Wise, one of the popular global fintech companies—formerly known as TransferWise—offers international money transfer services and multi-currency accounts. This recently introduced an important policy update affecting users with a virtual business address. This wallet exchanger now requires businesses to replace their virtual addresses with physical trading addresses to enhance transparency and comply with regulations.
In this guide, we will specifically discuss the “Trading address update for Wise business account” and how it impacts, including the changing process. So, let’s proceed!
What Is a Trading Address?
A trading address is a physical location where you work every single day or where your customers can contact you physically with your business. This can be your office, studio, home, or even co-working space. This is the actual address where your business is based and conducts its operations, as opposed to a registered office address or virtual address where your business is established.
Did you get a clear picture yet? No? Okay, let me explain!
Previously, Wise allowed users to operate with virtual business addresses, which are often used by digital entrepreneurs and businesses with no physical office.
However, the scenario has changed. According to Wise, now there are strict restrictions on using the following addresses, even though a few are physical:
- Mail forwarding or receiving address.
- Virtual Address.
- PO box.
- Attorney office.
- Business registration agency.
Why Does Wise Require the Physical Trading Address instead of the Virtual Address?
Now you may be wondering why they suddenly require the address change, don’t you?
The main reason behind this policy update is regulatory compliance. Financial authorities are increasingly scrutinizing businesses using virtual addresses to ensure that financial platforms like Wise maintain accurate, verifiable information about their users.
By using a physical trading address, Wise can verify that your business operates from a legitimate location, helping to prevent fraud and ensure compliance with anti-money laundering (AML) laws.
Curious to learn more?
How Do the Changes Impact?
As Richard Eyre once said, “Every action has a consequence.” So this change of address isn’t different either.
- Updating Address: According to internal information from Wise, they may mail you if you are currently using a virtual address; you will need to update it to your physical trading address. This address must be a location where your business conducts operations.
- Verification Process: Alongside this specific change, Wise may require additional documentation for verification purposes—such as a utility bill and lease agreement or business licenses that represent your business’s physical location.
- Access Restriction: If the existing Wise users don’t succeed in updating the address within the given deadline, Wise could result in restrictions—including suspending their USD account details.
- Improved Trust: Using a trading address builds trust with customers and partners, as it provides a clear, verifiable location for the business’s operations.
Overall, this Wise Trading address update 2024 affects businesses that have relied on virtual addresses, particularly in sectors like e-commerce, freelancing, and consulting, where physical offices are not always necessary. Those who do not have a traditional trading address may need to look into alternatives, such as using a co-working space or their home address, to remain compliant with Wise’s new policy.
How to Replace the Trading Address?
So, if you have a Wise ‘Active’ business account and a physical trading address, you can change your address. Learn the following steps to update your address:
- Log in to your Wise business account.
- Navigate to the account settings and select the “Address” section.
- Enter your physical trading address.
- Upload any necessary documentation for verification.
- Submit the changes and await confirmation from WISE.
Considering Factors When Changing the Physical Trading Address
Wait! Your job isn’t done yet. There are a few things you need to consider when changing the address of your Wise’s business account:
- Address Verification Process: When you update your address, Wise will ask for a utility bill or lease agreement (as proof of address) that matches the new address you’ve provided. This helps ensure the authenticity of the information you submit.
- Trading Address vs. Registered Address: Though the registered office address or registered agent and trading address all require using the physical space, there are differences.
You don’t need to use the physical address where your business was originally formed—whether in the US, UK, or other regions—in terms of a trading address like a registered address. Instead, you should provide the address where your business operations take place. The country you choose must be one that Wise accepts for their services.
For instance, if you have formed a business as a non-resident with a registered agent representing you in the United States but you are operating the same business from India—in this case, you can use your Indian business location as your physical trading address. This ensures that your business activities reflect the location from where you are actively conducting operations, while the registered agent manages your official correspondence in the US. - Same Registered and Trading Address: In some cases, the registered address and trading address might be the same. If so, you can simply provide that physical address, as it will serve both purposes.
For example, if you form and run a business in the US—where you have a registered agent in the US that has a physical office—you can use the same address as the physical trading address for your Wise Business account.
What If You Don’t Have a Physical Trading Address?
Though virtual addresses have been convenient for many businesses without a physical presence in certain countries, you still need to make Wise trading address update 2024.
At this moment, if your business operates entirely online or you do not have a physical office, Wise recommends providing the address where your core operations occur. This could be your home address or any location where you manage your business activities, as long as it can be verified. Still, if you fail to manage the physical address, there are many third-party services you can seek help from. You can get your physical trading address from our one-stop company formation service provider, Business Globalizer, at affordable pricing.
How Business Globalizer Can Help with Trading Address?
As Wise transitions to a policy requiring businesses to replace virtual addresses with trading addresses, many entrepreneurs and small business owners may find themselves in need of assistance navigating this change. This is where Business Globalizer steps in, offering a “trading address for Wise business account” to ensure your business remains compliant and uninterrupted.
We will help entrepreneurs, non-residents, and global businesses secure a legitimate trading address in various locations, including the USA and the UK. If your business operates remotely and lacks a physical location, we can provide you with a compliant trading address, ensuring you meet Wise’s updated policy requirements.
Furthermore, we can help you by offering copies of the utility bill as part of the verification process under specific conditions after updating the trading physical address with Wise at a very reasonable price.
FAQs
Q1: What happens if I don’t have a physical trading address for my business?
Answer: If your business operates without a physical office or trading address, Business Globalizer can help by providing you with a compliant trading address in the USA, UK, or other key locations. This ensures you remain eligible to use Wise’s services without disruption.
Q2: Can Business Globalizer help me provide the required proof of my trading address?
Answer: Yes, Business Globalizer offers comprehensive documentation support. We provide valid proof of address, such as lease agreements or utility bills, that you can submit to Wise for verification. This makes the process of updating your Wise account seamless and hassle-free.
Q3: How can Business Globalizer assist businesses transitioning from virtual to trading addresses?
Answer: For businesses that previously relied on virtual addresses, Business Globalizer provides consulting and virtual office transition services. We ensure your business complies with Wise’s new policy by securing a physical trading address, offering documentation, and guiding you through the update process.
Q4: How long does it take to provide a copy of the utility bill for address verification purposes for Wise?
Answer: Once you order our services, this will take 30 to 45 business working days.
Bottom Line
In summary, the Wise trading address update by replacing virtual addresses mainly strengthens their commitment to compliance with international regulations and ensures that businesses using the platform maintain transparent operations. By switching to a trading address, businesses can continue to enjoy Wise’s seamless services while adhering to new compliance standards.
