Choosing the right digital bank can make a big difference, especially for those who travel frequently or manage money across different currencies.
Two of the most popular options in the UK are Starling Bank and Wise (previously known as TransferWise). Both offer fee-free spending abroad and multi-currency features, but at the same time, they cater to slightly different needs.
Starling is a fully licensed UK bank with personal and business accounts, known for its excellent budgeting tools and FSCS protection. But Wise, on the other hand, specialises in international transfers and currency exchange, offering a multi-currency account that lets users hold and spend in over 40 currencies.
Some key factors to consider when weighing these two up include fees, currency exchange, features and overall usability. Whether you’re a freelancer, business owner or frequent traveller, you’ll be able to pick the right platform for your purposes.
What Is Starling?
Starling Bank is a UK-based digital bank that offers fully licensed personal and business banking services. Launched in 2014, it has gained a strong reputation for its fee-free spending abroad, intuitive mobile app, and smart budgeting tools.
Unlike some other traditional banks, Starling operates completely online, allowing users to manage their money seamlessly from their smartphone.
One of Starling’s standout features is its FSCS protection, which covers deposits up to £85,000. It also offers personal, business, joint and Euro accounts, which makes it a nice, flexible choice for different financial needs. Users can benefit from instant notifications, savings spaces and a user-friendly interface.
For travellers, Starling is particularly appealing because it doesn’t charge foreign transaction fees, allowing customers to spend abroad at the real Mastercard exchange rate.
With easy money management tools and strong security features, Starling is a great option for those looking for a modern banking experience with full UK bank protection.
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What Is Wise?
Wise, founded in 2011, is an international money transfer service that has evolved into a multi-currency account provider. The platform is best known for offering some of the cheapest and most transparent exchange rates, making it a go-to option for people who frequently send or receive money in different currencies.
Unlike Starling, Wise isn’t actually a bank, but it does provide an account that supports over 40 currencies. Users can hold, exchange and spend in multiple currencies with minimal fees, making it ideal for freelancers, expats and businesses dealing internationally.
One of Wise’s biggest advantages is its mid-market exchange rate, ensuring users get the best possible currency conversion without hidden fees. It also offers a debit card for spending globally and local account details for receiving money in various countries. While it lacks FSCS protection, Wise remains a top choice for anyone managing money across borders.
Starling and Wise: A Direct Comparison
Wise specialises in low-cost international transfers and multi-currency accounts, while Starling is a full-service UK bank with strong travel-friendly features.
Here are some of the most important similarities and differences between the two platforms.
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Banking Status: Starling is a fully licensed UK bank with FSCS protection (up to £85,000), while Wise is a money transfer service, not a bank.
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International Payments: Wise offers mid-market exchange rates with low fees, making it ideal for frequent international transactions. Starling uses Mastercard’s exchange rate, which is great for occasional foreign spending.
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Currency Support: Wise supports 40+ currencies, while Starling focuses on GBP, EUR, and USD.
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Features: Starling provides overdrafts, savings, and business accounts, while Wise is mainly for multi-currency management and transfers.
Overall, Starling is best for UK-based users who need a full-service digital bank, while Wise is ideal for international businesses and freelancers handling multiple currencies.
Choosing between the two really depends on whether you need a UK bank account or a global money transfer solution.