The Wise card is a welcome addition to the services that Wise—formerly TransferWise—offers, but as you’ll quickly learn in this review, the card has a few quirks that will annoy users. That’s not to say that the Wise card is not worth having in your wallet when you travel abroad. You just need to know how the card works in order to keep your transaction fees down.
Is the Wise card a credit card?
Often referred to as the Wise credit card, the Wise card is actually a prepaid card available to residents of Canada and dozens of other countries. To use the card, you must have funds loaded into your Wise account. What makes Wise appealing is that it allows you to hold multiple currencies. That means you could potentially purchase some foreign dollars when the exchange rate is in your favour and then spend it as needed when you’re abroad.
No additional fees apply when making purchases with a currency you currently hold in your Wise account. However, if you don’t hold the currency in which you’re making a purchase, Wise will automatically deduct the funds from the currency in your account with the lowest conversion fees. That said, when making a purchase abroad and given the option to be charged in the local currency or Canadian dollars, always choose the local currency for the best exchange rate.
The Wise card also allows you to withdraw money from ATMs while abroad. Think of it as a Wise debit card, since you can use it for purchases and ATM withdrawals. Oddly enough, you can’t use the card within Canada.
The first two ATM withdrawals are free, up to a cumulative value of CAD$350 per calendar month. Any additional withdrawals will cost you $1.50 each, and a 1.75% fee will be added to amounts over $350. Also, note that the ATM provider may charge its own fee when you withdraw cash. Wise withdrawal fees and third-party ATM fees count towards your withdrawal limits—so plan accordingly.
How long does it take to get a Wise card?
You must have a Wise account if you want to apply for a Wise card. The registration process only takes a few minutes and is done completely online. Once your account is active, you need to add funds. Doing so is simple, as you have many options including Interac e-Transfer, direct debit from your bank, and wire transfer.
Each loading method has a fee. Interac e-Transfer typically has the lowest fee, and your money will arrive in about five minutes. How much you’ll pay in fees depends on the currency and how much you’re loading.
To order your Wise card, log into your account and click on Wise Card on the side bar. The physical card will arrive within 14 days, and you also get a digital card you can use immediately. While the digital option is convenient, it won’t help people who are travelling soon and may need ATM access.
Wise card pros and cons
The Wise card is a unique option that many people will naturally be attracted to. That said, you should consider the pros and cons before you open an account.
Wise card pros
- Can hold multiple currencies: This is a convenient option for travellers as they’ll know exactly what they’re paying to exchange money.
- Flexible payments: Even if you don’t currently hold a specific currency in your account, you can still use your card for purchases and ATM withdrawals, as Wise will simply deduct the amount from the currency with the lowest transaction fees in your account.
- No annual fee: There’s no cost to get the card.
- Digital card available: You get a Wise digital card immediately when you request a physical card.
Wise card cons
- Load fees: It’ll cost you money to load the card.
- Not a true no-foreign-transaction-fee card: Although Wise has competitive exchange rates, it still charges a markup to load your card and when converting currencies.
- Withdrawal limits: You get only two ATM withdrawals with a cumulative total of CAD$350 per calendar month without any fees.
- No rewards earned: You don’t get any cash back or points when making purchases.
Alternatives to the Wise card
The Wise card, introduced in Canada at the end of 2021, is clearly designed to compete against cards with no foreign transaction fees. Even though Wise offers a good card, there are arguably better Canadian options. Both Wealthsimple and EQ Bank offer prepaid cards you can order if you’re an account holder.
The Wealthsimple and EQ Bank cards both have no annual fee, but what sets them apart from the Wise card is that they both use the exchange rate set by Visa, which is a bit lower than what Wise charges. Plus, Wealthsimple and EQ Bank don’t charge a fee to load funds into your account, so you’re coming out ahead right from the start. They also have no-fee ATM withdrawals.
Beyond prepaid cards, Wise is also competing with no foreign transaction fee credit cards, where competition is fierce. Even though the Scotiabank Passport Visa Infinite has an annual fee of $150, it’s often waived for the first year. In addition, you get great benefits such as six annual airport lounge passes and comprehensive travel insurance. Plus, this is a traditional credit card, so you don’t need to worry about preloading funds before departure.
Scotiabank Passport Visa Infinite
- Annual fee: $150
- Earn rate: 3 Scene+ points per $1 spent at Sobeys stores; 2 points per $1 on groceries, dining, entertainment and transit; 1 point per $1 on everything else. Plus, pay no FX fees
- Welcome offer: earn up to $1,300 in value in the first 12 months, including up to 40,000 bonus Scene+ points and first year annual fee waived. Offer ends July 1, 2024.
- Annual income requirement: Personal income of $60,000 or household income of $100,000
- Point value: 1 Scene+ point = $0.01 when redeemed for travel, store purchases and food and drink at Cineplex and Scene partners
- Recommended credit score for approval: 700 or higher
- Interest rates: 20.99% on purchases, 22.99% on cash advances, 22.99% on balance transfers
Is the Wise card any good?
Although the Wise card has some quirks that will annoy people who are looking to minimize their foreign transaction fees, the card does have enough positives to justify being in your wallet. You can easily add funds, and the ability to easily hold multiple currencies is incredibly convenient. That said, there are credit cards without foreign transaction fees that come with generous benefits and rewards that may be more appealing to some.
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- Best no foreign transaction fee credit cards
- Best credit cards for airport lounge access
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