Bunq launches free credit card: An expert analysis for financial experts

Bunq launches free credit card: An expert analysis for financial experts

According to a report by www.teltarif.de,

The bunq credit institution is now offering a free virtual prepaid Mastercard, which has also been programmed as a “real” credit card. The card can be used, for example, to provide a security deposit for car rental companies and is applied for without a credit check. Customers are also registered for the “Easy Savings” savings account, which is also free. The card can be applied for via the bunq app and added to Apple Pay and Google Pay. Support for Fitbit Pay is also offered.

Interested parties have the option of ordering a physical Mastercard, which incurs an annual fee of 9.99 euros. In addition, the credit available on the bunq account can not only be used for payments with the Mastercard, but also for withdrawals from ATMs, whereby a fee of 2.99 euros applies per withdrawal.

With the increasing spread of card and mobile payments in Germany, retailers are encouraging their customers to use contactless payment options. Although paying by card or cell phone is becoming more popular, Germany is only in the lower midfield when it comes to electronic transactions, according to a study published in the fall.

Given bunq's provision of free virtual credit cards as well as its support for mobile payments and contactless payments, it is expected that the use of credit cards and electronic payment methods in Germany will continue to increase. The introduction of free virtual credit cards could also mean increased competition for established credit institutions and card providers as consumers increasingly look for free and easy-to-use financial services.