Quick take: T-Mobile MONEY is forging its way as a pioneer in banking by offering zero account fees (including no overdraft fees), early delivery of payroll direct deposit1, and an annual percentage yield (APY) of 1.50% on checking and savings balances. Plus, if you’re an eligible T-Mobile customer who signed up for benefits, you can earn an amazing 4.00% APY.2 on checking balances up to $3,000.
- Payday Benefits
How did we calculate this?
- Zero monthly account fees and no overdraft fees
- Up to two days of payroll advance direct deposit
- Particularly high APY on eligible accounts, up to $3,000
- Users can access over 55,000 ATMs free of charge
- Only eligible T-Mobile wireless customers get the 4.00% APY; all others receive 1.50% APY
What is T-Mobile MONEY?
T-Mobile MONEY is a bank account offered by wireless network operator T-Mobile. These accounts are powered by BMTX and provided by Customers Bank, Member FDIC. Launched in 2019, T-Mobile MONEY is primarily a checking account (filled with a Mastercard debit card). Today, checking account holders can also open a savings account provided their MONEY checking account is funded and in “good standing”.
With its MONEY offer, T-Mobile is looking to disrupt the world of big banking with big fees and, certainly, to nab more wireless customers to whom it offers an impressive APY offer of 4.00% vs. 1.50% no -T-Mobile. customers get. T-Mobile MONEY also offers up to two days advance direct deposits for users on a payroll.
What about fees and account balance minimums?
T-Mobile MONEY promotes no fees and keeps its word. Its accounts have no monthly fees, no overdraft fees, no transfer fees, no fees at its more than 55,000 networked Allpoint® ATMs3, and no T-Mobile MONEY out-of-network charges. The accounts also have no minimum balance requirement.
Are you really paid in advance? How?
When it comes to T-Mobile MONEY’s Advance Payroll Direct Deposit offer, a few fine print applies. Ultimately, this benefit is subject to the employer’s payroll-based direct deposit description and schedule.
Is the APY good?
A 4.00% APY on a checking account is exceptional, but keep in mind that only qualified T-Mobile postpaid wireless customers know about it, and only up to $3,000 (after that, it’s is 1.50% APY). If you are not a qualified T-Mobile postpaid wireless customer, you will get 1.50% APY. All savings account holders also get the solid APY of 1.50%.
How T-Mobile MONEY Got Its Scores
Here is a breakdown of the different factors that make up the GOBankingRates rating.
T-Mobile MONEY charges zero fees to its accounts – no maintenance fees, no overdraft fees, no out-of-network fees and no ATM fees for its more than 55,000 networked Allpoint® ATMs. The most striking feature here is the absence of overdraft fees, which in itself is a huge winner. Additionally, there is no minimum account balance.
T-Mobile MONEY account holders can potentially get paid up to two days early with direct deposit. This is because T-Mobile MONEY typically makes funds available to users on the business day received, as opposed to up to two days later as is the case with the average bank. As this is not a guaranteed benefit, we cannot give it 5 stars.
4.00% APY is a unicorn in the checking account space. Usually, you’ll only get that kind of rate with a credit union, and that’s a whole other ball of wax.
While T-Mobile MONEY accounts are available to everyone, the 4.00% APY is only available to qualified T-Mobile wireless customers who sign up for benefits. So if you’re using Verizon or any other carrier, you should either upgrade to T-Mobile or get a 1.50% APY.
T-Mobile MONEY vs Competitors
T-Mobile MONEY aims to give big banks a run for their money — and it’s succeeded — especially when it comes to its zero fees.
T-Mobile MONEY vs. Bank of America
The Bank of America Advantage Plus account charges a monthly fee of $12, has a minimum account balance of $1,500 (or $250 in monthly direct deposit contributions), and an overdraft fee of $35.
T-Mobile MONEY vs. Chase
Chase Total Checking charges a monthly fee of $12, requires a minimum account balance of $1,500 (or $500 in monthly direct deposit contributions), and an overdraft fee of $34.
T-Mobile MONEY vs. Wells Fargo
The Wells Fargo Everyday Checking account offers a monthly fee of $10, requires a minimum account balance of $1,500 (or $500 in qualified direct deposits – or more than 10 monthly debit card transactions), and an overdraft fee of $35.
T-Mobile MONEY vs. Varo
Varo has no minimum account balance or overdraft fees. However, no interest is offered on checking account balances, no overdraft protection and limited customer service hours.
What makes T-Mobile MONEY special?
We don’t often come across fees in the banking world, and it’s not common to find a checking account that doesn’t have a minimum monthly requirement. Add to that the benefit of getting your direct deposited paycheck sooner and an impressive 4.00% APY on balances up to $3,000 and you have a gem in T-Mobile MONEY.
Who is T-Mobile MONEY for?
T-Mobile MONEY allows account holders to get their direct deposit payments up to two days sooner, making it appealing to cash-strapped millennials or the person who wants to pay off all their monthly debts as quickly as possible. But really, the ideal user is a T-Mobile wireless customer who can get that flashy 4.00% APY.
Of course, you can upgrade to T-Mobile in order to get the high interest rate, because 4.00% APY on a checking account is a pretty serious perk, even though it only covers balances up to 3 $000. T-Mobile MONEY is also appealing to those who are fed up with big banks and their big fees. It has a scrappy, independent side (and that cushy APY) that is most often associated with credit unions.
Even for non-T-Mobile wireless customers, the 1.50% APY and no fees are enough to make this account worth serious consideration.
Good to know
T-Mobile MONEY is FDIC insured up to $250,000, like most banks. Plus, bilingual customer support is available – 8am to 12pm ET, 365 days a year.
How to apply?
You can apply online here. You can also register via the T-Mobile MONEY app, available on the Apple App Store or Google Play Store.
T-Mobile MONEY is a great option for anyone who wants a fresh start with a no-fee bank account that boasts a solid APY and, ideally, an accelerated payday. If you are an eligible T-Mobile Wireless customer who can access the 4.00% APY, that account quickly becomes a home run.
Here are answers to some of the most frequently asked questions about T-Mobile MONEY:
- I am not a T-Mobile customer. Can I still open a T-Mobile MONEY account?
- Yes, but you will only get 1.50% APY.
- Are there T-Mobile ATMs?
- Technically not, but T-Mobile MONEY customers have access to over 55,000 Allpoint® ATMs toll-free in the network.
- How much money should I keep in my account at any given time?
- There is no minimum balance.
- I only get paid on the 1st and 15th of the month. How could I be paid earlier?
- You won’t get paid sooner by your employer, but you’ll likely be able to access your payment sooner when you use a T-Mobile MONEY account. This is because T-Mobile MONEY usually erases the time it takes to process the deposit, giving you more immediate access.
1Subject to the description and timing of employer payroll-based direct deposit, we generally make funds available on the business day received, which may be up to two days earlier than expected.
2All customers earn 1.50% Annual Percentage Yield (APY) on all checking and savings account balances per month. Eligible customers can earn 4.00% APY on balances up to $3,000 and 1.50% thereafter on checking accounts with qualifying T-Mobile service, benefit registration, and at least 10 qualifying purchases per month using your T-Mobile MONEY card. APYs are accurate as of 7/15/22 but may change at any time at our discretion. Fees can reduce revenue. See APY details at https://www.t-mobilemoney.com/en/home.html
3See additional ATM details. The location, availability and hours of operation of Allpoint® ATMs in the network may vary by merchant and are subject to change.