Through Banking Circle, Payments businesses can now offer their marketplace sellers virtual IBANs to collect the proceeds of their online Amazon store in the United States.
Amazon settles merchants in the currency of their home country regardless of whether merchants also have a USD account. For example, if a UK seller has a USD account based in the UK, Amazon automatically converts the payment to GBP as the account is in the UK. The merchant is charged 3.9% of a transaction’s value by Amazon for this conversion, which eats into their profits.
Using Banking Circle Virtual IBAN, Payments businesses can now offer their merchants US bank details, allowing them to collect funds in USD from Amazon and take charge of their foreign exchange.
In which regions can Banking Circle clients offer their merchants virtual IBANs for collection from marketplaces?
EU marketplaces – Sellers are provided with a DE IBAN and can receive SEPA credits
UK marketplaces – Sellers are provided with a sort code and account number and can receive BACS, CHAPS and Faster Payment credits
US marketplaces – Sellers are provided with an ABA number and account number and can receive ACH credits (from Amazon only)
How can Banking Circle clients activate the USD Amazon collection capability?
Please email Banking Circle at i[email protected] or contact your Relationship Manager, who will be pleased to start on your behalf the approval process to access our USD Amazon Collections service.