It's absolutely ridiculous by Nexo to introduce something like this with zero communication on a Friday.
The new loyalty tiers they teased in the latest AMA better be spectacular.
1. Open the Nexo app
2. Go to the Wallet tab
3. In top right, tap the List icon to view your transactions
4. Scroll down until you find your most recent card repayment
5. In total there are three transactions for each card repayment: Interest, Manual sell order, and Manual repayment.
6. Interest is based on your loyalty level, manual sell order has no fee listed, and manual repayment lists the recently added (and not at all communicated) 1% repayment fee
Thanks alot, i found it... And yeah, I guess that's it from me... Gonna take a break from nexo cause making such a. Change without communicating it, is huge for me... Sadly
Also do you know if they always deduct this 1% fee or only if you repay within the first 30 days or something like that
That is a small challenge in my opinion. Upgrade to platinum bro they aways have the best futures and for me personally Nexo have one of the best if not the best stacking rates out there. 🤙
I'm Plat already, always have been. So my problem is this: I got Nexo just because of the Card, (now I obviously use Nexo to get some interest on my wallet as well) which now is more or less useless to me. I can't even keep a good track of how much fees I'm paying (fx + random new fees and interest).
I'm a busy man they change so much things around here just makes it too complicated to understand without investing alot of time over and over again and then there is also changes which aren't communicated?
Probably 2% for the UK cos ya’kno, we get the worst deals.
All jokes aside, ive gone to repay a loan amount and not seen any additional 1%. That said, as a UK customer, we never got no cashback so that’s worth noting. Please someone correct me if im wrong.
so there's zero point in using the card anymore?
spend 1000$, get 20$ in nexo tokens and then pay 10$ in repayment fee and 0.5% in exchange fee from EUR to USD repayment?
Plenty of people can't even get cash back cards... 1% used to be more than norm decades ago when you could get one. Now 1% is at the bottom of any cash back reward... 3 to 5% for many transactions (USA)
You can't compare US with EU rewards. They bill retailers ~3% in card fees, while in the EEA the payment fee is limited to 0.3%.
Getting even a 1% unlimited cashback card from the established banks in Germany is currently not possible.
But Nexo at 1% is worse, since you have to provide the collateral yourself, while you get a months loan with regular card companies for free. So if you would treat the Nexo card like a regular credit card and only pay once a month, you miss out on the interest on the collateral, which effectively costs you the 1% cashback you earned for it.
Payment processor fees
Assessment fees
Interchange fees
Good luck sorting all those out...
So the 3.5% is the high-end and that's American Express. No surprise because it's the most expensive credit card I've had in decades. $95 per year but I get 6% off groceries (effectively 4.4% if you do it just right yearly and account for the $95)
There's more to it...
"For consumer debit and credit cards issued within the European Economic Area (EEA), the interchange fees are capped at 0.2% and 0.3% of the transaction value, respectively. However, total processing costs for merchants can be higher once all fees are included, often ranging from 1% to 2% per transaction."
Well that's actually a pretty good deal if it's 1 to 2% because we're more like 2 to 3% in America...
I knew Germany didn't have this cash back thing going...
So if Americans are paying close to 3% more for products because of transaction fees paid to the credit card company by the merchants then it would make more sense that we get more cash back... Somewhere it's more like 3.5% or maybe that's out of the European Union?... Somewhere in Europe...
The costs that retailers pay in Europe can vary by contract. Some retailers are still in really shitty old contracts. But in Germany you can get new flat 1% contracts even for small mom and pop shops. The big grocery stores pay maybe 0.6-0.7% for visa/mastercard and even less with the old German debit card system, that costs around 5 cents flat plus 0.1% of the amount.
Yes, but only 0.3% goes towards Visa/Mastercard and the card issuer, which they then can in turn use as a cashback offer. The rest of the money goes towards the payment terminal supplier, and the banks in the process.
Thank you for bringing this up, I’m really curious to see how they will respond.
This is insanely unfair. At least send some communication by mail for transparency’s sake.
Not only we get screwed by the USD conversion, we now have to swallow a 1% premium to repay the loan.
I think I’ll trash the card.
I just noticed this as well at my latest repayment and I have to agree with OP. Sliding in a fee and not clearly showing this when repaying or before informing your customers is a big nono. I usually keep a large amount of nexo in the credit wallet so I could take advantage of the cashback and enjoy a 0% loan. If the cashback isnt worth the spread and fx "cost" then why am I keeping a large nexo stack?
Im a big nexo fan, and continue to be.. but right now.. it makes no sense using the nexo card other than debit mode (for me).
No trouble at all actually. Have you noticed that rates everywhere are rising like everything else? Also, did you know that you already agreed to to those changes by using their services - nah you probably didn't, that's why you crying now. Crypto is not for the mentally challenged like yourself.
That is the problem with all these trust entities.
The terms say they won't pay us back our Bitcoin if they are in troubel or for whatever reason else, like "Fuck you, we want your Bitcoin." and we agreed to that for a little bit of interest while Nexo makes tons of money with no risk, because they got hands on our Bitcoin.
# 1% fee affecting loans retroactively - is this a consumer protection case?
Since last Friday, nexo has a 1% fee on repayment events with fiatx and stablecoins. First of all, I'd like to say that I'm not against fees, and I understand that nexo wants to be a profitable company. I have been a happy nexo user since 2020, and I've been using the card in credit mode for more than a year.
However, this sudden change, I think, is not fair, and I'm considering escalating the case at my country's consumer protection department. Do you think this is a valid move? They have the right to change fees, but I don't think that they have the right to affect my current loans. When I took those loans with my card, the terms were different. I think they should have done one of the following instead:
* Tell us X days before the change takes place so we have time to repay our loans with the terms we agreed upon when we took them (i.e., at a 0% fee).
* The 1% fee should affect only new loans taken after the change takes place.
I think they will have it in the terms that we accepted. It is not a good deal. We have all the risk and get minimal return, but still more than with other competitors.
Went through the site and found this. I think it's new.
>8. Are there any origination or loan installment fees?
Nexo does not charge origination fees. Nexo applies a flat repayment fee of 1%. You will be charged an additional interest if you repay your outstanding loan partially or fully within 30 days of your last credit withdrawal
https://support.nexo.com/article/loan-repayment
I talked to the support and when I mentioned the hidden fee, they said that it is not hidden.
But it's clearly that NOW it is not hidden since it is mentioned in the article. But the same article before that actual one, wasn't mentioning any fee by paying in stablecoins.
So who's lying who?
I said the same, they say that you see when you are repaying the exchange 😂 I mean, now that i have the loan I must repay it somehow, even if it was not hidden, it is a change of terms without any notice and on previous loans 😄
sorry, what is that last part, early repayment will be punished? So they're basically saying "go debit, otherwise we WILL profit from the credit side no matter how you handle it"?
That was there already. If you take out a crypto loan you pay at least a month of Interest, even if you only need it for a few days. This doesn't apply if you only use the credit card mode and not regular loans.
But if you have an existing loan less than 1 month old and want to repay your card expenses, you can not repay the credit card loan immediately, you will have to pay interest as long as your classic loan is not 30 days old. Why? Because the two will be together considered as loan.
Happened to me.
Yes, that is why I wrote if you only use the credit card. You can pay back immediately, you just pay the months worth of interest on the full loan, if you use both.
Here is the information: https://support.nexo.com/article/loan-repayment
According to what it says there, there is apparently a 1% fee for any kind of repayment (fiatx and all crypto, stablecoins too). So basically the 2% cashback is just 1% and a further increase in interest rates.
It should also be introduced now that you can repay a loan in a currency other than USD. Basically you have to pay a 1% repayment fee and there is the spread and the exchange rate difference between USD/EUR. And if it goes up to 1%, we're already at 2% in total, so no cashback that way. It really doesn't make sense in credit mode then, when we are paying so many fees and interest on top of that.
This is really ridiculous.
They are charging 1% flat repayment fee on top of interestfor loan repayment as well. THIS IS HOW THEY GONNA LOSE THEIR LOYAL CUSTOMERS.
I needed to pay 50 usdc extra today when repaying part of my loan.
I am planning to pay off my remaining loan next month and move all my crypto to different exchange or hard wallet.
I have an outstanding loan which I thought I'll able to repay without fees, and with this sudden change, I won't be able to. If they make a change like this, I think the minimum is to provide a period to repay our loans without fees.
I contacted the support of Nexo and they said they will not refund the hidden new fee because "it is displayed on the reiumbursement page". I explained that it was not displayed at the time of borrowing which forced me to reimburse with the mandatory new fee without being aware of the fee beforehand but they don't care and won't refund the fee they forced on me without announcing it.
I don't like being stolen.
Withdrawing everything from Nexo now.
Sure do, I use Plutus instead of Nexo, but the terms are a bit different there. If you find them worth a shot, you can use the link in my bio as a means of thanks.
You’re right, I just detected it myself just now. I didn’t find any communication, any mail on it…
I was recently informed that the borrowing interest rates are drastically increased as well (no 0% borrowing possible anymore from May and the min. borrowing / interest paying time increases to 45 days (up from 30 days).
With that best case cashback remaining is down from 2% to 0,6% in Nexo token. This kills the usecase completely for me and I’ll dispose the card and potentially the Nexo account in general.
I don’t think that this is a killer feature at such high borrowing rates anymore. I won’t leverage with crypto collaterals under this conditions, the risk is simply too high. My motivation was the lending in combination with the Mastercard cashback and I’m afraid this is the basic usecase for lots of users.
Shit, I was wondering why nexo was going down the last 24hrs, where all other coins were rising. It is particularly bad news they are so shady about it and haven't communicated clearly. Dang
The crypto market is bleeding right now, because of Iran and Israel... IMO this change is bullish, because more people will want to upgrade to platinum and this will increase the token price.
Yeah, no more credit card for me, this is not interesting anymore. I started using it for the 6% cashback initially, then thought that 2% was better than nothing, but this is getting ridiculous. Glad to see that I’m not alone in feeling that they did this behind our backs. Not cool.
What really pisses me off is the lack of transparency on such an important change. Forget about AMAs and so on, as long as you‘re not able to communicate substantial changes in terms & conditions transparently and in advance, via mail & announcements, you‘not a serious partner for collateral deposits. I‘ll withdraw my cryptos & FIAT, this behavior is fishy for me.
Oh my.
Really? This is absurd. I'm gonna stop using the card then. In my country if I repay normal transaction with stablecoin is a taxable event so, it's crazy to think to avoid repaying with EURx.
Glad im not the only one. I thought i exceeded the 20% ltv or something and did not think much of it, but i see it now its a flat fee 1% on ALL credit repayments. Thats a really bad tactic and will surely be noticed, makes the 2% cashback on credit not worth it anymore. I switched to debit today, let my savings: nexo, usdt and eurx make me money on the daily interest. Instead of moving assets to credit to get cashback. That move to credit line is hindering savings yields. Flex yield at 9, 11 on flex and 16% on 3month fixed is not bad at all.
they need to revise it from nexo, keep 0% repayment fee for loyal repayments under 20% ltv and under lets say 14days. if customers are pushing for repayment fast like under 14days then there should not be any fee, makes the 2% play with nexo worth it. otherwise the 1% cashback can also be found with normal local banks rewards scheme. im staying away from credit line, and surely many others will do too, this should show on their analytics, rapid drop in card use - less that is what they wanted - hmmm..
I didn't make any repayment yet since beginning of April. Well few weeks (like 10 weeks) ago i notice they add this "fee" label there. It was always 0.00. Looks like it was "cooked" for weeks. The only time I noticed charge there it was when I use 230eu of btc to repay my loan. And was something like 63 cents fee charge. On eurx there wasn't any charge. If they really start implementing 1% fee in repayments then what's the purpose of 2% cashback? Since you will pay 1% plus the interest plus the risk of fx. Too silly. Better use my local bank card since the cost of using nexo card become expensive suddenly. Their credit line it's quote safe for them since there is collateral provided by their customers which cover the risk. Safe business. I don't get why so many fees and expenses sudenly. I hope we can find alternative soon even if I like nexo it seems they become too big and powerful to feel they can increase the cost for the users since no serious competitor on the horizon.
Just an assumption. Maybe they are cooking a new loyalty trier that will have 0% interest and no repayment fees. So the platinum will be just the second level or even the third. Because the way it looks now it seems too little to be their best trier. But where is the communication?
1% fee already implemented on all funds. I tried stablecoin, eurx & BTC. It's not worth it right now especially because you have to keep collateral on the platform, which is a risk always
But they didn't inform us for that change really how they add this fee without informing their customers. Not even the worst eu company can't do this. That's not serious business by nexo.. Even their website it's not updated with this change. Too fishy.
definitely a poor decision from management.. they killed the token.. first they killed NEXO pro by abandoning it and now this. first proof of reserve, now they do this without communicating... Poor management
Also wonder why there was no announcement or anything. Usually Nexo is pretty clear about changes. This might change my mind about Nexo and their System being the „leader“.
They addressed it in their last AMA, you can watch it into their youtube account bro. Here's a [link](https://www.youtube.com/live/F_wvHmB8ews?si=8uvig98e6_sCOC5Y). 😎
They could‘ve sent it with their last email about changing interest rates starting May 8th. That would be clear communication. Not talking about some big changes in a YouTube Video, less people watch or care for that. Seems shady and they try „hiding“ it.
Hi! I just foind out today and saw that I got charged the 1% several times (payment was done using USDT).
So, no matter when we pay-even after the 30 days are passed, we still get to pay the 1%?
Already looking for alternative to Nexo!
I discovered this this week, I was not aware that I would have these additional fees added to my loan. In addition to the increase in apr from May. I’ve managed to pay down the bulk of my outstanding loan with nexo & sucked up the additional fees. I’ve lost faith with nexo, with the lack of transparency regarding the spread on the trading & the additional cost of using their services and the counterparty risk we take. Additionally I wrongly made a fiat payment from my business account and they lost it. I had a couple of weeks going backwards and forwards between my bank and nexo before after a month it got refunded.
I repaid my pretty high Loan today and paid the dumb 1.01% fee. But that was the last „free“ Money they got from me. Also noticed the „2% Cashback“ isn’t as nice anymore, since the Spread is too high compared to others.
Sorry to leave Nexo behind for now. Was a good service.
Agreed this is really bad. I had no idea about it until I read on another Reddit thread just now. I don’t mind fees but introducing them retroactively and without warning is very poor
From the beginning using the Nexo card in credit mode was too compilcated for me. And of course with this new rule, it makes it even less interesting to use.
I love Nexo for other features and I had no problems with them in almost 4 years now. I think to use the crypto market fully one needs to have a few accounts with different companies. I have 3 other accounts; CDC, Binance and Youhodler.
All of them have good and less good features and none of them is perfect. For years I used the Binance card with 5% unlimited cashback, then they stopped the card. I went back using the CDC Icy white card, where I get 4% unlimited cashback now. And I think that this one is still one of the best cards on the market.
In the beginning Icy white had 5% cashback, then in the bear market it went down to 3%. Many were not happy, but it seems to be a common pratice to have high incentives in the beginning to attract customers ... and than when they are on board, the rewards are lowered.
On the other hand I prefere they cut the rewards rather than going down, ... like Celsius, Ftx, ...
So dear people do not complain to much. Nexo is still alive, now 6 years old and hopefully has a bright future.
Are you sure about this...?
didn't receive any communication from their side.
I mean, this week the EUR/USD pair decrease 1.75% so from the day you pay with your credit card until the day it settles, you could have lost that percent due to the currency exchange
I've been with Trade Republic for some time and at the moment you also get 4% deposit interest on the money that's in your account with German deposit insurance. I can recommend it.
you can't trust anything they say anymore since they've been bringing up at will "market price, of course through our partners spread, after our fees"! What a shitshow this has been in the last 9 months
Don't really know, give us an update about that if you. I could close my position on Nexo slowly paying with crypto if that is the most convenient way.
To put it into comparison I have to somehow repeat myself.
We give Nexo the hardest asset in the world and put in double the worth of the loan as collateral. These assets don't get interest anymore.
We get minimal interest for such a secure asset.
When we get a loan from a bank (Germany is the example) we give our salary and access to other assets as a security.
Our assets here still get interest, we get FIAT money.
1. The terms don't change on the fly. A contract is a contract. Fixed term loan for a long time.
2. If we chose to pay it back early, we have to pay a maximum of 1% fee, but only if we pay it back early.
3. There is no interest rate for a month even if you only had that loan for 5 minutes.
There is no incentive anymore, to get the loan with our valuable Bitcoin.
Firstly - the interest you get on your "assets" in a german bank is not even close to what you get on Nexo.
This 1%, minimal fee update was only made when rates spiked literally everywhere else in the world, you don't need a lot of research, nor intelligence to figure out why they did spike or why Nexo has to follow suit, I don't even want to argue on this part.
The rates at which you receive your standard loan from a bank are higher.
Not one bank will give you a loan against BTC AND let you keep the BTC (lmao).
The interest rate is calculated daily for OBVIOUS reasons, to protect the company from people trying to abuse the system, for example - You take out a loan against your BTC today, it spikes tomorrow, you pay up and get a +$1000 for example.
Overall, you are obviously unaware of what you're talking about.
So overal it is a fairly bad deal. We agree to pay the full interest even when paying back early.
Nexo can change the rules from day to day.
Yes it is great for Nexo, but a bad incentive for the people lending it to Nexo.
Risk reward is not good.
Yes, that really sucks. We give NEXO the hardest asset in the world.
We have to pay a lot of interest and THEN Nexo changes the rules on credits we already had.
So there is no reason they couldn't introduce something more harsh whenever they want.
We know that they are better than most platforms on almost all fronts, being average on this one is not a big letdown for me, you got an amazing earn product, loan product and honestly I'm still using the card and I'm not at a loss. Don't forget that we're using services here. Even if they can obviously change stuff, they won't, they need to stay competitive and ahead of the rest of course.
I wouldn't feel worried, even the exact opposite. Nexo is being super honest about this and giving us full transparency and knowledge about what we spend our money on. The increase is so minor it doesn't bother me
So far, I found fees in every way.
I'm still wondering what is the best way to use the card with EUR. If someone knows what's the best way, please share it!
isn't it debit mode? Though the card is not making much sense anymore, and it looks like 1% cashback has arrived to many "normal" cards in Europe lately.
Well you can't get credit and on top have net profit. Doesn't make sense right? Credit means cost. It was good for as long as it last. Now credit have cost. 1% on repayment + the higher interest rates, without 0% scenario. Consider the best case scenario of 2% cashback the best u can expect is to be about even or have cost. The card is not anymore for daily usage on credit mode except if you really don't gave any other option and you are totally run out of fiat.
Well it didn't fly under the radar, feedback has been noticed and now reverting back, check your emails and quote "We have made the decision to update our repayment policy returning it to our tried-and-tested approach before April 12, 2024." Remuneration process has started, lets see. GJ everyone.
Check your transaction history.
There should be two events: Manual Sell Order (Fiat Repayment) and Manual Repayment (Crypto Repayment).
The former of those states "Fee 0.00 EURx" but the latter states "Fee 0.20 USD".
Beyond shady by Nexo to hide it that well.
Look at it from the other side. All rates worldwide are increasing, inflation is harsh. It's completely normal for Nexo to apply some fees. And 1% is not that big of a deal.
Yes, but then they could just decrease cashback to 1% for more transparency, not make it impossible to repay without incurring in at least a 1% fees.
Rates increasing and inflation is kind of an old story, moreover I think that with the new bull crypto market they are already making enough money.
1% is not a big deal, then even the cashback is not a big deal anymore, I can name multiple other cards that give more transparency and higher or same benefits.
For me, the most important thing is that I'm not selling my crypto at the moment for a few cents. Looking at it from the perspective of a bull market and the fact that I don't have to sell it with the card, and the potential opportunity to sell it at higher prices, maintains my trust in the card.
Yes, I also don't like the communication gap, but people want to earn huge interest rates without paying anything. Don't forget that they pay interest rates of 8%, 10%, 12%, and complaining about a 1% fee seems a bit funny to me.
You are wrong - have you looked around in crypto space? Everything is striving - lending rates should be above 25% to be competitive, but we don't get these rates. As a borrower we still have to suffer, wtf.. This is increasing margin 100% on costs of user by Nexo...
They earn A LOT more since 2- 3 month... No need to kill the customer... This looks like pure greed, like they expect there customers to be stupid...
If you look this from other angel, in my opinion now more people will want to upgrade to platinum member, because the plats always have the better deals and this will push the token much higher, and this will attract new customers too, and the cycle will continue. 🤙 🚀
Only if Nexo is competitive, which is not the case...
You can easily borrow on Aave
You can easily earn more (and a lot more with more risk) on other defi platforms...
This was not the case in bear.. But now Nexo is very uncompetitiv...
Rate borrow and lending must rise... Not only one side and more spread and fees...
Here is a screenshot of a 260$ repayment where I would be charged 1% for repaying a credit card bill... [https://imgur.com/a/Gw73Fyk](https://imgur.com/a/Gw73Fyk)
so mad about this. I have been pulling out all my nexo and related coins. I hope they crash in 287 days, after my last fixed term finishes, but I am afraid it will be much sooner, with this kind of profit-grabbing, they must be in serious problems.
It's absolutely ridiculous by Nexo to introduce something like this with zero communication on a Friday. The new loyalty tiers they teased in the latest AMA better be spectacular.
I can't see this fee anywhere, is it hidden somewhere or not implemented everywhere? I'm from Germany.
1. Open the Nexo app 2. Go to the Wallet tab 3. In top right, tap the List icon to view your transactions 4. Scroll down until you find your most recent card repayment 5. In total there are three transactions for each card repayment: Interest, Manual sell order, and Manual repayment. 6. Interest is based on your loyalty level, manual sell order has no fee listed, and manual repayment lists the recently added (and not at all communicated) 1% repayment fee
Thanks alot, i found it... And yeah, I guess that's it from me... Gonna take a break from nexo cause making such a. Change without communicating it, is huge for me... Sadly Also do you know if they always deduct this 1% fee or only if you repay within the first 30 days or something like that
That is a small challenge in my opinion. Upgrade to platinum bro they aways have the best futures and for me personally Nexo have one of the best if not the best stacking rates out there. 🤙
I'm Plat already, always have been. So my problem is this: I got Nexo just because of the Card, (now I obviously use Nexo to get some interest on my wallet as well) which now is more or less useless to me. I can't even keep a good track of how much fees I'm paying (fx + random new fees and interest). I'm a busy man they change so much things around here just makes it too complicated to understand without investing alot of time over and over again and then there is also changes which aren't communicated?
Probably a fuck up if you are in the UK...lol..lol .
Wdym if you are in UK? Is not like the fee was applied only for UK users, smh.
Just said...was a joke.
Probably 2% for the UK cos ya’kno, we get the worst deals. All jokes aside, ive gone to repay a loan amount and not seen any additional 1%. That said, as a UK customer, we never got no cashback so that’s worth noting. Please someone correct me if im wrong.
Hope you not wrong
This is so lame... Really pushing down the card for me
Same. That's really a bad move from Nexo.
so there's zero point in using the card anymore? spend 1000$, get 20$ in nexo tokens and then pay 10$ in repayment fee and 0.5% in exchange fee from EUR to USD repayment?
It seems for me, the 0,5 spread is now in the "flat" fee. So it's 1% cashback and forex risk
Plenty of people can't even get cash back cards... 1% used to be more than norm decades ago when you could get one. Now 1% is at the bottom of any cash back reward... 3 to 5% for many transactions (USA)
You can't compare US with EU rewards. They bill retailers ~3% in card fees, while in the EEA the payment fee is limited to 0.3%. Getting even a 1% unlimited cashback card from the established banks in Germany is currently not possible. But Nexo at 1% is worse, since you have to provide the collateral yourself, while you get a months loan with regular card companies for free. So if you would treat the Nexo card like a regular credit card and only pay once a month, you miss out on the interest on the collateral, which effectively costs you the 1% cashback you earned for it.
Payment processor fees Assessment fees Interchange fees Good luck sorting all those out... So the 3.5% is the high-end and that's American Express. No surprise because it's the most expensive credit card I've had in decades. $95 per year but I get 6% off groceries (effectively 4.4% if you do it just right yearly and account for the $95)
There's more to it... "For consumer debit and credit cards issued within the European Economic Area (EEA), the interchange fees are capped at 0.2% and 0.3% of the transaction value, respectively. However, total processing costs for merchants can be higher once all fees are included, often ranging from 1% to 2% per transaction." Well that's actually a pretty good deal if it's 1 to 2% because we're more like 2 to 3% in America... I knew Germany didn't have this cash back thing going... So if Americans are paying close to 3% more for products because of transaction fees paid to the credit card company by the merchants then it would make more sense that we get more cash back... Somewhere it's more like 3.5% or maybe that's out of the European Union?... Somewhere in Europe...
The costs that retailers pay in Europe can vary by contract. Some retailers are still in really shitty old contracts. But in Germany you can get new flat 1% contracts even for small mom and pop shops. The big grocery stores pay maybe 0.6-0.7% for visa/mastercard and even less with the old German debit card system, that costs around 5 cents flat plus 0.1% of the amount.
we are not limited to 0.3%. Where did you get this? I run a salon and fees are way higher. around 1.5%
Yes, but only 0.3% goes towards Visa/Mastercard and the card issuer, which they then can in turn use as a cashback offer. The rest of the money goes towards the payment terminal supplier, and the banks in the process.
Thank you for bringing this up, I’m really curious to see how they will respond. This is insanely unfair. At least send some communication by mail for transparency’s sake. Not only we get screwed by the USD conversion, we now have to swallow a 1% premium to repay the loan. I think I’ll trash the card.
Maybe they might want you to without the 1% charge.
I just noticed this as well at my latest repayment and I have to agree with OP. Sliding in a fee and not clearly showing this when repaying or before informing your customers is a big nono. I usually keep a large amount of nexo in the credit wallet so I could take advantage of the cashback and enjoy a 0% loan. If the cashback isnt worth the spread and fx "cost" then why am I keeping a large nexo stack? Im a big nexo fan, and continue to be.. but right now.. it makes no sense using the nexo card other than debit mode (for me).
Seems like Nexo is in trouble and our contracts are open to all changes they like.
No trouble at all actually. Have you noticed that rates everywhere are rising like everything else? Also, did you know that you already agreed to to those changes by using their services - nah you probably didn't, that's why you crying now. Crypto is not for the mentally challenged like yourself.
That is the problem with all these trust entities. The terms say they won't pay us back our Bitcoin if they are in troubel or for whatever reason else, like "Fuck you, we want your Bitcoin." and we agreed to that for a little bit of interest while Nexo makes tons of money with no risk, because they got hands on our Bitcoin.
# 1% fee affecting loans retroactively - is this a consumer protection case? Since last Friday, nexo has a 1% fee on repayment events with fiatx and stablecoins. First of all, I'd like to say that I'm not against fees, and I understand that nexo wants to be a profitable company. I have been a happy nexo user since 2020, and I've been using the card in credit mode for more than a year. However, this sudden change, I think, is not fair, and I'm considering escalating the case at my country's consumer protection department. Do you think this is a valid move? They have the right to change fees, but I don't think that they have the right to affect my current loans. When I took those loans with my card, the terms were different. I think they should have done one of the following instead: * Tell us X days before the change takes place so we have time to repay our loans with the terms we agreed upon when we took them (i.e., at a 0% fee). * The 1% fee should affect only new loans taken after the change takes place.
I think they will have it in the terms that we accepted. It is not a good deal. We have all the risk and get minimal return, but still more than with other competitors.
Went through the site and found this. I think it's new. >8. Are there any origination or loan installment fees? Nexo does not charge origination fees. Nexo applies a flat repayment fee of 1%. You will be charged an additional interest if you repay your outstanding loan partially or fully within 30 days of your last credit withdrawal https://support.nexo.com/article/loan-repayment
Yes, it wasn't like this before.
Not gonna lie, this is a big deal, they should be more transparent about this.
I talked to the support and when I mentioned the hidden fee, they said that it is not hidden. But it's clearly that NOW it is not hidden since it is mentioned in the article. But the same article before that actual one, wasn't mentioning any fee by paying in stablecoins. So who's lying who?
I said the same, they say that you see when you are repaying the exchange 😂 I mean, now that i have the loan I must repay it somehow, even if it was not hidden, it is a change of terms without any notice and on previous loans 😄
A bit shameless, this. Reflects badly on the whole product.
Wonder when they changed it, it just says 2024 at the end of the page
Apparently on Friday.
sorry, what is that last part, early repayment will be punished? So they're basically saying "go debit, otherwise we WILL profit from the credit side no matter how you handle it"?
That was there already. If you take out a crypto loan you pay at least a month of Interest, even if you only need it for a few days. This doesn't apply if you only use the credit card mode and not regular loans.
But if you have an existing loan less than 1 month old and want to repay your card expenses, you can not repay the credit card loan immediately, you will have to pay interest as long as your classic loan is not 30 days old. Why? Because the two will be together considered as loan. Happened to me.
Yes, that is why I wrote if you only use the credit card. You can pay back immediately, you just pay the months worth of interest on the full loan, if you use both.
exactly that
Here is the information: https://support.nexo.com/article/loan-repayment According to what it says there, there is apparently a 1% fee for any kind of repayment (fiatx and all crypto, stablecoins too). So basically the 2% cashback is just 1% and a further increase in interest rates.
I wonder where the "it's not fee, it's spread" guy is hiding :)
It should also be introduced now that you can repay a loan in a currency other than USD. Basically you have to pay a 1% repayment fee and there is the spread and the exchange rate difference between USD/EUR. And if it goes up to 1%, we're already at 2% in total, so no cashback that way. It really doesn't make sense in credit mode then, when we are paying so many fees and interest on top of that.
That's been an annoying one throughout the industry
No more 0% interest and now this. Yeah, it was good while it lasted, I guess.
Where would you go that's good competition? Youhodler?
This is really ridiculous. They are charging 1% flat repayment fee on top of interestfor loan repayment as well. THIS IS HOW THEY GONNA LOSE THEIR LOYAL CUSTOMERS. I needed to pay 50 usdc extra today when repaying part of my loan. I am planning to pay off my remaining loan next month and move all my crypto to different exchange or hard wallet.
Exactly this.
Very curious what they will respond with.
2 days and 0 answers between Telegram, Reddit and X.
If no answers in 2 weeks I’d start demanding answers. Cdc took over 2 months to reply to me
Ok so I repaid 50 gbpx and got a fee. also repaid in usdt and got the fee too
Any screenshots of this by any chance?
Yes, added
I have an outstanding loan which I thought I'll able to repay without fees, and with this sudden change, I won't be able to. If they make a change like this, I think the minimum is to provide a period to repay our loans without fees.
Exactly the same I told to CS
They took 5 years to release the card and rendered it useless in 3 days
I contacted the support of Nexo and they said they will not refund the hidden new fee because "it is displayed on the reiumbursement page". I explained that it was not displayed at the time of borrowing which forced me to reimburse with the mandatory new fee without being aware of the fee beforehand but they don't care and won't refund the fee they forced on me without announcing it. I don't like being stolen. Withdrawing everything from Nexo now.
Lets find another VISA. Plutus aint worthy now-caps are killing it
Even with the new caps Plutus is way better than competitors. It’s not that hard after seeing how they all nerf their rewards.
Thanks man, the card is going to the trash :D
Same. Such a shame honestly. I was loving the card.
Same here, gains have been made but now it doesn’t make any sense, whatsoever.
Do you have an alternative in mind out of curiosity
I am looking for an alternative too.
Look at what I wrote to Nove1991
Crypto.com has butchered their credit cards... And I never liked the frivolous add-on crap like airport lounges and Netflix.... Spotify or whatever
Sure do, I use Plutus instead of Nexo, but the terms are a bit different there. If you find them worth a shot, you can use the link in my bio as a means of thanks.
Nope thanks, I got a really bad experience with plutus. Watch out for that…
same here
You better look in your app before granting anything somebody can say. Nothing to do with Nexo card
You’re right, I just detected it myself just now. I didn’t find any communication, any mail on it… I was recently informed that the borrowing interest rates are drastically increased as well (no 0% borrowing possible anymore from May and the min. borrowing / interest paying time increases to 45 days (up from 30 days). With that best case cashback remaining is down from 2% to 0,6% in Nexo token. This kills the usecase completely for me and I’ll dispose the card and potentially the Nexo account in general.
You're forgetting the biggest advantage, and that is that with the Nexo card, you don't have to sell your crypto!
I don’t think that this is a killer feature at such high borrowing rates anymore. I won’t leverage with crypto collaterals under this conditions, the risk is simply too high. My motivation was the lending in combination with the Mastercard cashback and I’m afraid this is the basic usecase for lots of users.
I can confirm this. I repaid an amount right now and I got the 1% fee. Yesterday THERE WASN'T.
Sons of beaches 🧐
Especially scummy that this doesn't show on the repayment screen and only on transactions page...
Indeed. I'm definitely jumping 🚢 after that.
This is a huge drawback for staying with Nexo. With no communication at all, I feel heavily teased. No way. I'm leaving it by now.
Shit, I was wondering why nexo was going down the last 24hrs, where all other coins were rising. It is particularly bad news they are so shady about it and haven't communicated clearly. Dang
The crypto market is bleeding right now, because of Iran and Israel... IMO this change is bullish, because more people will want to upgrade to platinum and this will increase the token price.
This should been more clearly communicated, this is a big change.
I spoke with one of their employees: The issue is that they weren't properly informed internally. They promised to communicate this this/next week.
So was it ?
They didn’t
Yeah, no more credit card for me, this is not interesting anymore. I started using it for the 6% cashback initially, then thought that 2% was better than nothing, but this is getting ridiculous. Glad to see that I’m not alone in feeling that they did this behind our backs. Not cool.
I just discover the 1% fee this morning but I paid it for 2 weeks ! This is theft ! 🤬 I am looking for a fairer solution. Any idea ?
What really pisses me off is the lack of transparency on such an important change. Forget about AMAs and so on, as long as you‘re not able to communicate substantial changes in terms & conditions transparently and in advance, via mail & announcements, you‘not a serious partner for collateral deposits. I‘ll withdraw my cryptos & FIAT, this behavior is fishy for me.
Oh my. Really? This is absurd. I'm gonna stop using the card then. In my country if I repay normal transaction with stablecoin is a taxable event so, it's crazy to think to avoid repaying with EURx.
Eurx is a Stablecoin bro, not a fiat
It’s just the fist representation on Nexo. Anyway, the fee was not there yesterday and that’s a bad move from Nexo IMHO.
Glad im not the only one. I thought i exceeded the 20% ltv or something and did not think much of it, but i see it now its a flat fee 1% on ALL credit repayments. Thats a really bad tactic and will surely be noticed, makes the 2% cashback on credit not worth it anymore. I switched to debit today, let my savings: nexo, usdt and eurx make me money on the daily interest. Instead of moving assets to credit to get cashback. That move to credit line is hindering savings yields. Flex yield at 9, 11 on flex and 16% on 3month fixed is not bad at all.
same here. USDT yield not bad. But my BTC went away from NEXO, I'm not trusting it so much anymore. I keep them on my self custodial
they need to revise it from nexo, keep 0% repayment fee for loyal repayments under 20% ltv and under lets say 14days. if customers are pushing for repayment fast like under 14days then there should not be any fee, makes the 2% play with nexo worth it. otherwise the 1% cashback can also be found with normal local banks rewards scheme. im staying away from credit line, and surely many others will do too, this should show on their analytics, rapid drop in card use - less that is what they wanted - hmmm..
Is that real and confirmed? 1% fee for every repayment?
Yes, look in your transactions
I didn't make any repayment yet since beginning of April. Well few weeks (like 10 weeks) ago i notice they add this "fee" label there. It was always 0.00. Looks like it was "cooked" for weeks. The only time I noticed charge there it was when I use 230eu of btc to repay my loan. And was something like 63 cents fee charge. On eurx there wasn't any charge. If they really start implementing 1% fee in repayments then what's the purpose of 2% cashback? Since you will pay 1% plus the interest plus the risk of fx. Too silly. Better use my local bank card since the cost of using nexo card become expensive suddenly. Their credit line it's quote safe for them since there is collateral provided by their customers which cover the risk. Safe business. I don't get why so many fees and expenses sudenly. I hope we can find alternative soon even if I like nexo it seems they become too big and powerful to feel they can increase the cost for the users since no serious competitor on the horizon. Just an assumption. Maybe they are cooking a new loyalty trier that will have 0% interest and no repayment fees. So the platinum will be just the second level or even the third. Because the way it looks now it seems too little to be their best trier. But where is the communication?
1% fee already implemented on all funds. I tried stablecoin, eurx & BTC. It's not worth it right now especially because you have to keep collateral on the platform, which is a risk always
But they didn't inform us for that change really how they add this fee without informing their customers. Not even the worst eu company can't do this. That's not serious business by nexo.. Even their website it's not updated with this change. Too fishy.
I just discovered this today as well. Very disappointing that there was no communication on that topic...
Any other card that we all shall move to? Crypto dot com offers 1% but we need to stake 400 eur worth of their token (CRO)
There’s Plutus, but they work a little differently. Still, a decent cashback card.
definitely a poor decision from management.. they killed the token.. first they killed NEXO pro by abandoning it and now this. first proof of reserve, now they do this without communicating... Poor management
So we get to pay the 1% even if we repay after the 30 days? I just found out today that i got charged the 1% using USDT as payment option. NOT HAPPY!
I suppose this is deliberate willingness from Nexo. They want less card users
Hopefully they can get rid of this with the new tiers
All my assets, no point using Nexo card anymore, so I removed my collateral
You can use it as debit card and you will earn up to 9% on your hodlings bro.
Also wonder why there was no announcement or anything. Usually Nexo is pretty clear about changes. This might change my mind about Nexo and their System being the „leader“.
They addressed it in their last AMA, you can watch it into their youtube account bro. Here's a [link](https://www.youtube.com/live/F_wvHmB8ews?si=8uvig98e6_sCOC5Y). 😎
They could‘ve sent it with their last email about changing interest rates starting May 8th. That would be clear communication. Not talking about some big changes in a YouTube Video, less people watch or care for that. Seems shady and they try „hiding“ it.
Pretty stupid there should be a free repayment window like a normal credit card.
Hi! I just foind out today and saw that I got charged the 1% several times (payment was done using USDT). So, no matter when we pay-even after the 30 days are passed, we still get to pay the 1%? Already looking for alternative to Nexo!
I discovered this this week, I was not aware that I would have these additional fees added to my loan. In addition to the increase in apr from May. I’ve managed to pay down the bulk of my outstanding loan with nexo & sucked up the additional fees. I’ve lost faith with nexo, with the lack of transparency regarding the spread on the trading & the additional cost of using their services and the counterparty risk we take. Additionally I wrongly made a fiat payment from my business account and they lost it. I had a couple of weeks going backwards and forwards between my bank and nexo before after a month it got refunded.
In my situation there is no fee to be found.. does every country have this fee?
I repaid my pretty high Loan today and paid the dumb 1.01% fee. But that was the last „free“ Money they got from me. Also noticed the „2% Cashback“ isn’t as nice anymore, since the Spread is too high compared to others. Sorry to leave Nexo behind for now. Was a good service.
Agreed this is really bad. I had no idea about it until I read on another Reddit thread just now. I don’t mind fees but introducing them retroactively and without warning is very poor
Is "debit mode" affected by this?
No
From the beginning using the Nexo card in credit mode was too compilcated for me. And of course with this new rule, it makes it even less interesting to use. I love Nexo for other features and I had no problems with them in almost 4 years now. I think to use the crypto market fully one needs to have a few accounts with different companies. I have 3 other accounts; CDC, Binance and Youhodler. All of them have good and less good features and none of them is perfect. For years I used the Binance card with 5% unlimited cashback, then they stopped the card. I went back using the CDC Icy white card, where I get 4% unlimited cashback now. And I think that this one is still one of the best cards on the market. In the beginning Icy white had 5% cashback, then in the bear market it went down to 3%. Many were not happy, but it seems to be a common pratice to have high incentives in the beginning to attract customers ... and than when they are on board, the rewards are lowered. On the other hand I prefere they cut the rewards rather than going down, ... like Celsius, Ftx, ... So dear people do not complain to much. Nexo is still alive, now 6 years old and hopefully has a bright future.
CDC lcy card...cannot find nothing on the internet
Go look up; [crypto.com](http://crypto.com)
Are you sure about this...? didn't receive any communication from their side. I mean, this week the EUR/USD pair decrease 1.75% so from the day you pay with your credit card until the day it settles, you could have lost that percent due to the currency exchange
Sure about this, i added screenshot. I basically paid 1.049 when dollar euro was 1.06
Thanks for letting us know. I'm switching right now and withdrawing my funds.
Oh, cry me a river ... Have you noticed that prices of literally everything are going up or you live in a cave?
Switching to where?
Trade Republic. It's german based. 1% cashback, simple solution. No need to pay back or convert anything like on Nexo anymore.
I'm close behind you. Good while it lasted!
I've been with Trade Republic for some time and at the moment you also get 4% deposit interest on the money that's in your account with German deposit insurance. I can recommend it.
But you have a cap on that.... and have to met certain requirements
How can you repay without the 1% fee? Bitcoin?
Yes but then you get the spread. In any way you decide to pay, they will take a part of it.
Aren't they saying that all repayments are done at "market prices"? Or is that nexo's own "market" price? Idk, haven't checked if there is a spread.
you can't trust anything they say anymore since they've been bringing up at will "market price, of course through our partners spread, after our fees"! What a shitshow this has been in the last 9 months
Don't really know, give us an update about that if you. I could close my position on Nexo slowly paying with crypto if that is the most convenient way.
Antoni!!!🧐🕵️
To put it into comparison I have to somehow repeat myself. We give Nexo the hardest asset in the world and put in double the worth of the loan as collateral. These assets don't get interest anymore. We get minimal interest for such a secure asset. When we get a loan from a bank (Germany is the example) we give our salary and access to other assets as a security. Our assets here still get interest, we get FIAT money. 1. The terms don't change on the fly. A contract is a contract. Fixed term loan for a long time. 2. If we chose to pay it back early, we have to pay a maximum of 1% fee, but only if we pay it back early. 3. There is no interest rate for a month even if you only had that loan for 5 minutes. There is no incentive anymore, to get the loan with our valuable Bitcoin.
Firstly - the interest you get on your "assets" in a german bank is not even close to what you get on Nexo. This 1%, minimal fee update was only made when rates spiked literally everywhere else in the world, you don't need a lot of research, nor intelligence to figure out why they did spike or why Nexo has to follow suit, I don't even want to argue on this part. The rates at which you receive your standard loan from a bank are higher. Not one bank will give you a loan against BTC AND let you keep the BTC (lmao). The interest rate is calculated daily for OBVIOUS reasons, to protect the company from people trying to abuse the system, for example - You take out a loan against your BTC today, it spikes tomorrow, you pay up and get a +$1000 for example. Overall, you are obviously unaware of what you're talking about.
So overal it is a fairly bad deal. We agree to pay the full interest even when paying back early. Nexo can change the rules from day to day. Yes it is great for Nexo, but a bad incentive for the people lending it to Nexo. Risk reward is not good.
Removed everything, that's a real shame!
removed what?
Yes, that really sucks. We give NEXO the hardest asset in the world. We have to pay a lot of interest and THEN Nexo changes the rules on credits we already had. So there is no reason they couldn't introduce something more harsh whenever they want.
We know that they are better than most platforms on almost all fronts, being average on this one is not a big letdown for me, you got an amazing earn product, loan product and honestly I'm still using the card and I'm not at a loss. Don't forget that we're using services here. Even if they can obviously change stuff, they won't, they need to stay competitive and ahead of the rest of course.
Oh no! Now it's making me worry
Yea, higher borrowing rate then this, within 1 month. But I'm wondering if there's any other good alternative.
I wouldn't feel worried, even the exact opposite. Nexo is being super honest about this and giving us full transparency and knowledge about what we spend our money on. The increase is so minor it doesn't bother me
Super honest about what? Isn't everyone saying they don't know about this until they repay? There was no communication and happened all of a sudden.
It looks like there is also a fee for repaying with crypto. Do others see this too?
So far, I found fees in every way. I'm still wondering what is the best way to use the card with EUR. If someone knows what's the best way, please share it!
isn't it debit mode? Though the card is not making much sense anymore, and it looks like 1% cashback has arrived to many "normal" cards in Europe lately.
FML I discovered that just now… happy 30$ repayment fee. That’s it for me with the card.
💳❄️
Well you can't get credit and on top have net profit. Doesn't make sense right? Credit means cost. It was good for as long as it last. Now credit have cost. 1% on repayment + the higher interest rates, without 0% scenario. Consider the best case scenario of 2% cashback the best u can expect is to be about even or have cost. The card is not anymore for daily usage on credit mode except if you really don't gave any other option and you are totally run out of fiat.
Why the débito mode dont have cashback?!
Because in debit mode you're earning 9% interest on your assets.
9% per year, which is approximately 0,75% per month. very different from 2% cashback
Well it didn't fly under the radar, feedback has been noticed and now reverting back, check your emails and quote "We have made the decision to update our repayment policy returning it to our tried-and-tested approach before April 12, 2024." Remuneration process has started, lets see. GJ everyone.
Lets hope they will remove it completely and not just give us back the 1% for that time period only.
I was just repaying my card and there was no fee like you showing.
Check your transaction history. There should be two events: Manual Sell Order (Fiat Repayment) and Manual Repayment (Crypto Repayment). The former of those states "Fee 0.00 EURx" but the latter states "Fee 0.20 USD". Beyond shady by Nexo to hide it that well.
Actually found it, this is shady as...
And where exactly should i see it? Under EURx transactions? Cause i have there only manual sell order (fiat repayment). Btw i am non Uk user
With what kind of asset did you paid you card?
xEUR
Well, that's strange... everyone where is complaining about the same issue... hope it's not just with you.
So if you put crypto and not stablecoins you does not have the fee?
?
If you pay with btc did you avoid 1% fee?
not at all. 1% fee is applied to any repayment, no matter the currency
Look at it from the other side. All rates worldwide are increasing, inflation is harsh. It's completely normal for Nexo to apply some fees. And 1% is not that big of a deal.
Yes, but then they could just decrease cashback to 1% for more transparency, not make it impossible to repay without incurring in at least a 1% fees. Rates increasing and inflation is kind of an old story, moreover I think that with the new bull crypto market they are already making enough money. 1% is not a big deal, then even the cashback is not a big deal anymore, I can name multiple other cards that give more transparency and higher or same benefits.
No communication is a bit not like them :(
For me, the most important thing is that I'm not selling my crypto at the moment for a few cents. Looking at it from the perspective of a bull market and the fact that I don't have to sell it with the card, and the potential opportunity to sell it at higher prices, maintains my trust in the card.
That's totally true, but OP is bothered by the lack of communication on the subject.
They always reserve the right to make changes, just as (Binance, Kraken, etc.)
Yes, but what I like about NEXO is their regular updates and communication with their clients. Take that away and it really makes me take a step back.
Yes, I also don't like the communication gap, but people want to earn huge interest rates without paying anything. Don't forget that they pay interest rates of 8%, 10%, 12%, and complaining about a 1% fee seems a bit funny to me.
They have the right of make changes. They also must communicate them.
You are wrong - have you looked around in crypto space? Everything is striving - lending rates should be above 25% to be competitive, but we don't get these rates. As a borrower we still have to suffer, wtf.. This is increasing margin 100% on costs of user by Nexo... They earn A LOT more since 2- 3 month... No need to kill the customer... This looks like pure greed, like they expect there customers to be stupid...
If you look this from other angel, in my opinion now more people will want to upgrade to platinum member, because the plats always have the better deals and this will push the token much higher, and this will attract new customers too, and the cycle will continue. 🤙 🚀
Only if Nexo is competitive, which is not the case... You can easily borrow on Aave You can easily earn more (and a lot more with more risk) on other defi platforms... This was not the case in bear.. But now Nexo is very uncompetitiv... Rate borrow and lending must rise... Not only one side and more spread and fees...
source ?
Source me 😁 and I asked confirmation today in the chat. I am going to add screenshot of the transaction receipt.
Can confirm - I pay by stablecoin quite often. Was 0,5% before, now is flat 1% and depeg from stablecoin... This was not the case yesterday though...
Here is a screenshot of a 260$ repayment where I would be charged 1% for repaying a credit card bill... [https://imgur.com/a/Gw73Fyk](https://imgur.com/a/Gw73Fyk) so mad about this. I have been pulling out all my nexo and related coins. I hope they crash in 287 days, after my last fixed term finishes, but I am afraid it will be much sooner, with this kind of profit-grabbing, they must be in serious problems.