Traveling abroad is an exciting experience, but managing money in a foreign currency can be costly if you’re not careful. Hidden fees, poor exchange rates, and ATM charges can quickly add up. Fortunately, travel-friendly digital banks are here to help. With their low fees, competitive exchange rates, and innovative features, the best neobank for travel can save you money and make managing your finances abroad a breeze.
In this guide, we’ll show you how to get the best exchange rates using digital banks while traveling, highlight the best neobank for travel, and share tips for maximizing your savings.
Why Use Digital Banks for Travel?
Traditional banks often charge high fees for international transactions and offer unfavorable exchange rates. Digital banks, on the other hand, are designed with travelers in mind. Here’s why they’re a better choice:
- Low or No Fees: Most neobanks don’t charge foreign transaction fees or ATM withdrawal fees.
- Competitive Exchange Rates: Neobanks use real-time exchange rates, often with no markup.
- Multi-Currency Accounts: Hold and manage multiple currencies in one account.
- Convenience: Access your money and manage your finances through a user-friendly app.
Best Neobanks for Travel in 2025
Here are the best neobank for travel options that offer excellent exchange rates and travel-friendly features:
1. Revolut
Revolut is a top choice for travelers, offering multi-currency accounts and competitive exchange rates.
Key Features:
- Hold and exchange over 30 currencies at interbank rates.
- Fee-free spending abroad up to a monthly limit.
- Real-time spending notifications and budgeting tools.
Why It’s Great: Revolut’s versatility and global reach make it ideal for frequent travelers.
2. Wise (formerly TransferWise)
Wise is known for its transparent fees and real-time exchange rates.
Key Features:
- Multi-currency accounts with over 50 supported currencies.
- Low, transparent fees for international transfers.
- Debit card for spending abroad.
Why It’s Great: Wise is perfect for travelers who need to send or receive money internationally.
3. N26
N26 offers a seamless travel experience with its no-fee foreign transactions and user-friendly app.
Key Features:
- No foreign transaction fees.
- Real-time spending notifications.
- Travel insurance options for premium users.
Why It’s Great: N26’s simplicity and transparency make it a favorite among travelers.
4. Monzo
Monzo is a UK-based neobank that offers fee-free spending abroad and competitive exchange rates.
Key Features:
- No fees for spending abroad.
- Real-time spending insights and budgeting tools.
- Instant notifications for every transaction.
Why It’s Great: Monzo’s transparency and ease of use make it a reliable choice for travelers.
5. Chime
Chime is a US-based neobank that offers no foreign transaction fees and early direct deposit.
Key Features:
- No foreign transaction fees.
- Fee-free ATM withdrawals at over 60,000 locations.
- Automatic savings tools.
Why It’s Great: Chime’s no-fee structure makes it ideal for budget-conscious travelers.
How to Get the Best Exchange Rates
Here are some tips to ensure you’re getting the best exchange rates while traveling:
1. Use a Multi-Currency Account
Neobanks like Revolut and Wise allow you to hold and exchange multiple currencies at real-time rates. This helps you avoid unfavorable exchange rates at currency exchange booths.
2. Avoid Dynamic Currency Conversion (DCC)
When paying with your card abroad, always choose to be charged in the local currency instead of your home currency. DCC often comes with hidden fees and poor exchange rates.
3. Withdraw Cash Strategically
Use ATMs that don’t charge fees and withdraw larger amounts less frequently to minimize transaction costs.
4. Monitor Exchange Rates
Use apps like XE Currency Converter to track exchange rates and exchange money when rates are favorable.
5. Leverage Travel Rewards
Some neobanks offer travel perks, such as cashback on travel bookings or discounts on flights and hotels.
Tips for Managing Money Abroad
1. Notify Your Bank
Let your neobank know your travel plans to avoid your card being blocked for suspicious activity.
2. Carry Multiple Payment Methods
Bring a mix of cards and cash in case one payment method fails.
3. Use a VPN
Protect your financial information by using a VPN when accessing your neobank account on public Wi-Fi.
4. Set Spending Limits
Use your neobank’s app to set daily spending limits and reduce the risk of overspending.
For more travel banking tips, check out Lonely Planet’s guide to travel banking apps.
The Future of Travel Banking
As technology continues to evolve, neobanks are expected to offer even more innovative features for travelers. Here are some trends to watch:
1. AI-Powered Financial Insights
AI will provide personalized recommendations for saving money while traveling, such as the best times to exchange currency.
2. Blockchain for Cross-Border Payments
Blockchain technology could make international transfers faster, cheaper, and more secure.
3. Integration with Travel Apps
Neobanks will integrate with travel apps to offer seamless booking and payment experiences.
Conclusion
Traveling doesn’t have to be expensive when you use the best neobank for travel. With their low fees, competitive exchange rates, and innovative features, travel-friendly digital banks like Revolut, Wise, and N26 make managing your money abroad easy and affordable.
By following the tips in this guide, you can maximize your savings and enjoy a stress-free travel experience. For more insights, visit XE Currency Converter and Lonely Planet.
Bon voyage and happy saving!
For more tips and insights on managing your finances while traveling, check out our post on The Best Digital Banks That Offer the Highest Interest Rates in 2025
