Chime is actually not a bank. Chime is a financial technology company with its banking services offered by Bancorp Bank or Stride Bank. Its mobile app offers many features, including the ability to have a checking account without having to carry a checkbook. In this Chime review, we will look at all of the pros and cons of using this app to manage your finances.
What is Chime Bank and what are its features?
Chime is a mobile banking app that offers its users a number of features, including the ability to save money, get paid early, and make automatic payments. Its top features include the following:
- Automatic savings: Chime Bank rounds up your transactions to the nearest dollar and saves the difference for you.
- Get paid early: Chime Bank pays employees two days before their paychecks would normally hit their accounts if you’ve got direct deposit set up.
- Automatic payments: Chime Bank allows you to automate your monthly payments so you never have to worry about forgetting them.
Is Chime the right financial solution for you?
If you are looking for a fee-free online bank that can help you automatically save money, get paid early, and make automatic payments, Chime may be the right choice for you.
However, it is important to remember that Chime does not offer all of the features of a traditional bank. Therefore, it is important to consider all of your options before deciding if Chime Bank is the right choice for you.
What are some of the pros and cons of using Chime compared to other online banks or traditional brick-and-mortar banks?
First, because Chime is online, it does not have the same overhead costs as traditional brick-and-mortar banks which can result in lower fees for its users. Some other features that are unique to Chime include:
- No minimum balance requirements: You do not need to keep any cash on hand to use Chime.
- No overdrafts: If you run out of funds in your account, you won’t incur an overdraft fee.
- No monthly service fees: There are no monthly service fees for Chime.
But it doesn’t offer some of the traditional features you would see from a brink and mortar bank like:
- personal checkbooks
- its own ATM network
What are some other things to consider before opening a Chime account?
Some other things to consider before opening a Chime account include whether or not you feel comfortable using a mobile banking app.
Additionally, it is important to compare the fees of Chime to other banks in order to make sure you are getting the best value for your money.
How does Chime Bank’s mobile app compare to other mobile banking apps on the market today?
Ally and Chime are both examples of mobile banking apps that offer their users a number of features, including the ability to save money, get paid early, and make automatic payments. However, there are a few key differences between Ally Bank and Chime that consumers should be aware of before opening an account with either bank.
The first difference is that Ally Bank offers its users a wider range of products and services than Chime does.
For example, Ally Bank offers its users the ability to invest in stocks, bonds, and mutual funds, while Chime does not. Additionally, Ally Bank has a longer track record than Chime Bank does and is considered to be more established.
Sofi Money is a newer online bank that offers its users a number of features similar to Chime but stands apart in it’s APY on both savings and checking accounts.
All of these differences should be taken into consideration when deciding which bank is right for you.
Are there any special promotions or deals currently being offered by Chime Bank that may be of interest to you?
Not at this time, but Chime has been known to offer some great bonuses in the past. If you’re not needing to open an account now and want to wait for a bonus offer, just keep an eye out on the Chime website.
How to open a Chime Bank Account
Opening a Chime account is simple and can be done in just a few minutes online. In order to open an account, you will need to provide some basic information, including:
- your name,
- date of birth
- and Social Security number.
Once you have opened an account, you will need to download the app to manage your account. You can fund your account by transferring money from another bank account or by setting up a direct deposit. There is no minimum deposit amount required.
Once your account is funded, you can start using your Chime temporary debit card to make purchases and your permanent debit card will arrive in the mail 7-10 days later.
What is required to open a Chime account?
Chime offers a number of features to make banking easier for its customers. One of the benefits of Chime is that there are no minimum balance requirements and no monthly fees. In order to open an account with Chime, you must provide your name, date of birth, Social Security number, and address, but you don’t have to have a set amount of money to deposit into the account.
Other Chime Features to Note
Chime also offers a number of features that can be helpful for people who are trying to save money or improve their credit.
One of these features is called “round up” which rounds up each purchase made on a linked debit or credit card to the nearest dollar and saves the difference into a separate account. You can also set up automatic savings each time you get paid. These features can help people who are trying to save money without thinking about it too much.
Plus with Chime, you’ll earn 1.5% which is about 10x the national average.
Another feature is called Spot me which allows Chime members who receive a $200 monthly in direct deposit funds to overdraw their account by $20 on debit card purchases.
For Chime customers who have received a $200 direct deposit into their account in the past year, the Credit Builder Card is available.
It is a no fee, no credit check to apply, and no minimum security deposit required secured credit card.
By using it and paying it off every month (your credit limit is directly tied to how much money you have), you’ll start to build or improve your credit.
The Chime Credit Builder Secured Visa® Credit Card is exclusively available to Chime customers with the eligible direct deposit.
Finally, a study conducted by credit bureau Experian®, showed that members who used Credit Builder for their first purchase between June 2020 and October 2020 saw an average FICO score increase of 30 points after eight months.
In general, Chime is a good option for people who are looking for an online bank that has no minimum balance requirements or monthly fees. Chime also offers a number of features that can be helpful for people who are trying to save money or manage their finances better.
FAQs about Chime
Do you still have questions about Chime? We’ve answered the most common questions below!
Can I use my Chime card abroad?
Yes, you can use your Chime Visa Debit Card anywhere Visa is accepted. There are no foreign transaction fees. When using your card outside of the United States, please remember to notify Chime in advance so they can help ensure your card works smoothly.
What happens if my Chime card is lost or stolen?
If your Chime Visa Debit Card is lost or stolen, you can instantly block your card from within the Chime app to prevent charges. Additionally, you won’t be responsible for unauthorized charges before you were able to freeze your car.
Is Chime legit
Yes, Chime is a legitimate financial technology company with its banking services provided by Bankcorp Bank and Stride Bank. Meaning accounts created through chime are FDIC insured.
What bank owns Chime?
Chimepartners with Bankcorp Bank and Stride Bank for its banking services.
Does Chime have a physical bank?
No, Chime does not have any physical branches. All of Chime’s services are accessed online or through the mobile app.
How do I deposit money into my Chime account?
You can deposit money into your Chime account via direct deposit, mobile check deposit, or by linking an external bank account. You can also add cash to your account at select retail locations, cash deposits made at Walgreens or Duane Reade, incur no fees.
Can I write checks with my Chime account?
Yes, you can write checks with your Chime account. While Chime won’t mail you a checkbook, they offer Chime Checkbook which allows you to go into your account and fill out the necessary information to have a check sent out. Learn more here.
Is Chime FDIC insured?
Yes, deposits in Chime accounts are FDIC insured up to the maximum amount allowed by law.
Does Chime raise your credit score?
Possibly, having a Chime account can add to the number of accounts showing on your credit report. They also offer a credit builder credit card if you want to help improve your credit score.
What is the Chime Credit Builder Credit Card?
The Chime Credit Builder Credit Card is a credit card designed to help build credit. The card has no annual fee and reports to all three major credit bureaus. But one of it’s best features is that it does not require a credit check for approval.
Does Chime charge a monthly fee?
No, there are no monthly fees associated with a Chime account.
How does Chime make money?
Chime primarily makes money through merchant fees when customers use their Chime Visa Debit Card to make purchases.
Does Chime Charge Overdraft fees?
No, Chime does not charge overdraft fees. If you do not have enough money in your account to cover a transaction, the transaction will simply be declined.
Can I use my Chime Visa Debit Card to get cash from an ATM?
Yes, you can use your Chime Visa Debit Card to withdraw cash from an ATM. There is a $2.50 fee for each ATM withdrawal.
How do I get a Chime Visa Debit Card?
A Chime Visa Debit Card will be automatically mailed to you when you open a Chime account. If you need a replacement card, you can request one through the mobile app or customer website. There is no fee for replacing a lost or stolen card.
What is the daily ATM withdrawal limit for my Chime Visa Debit Card?
The daily ATM withdrawal limit for your Chime Visa Debit Card is $500.
Do I need a minimum balance to keep my Chime account open?
No, there is no minimum balance required to keep your Chime account open. You can close your account at any time.
How do I close my Chime account?
You can close your Chime account by contacting customer service. You will need to pay any outstanding fees or charges before your account can be closed. Once your account is closed, you will not be able to re-open it.