Those looking for a simple mobile- and web-based bank will likely find Chime appealing. The bank has two distinct accounts: the checking account-inspired Spending Account and the optional Chime Savings Account. The Spending Account is essentially fee-less, as you won’t encounter any overdraft, monthly service, transfer, or foreign transaction charges. On top of this, you can get your paychecks as much as two days early when you set up direct deposit through your Chime accounts.
Chime's savings option, the Chime Savings Account, offers a solid 0.50% annual percentage yield (APY). While some online banks institute a maximum balance for their APYs, Chime does not, nor does it call for a minimum balance to earn that rate. Accounts holders can also take advantage of two automated savings features called "Round-Ups" and "Save When I Get Paid" to help increase their savings balance.
Because Chime is available only via online and mobile devices, the services on these platforms are as plentiful as what any traditional bank can offer. In fact, account holders can utilize mobile check deposits, Chime’s free “Pay Friends” peer-to-peer mobile payments feature, an ATM locator, and more. Between the Apple and Android app stores, Chime’s app holds an average rating of 4.65 stars out of 5.
All Chime account holders are handed a Chime Visa® debit card free of charge. You can use this to withdraw money from any one of the 38,000 fee-free ATMs that Chime is partnered with through the MoneyPass® and Visa Plus Alliance ATM networks. You can also make cash deposits at retail stores within the Green Dot® network, like CVS and 7-Eleven.
Products Offered
| Product | Key Details |
| Spending Account |
|
| Savings Account |
|
Chime Bank Overview
Chime is a fairly young financial institution, as co-founders Chris Britt and Ryan King established the company in 2013. The bank is based out of San Francisco, California, but it does not operate any physical banking branches. In turn, all of its services are available through its website and mobile apps for both Apple and Android phones.
Chime’s banking services are provided by The Bancorp Bank, a financial services business that offers “private-label banking and technology solutions,” according to its website. The Bancorp Bank works with a number of reputable finance companies, including PayPal and Card.com.
Chime Spending Account
| Key Features | Details |
| Minimum Deposit | None |
| Access to Your Account | Online, mobile, and ATMs |
| Security | FDIC insurance up to $250,000 |
| Fees | None |
| Current Terms and Rates | Not interest-bearing |
The Chime Spending Account is for just that: spending. This is basically a normal checking account, as it comes with the Chime Visa® debit card and access to a wide range of ATMs. Customers can visit any of MoneyPass®’ and Visa Plus Alliance’s 38,000 fee-free ATMs across the country. If you don’t know where to find an eligible ATM, Chime’s mobile apps have an ATM locator. Beware, though, that any time you use an out-of-network ATM or make an over-the-counter cash withdrawal at a bank or credit union, you’ll be on the hook for a $2.50 fee. Chime is part of the Green Dot® network as well, through which you can make cash deposits at stores like CVS and Walgreens.
Aside from the aforementioned out-of-network fee, Chime does not institute any other fees. To be specific, there are no monthly fees or charges for overdrafts, bank transfers, debit card replacements or foreign transactions. There’s also no minimum initial deposit or interest-earning capabilities for this account.
Perhaps the most practical advantage of the Chime Spending Account is its early direct deposit benefit. If you sign up for direct deposit with Chime, you’ll receive your paychecks as much as two days ahead of time. It’s not guaranteed that the deposit will arrive two days earlier, though, as there are many factors that contribute to this. A chime will provide you with a pre-filled direct deposit form that it recommends you give to your employer to hopefully expedite the process.
Chime Savings Account
| Key Features | Details |
| Minimum Deposit | None |
| Access to Your Account | Online, mobile and ATMs |
| Security | FDIC insurance up to $250,000 |
| Fees | None |
| Current Terms and Rates | 0.50% APY |
The Chime Savings Account comes with a 0.50% APY, which is just about in line with the top savings rates on the market, such as those available through Ally and Marcus. In an effort to boost your savings potential, Chime has put into effect two automatic savings features. The “Round-Ups” perk will round up your debit transactions to the nearest dollar and send it to your savings account. If you want to save even more, account holders who receive direct deposits of at least $500 can have 10% of them transferred into their savings account.
Just because you’re a customer of Chime doesn’t mean you need to have a Chime Savings Account, as they’re strictly optional. If you do decide to open one, though, the bank will let you transfer funds between it and your Chime Spending Account whenever you want, for free.
Comments
Post a Comment