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Revolut: How Does It Work?

By Radhe Gupta
November 22, 2023

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Revolut is a fintech company that has revolutionized the way people manage their finances. With its innovative mobile app and prepaid debit card, Revolut offers a range of financial services that are convenient, cost-effective, and user-friendly. In this article, we will explore how Revolut works, its key features, and the benefits it provides to its users.

What is Revolut?

Revolut was founded in 2015 by Nikolay Storonsky and Vlad Yatsenko with the aim of providing a digital alternative to traditional banking. It started as a prepaid debit card that allowed users to make payments and withdraw cash abroad without incurring hefty fees. Since then, Revolut has expanded its services to include a range of financial products, such as currency exchange, budgeting tools, cryptocurrency trading, and even stock trading.

How Does Revolut Work?

Revolut operates primarily through its mobile app, which is available for both iOS and Android devices. To get started with Revolut, users need to download the app and sign up for an account. The signup process is quick and straightforward, requiring basic personal information and a valid identification document.

Account Types

Revolut offers two types of accounts: Standard and Premium. The Standard account is free and provides basic features, such as currency exchange, peer-to-peer payments, and budgeting tools. On the other hand, the Premium account requires a monthly subscription fee and offers additional benefits, including travel insurance, priority customer support, and higher withdrawal limits.

Top-Up and Currency Exchange

Once the account is set up, users can top up their Revolut account using a variety of methods, such as bank transfers, debit cards, or Apple Pay. The funds can be held in multiple currencies, allowing users to exchange money at interbank rates without any hidden fees. Revolut supports over 150 currencies, making it an ideal choice for frequent travelers or individuals who frequently make international payments.

Payments and Transfers

Revolut allows users to make payments and transfers to other Revolut users instantly and free of charge. Additionally, users can send money to non-Revolut users by using their phone number or email address. The app also supports recurring payments, making it convenient for regular bill payments or subscriptions.

Budgeting and Analytics

One of the standout features of Revolut is its budgeting and analytics tools. The app categorizes transactions automatically, allowing users to track their spending habits and set monthly budgets for different categories. Users can also receive real-time notifications for each transaction, helping them stay on top of their finances.

Cryptocurrency and Stock Trading

Revolut has expanded its services to include cryptocurrency trading and stock trading. Users can buy, sell, and hold popular cryptocurrencies, such as Bitcoin, Ethereum, and Litecoin, directly from the app. Similarly, Revolut allows users to invest in stocks and ETFs, providing a simple and accessible way to enter the world of investing.

Benefits of Using Revolut

Revolut offers several benefits that make it an attractive choice for individuals looking for a modern and convenient way to manage their finances. Some of the key benefits include:

Low Fees: Revolut prides itself on its low fees, especially for international transactions and currency exchange. Users can save significant amounts of money compared to traditional banks.
Convenience: With its mobile app, Revolut provides a seamless and user-friendly experience. Users can manage their finances on the go, make payments with a few taps, and access a range of financial services from a single platform.
Security: Revolut takes security seriously and employs various measures to protect user data and transactions. The app allows users to freeze and unfreeze their card instantly, set transaction limits, and enable location-based security.
Flexibility: Revolut offers flexibility in terms of account types and services. Users can choose between a free Standard account or a Premium account with additional benefits. The app also supports a wide range of currencies and financial products.
Real-Time Notifications: Revolut provides real-time notifications for each transaction, ensuring that users are always aware of their spending and account activity. This feature helps users stay in control of their finances and detect any unauthorized transactions quickly.

Conclusion

Revolut has transformed the way people manage their finances by offering a range of innovative and user-friendly services. With its mobile app and prepaid debit card, Revolut provides low-cost currency exchange, peer-to-peer payments, budgeting tools, and even cryptocurrency and stock trading. The convenience, low fees, and flexibility of Revolut make it an attractive choice for individuals looking for a modern and efficient way to handle their finances. Whether you are a frequent traveler, a tech-savvy individual, or someone who wants to take control of their finances, Revolut offers a compelling solution.

Q&A

1. Is Revolut safe to use?

Yes, Revolut takes security seriously and employs various measures to protect user data and transactions. The app allows users to freeze and unfreeze their card instantly, set transaction limits, and enable location-based security.

2. Can I use Revolut abroad?

Yes, one of the key benefits of Revolut is its ability to make payments and withdraw cash abroad without incurring hefty fees. Users can exchange currencies at interbank rates and use their Revolut card in over 150 countries.

3. Are there any fees associated with Revolut?

While Revolut offers a free Standard account, certain services may have fees associated with them. For example, there may be fees for ATM withdrawals above a certain limit or for using Revolut to withdraw cash in a currency other than the account’s base currency. It is important to review the fee schedule provided by Revolut for a comprehensive understanding of any applicable fees.

4. Can I use Revolut for business purposes?

Yes, Revolut offers business accounts that provide additional features tailored for businesses, such as multi-currency accounts, expense management, and team access. These accounts come with a monthly subscription fee.

5. Can I use Revolut if I don’t have a smartphone?

Revolut primarily operates through its mobile app, so having a smartphone is necessary to access its services. However, Revolut also offers a web interface that allows users to manage their accounts and access certain features from a computer.

Revolut: How Does It Work?

Table of Contents

What is Revolut?