FX Treasury Solutions

CashPro Foreign Exhange Services

Intro to FX

 

Companies that trade internationally face a key decision: whether to pay foreign suppliers, vendors and other business associates in their home currency, or in local currency. Although many companies believe that paying in their home currency is a safer option that eliminates FX risk, there are significant drawbacks. One drawback is that international suppliers who receive payments in the buyer’s home currency may significantly mark up the price of goods to offset their FX risk. As a buyer, this means you may be overpaying for goods. Another drawback of making cross-border payments in your home currency is that some of your suppliers and vendors may be unable to manage the FX risk—creating operational or financial difficulties for your trading partners. CashPro® Foreign Exchange Services from Bank of America can make it easy to overcome these drawbacks and gain the benefits of an efficient FX payments program. CashPro Foreign Exchange Services connects you to beneficiaries in more than 140 currencies and 200 countries and territories. Using your Bank of America account in more than 25 countries, you can access comprehensive payment and hedging vehicles from a single screen. By making payments in local currencies, you can help reduce your costs, strengthen risk management, increase operational efficiency and improve your supplier relationships.

CashPro Foreign Exhange Services

Global Reach

 

With CashPro Foreign Exchange Services, you gain access to more than 140 currencies across 200 countries and territories.

You can directly debit your accounts held worldwide by choosing from a wide range of payment vehicles. These include: Wire transfers for fast disbursement of high- and low-value payments, Cross-currency ACH for automated, routine disbursements, such as payroll, trade payments and tax payments, and bank drafts for less urgent payments. Hedging tools include:

• Spot trades

• Forwards

• Swaps

• Non-deliverable forwards

• And more.

CashPro Foreign Exhange Services

Convenient Access

 

Using CashPro Foreign Exchange Services gives you convenient access through a range of channels designed to meet your needs. You can connect globally through web- and file-based solutions, SWIFT or a dynamic API interface that builds robust execution and settlement functionality into your internal systems.

 

For web access, CashPro Payments can help you simplify your end-to-end processes from payment creation to reconciliation. Take advantage of enhanced straight-through processing, global routing codes and automated payment reconciliation to streamline high- and low-value payments, multibank, internal book transfers and more. CashPro Payments also provides local language availability; the ability to email beneficiaries while including attachments; fixed, dynamic or panel approvals; and user-defined fields.

 

You also benefit from multiple payment entry options and the ability to lock in FX rates prior to submitting your payments.

If you prefer file access, CashPro Connect FX is a single-file, multicurrency solution that can help you make global payments with electronic acknowledgments and reporting. CashPro Connect FX supports multiple file formats and uses ISO 20022 XML—the global standard for financial messaging—to help you transact with greater speed and efficiency. CashPro FX is an online, single point of access for execution of FX payments as well as trades, featuring simple navigation, interactive fields and netting functionality. Execute spot trades, forwards, swaps and non-deliverable forwards in more than 140 currencies with straight-through trade processing—while benefitting from timely forecasts and risk analysis tools.

CashPro Foreign Exhange Services

Outstanding Execution

 

CashPro Foreign Exchange Services delivers outstanding execution that can increase your efficiency, transparency and savings

Take advantage of straight-through processing for cost savings and operational efficiencies, along with real-time rates in 28 countries. Twenty-four hour rate guarantees are also available in select circumstances.

 

CashPro Foreign Exchange Services also simplifies your workflow with the new FX Trade & Pay feature. With FX Trade & Pay, you can view and settle eligible currency trades done with Bank of America within a single screen in CashPro Payments. This means you can use pre-booked currency trades to efficiently fund your FX payments—helping you drive profitability while reducing risk.

 

It also provides easy access to the robust payment workflow capabilities in CashPro Payments. These include straight-through processing online validation, along with fixed, dynamic and panel approval structures. 

 

FX Trade and Pay can also create a separation of duties through security and entitlement features that are available at the account, function and payment category levels.

 

Take advantage of CashPro Foreign Exchange Services. Contact your Bank of America representative to learn more.

Guaranteed Rates 

Mitigate your FX risk. 

 

[Doug Houser, Head of Global Cross Currency Solutions, Bank of America]

 

As the global currency market has become ever more volatile, FX exposure poses challenges to treasurers in managing their companies’ cross-border, cross-currency receivables and payables.

 

Treasurers need to manage more aspects of risk, including counterparty, transactional, economic and operational risk. In response, Bank of America offers a solution that helps our clients reduce the FX friction in their daily operational cash flows: Guaranteed Rates.

 

Guaranteed rates is not a new concept in the FX payment space. But with limited guarantee periods, it has not been ideal to support companies’ receivables and payables cycles, which run up to 1-3 months or even longer. Today, however, Bank of America guarantees rates up to 90 days.

 

Building upon the predictability of corporate payment flows — receivables from customers and payables to suppliers — the bank makes it possible to offer a longer-dated guarantee rate with competitive pricing.

 

And, we offer Guaranteed Rates in three of our payment channels – CashPro Connect, CashPro Payments, and SWIFT FX Payments, as well as US FX Receivables.

 

Now, you can mitigate your FX exposure in payables and receivables, simplify your reconciliation process, and reduce your accounting noise due to daily mark-to-market.

 

Twenty-five currencies can now be guaranteed for up to 90 days on transactions including inbound, outbound, intraday and crosses.

 

Rates can be guaranteed up to pre-agreed limits. And, rate set notifications can be made via email or via file transfer protocol.

 

By essentially shifting FX risk management to the bank, companies can focus on their international expansion, customer acquisition, and forging stronger relationships with their customers, suppliers and vendors.

 

If you would like to learn more about how Guaranteed Rates can help you manage your cross-currency cash flows, contact your treasury sales officer, FX professional, or email us at GCCP@baml.com.

FX Trade & Pay

 

In today’s global payments market, you may be contending with limited service offerings, manual processes and fragmented workflows. That’s why we’ve created FX Trade and Pay.

 

One solution offers you real-time rate visibility, streamlined access to comprehensive trading and settlement tools as well as flexibility in trade and settlement workflows.

 

With more than 140 currency options to choose from.

 

Making for a stronger payments journey end-to-end.

 

Fx Trade and Pay is at your fingertips through the convenience of our digital platform using the fx channels of your choice. 

 

Complete cross-currency trades and payments online, over the phone, through our app or even through an a-p-i.

 

All while giving you a seamless experience whether you are in the office or on-the-go.

 

Three straightforward steps get you there.

You then get a clear view of all of your approved payments and easy access to reconcile payments to settled trades – all in a secure environment.

 

One efficient workflow offers you competitive fx rates, transparency, visibility, security and risk mitigation – ultimately, giving you greater control over cross-border payments. We’re here to make doing business around the world…faster, smarter, and more secure.

 

Trade anywhere. Settle anywhere.

 

Fx Trade and Pay is just the solution to get you there.