What the Chime Savings Account Does

Chime's savings account is a digital savings tool built into the Chime banking app. Money you deposit sits in a separate account from your checking account, earns interest, and stays accessible through the app. You can move money between your Chime checking and savings accounts instantly, and you can withdraw cash at any ATM that accepts Chime cards—though the savings account itself has no physical card.

The account has no monthly fees, no minimum balance requirement, and no overdraft charges. Interest accrues daily and deposits monthly, though the rate varies and is not may provide to stay the same. Chime does not lock your money away; you can transfer out whenever you want.

Key Takeaways

  • Chime's savings account earns interest daily and pays it to you monthly, with no fees or minimum balance.
  • You access the savings account only through the Chime app—there is no debit card for it, but you can transfer money to your checking account and withdraw from ATMs.
  • Interest rates change over time and are set by Chime, not by you, so the amount you earn each month may go up or down.
  • The account is FDIC-insured up to $250,000, the same protection that covers your checking account.
  • You can set up automatic transfers from checking to savings, or move money manually whenever you choose.

How Interest Works on Your Chime Savings

Chime calculates interest on your savings balance every day. The daily interest rate is divided by 365, multiplied by your account balance, and added to your account. At the end of each month, Chime deposits the total interest earned into your savings account.

The interest rate is not fixed. Chime sets the rate and can change it at any time. You can see the current rate in the app under your savings account details. The rate has varied significantly over time—it was higher during periods when the Federal Reserve raised interest rates, and lower during other periods. Chime publishes the rate publicly, but you should check the app to see what you are currently earning.

Interest is taxable income. Chime will send you a 1099-INT form at tax time if you earned $10 or more in interest during the year.

Moving Money In and Out of Your Savings Account

You can transfer money from your Chime checking account to your savings account instantly through the app. Tap the savings account, select "Transfer In," choose the amount, and confirm. The money moves right away. You can also set up automatic transfers—for example, a fixed amount each payday—by going to the transfer settings and creating a recurring transfer.

To withdraw money from savings, transfer it back to your checking account through the app, then withdraw cash at an ATM or use your Chime debit card to spend it. There is no direct way to pull cash from the savings account itself. Some people use this structure as a way to slow down spending: the extra step of transferring first makes it less impulsive than spending directly from checking.

There are no limits on how many transfers you can make per month. Unlike some savings accounts, Chime does not restrict you to six withdrawals or transfers per month.

FDIC Insurance and Account Safety

Chime's savings account is FDIC-insured. This means if Chime fails as a bank, the federal government guarantees your money up to $250,000. Your savings account and checking account are insured separately, so you have $250,000 protection in each one—a total of $500,000 if you max out both.

Chime itself does not hold your money. The company partners with banks like Stride Bank and Bancorp Bank to hold customer deposits. The FDIC insurance covers deposits at these partner banks, not Chime directly. This is a standard setup for online banks and does not change your protection.

If someone gains access to your Chime account, they could transfer money out of your savings account. Chime offers fraud protection: if you report unauthorized transfers within 60 days, Chime will investigate and typically refund the money. You should enable two-factor authentication in the app to reduce the risk of unauthorized access.

Comparing Chime Savings to Other Options

Chime's savings account competes mainly with other online savings accounts and high-yield savings accounts at banks like Marcus, Ally, and American Express. The main difference is the interest rate. Chime's rate has sometimes been competitive with these other options and sometimes lower, depending on when you check. You can compare current rates by visiting each bank's website or app.

Chime's advantage is convenience: if you already use Chime checking, the savings account is right there in the same app. You do not need to log into a separate website or manage accounts at two different banks. The disadvantage is that Chime's rate is not always the highest available. If earning the most interest is your priority, you may find a higher rate elsewhere.

Chime also offers a SpotMe Boost feature that rounds up purchases to the nearest dollar and deposits the difference into savings automatically. This is a savings tool unique to Chime and can help some people build savings without thinking about it.

Fees and Costs You Should Know

Chime charges no monthly maintenance fee, no minimum balance fee, and no fee to transfer money between your checking and savings accounts. There is no fee to open the account or close it.

If you use an out-of-network ATM (one not in Chime's network), you may be charged a fee by that ATM operator, but Chime does not charge you. Chime reimburses out-of-network ATM fees up to a certain amount per month if you have a Chime checking account, though this benefit applies to your checking account withdrawals, not savings.

The only cost is the opportunity cost: if Chime's interest rate is lower than what you could earn elsewhere, you are earning less than you could. This is not a fee Chime charges, but it is a real cost to consider.

Setting Up Automatic Savings

Chime lets you automate savings in two ways. First, you can set up a recurring transfer from checking to savings on a schedule you choose—weekly, biweekly, monthly, or a custom date. Go to your savings account, tap "Set Up Auto-Transfer," choose the amount and frequency, and confirm. The transfer happens automatically on the date you select.

Second, you can use SpotMe Boost, which rounds up every purchase you make with your Chime debit card and deposits the rounded-up amount into savings. For example, if you spend $3.50, Chime rounds it up to $4 and moves $0.50 to savings. This happens automatically and can add up over time, though the amounts are small.

Both methods help you build savings without having to remember to transfer money manually. The automatic transfer is more predictable; SpotMe Boost is more passive but depends on how much you spend.

Frequently Asked Questions

Can I earn interest on my Chime checking account?

No. Chime's checking account does not earn interest. Only the savings account earns interest. If you want to earn interest on your money, you must move it to the savings account.

What happens if I close my Chime account?

You can withdraw any money in your savings account before you close. Chime will transfer the balance to your checking account or to an external bank account you provide. Once the account is closed, you no longer earn interest.

Is there a limit to how much I can save in my Chime savings account?

No limit on how much you can deposit. However, FDIC insurance only covers up to $250,000. If you have more than that, the amount over $250,000 is not insured if Chime's partner bank fails.

Can I use my savings account balance to cover overdrafts on my checking account?

No. Your savings account is separate. If your checking account goes negative, Chime will not automatically pull from savings. You must manually transfer money from savings to checking first.

How do I know if my savings account is earning interest?

Open the Chime app, go to your savings account, and look for the interest rate displayed at the top. You can also check your transaction history to see the interest deposits that appear each month. If you see no interest deposits after 30 days, contact Chime support to confirm the account is active.