February 8, 2026
Written by: Merchant Connect UK
If you run a high-risk business, traditional banking and payment solutions can sometimes be difficult to access. This is where IBAN and virtual account solutions are becoming increasingly important, especially for businesses operating across the UK, Europe, and global markets.
In this guide, we explain what IBANs and virtual IBANs are, how they work, and why they are becoming essential tools for high-risk merchants looking for stable and flexible payment solutions.
An IBAN (International Bank Account Number) is a standard international system used to identify bank accounts across borders. It allows businesses and customers to send and receive payments safely between countries using recognised banking networks such as SEPA and SWIFT.
For high-risk merchants, having access to IBAN-based payment solutions means you can:
Accept international bank transfers
Receive payments in multiple currencies
Trade across UK, EU, and global markets
Improve payment reliability
A virtual IBAN (vIBAN) works like a normal IBAN for customers, but behind the scenes it connects to a central master account. This allows businesses to manage multiple payment streams without opening multiple bank accounts.
When a customer sends money to a virtual IBAN:
The payment is routed through local payment networks
The system automatically identifies the customer or invoice
Funds are credited to your main account
This removes the need for manual reconciliation and makes payment tracking much easier.
Virtual IBANs can also help businesses reduce costs and simplify international banking by removing the need to open accounts in multiple countries.
High-risk sectors such as:
Crypto & Blockchain
Nutra & Subscription Models
often face banking restrictions. Virtual IBAN solutions help overcome these challenges.
Key benefits include:
Virtual IBANs allow businesses to accept local payments in different countries without opening local bank accounts.
Some virtual IBAN solutions reduce reliance on correspondent banks, lowering SWIFT and currency conversion fees.
Virtual accounts isolate payment flows, meaning if one payment stream is compromised, others remain protected.
Each client or payment source can have its own virtual IBAN, making tracking and accounting far simpler.
Many virtual IBAN providers follow PSD2, AML, and KYC regulations, helping high-risk businesses stay compliant.
IBAN and virtual account solutions are commonly used for:
Payment collection for international customers
Marketplace or platform payment routing
Multi-currency settlement
Alternative banking solutions where traditional accounts are limited
Faster onboarding compared to traditional bank accounts
Some virtual IBAN solutions can be issued much faster than traditional accounts, sometimes within minutes rather than weeks.
For UK and EU businesses, IBAN and virtual account infrastructure fits well with:
SEPA payments
Open Banking frameworks
PSD2 compliance requirements
Cross-border eCommerce growth
This makes them ideal for modern online businesses operating in regulated or high-risk sectors.
At Merchant Connect, we help high-risk merchants access flexible banking and payment infrastructure, including IBAN and virtual account solutions designed for international business.
We work with multiple banking and payment partners across the UK, Europe, and global markets to help you:
Accept international payments
Improve payment success rates
Reduce operational banking friction
Scale into new markets safely
IBAN and virtual account solutions are quickly becoming essential tools for high-risk merchants. They offer flexibility, global reach, cost savings, and stronger payment visibility — all critical for modern online businesses.
As high-risk industries continue to grow, businesses that adopt flexible payment infrastructure early will have a major advantage.