Considering the small amount of individuals globally that have in the past or presently own Bitcoin, it should come as no surprise that of the many hurdles to getting into crypto is the ability to convert fiat money into cryptocurrencies.  Pretty much no matter what crypto you want to buy, you’ll first have to go through Bitcoin.  This is because Bitcoin is by far the most popular and well known crypto, and because of this the gateway into the market.  For the record, likely most people don’t even learn about other cryptos until well after they have invested in Bitcoin, but the fact remains that for the newbie into the space, converting traditional money into Bitcoin is not always the easiest thing to navigate.  Although maybe not as fast as using a credit card or debit card, buying Bitcoin with a bank account money transfer does offer many advantages over these and other methods, including the ability to purchase larger amounts and pay less fees.

The process of buying Bitcoin with a bank account transfer begins with finding both a bank and an exchange that can be linked.  This will largely depend upon where you presently reside as different exchanges will provide service in different regions of the world.  In this post then, not all options listed will apply to all people, but rather are presented here so that no matter may you may happen to reside there is an option that will suit you.  Unfortunately due to various countries stance on crypto, and to a lesser extent compliance of crypto exchanges, there are countries on the freedom of exchange use scale from very high to in a couple of cases, completely non existent.  Usually those on the lower range have some serious limitations that have been set by their governments, but in some cases high risk countries such as North Korea, Iran, and Afghanistan are almost always excluded for obvious reasons.  This is not an endorsement either for or against these regulations, but merely stated fact of the current terrain of the crypto exchange land.

Choosing the Best Exchange

Considering which exchanges to use boils itself down to a number of usability, security, reputational, and personal factors.  Although options to purchase Bitcoin with alternative means such as PayPal, credit or debit card covered in some of my previous posts are limited, in the case of utilizing bank transfers a great number of potential exchanges exist.  Some key factors to keep in mind then are as follows:

• Payment methods: How can you send USD to the exchange: bank transfer, debit card and/or PayPal? Look for an exchange with your preferred method.
• Fees: How much will it cost you to complete your transaction? Remember to also consider the trading fees the exchange charges.
• Transaction limits: Are there any minimum or maximum limits on the amount of crypto you can purchase? When you want to transfer the crypto you purchase away from the exchange, what is the minimum withdrawal limit?
• Processing times: How long will it take for you to complete your crypto purchase from start to finish? For example, bank transfers can take four to five business days on Coinbase, though debit card purchases are almost instant.
• Supported cryptocurrencies: Which cryptocurrencies can you purchase directly with USD? Some platforms will only provide access to one or two popular digital currencies while others will offer a much wider range.
• Ease of use: Does the platform have a simple and intuitive user interface that you can navigate without any problems?
• Signup and verification: What information and documentation will you need to provide to register for an account? How long does the verification process take?
• Security features: What protective measures are in place to ensure the security of your funds? For example, does the platform support two-factor authentication? Where are your funds stored? Has the exchange ever been hacked?
• Customer support: How can you contact the customer support team? What contact methods are supported and during what hours is the team available? Is there an online help center where you can easily find solutions to a range of common problems?
• Reputation: Check out online forums and reviews to gauge what level of community trust the platform has. Would other users recommend it?

*Bulletpoints directly sourced from How to buy cryptocurrency with your bank account 

Exchanges Offering Bank Deposits & Transfers

Although not all, there are a lot of exchanges offering users the ability to transfer funds from their bank accounts into an exchange to buy Bitcoin and other cryptocurrencies.  Some of the more popular of these include ABRA,  BitFlyer, Bitpanda, Bitstamp, Bittrex, Coinbase, Coinmama, CEX.IO, eToro, Gemeni, Kraken, LocalBitcoins, Luno, Paxful, and xCoins.  In general, a quick search through the official or FAQ channels of any of these exchanges will walk users through the process of attaching bank accounts or wiring funds to their crypto exchange accounts.  In addition, tutorials for most of these exchanges showing how to attach funds from bank accounts can be found on YouTube if you find that process easier to follow.

• How Can I Link My Bank Account to the ABRA App (tutorial & demo video)
• BitFlyer FAQ: Deposit/Withdrawal (see How to fund your account online with Chase/Citibank/Wells Fargo/Bank of America, How to fund your account with a wire transfer, and other relevant answers to commonly asked questions regarding how to purchase Bitcoin with bank transfers on Bitflyer exchange)
• Where Can I Find the Bitpanda Bank Transfer Details?
• Can I Link My Bank Account with My Bitstamp Account?
• Bittrex Trading 101: Trade with US Dollars (fiat) (see Step 4: Add your bank account to enable US dollar deposits and withdrawals)
• Using a Bank Account as a Payment Method on Coinbase
• CoinMama Support: Buy With Bank Transfer
• CEX.IO: Payment & Policy Procedure (see 4.1 Bank Transfer)
• eToro: Depositing Funds Into Your Account (see How do I deposit via wire transfer?)
• How Do I Fund My Gemeni Account
• Kraken: Fiat Currencies Deposit Options (minimums, fees, and processing times) (almost all requiring wire transfers)
• LocalBitcoins: Buy Bitcoins with Bank Transfers (supports just about every currency and a plethora of both national and international options.  Also will allows for detailed specified bank options and depending upon the conditions of the seller, the ability to purchase bitcoin via bank account without verification.  Please note however, I don’t recommend this option as personally I believe that those that are willing to accept non-verified orders are more likely to be both more expensive and potential bad actors).
• Luno Help Centre: Depostis & Withdrawals (A variety of guides for European, African, and Indonesian users detailing Paystack, PayU, iDEAL, SOFORT, and other common supported bank transfer and wire methods)
• Paxful: Buy Bitcoin with Bank Account Transfer (WeTheCryptos simplified video walk through)
• xCoins (purchase bitcoin with ach transfer)

And Along Comes Bitwala

“Bitwala offers a crypto banking service with a built-in bitcoin wallet, debit card and trading options… allow[ing] customers to trade bitcoin directly out of a current account, thanks to services offered by solarisBank” (source).  Services are available for all EU countries and essentially allows for any within the EU region to create a German bank account and buy Bitcoin with it.  As stated directly on the Bitwala site, users bank accounts are held under solarisBank, which is regulated by the BaFin and the European Central Bank (ECB), and holds a full German banking license.”  Accounts are protected up to 100,000 Euros by the German Deposit Guarantee Scheme (DGS) offering security akin to that which traditional financial institutions have in place to secure users funds.

In addition to melding bank accounts with cryptocurrency abilities, Bitwala also offers users other key services such as the ability to “to spend in store, online or to withdraw money at millions of ATMs globally” with the Bitwala Debit Card which allows for the conversion and use cryptocurrencies wherever in the world you may be.

On the Vastness of Predetermined Options

As previously hinted, when it comes to buying Bitcoin with funds from a bank account there really are just so many variables.  The majority of the previous options fall under either an official transfer/wire or direct deposit category, however even then, different exchanges may be separated by type of what they offer in different regions or with different banks. In addition, depending upon where you reside and the regulations of that place, the times for the transfer can vary greatly.  Some countries in Asia for example can process wire transfers directly from ATM’s using an attached account with regular bank card and have the funds arrive in your exchange account within minutes, whereas with others, this process could involve an actual trip to the bank and take days for the transfer to actually go through.  For the most part there seems to be little distinction as to whether users want to purchase Bitcoin with their checking or savings account so long as the bank and exchange allow for it.  In a similar fashion, users wishing to purchase Bitcoin online with funds from their bank account will, for the most part, have to rely on the exchanges above and their partnership agreements with banks in their region to suss out service terms specific to them.  As there are so many options dependent upon all these things, it seemed best to just lay out the details and link them to official exchange posts allowing for the individual to have a resource that can be accessed as it pertains specifically to them.  In the end, I’m hopeful that no matter where you may be you will have found something useful to allow for the purchase of Bitcoin with funds from your bank account that suits your particular predicament.  For with that then, I shall wrap it up and bid you best in all you do in crypto and beyond until whence we have the pleasure again.

Jimmy D

• Cover Image from CoinTelegraph.com

**Please note: Although I have to the best of my ability done my due diligence in researching this piece, I am not a financial advisor and assume no responsibility for any losses incurred on the readers part for any investments or products supported obtained from this post.  Please understand that it is the readers responsibility to look after and maintain their own finances and perform all due diligence on their own part for their personal and financial well being and safety and not rely on myself or others in this space to keep them safe. In addition, although I have done my best to only include what appear to be legitimate sources and projects, due to the sheer volume and scope of projects in this post, unfortunately I have not personally had either the time or the resources available to verify the validity of all the projects mentioned, so please do be sure the do your due diligence before embarking on using or sending money to any of the above projects or companies.

Interested in some of my other pieces on Bitcoin, Blockchain, and Cryptocurrencies?  If so, be sure to check out How to Get Bitcoins, Where to Trade Cryptocurrency, Best Places for Trading Bitcoin and Cryptocurrencies, How to Trade Bitcoin: A Not So Brief Nor Overtly Technical Overview, Ledger Nano S Cryptocurrency Hardware Wallet, How to Purchase Ripple XRP, How To Buy NEO, How to Buy Ethereum Decentralized and So Much More, Bitcoin Machine Near Me?!?, Should I Invest in Bitcoin?!? Past & Probable Future Conversations with Myself, Jimmy D’s Answers to Bitcoin FAQ’s Especially For You: What Can Be Done With Bitcoin?!?,  How To Pay With Bitcoin, How to Send Bitcoin: The Basics, The Importance of Learning How to Create Bitcoin Wallet Private and Public Keys, Buy Bitcoin with Debit Card: The Basics, BTC Numericalized: How Many Bitcoins Are There?, Buy Bitcoin with PayPal: An Overview, Best Options to Buy Bitcoin with USD, and Buy Bitcoin with Bank Account Deposits and Transfers.

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