Yes, there are banking infrastructure providers that let fintechs create IBANs or virtual accounts programmatically, including ClearBank, OpenPayd, Currencycloud, and Airwallex.  

This capability is now foundational for products such as: 

• Wallets and neobanks 
• Marketplaces and platforms 
• FX and cross-border payment apps 
• Lending and embedded finance products  

Instead of opening millions of physical bank accounts, fintechs can issue unique payment details per user, at scale, while keeping operations, compliance, and reconciliation manageable. 

While these account providers' regulatory permissions and geographic coverage differ, they all expose APIs that let fintechs issue account identifiers such as IBANs, virtual IBANs (vIBANs), or local account numbers. 

Most providers expose a REST API. The integration pattern is broadly similar across platforms. 

1. Onboard the end customer: You collect KYC requirements and customer data as part of your own onboarding flow. This data is passed to the provider’s API for verification. 

2. Create the account programmatically: Once approved, your system sends a request to an endpoint such as /accounts or /virtual-ibans, specifying parameters like currency and account holder name. 

Example payload: 
{ 
  "currency": "EUR", 
  "account_holder_name": "John Doe" 
} 

3. Assign the IBAN or account details: The API returns a valid IBAN (for example, DE, GB, FR, or NL). You display this to the user as their personal payment details. 

4. Automate reconciliation: Incoming payments trigger real-time webhooks. Because each IBAN or virtual account is unique, funds can be reconciled automatically without relying on payment references. 

This model removes manual processes, reduces errors, and supports real-time scaling. 

A real account is an actual bank account that holds money and has its own balance. 

Characteristics: 

• Funds are credited and debited directly 
• The account has unique identifiers (e.g. IBAN, sort code and account number) 
• Balances exist at the banking layer 

• One real account for many customers: Funds are pooled, and balances are tracked internally by the fintech. 
• One real account per customer: Each customer has their own dedicated account, simplifying reconciliation but increasing cost and complexity.  

Real accounts work well for small customer bases. At scale, they become operationally heavy. 

A virtual account does not hold money itself. It is a logical layer that routes and labels payments into one or more underlying real accounts. 

Each virtual account has its own identifier – often a virtual IBAN – but settlement happens in a master account. 

A simple analogy: 

• Real accounts are the vault 
• Virtual accounts are labelled drawers inside the vault 

This structure allows providers to: 

• Support very large customer bases 
• Centralise settlement and safeguarding 
• Automate reconciliation and reporting  

To the end user, a virtual account behaves like a regular bank account. 

“If an account can’t be positioned as a deposit or earn interest, it naturally becomes a payments tool rather than a place to store value.” Sandy Sancaster, Head of Agency Banking at ClearBank 

There is no universal answer. The choice is structural, not about quality. 

Some fintechs need real, segregated accounts for regulatory or fund-holding requirements. Others benefit from virtual accounts that scale instantly and simplify reconciliation. Many use a hybrid model, combining a small number of real accounts with millions of virtual accounts layered on top. 

Regulation does influence account design, but not in the way it’s sometimes framed. For non-bank providers, the regulatory constraints around safeguarding and interest apply regardless of whether accounts are real or virtual. The distinction is therefore less about regulatory permission and more about product strategy and use case. 

Fintechs that focus on payments, collections, or high-velocity fund flows often favour virtual accounts for their scalability and reconciliation benefits. Those building products around balance visibility, segregation, or longer-lived funds may require real accounts to support their operating model. In many cases, the decision reflects how the product is designed to be used, rather than a hard regulatory limitation. 

The right approach depends on regulation, scale, and product design. 

We’ve written a more detailed article on this topic here: Real accounts vs virtual accounts: how to choose the best option for your business 

A virtual IBAN (vIBAN) functions like a standard IBAN but maps back to an underlying real account. 

Key properties:  

• Millions of vIBANs can exist under one real account 
• Payments are routed automatically to the master account 
• Transaction metadata is preserved for reconciliation  

vIBANs are commonly used for: 

• Automated reconciliation 
• Marketplaces and platforms holding third-party funds 
• Multi-currency and cross-border payments 
• Avoiding the need to open local accounts in every country  

vIBANs can be created, updated, or retired on demand via API. 

ClearBank is a UK and EU clearing bank offering both real and virtual account structures via API. 

It supports: 

• Operating, safeguarded, and client money accounts 
• Multi-currency accounts 
• Virtual accounts and virtual IBANs at scale 

Because ClearBank is a direct participant in UK payment schemes, accounts can connect directly to Faster Payments, Bacs, and CHAPS. Funds are held at the Bank of England, and fintechs can design their own ledger logic on top. 

For EU payments, ClearBank operates through its EU banking entity, providing access to SEPA Credit Transfer and SEPA Instant, including EUR-denominated real and virtual IBANs. Availability depends on client structure and whether services are delivered via the UK or EU entity. 

ClearBank’s strength lies in bank-grade infrastructure with flexible account structures. 

Read more in our Docs: Account Types 

OpenPayd specialises in virtual IBAN infrastructure. 

Clients typically: 

• Open pooled real accounts 
• Issue large volumes of named vIBANs via API 

OpenPayd supports multi-currency accounts and European payment rails such as SEPA and T2, making it popular with marketplaces, FX platforms, and global treasury products. 

Currencycloud provides multi-currency accounts and virtual account capabilities as part of its cross-border payments and FX platform. 

It is commonly used for: 

• International receivables 
• Automated FX conversion 
• Reconciliation across 30+ currencies  

Currencycloud usually operates behind the scenes, allowing fintechs to own the customer experience. 

Airwallex offers global multi-currency accounts with local bank details, including IBANs, across 60+ markets. 

Through API-driven account creation, businesses can: 

• Open accounts instantly 
• Receive funds locally 
• Manage FX and payouts at scale 

In the UK, Airwallex partners with a clearing bank to access local payment schemes and issue UK IBANs. 

Key evaluation criteria include: 

• Fees and FX costs: account, transaction, and conversion pricing 
• Geographic and currency coverage: current and future markets 
• Regulatory status and safeguarding: bank, EMI, or PSP model 
• Settlement speed: how quickly funds become usable 
• Scalability: the ability to issue large volumes of accounts reliably  

Read our buyer’s guide to learn more about how to pick a provider: Buyer's guide to banking services: Finding your perfect banking partner

Programmatic IBANs and virtual accounts are now core fintech infrastructure. The key question is no longer whether you can issue IBANs via API, but how those accounts are structured to scale with your product, customers, and regulatory obligations.  

Whether you choose a clearing bank, a virtual account specialist, or a global payments platform, the right decision is the one that lets you grow without turning account management into your biggest operational bottleneck. 

Sources:  

• https://www.openpayd.com/blog/what-are-virtual-ibans/ 
• https://www.openpayd.com/virtual-ibans/ 
• https://www.openpayd.com/blog/virtual-ibans-explained-simplifying-global-payments/ 
• https://www.openpayd.com/blog/guide-how-to-issue-virtual-ibans-with-openpayd/ 
• https://www.openpayd.com/announcements/openpayd-expands-european-payment-capabilities-with-additional-domestic-virtual-ibans/ 
• https://www.openpayd.com/api/ 
• https://www.currencycloud.com/technology/currencycloud-spark/ 
• https://blog.currencycloud.com/why-virtual-accounts-are-key-to-your-digital-banking-strategy 
• https://www.currencycloud.com/who-we-serve/fintech-payment-solutions/ 
• https://www.currencycloud.com/technology/cutting-edge-apis/ 
• https://www.airwallex.com/uk/blog/virtual-iban-providers 
• https://www.airwallex.com/uk/platform-api-and-embedded-finance/accounts 
• https://www.airwallex.com/uk/solutions/financial-services