Chime savings accounts earn interest, but the rate changes and is not may provide
Chime offers interest on savings accounts held through their partner banks, but the rate is not fixed. As of now, Chime savings accounts earn around 2% annual percentage yield (APY) on balances, though this rate varies depending on your account type and can change at any time. Chime does not may provide a specific rate, and the rate you see today may be different next month.
The interest is calculated daily on your full balance and deposited monthly. This means if you have $1,000 in your Chime savings account, you would earn roughly $20 per year at a 2% APY, though the exact amount depends on the current rate Chime is offering and how long your money stays in the account.
Chime savings accounts are held at partner banks—currently Bancorp Bank or Stride Bank, depending on when you opened your account—so your money is FDIC insured up to $250,000. This protection applies even though you access the account through Chime's app.
Key Takeaways
- Chime savings accounts currently earn around 2% APY, but this rate is not fixed and can change without notice.
- Interest is calculated daily on your full balance and paid to your account each month.
- Your savings are FDIC insured up to $250,000 through Chime's partner banks.
- You can check your current rate anytime in the Chime app under your savings account details.
- Chime does not charge monthly fees on savings accounts, so all interest earned stays in your account.
How the interest rate is set and when it changes
Chime sets its savings rate based on market conditions and the rates offered by its partner banks. When the Federal Reserve raises or lowers interest rates, banks typically adjust their savings rates within weeks or months. Chime has historically raised its savings rate when market rates climbed, and lowered it when rates fell.
You will not receive advance notice before a rate change. Chime may update the rate and simply reflect the new number in your app. The best way to stay aware is to check your savings account details in the Chime app periodically, or contact Chime support if you want to confirm the current rate.
Comparing Chime savings to other banks
Chime's 2% APY is competitive with many online banks, but not all. Some online banks and credit unions currently offer rates between 4% and 5% APY on high-yield savings accounts, though these rates also change and may require a minimum balance or have other conditions. Traditional banks—the kind with physical branches—typically offer much lower rates, often below 0.5% APY.
The trade-off with Chime is convenience: you get a debit card, mobile app, and early direct deposit access alongside your savings account. If earning the highest possible interest is your only goal, a dedicated high-yield savings account at an online bank may earn more. If you want a single account that handles checking, savings, and a debit card together, Chime's rate is reasonable.
How to access and manage your Chime savings account
Your Chime savings account is separate from your checking account, even though both appear in the same app. To move money between them, open the Chime app, go to your savings account, and tap "Transfer." You can move money from checking to savings or vice versa instantly, with no fees.
You cannot spend directly from your savings account using your Chime debit card—the card is linked to your checking account only. This separation is intentional and helps prevent you from accidentally spending money you meant to save. If you need cash from savings, transfer it to checking first, then withdraw or spend it.
What happens if Chime closes or changes your account
If Chime closes your savings account, your money is not lost. Because the account is held at a partner bank (Bancorp or Stride), that bank will return your balance to you. Chime would notify you before closing an account, and you would have time to withdraw your funds or have them transferred.
If Chime switches partner banks in the future, your account would move with it, and your FDIC insurance would continue. This has happened before: Chime moved from Bancorp to Stride Bank for some customers, and existing balances transferred automatically.
Fees and limits on Chime savings accounts
Chime does not charge a monthly fee for savings accounts, overdraft fees, or transfer fees between your checking and savings. There is no minimum balance required to open or maintain a savings account.
Chime does limit the number of transfers you can make from savings to checking to six per month, following federal banking rules that apply to most savings accounts. If you exceed this limit, Chime may charge a fee or restrict further transfers that month. Transfers between your own Chime accounts do not count toward this limit if they are initiated through the app's transfer feature.
Frequently Asked Questions
Can I earn interest on my Chime checking account?
No. Chime checking accounts do not earn interest. Only the savings account earns APY. If you want to earn interest on your money, you must transfer it to your Chime savings account.
How often is interest paid?
Interest is calculated daily but paid monthly. On the first of each month, your earned interest is deposited into your savings account. The amount depends on your average daily balance and the current APY.
What if the interest rate drops to zero?
Chime's rate could drop, but it is unlikely to reach zero. Even during the lowest-rate environment in recent years, Chime offered at least 0.5% APY. If rates do drop significantly, you could move your money to another bank, but Chime would give you time to do so before any rate change took effect.
Is my money safe in a Chime savings account?
Yes. Your balance is FDIC insured up to $250,000 through Chime's partner bank. This means if the bank fails, the government guarantees your money. Chime itself is not a bank, but it partners with banks that are regulated and insured.
Can I set up automatic transfers to my savings account?
Chime does not currently offer automatic recurring transfers from checking to savings within the app. You can set up a transfer manually whenever you want, but you cannot schedule it to happen on a specific date each month. Some users work around this by setting a phone reminder to transfer money regularly.