How safe is digital bank Revolut?

Revolut, the popular digital banking app, has been named in more police fraud complaints than any other major UK bank in the last year.

The data, recently made public by BBC Panorama, reveals that Revolut faced a significant surge in fraud allegations, outpacing the likes of Barclays and Lloyds. The company, known for its sleek app and easy-to-use features, has found itself under scrutiny amid growing concerns over its handling of customer security.

Revolut tops fraud complaint charts

Revolut has more than nine million UK customers and 45 million around the world. According to figures from a freedom of information (FOI) request, Revolut received over 9,793 fraud-related complaints in 2023, putting it ahead of traditional banks such as HSBC and NatWest. As reported by the Manchester Evening News, these complaints highlight concerns about the digital bank’s capacity to protect its customers from increasingly sophisticated scams, often targeting unsuspecting individuals who may be unfamiliar with the risks posed by online banking.

In response to these reports, a Revolut spokesperson said, “We take fraud extremely seriously and are continually enhancing our systems to protect our users.” This statement was exclusively sourced by City AM, which also noted that while Revolut’s digital approach to banking attracts tech-savvy users, it may inadvertently expose the platform to fraud attempts targeting those who are less experienced with digital finance.

Revolut’s reputation in Spain

Revolut has successfully marketed itself as a modern, cost-effective alternative to traditional banking, particularly appealing to expatriates living in Spain who appreciate the multi-currency features and competitive exchange rates.

One user on Reddit expressed frustration, saying, “Last week, while I was having lunch with my family in Spain, I received notifications for six different transactions, totalling 600€, all in Chinese yuans. The thing is – I’ve never been to China, and I was clearly nowhere near there when these transactions happened.

Naturally, I immediately contacted Revolut customer service, thinking this would be a straightforward case of fraud. But what followed has been nothing short of a nightmare.

They’ve been consistently unhelpful, claiming that this isn’t Revolut’s problem and offering no resolution since “my phone wasn’t stolen, and neither were my credentials” so I must be the one responsible for these transactions.”

A reminder to expats to be vigilant when using banking apps such as Revolut

For expatriates living in the EU, who are using Revolut as their primary bank, these findings may raise concerns. The increase in fraud complaints does not necessarily mean Revolut is inherently riskier, but it does serve as a reminder for individuals to remain vigilant when handling their finances online.

Experts recommend ensuring that users are familiar with all security features available on the app, such as two-factor authentication, and keeping up-to-date with common scams targeting digital banking users. It’s also advisable not to keep all your money in one place.

Revolut has a statement on its website that says, “Protected by a 4,000 strong, 24/7 financial crime team, we estimate that Revolut customers saved more than £475M in potentially fraudulent transactions in 2023 alone.”

What are your thoughts on Revolut’s safety? Have you ever had any issues with it?