Wise vs Traditional Banks
Who Wins?

Yes, for international transfers in most cases. Banks typically add 2–4% to the exchange rate plus a flat transfer fee. Wise charges a transparent small fee (0.3–0.7%) and uses the real mid-market rate with no markup. On a €1,000 transfer, Wise typically costs €4–6 vs €40–80 at a traditional bank.

Traditional banks have advantages in specific cases: deposit guarantee up to €100,000 (Wise is e-money, not covered), full banking services (mortgages, business loans, overdrafts), local branch access, some corporate banking requirements (public tenders, notarial acts). For international transfers and multi-currency operations, Wise almost always wins on cost and speed.

Many EU entrepreneurs use Wise as their primary or only business account for day-to-day operations. However, some situations may require a traditional bank account — for example, certain Belgian government contracts, some merchant services, or if your accountant requires specific banking integrations. Most small and medium businesses can operate fully with Wise.

Wise is regulated by the National Bank of Belgium (NBB) as an Electronic Money Institution. Your funds are safeguarded in separate accounts held at top-tier banks — protected even if Wise had financial difficulties. However, unlike a bank, Wise is not covered by the Belgian deposit guarantee scheme (FSMA). For amounts over €10,000, consider spreading funds between Wise and a traditional bank.