Are you tired of high banking fees, long waiting lines, and complicated bank rules? When it comes to financial institutions, convenience is often a priority. This is why so many people are turning to the newest free checking service: GoBank!
GoBank offers all the features of a traditional checking account with a monthly membership fee of $8.95 with a minimum direct deposit of $500 to open an account. Your money can be used anywhere Visa® cards are accepted — with no pesky monthly transaction limits — and your account will never age when you don't use it. Every deposit earns an interest rate that's always better than what most banks offer. What's not to love?
But GoBank has a few drawbacks...
First, the service is completely online. You can deposit and withdraw funds as you would at any other bank, but there's no branch location for face-to-face service like you'd find at a traditional bank. For some customers, that might be a deal-breaker.
Plus, the interest rate is really low. Only 0.06% is offered on balances up to $2,000 (https://www.go2bank.com/) — less than what many credit unions offer on savings accounts! The higher your balance gets, the lower your interest rate gets.
Now that we've covered the drawbacks of the service let's look at why GoBank is probably the best free checking account on the market.
Free Checking: It's Not as Easy as You Think
You may be hearing about these new "free" checking services popping up lately, but what you're actually signing up for isn't as generous as you may think. There's usually a catch. The same applies to GoBank. Just make sure that you are aware of everything before signing up! Here are some quick facts:
1) The interest rate is low at 0.06% - 3%, which isn't even competitive with credit unions or other free banks in your area (like SoFi).
2) The maximum balance you can deposit into your account is $50,000 (with no monthly fees).
What's So Great About GoBank?
This account would still be excellent if it weren't for the missing features and low-interest rate. Regardless, here are a few things that make GoBank a favorite.
1) Ability to check balances online: With GoBank checking, you can see your transactions and balance in real-time. No more waiting in line at the bank and wondering what went wrong!
2) ATM withdrawals: This is an obvious must-have for any checking account, but most free banks don't offer free ATM withdrawals. GoBank does not charge fees for withdrawal from their ATMs (free up to 4 withdrawals in a calendar month).
3) No monthly fees: There are no fees associated with the GoBank checking account (you should make at least a direct deposit of $500). If you like the features, nothing will change, and you aren't required to keep the account long term. You can cancel whenever you want!
4) Great money-management tools: If you're looking for a no-worries answer to your financial dilemmas, this might be. The credit score feature gives you advice on what to do based on your score — even if your score isn't available from one of the major credit bureaus.
5) Easy access to funds: When depositing funds, there is no long wait time before the transaction goes through or multiple steps to complete the process. Instead, you can deposit funds in less than one minute!
6) Collaboration with other financial institutions: GoBank works seamlessly with Green Dot Bank, and you can use both accounts to deposit money. Also, if your partner bank offers 24/7 overdraft protection on their accounts, they can cover any overdrafts on your account. This means a greater chance of having more funds accessible sooner when you need them.
Here are a few key things to consider before deciding to use the service.
Why pay to keep a free account?
If you want to earn more interest, find a better checking account. In fact, depending on your needs, you might even qualify for an interest-bearing savings account!
Is GoBank Easy Access for Your Money?
If you can access your money at any time as needed, then this service is excellent. This is when the 24/7 overdraft protection comes into play — but ONLY if your partner bank has the same feature.
Is GoBank Great for Your Credit Score?
Another critical question to ask yourself is: is the service excellent for your credit score? If so, you can earn more points from the service than you would from using it. It depends on how many points you need to earn to get a good credit score.
Our Verdict
And that's it. You should now have a better idea of whether or not GoBank is suitable for you. But if you want our recommendation, here it is: GoBank isn't bad, but it doesn't offer enough value to be worth your time and money, in my opinion. If you're looking to open a no-worries checking account and have some extra time, then this could be the perfect fit for you!
