Update 12/3/23: On January 1, 2024, the interest rate on your savings account will decrease to 3.92% with an annual percentage yield of 4.00%
Update 10/29/23: It appears that they may now only be offering the 6% account to those paying the $79/month fee.
The Offer
Domain Money is a fintech offering financial planning services and also offering a fee-free savings account:
Get 6.00% APY on your Domain Money savings account.
Additional Details
You can only sign up for an account via the Domain Money app.
There is no routing or account number with this account. All transactions have to go through the Domain Money app.
There is a free option and a $79/month option. There is only a fee if you want to use the services of a Certified Financial Planner; the savings account can be gotten completely free.
Rate is 6% APY or 5.83% APR.
The interest is compounded monthly and credited monthly.
The money account is established at the Georgia Banking Company (GBC), FDIC insured up to $250K.
To deposit funds you must link an external account – looks like they use Plaid. All deposits and transfers must be initiated via ACH through the app. There is no option for check or cash deposits.
The daily transfer limit is $100K (deposit or withdrawal).
Cash deposits are held with Georgia Banking Company, Member FDIC. Cash deposits are held at Georgia Banking Company with the intention that they be eligible for FDIC “pass-through” deposit insurance, subject to the standard maximum deposit insurance amount per FDIC regulations (currently $250,000 per eligible Domain Money customer) and other applicable limitations.
Individual accounts only (joint accounts are coming).
Our Verdict
Looks like an interesting account if it lasts. I’d be a bit concerned that this ends up being a teaser rate on the free account, and only lasts long-term for paid accounts. For someone who wants to experiment with this account, there isn’t much to lose by trying it out.
The downsides here are the lack of a routing/account number, the slight risk inherent in dealing with fintech/passthrough companies, and the possibility of the rate not lasting long term. It’s also worth highlighting again that the interest is compounded monthly and so when comparing against other high yield savings accounts that needs to be factored in.
We’ve added this to our list of Best High Yield Savings Accounts. Thanks to GabiG for sharing this and special thanks to reader PaulinTexas for clarifying the details of the account which were included above.