Guides · Updated 20 October 2026 · 2 min read
How to choose a neo bank: 7 things to check
Licence, protection, availability in your country, fees, cards, features and support. A simple checklist before you open an app-based account.
Neo banks (also called digital or challenger banks) let you open and run an account entirely from your phone. Choosing one is easier if you check the same seven things for each provider.
1. Is it a bank or an e-money company?
Some providers hold a full banking licence; others are payment or e-money institutions. This decides how your money is protected. Read Is my money safe in a neo bank?
2. How is your money protected?
Banks in the EU and EEA protect eligible deposits up to €100,000, and UK banks up to £120,000 through the FSCS. E-money companies safeguard funds instead. Every listing on our comparison shows the provider's regulator and protection.
3. Does it accept customers where you live?
Most neo banks only open accounts for residents of certain countries, and some only for one country. Use the country selector on our comparison to see only providers available to you.
4. What will it cost you?
Look beyond the monthly fee:
- Foreign exchange: the margin or fee on spending and converting other currencies, including weekend surcharges.
- Cash withdrawals: how much is free each month, and the fee after that.
- Card: whether a physical card costs extra.
- Plan limits: transfers, cards or sub-accounts included.
5. What card do you get?
Check whether the free plan includes a physical card or only a virtual one, and whether you can freeze the card and set limits in the app.
6. Which features matter to you?
Budgeting pots, multi-currency balances, local account details in other currencies, interest on savings, joint accounts, children's cards, or business tools. Pick the provider whose strengths match how you actually use money.
7. How do you get help?
Check the support channels (chat, phone, email), opening hours and languages before you need them.
Compare side by side
Our comparison shows fees, features, regulation and deposit protection for each provider in one place. For specific situations, see:
- Revolut vs Wise for travel and international money
- UK neo banks compared
- Neo banks in the eurozone
- Business accounts for freelancers and small businesses
This guide is general information, not financial advice. Fees, features and availability change, so check the provider's own website before you apply. Read how we compare providers and our affiliate disclosure.
