Wise virtual accounts and transfer

[MJones 29]

Quick question about Wise (Transferwise). I have  virtual accounts in several currencies. Will banks and other financial institutions (brokerages) wire money to these virtual accounts? Has anyone done this? I was told investment firms view these as third parties. Yes these accounts have my name on them.  

 

[Daddle 289]

1 hour ago, MJones said:

Quick question about Wise (Transferwise). I have  virtual accounts in several currencies. Will banks and other financial institutions (brokerages) wire money to these virtual accounts? Has anyone done this? I was told investment firms view these as third parties. Yes these accounts have my name on them.  

Banks will only wire money to other banks with which they have a correspondent banking arrangement with. Usually agreements and control of deposit accounts at each other. That is why wires often take circuitous routes. Wise has circumvented this by having trusted agents in each country manage a deposit account in their country. Probably only performing occasional international wire transfers to balance asymmetrical flows like those into PI.

So with Wise the very cautious banks only “see” relatively safe unregulated wires and domestic ACH transfers to other domestic banks. So banks will probably not question domestic wires to real domestic bank accounts of virtual currency operators or whatever. Wise would likely do so internationally as the local agents wouldn’t care or have liability. 

[MJones 29]

47 minutes ago, Daddle said:

Banks will only wire money to other banks with which they have a correspondent banking arrangement with. Usually agreements and control of deposit accounts at each other. That is why wires often take circuitous routes. Wise has circumvented this by having trusted agents in each country manage a deposit account in their country. Probably only performing occasional international wire transfers to balance asymmetrical flows like those into PI.

So with Wise the very cautious banks only “see” relatively safe unregulated wires and domestic ACH transfers to other domestic banks. So banks will probably not question domestic wires to real domestic bank accounts of virtual currency operators or whatever. Wise would likely do so internationally as the local agents wouldn’t care or have liability. 

Thank you very much. You have have been in the banking industry. Very knowledgeable.