Payment apps and digital banks are the future of spending, transferring money, and maintaining accounts.
You might also know them as Neobanks.
Many people and businesses are using them now, and more are turning to them every day.
Revolut is a company that has a payment and banking app with many features and offers a prepaid debit card that can be used for purchases and ATM withdrawals anywhere in the world.
The one catch?
Revolut is not a bank in the UK, where most of their client's accounts exist.
Stick around to see how you can open a Revolute account, and how a Revolut account works.
How to Open a Revolut Personal Account
Opening a Revolut personal account is simple.
You just download the app and put in your phone number.
Then you will set a password and a 6 digit code will be sent to your phone to verify the account.
It will ask you for your name, birth date, address, and email.
Then you will make an initial deposit by putting in your bank details for a transfer to be initiated.
Then you will need to provide a selfie and a picture of your passport for verification.
You’ll be asked to select either a standard, premium, or metal account, and pay the fee (standard is free).
We'll dig into the different account types later.
How to Open a Revolut Business Account
To open a Revolut business account, you’ll need to fill out an application, and provide information about your business including your incorporation details, what business you are in, and where you do business.
You’ll also have to prove that you have authorization to open a business account for your company.
You will also have to provide information to verify your identity.
Revolut will confirm your business but may request more information from you if they cannot verify it through normal channels.
Then you will wait for account approval, which can take from a few hours up to a week.
You can have multiple business accounts if you need them.
Who Can Use Revolut?
Currently, Revolut can only support legal residents of the European Economic Area (EEA), Australia, Canada, Singapore, Switzerland, Japan, and the United States.
As a customer, you can use Revolut anywhere in the world, and withdraw cash in 150 different currencies.
The prepaid debit card cannot be used at:
- Cryptocurrency exchanges
- Foreign exchange bureaus, including Travelex ATMs
- Gas (petrol) stations at the pump (you can pay inside however), or motorway toll booths.
Types of Revolut Accounts
Revolut offers a range of accounts for personal users, in addition to their business account offerings.
We'll break it down for you.
With a Personal Standard Account you can:
- Have a prepaid debit card that can be used anywhere in 150 different currencies with no fees up to a certain limit.
- Send payments to other Revolut account holders.
- Create savings vaults for different categories and earn interest.
- Set spending limits and budget your money.
- Make charitable donations.
- Exchange currency, including cryptocurrency.
- Set up a direct deposit and get paid up to 2 days early.
- Transfer money internationally.
- Create a free account for a child.
The standard account, which is free, has all these features but you can also have premium and metal accounts that come with additional features.
The Personal Premium Account costs $9.99 per month and includes items like:
- Higher ATM limits.
- Overseas medical insurance.
- Higher savings interest rates.
- Global express delivery.
- Some travel benefits.
The Personal Metal Account costs $16.99 per month and includes all of the benefits plus:
- Higher ATM limits.
- Delayed baggage and flight insurance.
- A free transfer every month
- A free account for up to 5 children.
The Business Account also offers 3 levels with different features, but all include:
- International payments.
- The ability to have team members on your account.
- Foreign currency exchanges.
Note: The upgraded business accounts offer more business management tools within their software and are not intended to add additional features to the account itself.
A Word of Caution
Revolut is not a bank in the UK, where it keeps clients' accounts, so deposits are not guaranteed.
While Revolut holds banking licenses in 10 different countries, the accounts live in the UK, and therefore for all intents and purposes, Revolut should not be seen as a bank.
However, Revolut says on its website “Funds with Revolut remain safeguarded in accounts with a tier-one UK bank, as per our obligations under the e-money regulations.
Plus, all of your card transactions are processed by the Mastercard or Visa network and are protected by Mastercard or Visa rules.”
Also, as with any app or website, watch out for phishing scams.
Phishing scams are designed to obtain your personal information.
Remember that Revolut will only communicate with you through their online chat feature.
They will not email you or offer support through social media, or any other means.
There are also account takeover scams, in which the scammer will try to get you to give them remote access to your account.
Watch out for anyone calling you posing as customer support, or a representative from another bank, asking you to give access to your device.
Finally, be aware that Revolut will share your data, but you can opt-out of data sharing on the app.
Business Accounts are somewhat restricted in the EU when it comes to neobanks, and they're not particularly easy to work with if you do business outside the EU regularly.
That's why some businesses would opt for a Statrys account, where you can get access to 11 currencies in less than 48 hours after applying.
Open a business account today and make the most of your payment needs.