Do We Need Foreign Currency Accounts To Cash Out International Cheques?

Good-Guy

VIP Contributor
Mankind has been using various modes of payments and the formation of banking system has allowed people to send and receive money effectively within a few days. banks usually use many different kinds of instruments in order to transfer money. One of the most commonly used intrument is cheque. There are different kinds of cheques and one of the most valuable form of cheque is the international cheque which you recive from someone living abroad. However, I have heard that there are a lots of disadvantages associated with receiving international cheques and it is not so easy to cashout an international cheque because you would need to require a foreign currency account in your local bank in order to receive payments. Is this true?
 
D

Deleted member 28127

Guest
You can deposit an international check on even a saving account this is information that many people don't know. They just think that an international check is only deposited on an international account however this is wrong. Bank is depositing money after 2 or 3 days with local bank change rate but may they ask your source of income and this is casual question because you get money from foreign country.
 

Good-Guy

VIP Contributor
You can deposit an international check on even a saving account this is information that many people don't know. They just think that an international check is only deposited on an international account however this is wrong. Bank is depositing money after 2 or 3 days with local bank change rate but may they ask your source of income and this is casual question because you get money from foreign country.
Thanks for your polite answer, dear. Actually, I heard that we may need a foreign currency account because when we give the cheque to the bank administration, they send the cheque back to the bank of the country and since the payments will come in the native currency of the bank, we would need an international account to recive that currency.
 
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Deleted member 28127

Guest
Thanks for your polite answer, dear. Actually, I heard that we may need a foreign currency account because when we give the cheque to the bank administration, they send the cheque back to the bank of the country and since the payments will come in the native currency of the bank, we would need an international account to recive that currency.
As when you are receiving international bank transfer by bank wire then the currency is converted into local currency as the same for international cheque however most of the countries doesn't allow international bank accounts for local residents so they have only possibility is to open a local bank account for such operation but few ones allows international bank accounts.
 

Good luck

Verified member
I think it is mandatory to have a domiciliary account which is international account to be able to perform any form of transportation with foreign check.though one can receive fund from any part of the country directly from international to local account but you really need foreign account to deals in cashing out cheque internationally.
 

Good-Guy

VIP Contributor
As when you are receiving international bank transfer by bank wire then the currency is converted into local currency as the same for international cheque however most of the countries doesn't allow international bank accounts for local residents so they have only possibility is to open a local bank account for such operation but few ones allows international bank accounts.

I was told long ago that you would need a foreign currency account in order to receive money into my local bank account in Pakistan in order to receive U.S. dollars and the bank would first need to clear the cheque because they would need to confirm the cheque. This makes sense because the bank cannot just pay you money just because you have an international cheque. International transactions are hard to perform in my country.
 
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Deleted member 28127

Guest
I was told long ago that you would need a foreign currency account in order to receive money into my local bank account in Pakistan in order to receive U.S. dollars and the bank would first need to clear the cheque because they would need to confirm the cheque. This makes sense because the bank cannot just pay you money just because you have an international cheque. International transactions are hard to perform in my country.
This is just because I am not from Pakistan so laws in my country differentiate a little from the law in your country so I am talking about personal experience in receiving money in Tunisia so for each country, there are specific laws for banking and receiving international payment sorry for any inconvenience.
 

Good-Guy

VIP Contributor
This is just because I am not from Pakistan so laws in my country differentiate a little from the law in your country so I am talking about personal experience in receiving money in Tunisia so for each country, there are specific laws for banking and receiving international payment sorry for any inconvenience.

Yes, laws may differ when it comes to different countries. As far as Pakistan is concerned, I asked a bank manager once and he told me that a foreign currency account is not needed if I opt to use the bank wire payment processor instead of cheque option. We are moving into digital age and we no longer need to face such kinds of problems.
 
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