Has it been difficult for you to buy bitcoin with the money you have in your bank account? So many other people also face this challenge, because a lot of exchanges do not offer this service. We decided to pick out all those platforms where you can easily buy bitcoin with your bank account and guide you on how to do this.
There are so many reputable exchanges offering the service of buying bitcoin with bank accounts, but choosing the suitable one depends on you. So you need to be guided on how to make the right choice.
What You Will Learn From This Guide:
- Buying Bitcoin with bank account on Coinbase
- Buying Bitcoin with bank account on CEX.io
- Buying Bitcoin with bank account on Bitpanda
- Other Platforms that you can use to buy Bitcoin with a bank account
Buying Bitcoin With a Bank Account
How it works:
- Choose an exchange that offers this service (Coinbase, CEX.io, Bitpanda, etc.).
- Register an account on their website and verify your identity
- Fund your account with fiat transfer from your bank account
- Go to the exchange platform and choose the buy option
- Input the amount of bitcoin you want to buy and submit
- Check your bitcoin wallet to confirm it has been funded
Using your bank account will help you avoid scams and credit/debit card fraud. It helps to keep your information secure since you can transact without having contact with the seller. This can be done within minutes, without delay on both sides because there is prior verification done with the exchange by both parties.
There are several exchange platforms where you can use your bank account for the purchase but it is only wise that you use a reputable platform where your data and your transactions are secured.
Pros: reputable and secure online platform, easy to use features and process
Cons: charges 3.8% of the purchase price as a fee which is a bit higher than other exchanges
How it works:
- Register on the platform and verify your email address and identity.
- Link your bank account to the Linked Accounts section.
- Go through a small account verification process that will take and return a small amount of money from your bank account.
- You’re ready to buy/sell Bitcoins via your bank account.
Coinbase is a popular site and very easy to use. The first thing you need to do if you want to buy bitcoin on Coinbase exchange is to go to the website https://www.coinbase.com and register an account. You will see a form like the one below.
After filling the form, click submit and wait for the confirmation email which will be sent to the email address you used to register your account. Once you have confirmed your account, then you are set to use go.
Coinbase is a reputable platform that complies with the exchange regulations, so you will need to link your bank account, upload your ID and verify your bank account. Then go to the dashboard and you will see different cryptocurrencies such as Bitcoin, Ethereum, Litecoin and others.
Scroll to the top of the main page and click the button that shows Buy/Sell and a screen will pop like the one below.
Fill in this form choosing bank as your payment method and specify the dollar amount of bitcoin you want to buy, the amount of BTC you will receive for the dollar amount will be displayed to you. You will also see the fee charged for the transaction, Coinbase charges 3.8% of the purchase price as a fee.
To complete the transaction, hit the button that shows ‘Confirm Buy,’ then you will see a green check that indicates the transaction was successful. Return to the dashboard and you will see a transaction summary of the purchase.
Pros: quick and easy, supported by SWIFT and SEPA
Cons: Not supported in many countries
How it works:
- Get an account on CEX.io and verify your email address.
- Go through a verification process to prove your identity (only verified accounts are able to buy BTC via bank account).
- Follow the buy/sell instructions and provide your bank account information to complete the transaction.
Another reputable exchange to buy bitcoins with a bank account is CEX.io, but this option is not supported in all countries. This platform offers a quick and easy way to buy BTC with bank deposits supported by SWIFT and SEPA. They do not charge transfer fees but make money by charging a premium.
Basically, they list BTC at a price higher than the current market price so that when clients make purchases, they make a profit from the spread. Your bank will charge you a transfer fee, but CEX.io charges a flat 10% processing fee.
First, you need to register on their platform (with an email address or social media). Following, you’ll need to verify your email address and identity through a detailed process.
Proceed to fund your account, click on deposit and you will see a form like the one below.
Choose the bank transfer option, fill the amount you want to transfer (the minimum transfer amount is $1000.) Click on the proceed button, and you will receive details for the exchange bank transfer, use it to ensure there is no mistake on your transfer.
Now that your account is funded, to buy bitcoin, click the ‘Buy’ button, then input the amount of BTC you want to buy, input the price you want to pay, then click place order. See below.
If you scroll down a little bit to the Active Order section, you will see your order, wait until it is filled, then you shall have your crypto in your wallet.
Note: There is a limit to the amount of bitcoins you can buy on CEX.io exchange, it all depends on the type of account you have with them. There are four different account levels based on verification provided by clients. They are Basic, Verified, Individual Business, and Corporate.
Basic Account: This type of account holder can buy up to $400 worth of bitcoin per day and $2,000 per month. This type of account is not permitted to purchase bitcoin using bank transfer.
Verified Account: This account is permitted to buy up to $10,000 worth of bitcoin per day or $100,000 per month via bank transfer or credit card.
Individual Business & Corporate: There is no limit at which this account can purchase bitcoins on CEX.io.
Pros: charges low fees
Cons: has low coverage relating to countries, only available in four countries
How it works:
- Register on Bitpanda exchange and verify your email address.
- Verify your identity.
- Go to your BTC wallet and click on the button “buy bitcoin”
- Follow the instructions and choose your preferred payment option (bank account)
- Complete the transaction.
Bitpanda is a reliable Australian exchange, and one of Europes’ most popular platforms. You can buy bitcoins with your bank account on this exchange at a very cheap rate. Their fee was recently upgraded to be the lowest in the industry, they charge a 1.49% purchasing fee when clients buy with their bank accounts.
This exchange has a low coverage relating to countries it can serve, so if you are thinking of buying bitcoin on this platform, you need to check first if your country is supported. Bitpanda does not render services to some countries; it is only available to users in Europe, Croatia, Norway, and Switzerland.
The first step is always registration. Get an account on Bitpanda platform and verify your email address and identity. Identity verification is a crucial step if you want to buy/sell Bitcoins.
There are so many payment methods of deposit but you need a bank transfer, so click on that option and input the amount you want to deposit.
Find Bitcoin on the dashboard and click on its’ logo. You will be transferred to the page where you’ll see Bitcoin price and your wallets. Choose your BTC wallet (if you want to buy BTC) and click on the BUY BITCOIN button at the bottom right corner.
Select the fiat wallet you want to use to pay for the bitcoin, you will see how many bitcoins you will get for your purchase amount and click GO TO SUMMARY.
It will show you the details of your purchase, then activate the switch and click the BUY NOW.
Then click open wallet to see your bitcoin in your wallet.
The above list features the most recommended exchange platforms you can use to buy BTC with your bank, but the list doesn’t stop there. We have some other platforms you could try if you’d like.
Pros: offers a discount for high volumes
Cons: Fees are based on volumes
This is a US-based exchange that you can instantly buy bitcoin using different methods. The fees are very low, 1% or 0.75% based on the trade volume. Discounts are given to clients who trade in large volumes. You will need to go to their website, https://gemini.com/ open an account with them, verify your account and fund it so you can purchase bitcoin.
Pros: charges low fees
Cons: the transaction process is slow
This is one of the oldest crypto exchanges, that deals in high volume, you can also purchase bitcoin here with your bank account. Though the process is slow, their fees are low, between 1% and 0.25% depending on the amount of cryptocurrency traded. This means that the more you trade, the lower the fees you will have to pay.
The best thing about the cryptocurrency industry is that we’re developing it and buying BTC is becoming more and more flexible. It’s just a matter of time till we don’t search for the solutions and easier ways to purchase our desired crypto and have all the answers to our questions.
Updates/Developments – 21 Nov 2019
Bitwala is a bridge between cryptocurrency and banking systems. It’s a blockchain bank that links a traditional bank account to a cryptocurrency debit card, exchange, and wallet.
With the partnership with solarisBank, Germany, Bitwala managed to adapt the crypto industry to regular bank users. You can buy Bitcoin by using a traditional bank account and its built-in exchange platform.
You can also benefit from Bitwalas’ debit card, which is international, as long as the merchant supports MasterCard. As for the bank account, you can receive a salary, pay rent, and open saving account while also using it to buy and sell crypto.
How do I transfer bitcoin to my bank account?
when you have registered an account with an exchange, verify it, then click the sell button, fill in your bank information and click sell. Your bitcoin will automatically be locked in escrow and will be released when you confirm you have received payment.
Is it easy to cash out bitcoin?
Yes, cashing out bitcoin is easy, you can cash out directly in fiat currency via a peer 2 peer platform.
How do I cash out bitcoin with PayPal?
You need to use an exchange that offers this service like, Paxful. When a buyer places an order to buy from you, the buyer will contact you to provide your PayPal email for payment. The amount of bitcoin will automatically be locked in an escrow until you confirm payment before it can be released to the buyer.
How long does it take to convert bitcoins to cash?
This should take between 20 to 30 minutes from the time the buyer opens the trade.