The Best Digital Fintechs to Manage your P2P Portfolio
Did you know that every time you swipe your card in a foreign country or make an international transaction your bank is charging you exorbitant fees and giving you a terrible exchange rate? Yet, you can save thousands every year by choosing the right banks to work with.
If you travel abroad for a week or two per year, 3–5% in various fees and bad exchange rates for international card use is not really a big problem. But as a frequent traveler or performing a great number of international operations, these fees add up quickly. In fact, you might be donating hundreds or even thousands of euros yearly to your bank. I’m sure you could think of a better way to spend that money.
But what if I told you that there are banks and fintechs out there that charge no monthly fees, 0% foreign transaction fees, 0% currency exchange markup, 0% ATM withdrawal fees and even refund fees imposed by ATM owners worldwide? Sounds like some sort of black magic right? Well, it’s not. Check the information below regarding N26 and TransferWise to learn why they are my personal choices to manage my savings and investments and how you can open a free account with them today.
My favorite fintech in Europe is definitely N26. By now it’s one of the most mature of the user-friendly and innovative challenger or neo-banks that have revolutionized the European banking market in the last few years.
Things to note: They only support bank transfers within Europe (through the SEPA network) — but for other transfers, you can just use TransferWise or similar services, which is the preferred way of sending money across borders/currencies anyway. Like with many (most?) checking accounts these days you will not accrue interest on your deposits. But that’s a small price to pay with what you save on using the card abroad. Instead, they do offer an option to invest your money in one of three simple investment plans, which over time should give you a much better return than the interest offered by most banks anyway. Finally, not all features and plans are available in all countries yet.
Transferring money between different monetary areas can be challenging and expensive. Usually, the fastest and easiest way is to use TransferWise and is what I would recommend in most cases. Even if your bank supports international transfers, you’ll most likely get a terrible exchange rate, plus loads of fees, especially if the transfer goes via the SWIFT network.
Do you want to Invest?
Check among the P2P crowdlending opportunities available on Savings4Freedom, always taking into consideration that all information is entirely based on my personal experience.