If you try to fund an SMSF or trust account on Independent Reserve and your bank transfer fails, it may not be an error on your part. Some Australian banks apply extra restrictions on bank transfers to cryptocurrency exchanges. This can affect SMSF and trust account holders.
We are currently seeing this from Macquarie Bank. If you bank with Macquarie Bank, your transfer to Independent Reserve can be held or declined. This can happen to new and existing customers. The restriction comes from Macquarie Bank, not from your account or from Independent Reserve. Other Australian cryptocurrency exchanges see the same restriction.
We want SMSF and trust account holders to know about this issue before it holds up a transfer.
Key takeaways
- Macquarie Bank currently blocks bank transfers to Independent Reserve from SMSF and trust accounts.
- The restriction comes from Macquarie Bank, not from your account or from Independent Reserve.
- Other Australian cryptocurrency exchanges face the same restriction.
- Your options: use a different deposit method, use a second account, consider a different bank, or contact our team before you transfer funds.
Why banks block transfers to cryptocurrency exchanges
Banks set their own risk rules. These rules differ between banks and change over time. Some banks apply additional checks on transfers to cryptocurrency exchanges, partly to prevent fraud, as these exchanges are a common target for investment scams. Other banks change their rules to comply with regulatory guidance or their own risk policies, sometimes without notice to customers.
This restriction does not relate to the exchange that receives the transfer.
What this means for SMSF and trust account holders
SMSF and trust deposits are often larger than personal deposits and harder to redirect. A blocked transfer can cause more disruption for these accounts. If your fund uses only a Macquarie Bank account, check your other options before you need to invest.
Your options if your bank blocks a transfer
- Contact your bank first. Ask Macquarie Bank why they blocked the transfer, and whether they can process it.
- Try a different transfer method. PayID, EFT bank transfer, PayPal, and card payments can work differently because restrictions may apply at the BSB level rather than the payment type level.
- Use a second account. Some SMSF and trust account holders keep a second bank account for this reason. We cannot recommend a specific bank; our guide to crypto-friendly banks in Australia can help your research.
- Consider a different bank. If the Macquarie Bank restriction continues, some account holders will move their banking to another bank. This is a larger step for a trust or SMSF, so compare it against using a second account for transfers to Independent Reserve.
- Contact our team before you transfer funds. If you are setting up a new SMSF or trust account, contact us first. We can flag known issues with your bank before you start a transfer.
Get help with your SMSF or trust bank transfer
Contact our support team for help with your SMSF or trust bank transfer. Our local team can explain your options and help you plan around your bank’s restrictions.
FAQs
Does this only affect Macquarie Bank customers?
Macquarie Bank is the bank we see this from most for SMSF and trust bank transfers. Other banks can apply similar restrictions.
Is Independent Reserve the only exchange affected?
No. This restriction applies at the bank level, so it affects transfers to other cryptocurrency exchanges too.
Are my funds or my account at risk?
No. This is a bank transfer restriction from your bank, not a security or account issue. Your holdings and account stay safe.
Will this be resolved?
This depends on Macquarie Bank’s own policy. We cannot control this.
Which banks work well with cryptocurrency exchanges?
We cannot recommend a specific bank. Our crypto-friendly banks guide can help you compare your options.
