Payoneer Virtual US Bank Account

Payoneer is a mass payment solution company through which employers can make payments to their employees across the globe. Payoneer facilitate the payments using pre-paid debit cards. Each employee in the system is given a reload-able master card. Employers can remotely reload funds to these cards.

Payoneer revolutionized the way payment is made across continents. Earlier, PayPal & wire transfer were the only option to make payment to your international employees. Now with introduction of Payoneer debit cards, each employer can give his employee a debit card through which he can make the periodic payments. Moreover, these cards can be used for withdrawing funds at ATMs and for shopping.

Payoneer Virtual Bank Accounts

In 2009, Payoneer introduced Virtual US Bank account in association with First Bank of Delaware. As the name suggest, these bank accounts are Virtual Bank account in US, which you can access through Payoneer system.

The Payoneer Virtual Bank works just like a regular bank account. Payoneer creates sub accounts with different card holders name under their main account at First Delaware Bank. Each of these sub accounts has their own bank account number and can be loaded with cash using ACH transfers.

You can accept payment from other parties just like you do with your real bank account. However, only limited methods can be used for funding your virtual bank account.

At the time of writing, Payoneer allows ACH transfers to get credited in your Virtual bank account. This also means that you can fund your Virtual Bank account with any payment system that uses ACH transfers. For example, you can use this virtual bank account as your US bank account and can withdraw PayPal funds. Your funds will be credited in 48hrs.

At the moment, Virtual US Bank accounts are only provided to selected Payoneer customers. It is also required that you have a positive balance with your Payoneer MasterCard to request this service.

If you have healthy balance, you can directly contact Payoneer: feedback@payoneer.com and request Virtual Bank Account services.

If you are approved, you may be asked to provide a scanned copy of your national identity card. Once, this is done, your account will be activated with Virtual US account service in less than 48hrs.

Advantages of Payoneer Virtual Bank Accounts

Useful for Accepting US Payments – If you are doing business with US, then you can now easily accept payments to this account from your customers. Just give them Bank account number, routing code and they will send money to your Virtual account. Once fund reaches your Virtual Account, Payoneer will load this fund to your attached Debit Card after deducting processing charges.

Easily Accessible – Your Virtual Bank Account is online 24*7. You can check the transactions and other things about your account at Payoneer account page. Select the tab saying “services”.

US Account for International Users – It is not easy to open a US bank account for non-US citizens. Thus, Payoneer’s Virtual Bank account somewhat helps such users to open bank account in US and accept payments from US.

Funds Withdrawal & Usage – You can withdraw funds at any ATMs in the world where MasterCards are accepted. You can also use your Payoneer debit card for purchasing goods/services online and offline.

Limitations of Payoneer Virtual Bank Accounts

Withdrawal only through Card - Unlike regular bank accounts, you cannot withdraw/send funds from Virtual US account through traditional methods. Payoneer only allows withdrawal through the linked debit cards.

High Fees for Loading Funds – Payoneer charges $2-$5 for every fund loaded to your bank account. The costs are similar to that of fund loading charges for your Debit Cards.

Virtual Account Service Charges – As your Virtual Bank account and Debit card are connected, any lack of transactions will result in reduction of your overall funds. Payoneer takes $3 from your account if you do not do 5 transactions per month. Fund withdrawals at ATMs and purchases are also subjected to service charges.

Facts about Payoneer Virtual Bank Accounts

Eligibility for Virtual Accounts – Not all Payoneer users are eligible for Virtual US Bank accounts. You have to contact the customer care to know if you’re eligible.

Virtual Account – As this is a Virtual Bank Account, you cannot use them for traditional purposes for example issuing a cheque or paying your mortgage. Also, it cannot be used as a replacement for your real bank account.

Fund Transfer - Even though, you can use some advanced methods for adding funds to these accounts, you can only withdraw them using your attached Payoneer Debit Card.

Transaction Fees – Payoneer charges $20 for activating the Virtual Bank account service. Also, there is a service charge for adding funds to your account. Other service charges are similar to that of attached Payoneer Debit Card.

Overall, Payoneer's Virtual Bank Account is a boon to international freelancers and sellers. If you are tired of PayPal, then this is the best choice you can get to transfer money online.