In an interview with Finextra, N26’s head of international markets Alex Weber reveals that in the event of a no deal Brexit, the German challenger bank will continue to offer the same Mastercard exchange rates as it currently does, despite the potential dissolution of the cross-border payment fee cap.
This comes after news earlier this year when it emerged that Britons may face higher costs and slower processing times when making card payments in the European Union, because the ban on debit and credit card transaction surcharges would no longer apply.
When asked about what N26 customers can expect post-Brexit, Weber says: “This will depend on whether the UK and EU can reach a deal. In the event of no deal, and therefore no coverage by the EU surcharge ban, UK customers could see certain businesses or merchants abroad charging extra, however we will always offer the highly competitive MasterCard exchange rate with no mark-up to our customers.”
With N26’s UK launch coming up this month, just four months before the departure from the EU, Weber reiterates the advantages of operating a virtual bank and the lack of need for a physical presence, adding “bank branches can often be the limitation and frustration for customers
Alongside this, N26 will be launching in the US early 2019. Nicolas Kopp, US CEO of N26 says of the US plans: “I think customers here are ready for a new way to bank, one that fits their digital lifestyles and simplifies their finances. By giving consumers a banking option that's fully mobile, transparent and enjoyable to use, we'll be able to differentiate ourselves and gain traction quickly in the US."
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