In the sea of emails I receive daily promoting various products or services, this particular one caught my attention, as it was something I had been anticipating. At long last, for the first time since 2023, customers in the United States could obtain a Wise debit card.
I was thrilled because Wise.com (previously Transferwise) users in Europe or Asia had access to a card for ATM withdrawals, but those of us in the U.S. found ourselves excluded from this option. While our international counterparts effortlessly accessed their multi-currency accounts from shops and ATMs, we had to transfer funds to another bank account first, incurring a fee for that transaction. There was no straightforward way to access our own funds.
However, as I delved deeper into the card’s terms and conditions, my excitement dwindled. I appreciate the company and have recommended their service on numerous occasions. Yet, I found myself questioning whether to even acquire this Wise debit card as an emergency backup—that’s the extent of my disappointment.
Here’s how this card will end up costing you a significant amount to access your own money. Tally the fees, and you’ll likely spend more than if you were using a regular bank ATM card abroad, even if it levies charges every time.
A Steep 2% Charge on Nearly Every Transaction
You might need to pay just to receive this card, which I’ll clarify shortly, but once you have it, this Wise debit card will continuously take money from you thereafter. Here’s a simplified summary from their own website:
“The Wise Multi-Currency Card alleviates concerns about ATM use abroad. You incur only a minimal fee on withdrawals after the first $100.”
Who withdraws less than $100 from an ATM?! I can only recall doing so in the last two decades when using a machine in Argentina that capped withdrawals at $80 at a time. Typically, anyone with sense withdraws enough cash to last a decent span or takes out the maximum possible.
Thus, the only scenario where you get a “free” withdrawal is if you use the card at a grocery store, pharmacy, or café for a small purchase. But why would you even bother using this when you have a standard bank debit card with no foreign transaction fees and no limits?
And if you’re gaming for points and miles, wouldn’t you opt for a credit card that accrues rewards instead, paying it off promptly? Or use a debit card that offers cash back? This would likely be the least valuable card in your wallet.
When I examined the fine print, I was astounded. What they refer to as a “minimal fee” is actually 2% on each transaction. In essence, for every $100 you withdraw from your own account, you’re essentially giving Wise.com $2 as a transaction fee. On a standard $500 withdrawal, you’ll incur a $10 fee to them in addition to any local bank charges.
This would make the Wise card the priciest one among my cards to utilize, with the exception of (sometimes) PayPal’s. My Fidelity card charges $0 and refunds local fees. My Novo.com business account charges $0 and reimburses local fees up to $7 monthly. (My favorite Mexican ATM charges $1.50, so I rarely exceed that.)
My wife’s Capital One 360 card incurs $0 on their end, so she only pays the fee charged by the local bank. My regular Regions bank card imposes a $5 flat fee—half of what Wise charges on a $500 transaction—plus local fees.
Therefore, even if I were to receive this Wise ATM card, it would rank #4 on my backup list, or #5 once I’m back in the states and can get a Schwab debit card that has no fees. That means a serious streak of bad luck would need to occur before it ever sees the light of day, either from my home safe or a concealed spot I’ve designated while traveling “just in case.”
Pay Another Fee on Top of the Fee
But hold on, it gets even worse! It turns out you’ll be responsible for even more fees if you withdraw from an ATM more than twice in a single month. You’ll be penalized for the excess with a $1.50 fee stacked on top of the already existing 2% fee, along with any currency conversion fee they impose, and the charges from the local bank. Here’s the chart from their site:
They offer this oh-so-helpful suggestion: “Planning to take out cash for a vacation? It’s more economical to make one large withdrawal instead of several smaller ones. This will prevent you from incurring the fixed $1.50 fee each time.” Wow, thanks.
Wise May Charge You $$ Just to Mail It
Have you ever had to pay a bank simply to receive one of their debit cards? Probably not, but with Wise, you’re already at a disadvantage before the