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We love Wise. They are pioneers in promoting more competitive and transparent rate structures. In fact, transparency is often the driving force behind competitiveness. However, the latest fee update announcement from Wise left us a bit confused. It’s full of dense information, and the level of complexity almost makes it impossible to understand what is happening where.

Let’s compare this to Zing’s recent fees and rates update. It’s less complex and more straightforward. This may be due to the simpler structure and fewer corridors covered, hence the actual complexity. Yes, fair, but it’s also worth noting that Zing is part of HSBC, a major global bank. However, TapTapSend, which also serves many corridors, maintains a simple fee structure, challenging the argument that more corridors necessitate complexity.

Comparing Wise and Zing: Fee Update Communication

Wise Fee Update:

• Cheaper to Send From: Detailed list of currencies (e.g., CAD, USD, GBP, EUR, etc.) and specific pay-in methods (e.g., Wise account, wire transfer, bill payment)
• Cheaper to Send To: Detailed list of currencies (e.g., GBP, PLN, TRY, etc.) and specific pay-out methods (e.g., Wise account, bank transfer)
• More Expensive for Larger Transfers: Lists specific currencies and pay-in methods with increased costs
• More Expensive to Fund and Send From: Detailed list of affected currencies and methods (e.g., PLN, RON, USD, CAD, etc.)
• Same-Currency Transfers: Specifies which currencies have increased fees for same-currency transfers and lists which currencies remain free for same-currency transfers
• Notification Periods: Outlines notification times for price increases based on user location (e.g., Australia 20 days, EU 62 days, etc.)

Pros:

• Detailed and comprehensive
• Provides specific information for various currencies and methods

Cons:

• Highly complex and dense
• Difficult for users to quickly understand changes
• The overlap of currencies mentioned in more than one title confuses the reader.
• We did not understand the need for a notification period. Why not just say 'effective XYZ'?

Zing Fees and Limits:

• Opening, Monthly, and Closing Fees: Clearly states these are free
• Adding Money: Lists costs for different methods (e.g., debit card, bank transfer)
• Payments and Currency Conversion: Details fees for domestic and international payments, and currency conversion
• Zing Card Usage: Outlines fees related to card issuance, usage, and limits
• Limits: Provides detailed limits for account balance, adding money, and payments

Pros:

• Simple and straightforward
• Easy to read and understand
• Uses clear sections and bullet points

Cons:

• Less detailed compared to Wise (not sure if this is a negative)

Transparency is key, but there’s a fine line between being informative and being overwhelming. As the leader in transparency, we believe Wise needs to find a balance that maintains clarity without sacrificing simplicity. While Wise’s detailed approach provides transparency, it also introduces a level of complexity that can be overwhelming for users. In contrast, Zing’s straightforward and simplified structure, supported by HSBC, makes it easier for users to understand fees and limits quickly. Another challenger, TapTapSend, further demonstrates that simplicity can be maintained even with a wide range of corridors, suggesting that Wise could simplify its communication without sacrificing transparency.

In its current form, Wise’s fee structure is very difficult to compare to other companies unless you use a platform like Sendrater. While this detailed transparency is good for understanding the specifics, it might not be the best for customers who want quick and simple information. Some questions to consider:

• Is Wise’s detailed transparency helping or hindering customer understanding?
• Should Wise adopt a simpler fee structure like Zing and TapTapSend?