Roarmoney is not a traditional checking account — it's a prepaid debit card account with some checking-like features
Roarmoney is a prepaid debit card service, not a bank account. You load money onto the card, and you can spend it like a debit card at stores and online. It does not come with a routing number or account number the way a checking account does, and it is not FDIC-insured the way bank deposits are. If you need to receive direct deposits from an employer or government payments, Roarmoney can accept them — but the account itself is not a checking account.
The confusion happens because Roarmoney markets itself as a financial tool for people who want to avoid traditional banks, and it does some of the things a checking account does: you can receive money, spend money, and check your balance. But the underlying product is prepaid, which means you must load your own money onto it first. A checking account, by contrast, is a deposit account at a bank or credit union where the institution holds your money and you write checks or use a debit card against it.
Key Takeaways
- Roarmoney is a prepaid debit card, not a checking account, and your money is not FDIC-insured the way bank deposits are.
- You can receive direct deposits and government payments on Roarmoney, but you must load money onto the card yourself to spend it.
- Roarmoney charges monthly fees and per-transaction fees that a checking account may not, so the total cost depends on how you use it.
- If you need a true checking account for bill pay, check writing, or FDIC protection, a bank or credit union account is a different product.
How Roarmoney works compared to a checking account
With a checking account at a bank, the bank holds your money in a deposit account. You can write checks, use a debit card, set up automatic bill payments, and receive direct deposits. The bank is responsible for keeping your money safe, and the Federal Deposit Insurance Corporation (FDIC) insures deposits up to $250,000 per account holder per bank.
With Roarmoney, you load money onto a prepaid card by transferring funds from another account, using a bank transfer, or depositing cash at a retail location. Once the money is on the card, you can spend it at any merchant that accepts Mastercard. You can also receive direct deposits and some government payments. But Roarmoney does not hold your money as a bank deposit — it holds it as prepaid value on the card. That means your money is not FDIC-insured and is not protected the same way a bank account is.
The practical difference shows up in fees and features. A checking account may charge a monthly maintenance fee (or none at all, depending on the bank), but Roarmoney charges a monthly fee plus fees for certain transactions like ATM withdrawals or customer service calls. A checking account typically includes bill pay and check writing; Roarmoney does not.
What Roarmoney can and cannot do
Roarmoney can: Accept direct deposits from employers, receive government payments like tax refunds or stimulus checks, let you spend money at any Mastercard merchant, show your balance and transaction history in an app, and allow you to transfer money to other people's bank accounts.
Roarmoney cannot: Write checks, set up automatic bill payments to billers, provide FDIC insurance on your balance, offer overdraft protection, or give you a traditional routing and account number (though it does provide a routing number for direct deposits). You also cannot access a physical branch or speak to a banker in person — all support is through the app or phone.
Fees and costs: Roarmoney versus a checking account
Roarmoney's fee structure is different from most checking accounts. As of the most recent information, Roarmoney charges a monthly membership fee (the amount varies by plan), plus fees for ATM withdrawals outside their network, customer service calls, and some other transactions. The exact fees change, so you should check Roarmoney's current fee schedule on their website or app.
A traditional checking account at a bank or credit union may charge no monthly fee at all, especially if you meet a minimum balance or set up direct deposit. Some banks charge a monthly fee of $5 to $15 if you do not meet their requirements. The key difference is that a checking account typically includes unlimited debit card use and bill pay at no extra charge, while Roarmoney charges per transaction for certain activities.
If you use Roarmoney only to receive direct deposit and spend money at stores, the monthly fee may be your only cost. If you withdraw cash frequently or call customer service often, the fees add up quickly. Compare the total cost against what a checking account would cost you at your bank or a local credit union.
When Roarmoney might make sense for you
Roarmoney can be useful if you do not have a bank account and want a way to receive direct deposits or government payments without opening a traditional bank account. Some people use it as a second account to keep spending separate from their main checking account, or to avoid overdraft fees (since you cannot overdraw a prepaid card — you simply cannot spend more than you have loaded).
Roarmoney is also an option if you have been denied a checking account due to banking history issues like unpaid overdrafts or fraud. Because it is prepaid, not a deposit account, the approval process is simpler and does not involve a credit check or ChexSystems report.
However, if you need to write checks, pay bills automatically, or want FDIC insurance on your money, a traditional checking account is the better choice. If cost is your concern, many banks and credit unions offer free checking accounts with no monthly fee, which may be cheaper than Roarmoney in the long run.
How to receive tax refunds and government payments on Roarmoney
Roarmoney provides a routing number and account number that you can use to receive direct deposits, including tax refunds and government payments like stimulus checks or Social Security. When you file your tax return, you can enter Roarmoney's routing number and your account number in the direct deposit fields, and the IRS will deposit your refund directly to the card.
The same process works for other government payments. You provide Roarmoney's routing number and your account number to the agency sending the payment, and the money is deposited to your card. The deposit typically arrives within one to three business days, though timing depends on the agency and your bank's processing speed.
One important note: if you close your Roarmoney account, any future deposits to that account number will be rejected. If you receive a refund or payment after closing the account, you will need to contact the agency to update your banking information or request a paper check instead.
Frequently Asked Questions
Can I use Roarmoney to receive my tax refund?
Yes. Roarmoney provides a routing number and account number that you can enter on your tax return for direct deposit. The refund will be deposited to your card within one to three business days of the IRS processing it. Make sure you enter the information correctly on your return, as errors can delay the deposit.
Is my money on Roarmoney protected if the company goes out of business?
Roarmoney's prepaid balances are not FDIC-insured. The company holds your money in a custodial account at a bank, but that does not provide the same protection as a deposit account in your name. If you want full FDIC insurance, a traditional checking account at a bank or credit union is safer.
Can I write checks with Roarmoney?
No. Roarmoney is a prepaid debit card only. You cannot write checks or set up automatic bill payments. If you need those features, you need a checking account at a bank or credit union.
What happens if I overdraw my Roarmoney card?
You cannot overdraw a prepaid card. If you try to spend more than you have loaded, the transaction will be declined. This means you avoid overdraft fees, but it also means you cannot spend money you do not have on the card.
Is Roarmoney cheaper than a checking account?
It depends on how you use it and which bank you compare it to. Roarmoney charges a monthly fee plus per-transaction fees. Many banks offer free checking with no monthly fee, which could be cheaper. Compare Roarmoney's total monthly cost against your bank's fees to decide which is right for you.