Wise Personal Account Review: Pros And Cons (2024)

When Australians speak of Wise, they are commonly talking about the Wise Account and associated Wise Debit Card, as this is the company’s most popular offering. In fact, there are 16 million users worldwide.

As Dakin explains, the Wise Account and its attached debit card allows people to transact in more than 40 currencies within the one account and “spend like a local wherever they are, in the local currency”.

It also works in a similar manner to a more traditional bank account, allowing account holders to set up direct debits, access virtual cards to connect to Apple and Google Pay, and earn interest on their balances.

A key feature of the account is the ability to register local account details in nine different currencies, meaning you can get paid and send money in a different currency than your place of residence, if need be.

Related: Wise Vs Revolut (2024 Comparison)

Opening a Wise account is free, as the company does not charge for a subscription. However, ordering your first card costs $10 with standard delivery included (replacement cards from thereon cost $6). There are also no monthly maintenance fees, which means the only fees you can expect are from ATM withdrawals, conversion fees, the aforementioned replacement card costs, and fees to add money to your account depending on how you choose to do so.

You can withdraw up to $350 AUD, twice a month, for free. Any amount above this figure, you will be charged a fee of $1.50 for any additional withdrawals, along with 1.75% of the transaction.

In terms of fees, Wise charges different rates depending on the currency. However, they all start at 0.42% of the transaction. For example, if you want to convert $1000 AUD to USD, you would be charged a fee of $4.68. The same fee would apply if you wanted to convert $1000 AUD to GBP. However, transferring $1000 AUD into Euros would cost slightly less at $4.58.

These fees differ again when sending money, although they all begin at 0.42% of the transaction (excluding a conversion fee). Sending $1000 AUD to a UK bank account and transferring the Australian dollars to pounds would cost $5.18 AUD; while sending $1000 AUD to an Australian bank account costs only 0.57 cents.

Lastly, when adding money to your Wise account, you may also be charged a fee depending on how you choose to add the money. Wise offers users five options to add money to your account, some which will be fee-free and some of which won’t. They also differ in the time it takes to add money to your account.

To add money to your Wise account, you can choose to pay via:

• Manual bank transfer;
• Apple or Google Pay;
• PayID;
• Debit card; or
• Credit card.

Using the same $1000 AUD example, adding this figure to your account would cost:

• $0 when using a manual bank transfer, which should take approximately 3-6 hours on a weekday;
• $3.70 in fees when using a debit card from your phone’s wallet, and $13.80 if using a credit card. This will arrive in a matter of seconds;
• $0 when using PayID, which will arrive in a matter of seconds;
• $3.70 when using a physical debit card, which will also arrive in seconds; and
• $13.80 if using a physical credit card which, again, will arrive in seconds.

The defining feature of a Wise personal account is the ability to send, hold, receive and convert money into more than 40 currencies, allowing you to spend the local currency across some 150 countries.

This may be ideal for travellers hopping between various nations, those sending money to family or friends abroad or those moving abroad permanently.

In addition, the Wise Debit Card also allows users to open a local bank account in nine countries without having a residential address.

Dakin says this features is designed to help those who, for example, may be moving to a new country and who need time to get set-up.

“This means you can share these account details with anyone to get paid like a local, in the local currency,” Dakin says.

The nine different currencies available to Australian Wise users are:

• British pound (GBP)
• The Euro (EUR)
• New Zealand dollar (NZD)
• Singapore dollar (SGD)
• Hungarian forint (HUF)
• Romanian leu (RON)
• Turkish lira (TRY).

Even people who do not use Wise can send you money to these account details.

Dakin says the Wise Personal Account is also frequently used by online shoppers who are buying gifts for loved ones abroad, or who have found shopping deals online on a foreign website.

However, despite these advantages, there are still fees to be aware of, as well as the exchange rate when converting currencies. The exchange rate that Wise charges is the mid-market rate, being the midpoint between the buy and sell prices of two currencies at any time. It’s the same as what you see on Google, when you search for a currency conversion rate.

Dakin adds that customers can see exactly how much a transfer is going to cost them before committing, and while they charge a “tiny fee” now they hope to make this feature free in the future.

“In the meantime, customers can see exactly what a transfer is going to cost them in fees and how much their recipient will receive before they hit send,” he says.

Additionally, Wise offers its customers access to three virtual debit cards within the Wise app, which can also be added to Apple Pay or Google Pay wallets. Virtual cards have different details than the physical Wise card, and can be frozen after each transaction.

“If you think your virtual card has been compromised, you can instantly replace your card details—this means it’s a safe and simple way to spend no matter where you are in the world,” Dakin says.

Virtual cards can also help Wise users manage their expenses, as different transactions can be allocated to each card.

Ultimately, Wise markets itself as “the most international debit card in the world”. Whether it is the right choice for you, will depend on your personal preferences, expectations and spending habits. As with any account or new financial product, it’s best to do your homework, research competitors and see if it suits your needs.