Support Center

Handling Payments in Foreign Currencies

Last Updated: Feb 26, 2014 09:00PM CST

Does Braintree support foreign currencies? 

Yes! Braintree allows our merchants to present in over 130 currencies. Contact our Account Management team at accounts@braintreepayments.com to get started. 

How does it work? 

In getting started, it’s helpful to understand the difference between presentment and settlement.
 
‚ÄčPresentment: The currency displayed on the merchant’s website and submitted in the API call to Braintree
Settlement: The currency in which funds will be deposited into the merchant's checking account 
 
This means it’s possible to present and settle in the same currency or present in one currency and settle in another*. For example, a merchant based in the US may choose to display prices for their goods or services in Euros but have those funds settle into their bank account in US Dollars. Here’s how that process would work:

  • Product is displayed on your website for 10 EUR
  • Customer makes purchase with their European-issued credit card
  • The customer will be charged the 10 EUR to their bank account
  • The 10 EUR transaction will be converted and deposited into the merchant’s bank account in USD

Merchants may also be able to present and settle in Euros. This process is pretty straightforward:

  • Product is displayed on your website for 10 EUR
  • Customer makes purchase with their European-issued credit card
  • The customer will be charged the 10 EUR to their bank account
  • The 10 EUR transaction will be deposited into the merchant’s bank account in EUR

Once your account is set up by our Account Management team, you’ll need to update your site to point to the merchant account ID created for your new currency. You’re all set! 

*Presentment and settlement options vary. Please check with our Account Management team to discuss what's available for you. 

Can customers with credit cards issued in other countries still buy my products? 

Yes! Most Braintree accounts are set up to accept any domestic or international credit card that bears a major card association logo and can be run as a credit transaction (without a PIN or password) regardless of the country of issuance.

Can't I avoid setting up another account and just calculate the exchange rate on my website? 

It is important that the currency you display on your website is the same as the currency in which you will actually charge your customer. If your merchant account is only set up for one currency (e.g. GBP), your customer will always be charged in that currency’s equivalent. Here’s an example of what could happen:

  • You have an account set up to present and settle in GBP.
  • Using your own exchange rate conversion, you tell your customer that they will be charged 860 INR at checkout.
  • When Braintree collects the funds from the card-issuing bank, it will take the exchange rate at that point in time, which may be different than what you presented to your customer.
  • If, for instance 10 GBP = 863 INR at the time of settlement, the customer will be debited for 863 INR instead of the 860 INR that you displayed to them. 

This practice could potentially lead to chargebacks, so it is something you will want to avoid. 

Are there any countries from which I cannot accept payments? 

There sure are. In the vast majority of cases, the front end processor will prevent authorizations from being approved on any card number or BIN (Bank Identification Number, the first six digits of a card number) that is prohibited by OFAC regulations and other financial sanctions. In the rare instance that an authorization attempt is obtained, the acquiring bank that handles funding will prevent funds from actually clearing and settling properly. The restricted countries vary depending on the country in which your business resides, but generally you can expect that payments cannot be accepted from the following countries:
 
Burma (Myanmar)
Iran
Sudan
Western Balkans
Belarus
Cote d'Ivoire
Democratic Republic of the Congo
Iraq
Liberia (Former Regime of Charles Taylor)
Persons Undermining the Sovereignty of Lebanon or Its Democratic Processes and Institutions
North Korea
Sierra Leone
Syria
Zimbabwe

Thoughts or suggestions about this article? Let us know!
 

Contact Us

support@getbraintree.com
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