NAB foreign currency account: Review & comparison
Last updated: 1st August 2024
Explore the features and benefits of NAB’s foreign currency account in this detailed review.
Key takeaways
- NAB allows businesses to set up local currency accounts in 16 major currencies
- You can’t open a foreign currency account online – it can only be done through a NAB branch or representative
- A fee may be charged for large foreign currency balances exceeding NAB’s set threshold
- There are no account opening fees, monthly fees or minimum balance requirements
Introduction
A major Australian bank with a global presence, National Australia Bank (NAB) offers foreign currency accounts for businesses that make frequent international transactions.
But is this the right business bank account for you? Our guide to the NAB foreign currency account looks at how much it costs to send and receive payments, whether it can protect your business’s profit margins and more. We also discuss an alternative to NAB: WorldFirst.
Table of Contents
What is the NAB foreign currency account?
NAB offers foreign currency accounts for businesses that want to send, receive and hold multiple currencies in the same account.
You can use NAB Connect, the bank’s online platform, to manage your account from anywhere and make international transfers online.
NAB is one of the leading banks in Australia. It offers individuals and businesses various financial services, including bank accounts, loans, credit cards and wealth management.
Pros and cons of the NAB foreign currency account
| Pros | Cons |
|---|---|
|
|
Key features of NAB’s multi-currency account
NAB allows businesses to set up local currency accounts in 16 major currencies, including USD, CAD, EUR, GBP, JPY, NZD, HKD, SGD and CNY [1]. With its multi-currency account, you can hold international balances and make payments in foreign currencies without converting them to AUD first.
There are no account opening fees, monthly fees or minimum balance requirements [3].
A fee may be charged for large foreign currency balances exceeding NAB’s threshold. The threshold amount for currencies can change as market conditions change [2].
An overdraft facility is available to eligible businesses, subject to NAB’s terms. The interest rates charged on overdrawn amounts can vary depending on the currency.
NAB foreign currency account fees: The breakdown
| NAB foreign currency account fees [4] | |
|---|---|
| Monthly fee | Free |
| Setting up a multi-currency account | Free |
| Receiving funds | Deposited to NAB account: $15 |
| Holding funds in multiple currencies | NAB may charge interest when funds exceed the threshold amount set for different currencies |
| Sending payments to other accounts | |
| Cancelling a transfer | $20 |
Here are some things to note when considering NAB’s fees:
- Any overseas bank charges are directly billed to you [4]. NAB pays the overseas bank on your behalf when the transaction occurs. Sometimes, the overseas banks also deduct their fees from the amount you send
- When an overseas customer sends a payment to your NAB account, their bank or payment provider may charge a commission. This fee is deducted from the amount paid to you [4]
How to apply for a NAB foreign currency account
The eligibility requirements for opening a foreign currency account aren’t listed on NAB’s website and there’s no way to apply for a new account online – you need to contact the NAB support team or visit a branch.
Here are the documents you’ll need to apply for a NAB foreign currency account:
- Proof of identity
- Proof of address
- Business registration details
- Your Tax File Number (if applicable); if you don’t provide a TFN, you can provide your Australian Business Number (ABN)
NAB alternative: WorldFirst
With WorldFirst, global online sellers and SMEs can make fast and secure international payments in 90+ currencies across 130 countries and regions.
You can set up local currency accounts in 15+ currencies, including GBP, USD, CAD, EUR, AUD, NZD and CNH.
A World Account lets you:
Get paid in multiple currencies: Set up local currency accounts in your company name with unique account details, without needing an overseas address.
Make cross-border payments: Pay suppliers, staff and business partners in 90+ currencies.
Lock in exchange rates: A forward contract lets you lock in exchange rates for up to 24 months, so you can budget with more certainty and protect your profit margins against any sudden currency fluctuations.
Make instant payments: Payments between World Accounts are instant and free.
Receive marketplace payments: It’s free to collect payments from 100+ marketplaces and payment gateways, including Amazon, eBay, AliExpress and Stripe.
If you are still unsure about WorldFirst vs NAB, take a look at our comparison of fees.
| NAB Foreign Currency account fees[4] | WorldFirst | |
|---|---|---|
| Monthly fee | Free | Free |
| Opening a multi-currency account | Unconfirmed – no information online | Free |
| Receiving funds | Deposited to NAB account: $15 | Free |
| Holding funds in multiple currencies | Interest charges may apply when funds exceed the threshold amount set for different currencies | Free |
| Sending payments to other accounts |
|
[Fixed transaction fee] + up to 0.6% currency conversion fee (Up to 0.8% for 1688 payments |
Sources:
- https://www.nab.com.au/business/business-bank-accounts/specialised-accounts/nab-foreign-currency-account
- https://www.nab.com.au/content/dam/nabrwd/documents/rates-and-fees/investment/fc-holding-fee-thresholds-pdf.pdf
- https://www.nab.com.au/business/business-bank-accounts/specialised-accounts/nab-foreign-currency-account/terms-conditions
- https://www.nab.com.au/important-information/business/banking-fees-charges#5-nab-foreign-currency-account
- Open 15+ local currency accounts with local account details
- Direct CNH payments to 1688.com
- Pay suppliers, partners and staff in 40+ currencies and 130+ destinations
- Collect secure payments from 100+ marketplaces and payment gateways, including Amazon, AliExpress, Paypal and Shopify
- Lock in currency conversion rates for up to 24 months
Disclaimer: The information contained is general only and largely our views. Before acting on the information you should consider whether it is appropriate for you, in light of your objectives, financial situation or needs. Although information has been obtained from and is based upon multiple sources the author believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions, estimates, mentioned products/services and referenced material constitute the author’s own judgement as of the date of the briefing and are subject to change without notice. WorldFirst shall not be responsible for any losses or damages arising from your reliance of such information.
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