Have you just landed your first foreign client but are confused about how to receive payment?
Whether you are a video editor or content writer, a website designer, or just anyone who can provide services for foreigners, gift cards, crypto, and virtual bank accounts are among the secure ways you can receive payments from foreign clients.
In this guide, you will discover the top 5 ways of receiving foreign payments and common mistakes to avoid.
5 methods Nigerian freelancers receive foreign payments
Here are the secure ways Nigerian freelancers have received their foreign payments over the years.
Gift cards
Gift cards are an easy way for freelancers in Nigeria to receive payments. With the right gift card trading platforms, you can easily convert your gift cards to naira fast.
Trusted gift card trading platforms like Nosh, Koyn, and Hook have helped many freelancers seamlessly receive payments from foreign clients at favorable exchange rates.
How it works
- Firstly, agree with your client to use a gift card as your payment method.
- Your client then buys a gift card equivalent to the amount you both agree on. After buying the gift card, your client will send the gift card code to you.
- You can use a reputable gift card trading platform to convert your gift card to cash.
- Finally, you can withdraw your money from the gift card trading platform to your Nigerian bank account instantly.
Paypal
PayPal is a popular international payment platform that allows freelancers to receive payments from clients around the world. However, PayPal’s services and account features can vary by country, so Nigerian freelancers should check which receiving and withdrawal options are currently available to them before relying on it as their main payment method.
How it works
- Create and verify a PayPal account using your personal information.
- Confirm that your account can receive payments in Nigeria and check the available withdrawal options.
- Share your PayPal email address with your client.
- Your client sends the agreed payment to your PayPal account.
- Once the payment is received, you can withdraw or transfer the funds using an available supported method.
Domiciliary Account
A domiciliary account is a special bank account that allows you to deposit, hold, receive, and send money in foreign currencies.
How to open a domiciliary account
- Go to your bank and get the opening form. Fill it out
- Gather all the requirements (NIN, utility bill, passport photograph, 2 domiciliary account holders or current account holders)
- Submit all the requirements and the opening form
- Fund your domiciliary account.
How to receive money through your domiciliary account
- Get your account details, which include your correct domiciliary account number, bank name, and SWIFT code or Routing number (required for international wire transfers).
- Share your account details with your client
- Tell your client to initiate a direct wire transfer via their foreign bank or an approved transfer service directly to your domiciliary account number.
- Wait for credit notification, then visit your bank to withdraw the dollars or euros, then proceed to a bureau de change near you to change the money to Naira.
Virtual Foreign Account
A virtual foreign account is a digital, multi-currency receiving account offered by fintechs such as Grey, Cleva, Raenest, and similar providers. Virtual foreign accounts allow you to receive payments in USD, EUR, and GBP.
How it works:
- Choose a fintech provider that you prefer.
- Sign up and verify your identity
- Create a USD account or euro account
- Get your account information
- Share account details with your client and receive payment
- You can then move the money to your Nigerian account.
Cryptocurrency
You can receive payments in cryptocurrency after agreeing with your client on the payment method. This method of payment can be fast and reliable, and has the highest payout in Naira.
Ensure your client sends the money in a stable currency like usdt, or USDC. You can use platforms like Binance, Nosh, and Bybit to convert the crypto to Naira. Direct crypto conversion platforms like Nosh are easier to use.
How it works
- Create an account on your preferred crypto conversion platform
- Set up your receiving wallet
- Get your crypto deposit address
- Send the address to your client
- Receive and verify payment on the platform
- Convert the money to Naira on the platform and send it to your bank account.
Conclusion
Receiving international payments as a Nigerian freelancer is easier when you choose a payment method that is secure, reliable, and convenient for both you and your client.
Whether you use gift cards, a domiciliary account, a virtual foreign account, or cryptocurrency, always consider transaction fees, exchange rates, security, and a possible customer care you can contact if you have any difficulties.
