documents. No bureaucracy, just quick and simple services. 

  1. Money transfers

The process is almost the same whether it’s a bank or Genome Account, except that when you transfer between Genome accounts, you can be sure that the money will reach the recipient within minutes. The bank may not let the transfer go through, and it may get stuck somewhere. 

  1. IBAN account fees

Having an online account at Genome can be a cost-saver as the fee for a transfer is only 1%, while at a bank it is up to 5%.