What is a foreign exchange settlement account and how to use it?

A foreign exchange settlement account refers to a deposit account opened in an agent settlement bank for settlement of foreign currency. Generally, many foreign trade companies will use foreign exchange settlement accounts. The foreign exchange settlement account meets the requirements of "decentralized account opening and centralized management" of the Bank of China, so as to ensure the smooth completion of customers' foreign currency payment system.

How to use foreign exchange settlement account?

At present, the threshold for applying for a foreign exchange settlement account is relatively high, and it is necessary to provide relevant documents of the company, which ordinary individuals cannot apply for. When opening a currency settlement account, customers need to sign relevant agreements with the correspondent settlement bank to obtain currency settlement account services.

Generally speaking, except for foreign trade companies with business needs, ordinary individuals will not and need not open and use foreign exchange settlement accounts. However, the threshold for opening a foreign exchange trading account is relatively low. Traders interested in foreign exchange trading can try to open a foreign exchange account through the external trading center of the trust management.