Using a bank account is a popular way to purchase Bitcoin in 2022, thanks to its speed, simplicity, and the fact that most Bitcoin platforms accept it as a payment method.
We’re going to take you through how to make your first Bitcoin purchase with a bank account and whether this is the right payment method for you.
How to Buy Bitcoin with a Bank Account
Buying Bitcoin with a bank account is a quick process—just follow these three simple steps.
1. Sign up with our recommended platform
A regulated platform, such as our top choice below, is the best and safest place to purchase Bitcoin. You’ll need to provide a few personal details to create an account and then complete the KYC process by providing a photo ID and/or proof of address.
2. Make a deposit using a bank account
You will have to link your bank account with your trading platform by providing any bank details requested, such as sort code and account number. Now you can make a deposit by entering how much you wish to deposit and selecting online banking as the payment method.
3. Buy Bitcoin
Now that you have funds in your account, find the trading pair for BTC and your deposited currency. You can create a market order to buy Bitcoin immediately, or a limit order to specify a price to buy at in the future. Enter how much you want in either BTC or fiat and hit the “Buy” button!
Where to Buy Bitcoin with a Bank Account
There are lots of crypto platforms out there and pretty much all of them offer Bitcoin. To find the one that’s right for you, consider factors such as whether you find the platform easy to use and whether it offers the features you want.
Safety and regulatory status are also important aspects when choosing a platform. We’ve shortlisted the top regulated platforms below that will let you buy Bitcoin with a bank account.
Pros & Cons of Buying Bitcoin with a Bank Account
Here are some of the benefits and drawbacks of buying Bitcoin with a bank account to help you decide whether it’s the right payment method for you.
- Low fees. The fees for bank transfers tend to be lower than those for some other payment methods, or even non-existent.
- Fast. When you use Faster Payments, your funds will typically be available to trade with immediately.
- Simple. Once you have connected your trading platform to your bank account, you will be able to make bank transfers with a couple of clicks.
- Bank limitations. You will need a bank account with online banking set up. Some banks may not be available for this payment method.
Fees When Buying Bitcoin with a Bank Account
There are typically no fees for making a deposit via bank transfer. There may be some costs associated with purchasing Bitcoin, such as blockchain transaction fees and any spreads, commissions, or trading fees charged by your platform. You will need to consult the small print for your chosen platform to ascertain exactly how much these will be.
Is Buying Bitcoin with a Bank Account Right for Me?
In summary, bank transfers are a quick and easy way to purchase Bitcoin. While this method may not be suitable for some people with limited access to financial services, those with online banking will appreciate the speed and convenience of buying Bitcoin with their bank account.
Frequently Asked Questions
Yes. Faster Payments can be processed at any time of day, including bank holidays.
Crypto is a nascent industry and regulators are still catching up. A few banks have blocked payments to certain crypto platforms that they deem unsafe due to lack of regulation. In most cases, however, payments are not blocked. You can contact your bank to find out which, if any, platforms they block payments to.
Yes. If you change your mind or sell your Bitcoin, you can send your funds back to your bank account through the same quick and simple process. Many platforms charge a withdrawal fee so you will have to check with your platform to find out how much a withdrawal will cost.