Revolut is now a digital bank, they have come along way since they started back in 2015 as a cheap travel card providing an exchange of sorts.
Revolut is a digital banking startup that hopes to revolutionize how global citizens access and interact with banks. It seeks to change how you send and receive money locally and internationally, how you manage your deposits, your international travels, and the security around your deposits as well as your exposure to advanced aspects of the financial industry like cryptocurrencies. According to the company, Revolut sets itself apart from conventional banking industry operatives by guaranteeing absolute transparency in charges and fees as well as being wholly online, though it still distributes prepaid debit cards. But how does it really work and what are the merits and demerits of opening a current account online banker? Plus who needs their services and why? We have the answers to these and more in this Revolut breakdown.
How does it work?
Revolut is wholly online, and so are their accounts. Opening a current account is quite straightforward and involves filling in your details and verifying your identity by sending over a photo of your face (Selfie) alongside your government issued identification document. The fintech company will then ship you a prepaid MasterCard with your U.K Account number and Euro IBAN number. Opening the account is free but shipping card costs £4.99. You then have to link the card with your main account to top it up, after which you can use it to buy or pay merchandises and services in over 150 countries at every store institution that accepts prepaid MasterCard. If you use it while traveling internationally, the card will automatically convert your base account currency to the local currencies, at the best interbank rates of the day. You can also use it to make free ATM withdrawals of up to £200 per month. Premium and metal accounts will also get you overseas medical insurance.
Types of Revolut current accounts currently available
- Standard account:
A Revolut standard current account is free and doesn’t need a monthly fee. It has all the basic features of a current account that include, withdrawing the first £200 per at an ATM free of charge, no additional fees when you pay using your card in over 150 countries and No fee exchange for 29 currencies to a max of £5000 per month.
- Premium account:
The premium account service is advanced at £6.99 per month and adds up on the features of a standard account where the ATM free withdrawals have an extended limit of £400 and no upper limit to currencies exchanges per. You also get priority customer support, overseas medical insurance, and instant access to five of the most popular cryptocurrencies namely Bitcoin, ethereum, Bitcoin cash, Litecoin, and Ripple.
- Metal account:
Metal account expounds on the benefits of both the standard and premium accounts by extending ATM withdrawal limit to £600 per month. Other additional features that come with the Metal account include 0.1% and 1% cash back on all card payments for in Europe and internationally respectively. It is, however, a subscription service that costs £12.99 per month. The metallic card and all the revolut offers you get with it, make it worth while to get!
Revolut’s unique features:
Revolut is more than just a bank account or yet another online financial services provider. The digital app services touch on virtually every aspect of both conventional banking and financial technology and even extends to the cryptocurrency and insurance niches. Here are some of the most unique features of Revolut digital banking and app:
- Free transfers and automated currency exchange:
Revolut app makes it possible to send money across the world in 29 different currencies free of markups above the current interbank exchange rate. Transactions above £5,000 are however charged 0.5% for standard account holders. And if you pay using their card, it will automatically convert the payment from your main hard currency to the international currency using the friendliest interbank exchange rates.
- High-tech security features:
The revolut card and mobile app blow competition out of the waters when it comes to security. They have made it possible to geographically your card, activate/deactivate tap, swipe, contactless payments, and ATM withdrawals as well as freeze or unfreeze the card using the mobile app.
- Budgeting and savings feature:
The Revolut APP budgeting feature helps you track your monthly expenses and even create a budget. It also automatically converts prepaid card balances to the nearest whole stacking the change in a goal-saving account.
- Revolut cryptocurrencies – WIREX:
Revolut has also partnered with Wirex to facilitate your exposure to the crypto world. It makes it possible to exchange 29 fiat currencies into Bitcoin, Ethereum, Litecoin, Ripple or Bitcoin Cash, effectively eliminating the need for middle-men crypto exchanges. It also features graphs and price charts. It also is possible to set a price alert and have the app notify you about significant price movements.
*Update due to accounting irregularities at WIREX please note it may no longer have a relationship with the said company: Read about it “WIREX FRAUD “
The whole interoperability of crypto/creditcards/banks has many challenges and we are still very early, check out our series on “The Evolution of Money” to illuminate you one the coming change to make all of our lives better.
What are the pros and cons of Revolut digital bank and card?
- You can choose your account and app base currency from a pool of 29 currencies. Switching from one of these currencies to another in-app is instant and free of charge
- Offers 24/7 dedicated customer service and priority access to support for Premium and Metal account holders
- The user-friendly app gives near-absolute total control of your card
- No markups on the interbank exchange rate when making payments
- Easy to link with your main bank account
- Instant access to the cryptocurrency markets with price movement alerts
- Free international money transfers
- Imposes a weekend markup fee of 0.5% on all transactions involving major currencies and 1% on second-tier currencies
- Less popular currencies falling off their 29 favorites are always charged 1% fee that rises up to 2% on weekend and international holidays
- You cannot move your crypto coin purchases into a crypto-wallet
- They don’t maintain physical branches and all concerns are handled online
- Cryptocurrency purchases and sales aren’t FCA regulated or FSCS covered
- Free ATM withdrawals have an upper limit of £200 per month
Whether you wish to transfer money or have the convenience of using your crypto to pay for things, this is the best card to use in our view. There are several other digital banking apps that give out prepaid cards and crypto cards and offer a host of the basic services that you get to get from Revolt including free payment processing for international travels.
Revolt has a few more unique and pioneer features for any digital banking industry. The most predominant being the integration of cryptocurrencies, fee-free cash transfers at inter-bank exchange rates, and the currency auto-exchange feature. These make it appealing to international travelers looking for free and seamless transactions as well as cryptocurrency enthusiasts.