What the Chime Savings Account Does

Chime's savings account is a digital savings tool linked to your Chime checking account. Money you move into savings earns interest, and Chime rounds up your debit card purchases to the nearest dollar, automatically moving the difference into savings. There are no monthly fees, no minimum balance requirement, and no overdraft fees on the savings account itself.

The account works through Chime's mobile app. You can transfer money between your checking and savings accounts when ready, set up automatic transfers on a schedule you choose, or let the round-up feature do the work for you. Interest accrues daily and is deposited monthly.

Key Takeaways

  • Chime's savings account earns interest on your balance with no monthly fees or minimum balance.
  • The round-up feature automatically moves the difference between your purchase amount and the nearest dollar into savings after each debit card transaction.
  • You control transfers between checking and savings through the Chime app, and money moves when ready.
  • Interest rates vary and are set by Chime; you can see the current rate in the app before opening the account.
  • Your savings account is FDIC-insured up to $250,000 through Chime's partner banks.

How Round-Ups Work

When you use your Chime debit card to buy something, the round-up feature calculates the difference between what you spent and the next whole dollar. That difference moves automatically into your savings account. For example, if you buy coffee for $3.47, Chime moves $0.53 into savings.

You control whether round-ups are turned on or off in the app. You can turn them on for all purchases, turn them off entirely, or exclude certain merchants if you want. Round-ups happen after the transaction clears, not when ready at the register.

Round-ups are optional. If you do not want automatic transfers, you can move money into savings manually whenever you choose, or set up recurring transfers on a schedule—weekly, biweekly, or monthly.

Interest Rates and How Interest Accrues

Chime pays interest on your savings account balance. The rate varies and changes over time based on market conditions. You can see the current rate in the Chime app before you open the account, and the app shows you the rate at any time after that.

Interest is calculated daily on your balance and deposited into your savings account once a month. The longer money sits in savings, the more interest it earns. There is no penalty for withdrawing money early or closing the account.

Moving Money Between Checking and Savings

Transfers between your Chime checking and savings accounts happen when ready through the app. You can move money out of savings anytime without waiting for approval or facing withdrawal limits. There is no limit on how many times you can transfer per month.

You can also set up automatic transfers. For example, you might transfer $50 from checking to savings every payday, or move a fixed amount weekly. These recurring transfers run on the schedule you set and can be changed or stopped anytime in the app.

FDIC Insurance and Account Safety

Your Chime savings account is FDIC-insured up to $250,000. This means if Chime's partner bank fails, the federal government protects your money up to that limit. The insurance covers your savings account separately from your checking account, so you have $250,000 protection in each.

Chime uses encryption to protect your login information and account access. You control your PIN and password, and Chime recommends enabling two-factor authentication through the app for added security.

Fees and Costs

There are no monthly maintenance fees on the Chime savings account. You will not be charged for transfers, round-ups, or withdrawals. The account has no minimum balance requirement, so you can open it with any amount and let it grow at your own pace.

Chime does charge fees on the checking account side—such as overdraft fees if you use certain features—but the savings account itself carries no fees. Interest earned is not taxed by Chime; you report it on your tax return like interest from any other savings account.

When Savings Might Not Be the Right Fit

Chime's savings account works best for short-term saving and building emergency funds. The interest rate is typically lower than what you would earn from a high-yield savings account at a traditional bank or online bank, so if you are saving a large amount for a long time, you may earn more interest elsewhere.

The round-up feature works only with debit card purchases. If you pay with cash, checks, or transfers, round-ups do not happen. And if you rarely use your debit card, round-ups may not add up to meaningful savings.

Frequently Asked Questions

Can I have more than one Chime savings account?

No. Chime allows one savings account per customer, linked to your checking account. If you want to save for multiple goals, you can use the notes or labels feature in the app to track different purposes within the single savings account.

What happens to my savings if I close my Chime checking account?

Your savings account closes when your checking account closes. Before closing, you should transfer any money in savings to another bank account or withdraw it. Chime will not hold your savings separately if you no longer have an active checking account.

Does Chime report my savings account to credit bureaus?

No. Chime reports your checking account activity to credit bureaus through its credit-building features, but the savings account itself does not appear on your credit report. Savings accounts do not affect your credit score.

Can I use my savings account to pay bills or make purchases?

No. Your savings account is for storing money only. You cannot link it to bill pay, and you cannot use a debit card to withdraw from it directly. You must transfer money back to checking first, then use your checking debit card or bill pay feature.

What if I need to withdraw money from savings right away?

Transfers from savings to checking happen when ready in the app, and you can then use your checking debit card or withdraw cash from an ATM. There are no waiting periods or withdrawal limits on the savings account itself.