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Up to 100k per bank account is secured by the European central bank though, so for most Europeans, the money cannot just simply disappear and you never get it b

Up to 100k per bank account is secured by the European central bank though, so for most Europeans, the money cannot just simply disappear and you never get it back. And if you have over 100k per bank account, you probably should look for banks with better insurances anyway.

casenmgreen 1y ago
I would need to look into this again, but I am not sure this is actually true. Something like the underlying account(s) used by the FinTech are secured in this way, but your account with the FinTech is not. This is why Revolut for example have accounts which are something like "vaults", which are in fact accounts which are covered, because they are actual accounts, one per person, with a normal bank. That sounds incredible, it needs to be checked, about to leave the house so can't right now.
richrichardsson 1y ago
Revolut/Wise etc. make it quite clear they are not "bank accounts", and therefore their accounts don't come with the normal protections associated with bank accounts. I think there is some form of regulatory protection, but it's much less than for banks.
- notpushkin 1y ago
  Revolut is an actual bank if you’re in the EU! https://help.revolut.com/en-EE/help/accounts/what-does-uk-banking-licence-with-restrictions-mean-to-my-account/is-revolut-considered-a-bank/ https://help.revolut.com/en-EE/help/accounts/what-does-uk-ba... Edit: and apparently they’re now setting up a bank in the UK as well: https://help.revolut.com/help/more/legal-topics/is-revolut-a-bank/ https://help.revolut.com/help/more/legal-topics/is-revolut-a... Wise is not, and it might be more difficult to get the money out if they are insolvent. For the customers in the EU, they’re a Payment Institution in Belgium: https://wise.com/help/articles/2932693/how-is-wise-regulated-in-each-country-and-region https://wise.com/help/articles/2932693/how-is-wise-regulated...
  - Tijdreiziger 1y ago
    Perhaps surprisingly, PayPal is a bank too.

casenmgreen 1y ago

I would need to look into this again, but I am not sure this is actually true. Something like the underlying account(s) used by the FinTech are secured in this way, but your account with the FinTech is not. This is why Revolut for example have accounts which are something like "vaults", which are in fact accounts which are covered, because they are actual accounts, one per person, with a normal bank. That sounds incredible, it needs to be checked, about to leave the house so can't right now.

richrichardsson 1y ago

Revolut/Wise etc. make it quite clear they are not "bank accounts", and therefore their accounts don't come with the normal protections associated with bank accounts. I think there is some form of regulatory protection, but it's much less than for banks.

notpushkin 1y ago
Revolut is an actual bank if you’re in the EU! https://help.revolut.com/en-EE/help/accounts/what-does-uk-banking-licence-with-restrictions-mean-to-my-account/is-revolut-considered-a-bank/ https://help.revolut.com/en-EE/help/accounts/what-does-uk-ba... Edit: and apparently they’re now setting up a bank in the UK as well: https://help.revolut.com/help/more/legal-topics/is-revolut-a-bank/ https://help.revolut.com/help/more/legal-topics/is-revolut-a... Wise is not, and it might be more difficult to get the money out if they are insolvent. For the customers in the EU, they’re a Payment Institution in Belgium: https://wise.com/help/articles/2932693/how-is-wise-regulated-in-each-country-and-region https://wise.com/help/articles/2932693/how-is-wise-regulated...
- Tijdreiziger 1y ago
  Perhaps surprisingly, PayPal is a bank too.