Unable to record EUR to GBP transfer between Wise accounts in QuickBooks Online

Hi there. The reason you can’t process a direct transfer between two foreign currencies is that QuickBooks Online (QBO) requires your home currency (USD) to act as a bridge. Since QBO doesn't support direct foreign-to-foreign transfers, you'll need to use a clearing account to move the funds accurately.

Before starting, ensure your multi-currency setting is turned on and check the exchange rates to accurately record the transaction amounts.

To create a clearing account, follow these steps:
 

1. Head to the Gear icon and choose Chart of Accounts.
2. Click the New account button.
3. Choose Bank under the Account type, and select Cash on hand under the Detail type.
4. Type barter or a name that will identify the account in the Name field.
5. Set the Currency to US - United States Dollar.
6. Press the Save & Close.

 
To start recording the transactions, let's go over to your Euro account and locate the funds:
 

1. Go to the Accounting menu and navigate to the Bank Transactions tab.
2. Tap your Euro account tile to see transactions in it.
3. Select the bank transaction you want to transfer to.
4. Tap the Record as transfer radio button and select the barter account you created from the Transferred to dropdown.
5. Add the necessary details you may need and click Add.

 
Lastly, let's move the funds from your barter account to your GBP account:
 

1. Click the + Create icon and select Transfer.
2. Select your barter account in the Transfer Funds From dropdown.
3. In the Transfer Funds To, select your GBP account.
4. Enter the amount in the Transfer Amount. To get the accurate amount, you can refer to the exchange rate when the transaction was created or follow this formula: Balance/Exchange Rate = Transfer Amount.
5. Then, Save and Close.

 
Finally, you can manually upload a transaction to your GBP account from the Banking tab to match the transferred funds. Alternatively, you can exclude the transaction from your Euro account in the Pending tab of the Bank Transactions menu, then manually calculate and import the amount into your GBP account bank feeds using an Excel file.

Moreover, it is recommended to consult with your accountant for guidance and to reconcile your accounts regularly to prevent discrepancies.

Let me know if you have more concerns about managing your bank transactions. The Community is 24/7 available to help.