Trade Republic Card: Is It Worth Getting?

Summary

The video script provides a detailed review of the Trade Republic card, highlighting its features such as 1% cashback on purchases, 4% interest on cash reserves, and no fees for international ATM withdrawals or currency exchange. The reviewer compares Trade Republic with Revolut, emphasizing the former's advantages in cost-effectiveness and customer treatment. They share their positive personal experience using the card for daily expenses and earning interest, while noting areas for improvement like daily spending limits and customer service. The card's security features and the company's growth are also discussed, with a strong recommendation for its use in Europe.

Takeaways

• 🏦 Trade Republic is a German broker with over 4 million customers, operating in 17 European countries and managing 35 billion in assets.
• 💳 The new Trade Republic debit card allows users to spend the cash balance on their Trade Republic account for everyday expenses, both online and in-store.
• 💰 The card offers a unique feature where uninvested funds in the account earn a 4% interest rate per year, up to €50,000, secured by a €100,000 bank deposit guarantee.
• 🔄 The 1% save back feature provides cash back on purchases, which must be invested the following month through commission-free recurring investments.
• 💳.3 Card versions include a free virtual card, a classic card for a one-time fee of €5, and a premium metal mirror card costing €50.
• 🌐 There are no fees for ATM withdrawals worldwide as long as the withdrawal amount is €100 or more, and no currency exchange fees are charged.
• 🔒 Security features include no card number or expiration date printed on the physical card, notifications for new online payments, and the ability to freeze or lock the card within the app.
• 📈 Trade Republic is one of the best low-cost brokers in Europe for ETFs, stocks, and bonds, with a flat fee for direct orders and no commission.
• 🚀 The card is set to roll out across all 16 countries outside of Germany in the second week of April.
• 💬 The reviewer has had a positive experience with the card, citing its features, benefits, and customer service improvements as key advantages.
• 🔗 The reviewer encourages viewers to use their affiliate link to open a Trade Republic account and supports the platform with a like and subscription to their channel.

Q & A

What is the primary purpose of the Republic card and how does it differ from traditional bank offerings?

The primary purpose of the Republic card is to enable users to make everyday payments using the cash balance on their Trade Republic account, while still earning a high interest rate on uninvested funds. Unlike traditional banks, the card offers up to 4% interest per year on cash reserves and a 1% cash back on purchases, which is reinvested the following month. This feature is unique as most banks do not offer such interest rates on savings accounts or charge fees for ATM withdrawals and foreign currency transactions.

How does the interest rate on uninvested funds with Trade Republic compare to traditional bank accounts?

Trade Republic offers an interest rate of 4% per year on up to €50,000 worth of uninvested funds, which is significantly higher than what traditional banks typically offer. Additionally, Trade Republic's interest rate is secured by a €100,000 bank deposit guarantee, making it a more attractive option for individuals looking to earn more on their cash reserves.

What are the different versions of the Trade Republic card and their associated costs?

There are three versions of the Trade Republic card: the virtual card, which is free and can be used online or in-store for contactless payments; the classic card, which costs a one-time fee of €5 primarily covering shipping costs; and the metal mirror card, which costs €50 and offers a premium look and feel.

How does the 1% save back feature work on the Trade Republic card?

The 1% save back feature provides users with 1% cash back on their card payments, which accumulates each month and must be invested the following month via a commission-free monthly saving plan. The maximum save back that can be accumulated in a month is capped at €15, which translates to €1,500 of monthly card payments.

Are there any fees associated with ATM withdrawals using the Trade Republic card?

There are no fees for withdrawing cash at ATMs using the Trade Republic card, as long as the withdrawal amount is €100 or more at once. This applies to both local currency and foreign currency withdrawals, globally.

How does the currency exchange rate work with the Trade Republic card for transactions in different currencies?

Trade Republic uses the exact rate set by Visa for currency exchanges, without any additional markup or fees. This ensures that users get the real-time exchange rate without extra charges, making it cost-effective for international transactions.

What security features does the Trade Republic card offer to protect users' sensitive information?

The Trade Republic card offers several security features, including not printing sensitive information such as the card number, expiration date, and verification code on the card itself. Users also receive notifications for new merchant payments and card usage, and the card can be quickly frozen or settings changed within the Trade Republic app.

What is the user's personal experience with the Trade Republic card and its customer service?

The user has been using the Trade Republic card daily for three weeks and has found it beneficial due to the high interest rate on uninvested funds, 1% cash back on purchases, and no fees for ATM withdrawals or currency exchanges. However, they mention that customer service can be slow at times due to the rapid growth of Trade Republic's customer base.

What improvements or additional features would the user like to see with the Trade Republic card?

The user would like to be able to change the daily spending limit and split funds into a savings and spending bucket, both of which would continue to earn interest. They also hope for improvements in customer service response times as Trade Republic scales up.

How does the Trade Republic card stack up against competitors like Revolut in terms of fees and features?

Compared to Revolut, the Trade Republic card offers a higher interest rate on cash reserves, no fees for ATM withdrawals or currency exchanges, and no limits on the number of ATM withdrawals. It also provides a 1% save back feature and the ability to invest in ETFs and stocks with low costs, making it a more attractive option for users looking to maximize their savings and investment opportunities.

What is the user's overall verdict on the Trade Republic card and its suitability for everyday expenses?

The user considers the Trade Republic card to be the best debit card currently available in Europe due to its combination of high interest rates, cash back rewards, and lack of fees for common banking services. They plan to continue using it for their everyday expenses.