How many red flags do you need about Revolut

[karishi]

I have always been a supporter of Wise, because, with it all its quirks, it has always given me some confidence on the fact that they were doing things right.

Revolut it's a different story, and I would never trust them with my money.

Revolut Needs to Get Its House in Order

The fintech unicorn Revolut needs a UK banking license to sustain its growth, but it keeps tripping up.

www.wired.com

When Revolut eventually filed its last set of accounts in March, six months late, there was a catch: Its auditor, BDO, could not verify with certainty three-quarters of its revenues—£476.9 million ($591.6 million)—because of problems with its IT practices. Another delayed financial audit was the last thing it needed.

For more than two years, the firm has attempted to convince the Prudential Regulation Authority (PRA), the body that supervises UK banks, that it’s worthy of a UK banking license.
,,,
Without a UK banking license, says Ruth Wandhöfer, an author and fintech consultant—who helped negotiate the terms of the EU payments legislation that opened the door to fintechs like Revolut—the company would have to completely rethink its growth strategy. There would be a “whole ecosystem of financial products” the firm wouldn’t be able to offer, she says. “Basically, you’re not participating in the real action.”

The implications of a rejection would be serious, says David. Not only would Revolut struggle to raise capital at its peak valuation, which was likely pegged to the ability to lend in its largest market, he says, but potentially to obtain banking licenses in other jurisdictions too. “If the UK regulator says it cannot trust [Revolut] with a banking license,” he says, “other regulators will ask themselves whether they want to be the one” to give the thumbs up.

So basically, if they have no license, they are in trouble. Avoid at all costs, in my opinion.

 

[Cloudbanck]

The thing is, I have over a dozen bank accounts, and in terms of functionality, ease of use, exchange rates, speed, app user interface, Revolut is the best. I think I'll keep using using them until the bitter end, or maybe they'll survive, who knows. But of course only transactional use, no savings on Revolut.

And if they do go under, potential replacements are Zen.com and Wise

 

[benbao]

Revolut has it's issues but this is a very dramatic post given that they do have multiple licenses, among for full retail banking. With deposit guarantee and a long operational history with much better features and pricing than other banks revolut has a good place in the ecosystem

 

[karishi]

Revolut has it's issues but this is a very dramatic post given that they do have multiple licenses, among for full retail banking. With deposit guarantee and a long operational history with much better features and pricing than other banks revolut has a good place in the ecosystem

so my post is just to say that there are many red flags about revolut, which Wise in my opinion doesn't have: Wise has always been profitable, has serious KYC and enforces it's terms of service. I have had sums with 5 zeros on wise without worry, I would be more worried to keep them on Revolut. I am not saying that Revolut will fail tomorrow, but a company where 75% of the revenue could not be certified by the auditor, well, it's a big smell.

 

[Maitrey]

I had a super negative experience with Revolut for business, and at the same time, Wise and even little Paysera behaved much more adequately and the payments were the same from the same clients and they still come and go from my accounts. Revolute is crap that can bury your business and any bank license will help their support-monkeys, which answers your question for a week.

 

[wellington]

Happy for them to close down their UK arm.

 

[myhand]

Never had any issues with Revolut.

 

[karishi]

Never had any issues with Revolut.

Nobody had problems with FTX until it collpased. An I am not saying or implying that Revolut has the same scale of issues FTX had. I think it's perfectly safe to use revolut and keep 10k on it, worst case scenario you lose 10k. I would not trust it with more. And there have been big warning signs for a while, in my opinion, and the current economic downturn is particularly dangerous for fintechs.

 

[Alexmorgan]

Wise and Revolut are in same situation

Both close accounts without any reason and both suspend accounts without any notice

You just wake up then findout your account suspended

 

[bluelama]

Wise and Revolut are in same situation

Both close accounts without any reason and both suspend accounts without any notice

You just wake up then findout your account suspended

ok and once its suspended what do you do? how realistic is it to keep the whole business cash flow for a nomad inside revolut or wise ? lol.

 

[Alexmorgan]

ok and once its suspended what do you do? how realistic is it to keep the whole business cash flow for a nomad inside revolut or wise ? lol.

They dont care

i dont know if this is really related just to AML or its just about preventing new rich people to be added to this world


the world leaders saying that over 30% of the world money is with the rich people thats why they wanna reduce new people from becoming rich and trying to reduce the current ones

And Tax heaven countries not going to this direction and either in Gray or Red area on Risk