Can You Deposit Foreign Currency (USD, Euro) to a UK Bank Account?

Yes, you can pay foreign currency into a UK bank account — but the best way to do it depends on your needs. Whether you want to deposit euros, USD cash, or another currency, UK banks and fintechs offer several options.

However, traditional banks often charge high fees and offer poor exchange rates. For most people, using a multicurrency account from a provider like Revolut is the easiest and most cost-effective way to receive, hold, and convert foreign currencies. Below, we break down all your options and help you choose the right one.

If you'd like to skip ahead and find the best deal for you (or the person sending you money) to send money to pounds sterling, search our real-time money transfer comparison engine below! 👇

Option 1: Receive Foreign Currency into a GBP Bank Account

You can pay foreign currency into your UK bank account by receiving an international wire transfer. Your bank will automatically convert the money to GBP before it lands in your account. This is the most common way to receive euros, dollars, or other currencies if you don’t have a specialist account.

How It Works

Share your IBAN and bank details with the sender. The sender’s bank converts the currency (often at a poor rate), and the funds arrive in GBP.

When To Use This Method

If you rarely receive foreign currency and value simplicity over cost.

Wire Transfer Charges

International wire transfers are notoriously expensive when done via the bank, racking up a number of possible fees along the way:

• Sending bank charges: Your sender's bank will normally charge your sender a fee to send to the UK.
• Exchange rate margin: Additionally, they will exchange their transfer into British pounds, which is normally done at a poor exchange rate (the global average range being around 5% to 15% of the entire transfer amount).
• Intermediary/correspondent bank charges: Third-party banks involved in the SWIFT transfer process frequently extract fixed fees of up to £100 along the way.
• Recipient bank charges: Your bank might add a final fee to the transfer amount before depositing the money into your account. If your sender transfers the amount in their local currency, then your bank will handle the GBP exchange itself (in other words, no foreign currency balance will appear in your bank account unless you have a specialised foreign currency bank account).

Take a look at our guide to bank charges for international transfers to learn more about these types of fees.

Tip

Instead of letting your bank handle the conversion, use a money transfer comparison tool like Monito to find the cheapest way to send money to the UK. This can save you significant fees and get you a better exchange rate:

Option 2: Open a Foreign Currency Bank Account in the UK

If you're frequently sending money to the UK from abroad or receiving foreign currency into your UK bank account, opening up a foreign currency account could make sense.

This option can let you open up an account in the very currency that you frequently receive from abroad and convert it into pounds in your own time (usually at better exchange rates than via SWIFT) or spend directly in the foreign currency.

How It Works

Open a euro, USD, or other currency account with your bank. You get local account details for that currency, and can hold or convert funds when you choose.

When To Use This Method

If you’re a business or individual regularly receiving foreign currency payments and want more control over conversion.

Bank Foreign Currency Accounts

Most banks in the UK like HSBC, NatWest, Barclays, and Santander have extensive foreign exchange services allowing you to, among other things, open up a bank account in a foreign currency. These accounts function more or less like normal bank accounts do (i.e. they come with online banking and a debit card), with the only notable difference being that they're denominated in a different currency.

We recommend contacting your bank directly or visiting their website to explore what options they have for foreign currency deposits. However, bear in mind that foreign currency accounts at UK banks normally come with a monthly fee and are normally only restricted to accounts in major currencies like US dollars and euros.

Tip

If you're looking for a bank that doesn't charge fees on foreign currency bank accounts (in US dollars and euros), then we recommend checking out Starling Bank, whose foreign currency bank accounts are the cheapest and among the best-rated in the UK:

• Foreign currency accounts: US dollar and euro accounts are available.
• Monthly fee /account: £0
• Conversion costs to pounds: 0.2% - 0.6%
• More information: See our Starling Bank review or visit the website

Options 3: Use a Multi-Currency Account or App

Multi-currency accounts from fintechs (e.g., Revolut, Wise, Starling) are the most flexible way to receive, hold, and spend money in multiple currencies — including euros, USD, and more.

How It Works

Open an account online. You get local account details in several currencies and can receive, hold, and convert funds at competitive rates — often instantly.

When To Use This Method

Ideal for freelancers, expats, frequent travelers, and anyone who regularly receives or spends foreign currency. Highly recommended for most people needing flexibility and low costs.

Tip

Many offer foreign currency balances (not full bank accounts) which you can use to pay in a foreign currency and even receive foreign currency deposits. In this category, we recommend Revolut in particular. Its critically-acclaimed and immensely-popular mobile finance app has changed the way people send and spend foreign currencies in recent years, and with its online platform, you'll be able to receive foreign currency deposits and convert them to pounds at excellent exchange rates (although fair use limits and weekend surcharges may apply).

• Foreign currency balances: 30+ currencies
• Monthly fee: £0
• Conversion costs to pounds: Revolut rate
• More information: See our Revolut review or visit the website

Option 4: Deposit Foreign Currency Cash or Cheques in the UK

If you have foreign currency cash (like USD or euros) or a foreign cheque, you may be able to deposit it at some UK banks. This method is less and less popular these days, and can be expensive.

When To Use This Method

Only for small amounts or if you have no other option.

Tip

I'd recommend visiting your bank branch and speaking directly to the teller. They'll be able to give you information about the specific requirements and fees for depositing foreign cash or cheques into your bank account. For cheque deposits, you'll probably need to endorse the cheque and write up a deposit slip with your account details.