Chime Review: Is It a Real Bank and Worth It?
- Simple online banking
- Automated savings
- Building credit
Digital-first services are more than the wave of the future. The convenience of a smooth online experience is becoming the standard — including with our money management and banking.
One of the earliest players and a leading company in the branchless banking game is Chime®, a financial technology company that was founded in 2013.
Although it’s not a bank, Chime offers many of the most important features of a traditional deposit account with a much leaner fee schedule — and even has a savings account option that bears a higher interest rate than a typical savings account.
Is Chime a Real Bank? FDIC Coverage & Banking Partners
Chime is a financial technology company (sometimes called fintech) so it is not a bank. It does, however, offer banking services like checking and savings accounts through partners Bancorp Bank and Stride Bank. Chime itself is not FDIC insured, but its partner banks are.
What Accounts and Features Does Chime Offer?
Chime doesn’t have a crazy amount of banking products, but it does have checking and savings accounts. The checking account comes with a Chime Visa Debit Card, and the optional savings account has an APY of 0.75%. You can also apply for a Chime Visa® Credit Card if you have a checking account with them.
You automatically get access to the benefits of Chime+ with a qualifying direct deposit of $200 or more. These benefits include MyPay®, which allows you to get $500 of your pay before payday, and SpotMe®, which lets you overdraft by $200 without fees. All Chime accounts come with access to 47,000+ fee-free ATMs and the ability to bank online with no monthly fees.
Chime also offers early pay access. As long as you’re signed up for direct deposit, you can get your money up to two days earlier than with traditional banks.
How Chime Works: Checking, Savings & Credit Builder
Getting started with Chime means getting a checking account with them. You can apply in a few minutes, download the app then make online purchases with your virtual debit card while you wait for the physical one in the mail.
Once you have the checking account, then you can get the optional savings account (or sign up for both at the same time when you enroll).
A couple features are designed to get you on the fast track to meeting your savings goals. You can automatically transfer a percentage of your pay to your savings account. You can also opt into Round Ups, which rounds up the purchases from your debit card to the nearest dollar, and the difference will go to your high-yield savings account.
If you want to focus on building credit, the Chime Visa® Credit Card can help you do so safely because it has no annual fee or interest and it doesn’t require a credit check. You move money from your checking account to the card, and that’s the amount you can spend with that card. Then the Safer Credit Building feature allows you to automatically pay your balance on time. That gets reported to major credit bureaus and can potentially boost your credit score.
What Are the Pros of Using Chime?
Here are some reasons why you might consider Chime for your banking needs.
- Fee-free banking (no monthly or overdraft fees).
- Early payday access.
- User-friendly mobile app.
- Fee-free ATM network and SpotMe® overdraft feature, which allows you to overdraft by $200 without fees.
What Are the Cons of Using Chime?
These are some potential drawbacks of banking through Chime:
- No physical branch locations.
- Reports of account closures with minimal notice.
- Digital first means limited customer service options.
- Restrictions on cash deposits.
Is Chime Safe, and How Secure Is Your Money?
FDIC coverage is a big deal when it comes to the safety of your money. Even though Chime is not covered, its partner banks are covered. So your money is safe in that regard.
Chime also says customers can feel safe using its app because it uses, “128-bit AES encryption, access control and security processes.” That all simply means it protects sensitive information and data from unauthorized access. And if you do see an unauthorized charge, you can disable transactions quickly through the app until you get it sorted out.
It is important to note past complaints about Chime. In 2024, the Consumer Financial Protection Bureau took action against them after customers complained Chime closed their accounts and did not refund their money in a timely manner. Chime said most of the delays were because of a “configuration error,” but it had to pay a total of $4.55 million in compensation and penalties.
Chime Fees & Limits: What You Should Know
One of the biggest selling points of Chime is you won’t get bombarded with fees. There are no monthly, transfer, foreign transaction or overdraft fees. However, there are fees for using an out-of-network ATM, doing an over-the-counter withdrawal and or getting instant funds through MyPay®. There are more than 47,000 ATMs in its network, so it shouldn’t be too tough to find one. But if you can’t you will pay a fee.
There also are limits with cash deposits. You can make up to three deposits every 24 hours totaling no more than $1,000, and there’s a cap of up to $10,000 a month.
How Chime Compares to Other Banks
Comparison at a Glance
| Company | Key Features | Fees | App Rating on Apple & Google Play |
|---|---|---|---|
Chime |
Checking, savings, secured credit card |
ATM out-of-network fee |
4.8, 4.7 |
SoFi |
Checking, savings, investment products |
Transaction fee |
4.8,4.5 |
Varo |
Checking, savings, credit builder card |
ATM out-of-network fee |
4.9,4.7 |
Current |
Checking, savings, credit builder card, crypto |
ATM out-of-network fee, foreign transaction fee |
4.8,4.5 |
Final Verdict: Who Should Use Chime?
If your needs are a little more complex or you need to be able to have a joint account, you’ll want to look elsewhere. However, if you’re just looking for the basics, Chime could be a good choice for you. It’s also ideal for users who prefer the digital-first experience and won’t mind the fact that there’s no physical locations. It’s especially helpful for people trying to escape typical bank fees. If you’re interested, sign up here.
FAQs About Chime
Chime does not charge: monthly, transfer, foreign transaction or overdraft fees. If you don’t have enough funds in your checking account or you reached the limit for SpotMe®, your card will simply be declined.
There is, however, a $2.50 fee for an over-the-counter withdrawal or for using an out-of-network ATM. There’s also a $2 fee to get instant funds through MyPay®.
While Chime itself is not, its partner banks Bancorp Bank and Stride Bank are FDIC insured up to $250,000 per depositor.
It can. It typically would do so because of something like suspicious activity, inactivity or a violation of terms.
There have been reports of Chime closing accounts, and it even faced legal action from the Consumer Financial Protection Bureau because it did not give people their money back in a timely manner.
The best way to prevent this is to watch your accounts closely and have alternative banking options.
No, there are no physical branches for Chime. It’s an online-only financial technology company.
You can deposit cash at retailers such as Walmart, Walgreens, CVS, Dollar General and more. Depending on where you deposit the cash, you could face associated fees and limits on deposits (both amount and frequency).
Yes, its Chime Visa® Credit Card is designed to make positive impacts on your credit. It has no annual fee or interest, no minimum security deposit and there’s no credit check required to open one. You move money from your checking account to the card, and that’s the amount you can spend with that card. Then the Safer Credit Building will automatically pay your balance on time. That gets reported to major credit bureaus and can potentially boost your credit score.
Dana Miranda’s reporting contributed to this post.
Chime is a financial technology company, not a bank. Banking services provided by The Bancorp Bank, N.A. or Stride Bank, N.A., Members FDIC. The Chime Visa® Debit Card is issued by The Bancorp Bank, N.A. or Stride Bank, N.A. pursuant to a license from Visa U.S.A. Inc. and may be used everywhere Visa debit cards are accepted. The secured Chime Visa® Credit Card is issued by The Bancorp Bank, N.A. or Stride Bank, N.A. pursuant to a license from Visa U.S.A. Inc. and may be used everywhere Visa credit cards are accepted. Please see the back of your Card for its issuing bank.
MyPay® line of credit provided by The Bancorp Bank, N.A. or Stride Bank, N.A. MyPay services provided by Chime Capital, LLC (NMLS ID 2316451).
Chime is recommended by more of its users in the 2024 Qualtrics® NPS study when compared to top national banks and select fintechs. THE #1 MOST LOVED BANKING APP is a Registered Trademark of Chime Financial, Inc.
*Terms apply. Limited time only, must open the new account and complete qualifying activities to earn 3 individual rewards, up to a max of $350.00, as described at https://www.chime.com/policies/newmemberofferv3.
1 Early access to direct deposit funds depends on the timing of the submission of the payment file from the payer. We generally make these funds available on the day the payment file is received, which may be up to 2 days earlier than the scheduled payment date.
2 Out-of-network ATM withdrawal and over the counter advance fees may apply except at FCTI® ATMs in a 7-Eleven® or Speedway, or any Allpoint® or Visa® Plus Alliance ATM participating in the Allpoint network.
3 SpotMe® on Credit is an optional, no interest/no fee overdraft line of credit tied to the Secured Deposit Account. SpotMe on Debit is an optional, no fee service attached to your Chime Checking Account (individually or collectively, “SpotMe”). Eligibility for SpotMe requires $200 or more in qualifying direct deposits to your Chime Checking Account each month.
Qualifying members will be allowed to overdraw their Chime Checking Account and/or their Secured Deposit Account up to $20 in total, but may be later eligible for a higher combined limit of up to $200 or more based on member’s Chime account history, direct deposit frequency and amount, spending activity and other risk-based factors. Your SpotMe Limit will be displayed to you within the Chime mobile app. You will receive notice of any changes to your SpotMe Limit. SpotMe for Credit and SpotMe on Debit share a single SpotMe limit. Your SpotMe Limit may change at any time, at Chime or its banking partners’ discretion. Although there are no overdraft fees, there may be out-of-network or third-party fees associated with ATM transactions or OTC cash withdrawal fees at retailers. SpotMe won’t cover non-card transactions, including ACH transfers, Pay Anyone transfers, or Chime Checkbook transactions. SpotMe Terms and Conditions.
4 With a qualifying direct deposit, earn 1.5% cash back on eligible secured Chime Visa® Credit Card purchases. Please refer to the Secured Chime Visa® Credit Card – Cash Rewards Program Addendum for details and more information on rotating cash back categories.
5 On-time payment history may have a positive impact on your credit score. Late payment may negatively impact your credit score. Chime will report your activities to Transunion®, Experian®, and Equifax®. Impact on your credit may vary, as Credit scores are independently determined by credit bureaus based on a number of factors including the financial decisions you make with other financial services organizations.
6 Out-of-network ATM withdrawal and OTC advance fees may apply. View The Bancorp agreement or Stride agreement for details; see back of card for issuer.
7 Money added to Chime Card™ will be held in a secured deposit account as collateral for your Chime Card, and you can spend up to this amount. You can use money deposited in your Secured Deposit Account to pay off your charges at the end of every month.
8 You must notify your financial institution immediately of any unauthorized use. For specific restrictions, limitations and other details, please consult your issuer.
9 To be eligible for Chime+™ status, you must receive a qualifying direct deposit to your Chime Checking Account in the preceding 34 days. Certain products marketed as Chime+ benefits have additional eligibility requirements. While some Chime+ benefits may have associated fees, none of these fees are mandatory to access Chime+ benefits or to maintain Chime+ status. See Chime+ Terms and Conditions for details.
10 To be eligible for MyPay, you must receive qualifying direct deposits to your Chime Checking Account in the preceding 36 days as set forth in the MyPay Agreement. A qualifying direct deposit is a deposit from an employer, payroll provider, gig economy payer, government benefits payer, or other permitted source of income by Automated Clearing House (“ACH”) or Original Credit Transaction (“OCT”). Your MyPay Credit Limit and Maximum Available Advance may change at any time. MyPay is a line of credit and available limits are based on estimated income and risk-based criteria. Eligible members may be offered a $20 – $500 Credit Limit per pay period. Your Credit Limit and Maximum Available Advance will be displayed to you within the Chime app. MyPay is currently only available to eligible Chime members in certain states. Other restrictions may apply. See Bancorp MyPay Agreement or Stride MyPay Agreement for details.
11 Top three national bank ranking according to the Federal Reserve Statistical Release based on domestic assets; number of ATMs self-reported by Chase, Bank of America and Wells Fargo – June 2025.
12 To apply for a Chime Card, you must also open a Chime Checking Account.
13 Chime Visa® Credit Card holders – Deposits and debit refunds go to your Checking Account, then transfer to your Chime Card Secured Deposit Account – other than Chime Card cash deposits at retailers, which go to your Chime Card Account, then transfer to your Secured Deposit Account. Funds are moved from your Secured Deposit Account to your Checking Account to facilitate outbound transfers and debit purchases. Your Available balance is the money you can spend with your Chime Card or Checking Account. See account agreements and statements for details.
14 Chime will report the following activities, as applicable, to TransUnion®, Experian®, and Equifax®: amount past due; payment status of the last paid-off balance; how long you’ve had your card; current statement balance; last balance payment date; and highest balance before paying it off.
