People who desire to buy huge volumes of bitcoin but do not have access to debit or credit cards must search for another method of buying one. Bitcoins are cryptocurrencies that are used in payment systems. They are a very safe way to pay online, when used correctly. This article will share you on how to buy bitcoin using bank accounts.
Risk involved in purchasing bitcoins
Purchasing bitcoins with bank accounts has less risk. Moreover, there is a significant decrease in the processing fees. When a person purchases bitcoins through bank transfers, the process is considered irreversible. There is also a decrease in the risk of chargeback compared to credit card payments. An example would be buying bitcoins from Coinbase via bank transfer. Buying $1000 from Coinbase via bank transfer will have $14.9 in fees while using credit cards will have $39.9 in processing fees.
How to buy using bank account in the US
One of the best options in buying bitcoins in the US is through Coinbase. Coinbase is one of the first institutions in the bitcoin industry and has been in existence since the end of 2012. Coinbank permits an interested individual to connect his bank account through ACH bank transfer. This can be networked with 26 different banks.
A person can easily purchase bitcoins through one’s personal bank account if he supplies his bank credentials on the website of Coinbase. It costs 1.49% to buy bitcoins using a bank account. The advantage in using Coinbase is that the company is very liquid. It also helps newbies navigate the site easily.
However, purchasing bitcoins through bank transfers in Coinbase will take up to 5 days. Coinbase also monitors their user accounts and might possibly act against an account if they perceive the bitcoins are being used to buy things illegally.
How to buy using bank account in Europe
Coinbase also permits purchasing bitcoins using a SEPA transfer if a person is in Europe. Processing fees are similar to that when buying within US. There are other large and reputable bitcoin exchanges in Europe that include Bitstamp or Kraken. These two also offer SEPA transfers and high liquidity.
Residents in Great Britain can also opt for Coinfloor and fund their account via online bank transfer or SEPA. 1,000 pounds is the minimum deposit amount.
How to buy bitcoin using bank account in other nations globally
There are other global bitcoin exchanges that are available in other parts of the world. One can buy bitcoins using bank account via SWIFT.
Bitstamp and Kraken are the most reputable bitcoin exchanges. CEX.io provides its services to other parts of the world. Bifinex is also a good option in using bitcoin exchange. However, newbies might have difficulty in navigating the site.
A person who considers purchasing large amounts of bitcoins but do not have access to credit cards can use the payment systems stated above. Those who plan to buy bitcoins must keep in mind that some banks need additional data about the nature of the transaction.
Purchasing bitcoins are made possible through bank accounts in various parts of the world.