Revolut: Overview of online bank costs

Revolut is a relatively new player in the banking market that differs from established banks not only in terms of low costs and fees. We show you what costs Revolut incurs and for whom an account with this bank is worthwhile.

Revolut - a bank with almost no cost

Revolut is a so-called Challenger Bank.

• Challenger banks are mostly called young banks with special target groups. In addition to digital offers and processes, these challenger banks are characterized by low fees.
• At Revolut, for example, you can receive your credit in 25 different currencies. Cryptocurrencies are also included.
• The Challenger Bank offers a prepaid Visa card with which you can pay in 120 different currencies worldwide free of charge.
• A standard account with Revolut is free. High costs or interest for an overdraft cannot be incurred because you cannot overdraft your account. All transfers at Revolut are free of charge.
• You can switch foreign currencies within your account. This process is free of charge if the value of 6, 000 euros per month is not exceeded. There is a 0.5 percent charge for higher amounts.
• You can only withdraw cash from Revolut to a limited extent. As long as you do not withdraw more than 200 euros per month, there are no fees. If you need more money, you pay 2 percent of the amount withdrawn.
• For the Visa card, you only pay a one-off fee of 6 euros for shipping.
• If you opt for a premium account with Revolut, you will be charged 7.99 euros per month for the account.
• The advantage of a premium account compared to the free version: there is no limit for the free exchange of foreign currencies. You can also use this account to withdraw up to € 400 a month.
• You will not receive any interest on your balance on the account or on the credit card. This applies to both the free and the premium account.

Target group and risks

An account with Revolut Bank is not necessarily suitable for everyone.

• If you are traveling a lot and prefer cashless payment, Revolut certainly offers some advantages here.
• If you opt for an account with Revolut, you should be experienced in using banking apps for your smartphone. There is no web banking version for your computer.
• You should not park large amounts at Revolut - it would not be worthwhile. You get no interest on your balance.
• You should also be aware that Revolut does not have a statutory deposit guarantee, as is the case with other banks. The reason for this is that Revolut is not really a bank in the real sense - at least not yet.
• Rather, it is a digital financial service provider. Revolut does not have a banking license. Such a license has now been applied for in Lithuania, but it has not yet been approved.

In our next post, you will find out what came out of the security check of banking apps from the Stiftung Warentest.