Simple is not bad. Chime stands out in the banking space by taking out complexity. It offers a checking account, a savings account, a secured credit card, and a mobile app. That’s all Chime does and it does them well.
Chime is a popular banking app that caters to those who don’t like traditional banks, which have minimum balance requirements and fees. Chime is the second most popular banking app in the US with more than 13 million users.
Sign up bonus
You can earn $100 if you set up a direct deposit of $200 or more within the first 45 days of opening an account.
Chime checking account
Chime’s checking account stands out because it has the following features.
- No monthly fees
- No minimum balance
- No credit check. It’s one of the reasons the Chime app is popular among the underbanked community
- No overdraft fees. With SpotMe, you can get an overdraft facility of $200 without fees (with $200 or more in direct deposits every month)
- Free ATM withdrawals
- You can get paid 2 days early with direct deposit.
When you sign up for Chime’s SpotMe service (no fee for signing up), you can overdraw up to $200. It’s a great benefit if you run out of cash at the end of the month and need to make purchases.
When you open a Chime checking account, you get a VISA debit card which gives you free access to 60,000 ATMs.
Chime High Yield Savings Account
You will need to open a checking account first before you can open a savings account.
The Chime Savings account also has a no-fee structure and a competitive APY
- No minimum balance
- No monthly fee
- Automatic transfer feature – this allows you to set up a recurring transfer from your checking account to the savings account every time you get paid
- Round Ups feature – when you use your Chime Visa debit card, Chime will round up your purchases to the nearest dollar and transfer it to your checking account.
The Chime app is the best product in its suite. It gets 4.8 stars on the App Store and 4.7 stars on Google Play. You can deposit checks using the app and get notifications about transactions and balances.
Chime Credit Builder Visa Credit card
With a Chime account, you can get the Chime Credit Builder Visa Credit card without a credit check. Note that this is a credit for people trying to build their credit, so you won’t find many premium features.
To use the Chime Credit Builder Visa Credit card, you need to move money from your checking account to the Credit Builder account and use that money to make purchases. It’s like a secured credit card. Chime will report your payment to all three credit bureaus, which helps you build credit.
What are the advantages of a Chime account?
Chime has an excellent app for those who are starting their financial journey. The no-fee checking and savings account is helpful to those who maintain low balances in their account. Its Credit Builder Visa Credit card allows you to build credit.
What are the disadvantages of Chime?
- No physical branches you can go if you need help
- You need to have direct deposit for mobile check deposit
- Though Chime has free withdrawal at 60,000 ATMs, if you withdraw from an out-of-network ATM, you will pay a $2.50 fee
Chime is not a bank. It’s a fintech company. Banking services are provided by The Bancorp Bank or Stride Bank. Chime Credit Builder credit card is issued by Stride Bank.
Chime is great for people who are young and getting started financially. Though it doesn’t offer the bells and whistles of a traditional bank, it has good benefits with no fees or minimum balances. The app allows you to make mobile check deposits and alerts you on transactions and low account balances.