Spaargids.be Do you want to spend less this year? Many little things make one big. That’s why we found out how you can save on the (seemingly small) costs for bank accounts and cards. Spaargids.be puts it to the test.
By Tom Dejonghe, in collaboration with Spaargids.be 28-01-24, 08:37 Source: Spaargids.be
Free is not necessarily free
Opening, managing and closing a savings account costs nothing at most banks. But savings accounts are certainly not always completely free. Traditionally, for example, you pay to receive account statements at home. You often also have to take out a current account and that almost always costs you money, even if the bank claims not. For example, you pay more for operations or for extra services that are not included in the package.
Reading tip: KBC will abolish free current accounts from July.
Expensive ‘free’ bills
For example, Crelan’s ‘free’ Basic account costs 66 euros annually. We arrive at that amount when we assume the average monthly use of an account in Belgium. This use includes one cash withdrawal from the bank’s own ATMs, one withdrawal from other ATMs, 50 payments with the Bancontact card, fifteen electronic payments, three direct debits and one paper transfer. It makes Basic the most expensive ‘free’ current account for non-young people at the moment.
But current accounts at other banks also cost more than it seems. The actual cost of the Argenta Green Package: 18 euros per year; Essential at Banx: 12 euros per year.
Bank switching service was popular in 2023: so many Belgians chose it and these were their reasons.
Which current accounts with cards really cost nothing?
We assume one account holder with an average usage per month, as mentioned earlier. There are current accounts that do not charge anything for that average use, but the vast majority of them are only intended for young people.
If we ignore the youth accounts, just like all ‘free’ current accounts that ultimately cost money, there is only one account left: KeyPack from Keytrade Bank. You will receive a free Visa Classic credit card and Maestro debit card, you can withdraw money free of charge from all Bancontact machines in Belgium and you can pay free of charge via Zoomit. You even receive 5 eurocents per transaction as a gift, up to 50 transactions per month. With average monthly use, you do not pay any costs on the annual final settlement, but you will receive money back from the bank.
Compare current accounts, for young and old: You can do this via our free tool.
And what if you’re just looking for a free credit card?
A credit card for which you do not have to pay an annual fee, not in a package with a current account? They certainly exist, but they are not completely free. In other words, there are costs involved anyway.
You can pay for free within the euro zone with all credit cards. But you can only withdraw money free of charge with Keytrade Bank’s Visa Classic, Gold and Platinum. With other ‘free’ credit cards, you pay 1.50 to 6.50 euros per cash withdrawal in the euro zone, depending on the card.
Outside the euro zone, withdrawing money always has a price tag: from 0.40 percent + 2 euros per withdrawal at Keytrade Bank’s Visa Classic, Gold and Platinum to 6.50 euros per withdrawal at some other banks. And then the banks also take an exchange rate commission: from 1.40 percent at Keytrade Bank to 2.99 percent at ecoPayz.
By the way, be careful with the Keytrade Bank credit cards mentioned above: they only remain free after the first year if you make at least 12 transactions with them. Otherwise, you will still pay 24 euros for the Visa Classic, 50 euros for the Visa Gold and 150 euros for the Visa Platinum.
It may not be surprising that many free credit cards offer little insurance. With Keytrade Bank’s Visa Gold and Platinum you do get a full package of insurance: trip cancellation, accident and assistance, flight and baggage delay, and purchases. But again: be careful after the first year.
Want to compare credit cards and their benefits/costs? Our overview contains more than 75 options.
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Read more on Spaargids.be:
Which costs will change in 2024 at ING, Belfius and Deutsche Bank?
How much does it cost to withdraw money from your bank (and elsewhere)?
This article was brought to you by our partner Spaargids.be.
Spaargids.be is an independent comparator of bank products and looks for competitive prices and better interest rates.
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2024-01-28 22:50:18
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