Fact checked! This material is written by an expert.

7 min read 24.08.2021 59

Best online banks with no ATM fees

With so many products and benefits, online banks have made our financial lives simpler. ATM fees, on the other hand, continue to be a problem for both traditional banks and internet banks. Finding online banks with no ATM costs appears to be becoming increasingly challenging, especially given the variety of online banks with varying exceptions when it comes to ATM fees. Learn more on how to avoid ATM fees in the article below.

Ibrahim Busari
Ibrahim Busari
Ibrahim is a fintech writer at AskWallet

Fact checked! This material is written by an expert.

7 min read 24.08.2021 59

Online banks have made our financial life easier with so many features and services. However, one of the only things that still seem to plague both traditional banks and online banks is still ATM fees. Finding online banks with no ATM fees seems to be more and more difficult, especially because they are different online banks with different exceptions when it comes to ATM fees. 

Some online banks allow for ATM free local withdrawals while some provide no international ATM withdrawal fee. ATM fees could really be important for some customers  when choosing an online bank for their personal or business needs. However, the good news is that our experts have informed us that there are plenty of top-tier banks that have no ATM fees. 

The best online banks not only provide no ATM fees but also allow for international ATM withdrawals with some conditions. Reading the fine print when opening an account with an online bank is very important and that is where the information about ATM fees are usually buried. Some online banks might have no ATM fees but only for withdrawals of small sums of money while other fintech companies may promote that they do not impose ATM fees, but this is only true if you create a fee-based account or have a large amount in your account.

ATM fees  are a combination of several fees, the first is the fee levied by your bank. Although this is generally $0 for in-network ATMs, it is sometimes a few euros for out-of-network ATMs. Then there's the ATM operator's cut.Finally, there is an international transaction fee for ATMs. This cost can take 2 shapes: an exchange rate fee and a flat user fee. That being said, we're here to take away the pressure of finding the best online bank with no ATM fees. Our online bank experts have come up with 5 of the best EMI with no ATM fee.

Note:  Even if your online bank is "fee-free," it may not reimburse the costs charged by ATM providers. If you never go internationally and have a massive network of in-network ATMs close, it may be less relevant that your bank charges an international ATM fee or does not reimburse out-of-network ATM costs. In the end, the ideal bank for you is the one that offers the greatest service for the lowest total expenses, based on your financial situation.

Best Online Banks with No ATM Fees 

Aion

Aion is a full-service digital bank that provides multi-currency current accounts, Maestro debit cards, MasterCard credit cards, international transfers, unrestricted ATM withdrawals worldwide, currency conversion at interbanking rates, low-interest personal loans, and other services. Users may earn high income on savings and term deposits, as well as invest in ETFs with no fee.

Travelex 

Travelex is the world's largest foreign exchange specialist, with almost 800 retail outlets in more than 26 countries, many of which are located at major airports. Over 40% of travelers - 1.7 billion passengers each year - transit via airports operated by Travelex, including key hubs in Amsterdam, Beijing, Frankfurt, Hong Kong, London, Mumbai, New York, Rome, Paris, Sydney, and Tokyo.

Rebellion

Rebellion is a mobile account with a Spanish IBAN that comes with a prepaid MasterCard allowing users to make secure online purchases, send/receive money, and withdraw funds from ATMs. It simplifies banking with a quick sign-up process and no account maintenance charges and fees. The prepaid card is compatible with Apple Pay and Google Pay.

Caxton

Caxton is a financial organization that specializes in foreign transfers. To businesses, the company provides physical multi-currency cards, personal virtual accounts, international payments, currency trading, and business cost management. Their pre-paid currency cards and overseas bank transfer services are appropriate for both private and corporate clients.

Capital One 360

The Capital One 360 app allows users to manage their Capital One bank accounts, credit cards, and loyalty cards, transfer cash, make purchases and payments, and monitor their credit score from their cellphones at any time and from anywhere.Capital One 360, in particular, does not impose fees for foreign ATM transactions.

What Is An Online Bank?

Online banks also known as Neobanks are financial institutions that allow their customers to have the same experience as traditional banks via their mobile phone or computer. Online banks or neobanks run by financial technology companies who are pushing the boundaries in financial technology and service. 

Neobanks or online banks are frequently hailed as the future of banking since they offer all of the same financial services as a regular bank but without the need for a physical facility. These Neobanks have grown in popularity among tech-savvy clients and are reaching an increasing number of individuals every day.

Many online banks provide financial services that most traditional banks do not, such as money management from the comfort of your own home, allowing users to take control of their finances, and many other benefits.

Online banks often provide better rates on deposit accounts and cheaper fees since they do not pay the overhead of opening and operating a network of branches. Keep in mind that because of this trade-off, you may not be able to walk into a branch if there is an issue. To address any difficulties, you will instead communicate over the phone, via email, or through online chat.

Are Online Banks Safe?

Whereas traditional banks, which have had years to build their reputations and thousands of account holders to support them, neobanks have yet to establish themselves in the financial market. That isn't to say that online banks aren't secure. Indeed, the Neobanks have gone to great efforts to ensure that their clients' cash are protected, as well as their personal information.

One of the main reasons for this is regulations; in the early days of nebanks, many individuals had confidence in the system because it was unregulated by any financial regulators. However, the tide is turning, and the FCS and others are issuing restrictions to a growing number of nonbanks.

Conclusion

The best way to avoid fees is to find the best online banks with no ATM fees. We have already listed a variation of online banks for you to choose from above. If you are new or curious about online banks check our splendid article on traditional vs online banks and you can get a better picture of the online banking space and what it has to offer. 

 

Ibrahim Busari
As a fintech writer at AskWallet, he uses his metaphorical pen to guide you through the world of EMIs. He is an Ural Federal University Alumni and has been working in the financial and iGaming industry since 2016.