International Wire Auto FX
International Wire (Intl. Wire) Auto FX payments are used to move funds across the globe.
The source currency can be in any of the supported currencies. However, the destination currency must be in the destination country's local currency or USD only.
For NetSuite users, the Entity Bank Details bundle is required to process International Wires payments through the plugin.
Please include the following required information for all payments to avoid potential delays or returns.
- The Entity's full name, address, and phone number, are expected to be populated on the Vendor record.
- If the beneficiary is an individual, avoid use of initials in Vendor's name to help avoid processing delays.
- PO box numbers are not accepted.
- The Vendor, Bill and Entity Bank Account Address (stored in the FISPAN Bank Details bundle) must have the destination country accurately listed. If an entity has multiple bank accounts stored, then the address of the Bill must match the Destination Bank Account country.
- The Name and Address of the Destination Bank should be entered onto the Bank Account record.
- The Currency of the Bill and Destination Bank Account must be in USD or the destination country's local currency. The Method of storage must be “International” within the Bank Details record, where applicable.
Below are some key terms to make navigating the instructions and set-up for International Wire payments easier!
- International Bank Account Number (IBAN): is a standard international numbering system developed to identify an individual’s account at a financial institution. The structure consists of a two-letter country code, followed by two digits and up to 30 alphanumeric characters.
- SWIFT/BIC code: Bank Identifier Code (BIC): also referred to as a SWIFT code consists of 8 (primary) to 11 (primary and branch code) alphanumeric and is used as a unique identifier for financial institutions. Please note: If a BIC is not known, the full name and address of the bank should be provided.
- Ensure the Vendor Bank Details are configured correctly and the desired currency is selected. "International" method must be selected for AutoFX payments.
2. After all vendor bank details are saved. Navigate to the "Vendor Bills" page and select "Intl. Wire" as the payment method.
Understanding Your Settled FX Rate & Reconciliation
Thank you for using our International AutoFX payment feature! We want to ensure you have a clear understanding of how foreign exchange (FX) rates are applied and how to reconcile your transactions.
Key Points:
- Initial Payment Amount (Sent): When you initiate an International AutoFX payment, the amount you send is based on the current, indicative FX rate. This is NOT the final, settled FX rate.
- Settled FX Rate: The actual FX rate applied to your transaction is determined after the payment has been processed and settled by our banking partners. This rate may fluctuate slightly from the initial indicative rate due to market movements.
- Viewing the Settled Rate: You can find the final, settled FX rate within your transaction details after the payment has been completed.
- Reconciliation & Unrealized Gains/Losses:
- Due to the difference between the initial indicative rate and the final settled rate, you may experience an unrealized gain or loss.
- You are responsible for manually adjusting your accounting records to reflect the settled FX rate and any resulting unrealized gain or loss during your reconciliation process.
- This is important for accurate financial reporting.
Why This Process?
The final settled FX rate is determined by the banking network at the time of settlement, which ensures the most accurate and up-to-date rate is applied.
What You Need to Do:
- Initiate Payment: Send your International AutoFX payment as usual.
- Review Transaction Details: After the payment is processed, check your transaction details to view the final settled FX rate.
- Reconcile Your Accounts: Manually adjust your accounting records to reflect the settled FX rate and record any unrealized gain or loss.
We understand that this process requires some manual adjustment on your part. We are committed to providing you with transparent information and will continue to explore ways to streamline this process in the future.