Mango Money?

[james.hendrickson]

Hi Guys,

Mango Money is offering a 6% interest rate on their savings accounts. This is something like 5x better than anyone else is offering.

https://www.mangomoney.com/

Anybody have any experience with these guys?

[DaveInPgh]

Never heard of the site but it looks like a pretty nice deal for people just getting started. Not sure it is worthwhile for someone with a well established emergency fund.

You need a minimum of $800 net direct deposit monthly is required to get the 6%. It drops to 2% for those not meeting the direct deposit requirement.

The 6% is only good on the first $5,000. The rate drops to .10% for balances exceeding the $5k.

They do have a $10 referral program which is nice.

With there being a $ CAP on the 6%, not sure it is worth me directing $800/month into the account.

[frugal saver]

I'm not seeing anywhere that they're an actual bank or that your savings will be in an actual bank--or insured in any way.

It looks like they're going to be paying interest "out of their marketing budget".

Edit: Here's the only review I could find about savings accounts from prepaid credit card companies.

https://www.depositaccounts.com/blog/2011/03/are-5-savings-accounts-from-prepaid-card-companies-good-deals.html

[DaveInPgh]

I'm not seeing anywhere that they're an actual bank or that your savings will be in an actual bank--or insured in any way.

It is there

"FDIC insured through Sunrise Banks, NA"

[feh]

bogleheads had a couple threads on this earlier this year:

https://www.bogleheads.org/forum/viewtopic.php?t=188477

Read that thread - it was a pretty good situation for a while, as you could open 5-6 such accounts and get 5% on $25-30K. However, all but Mango and Insight have reduced the balance that gets 5% from $5000 to $1000.

[frugal saver]

It is there

"FDIC insured through Sunrise Banks, NA"

I didn't see that. I did, however, see a slew of posts in places like RipOffReports and others about people trying to get their money back.

Personally, I like loan companies that do CD's. I used to have some very nice CD's with Fireside Thrift and am currently keeping an eye on the rates at eLoan.

[DaveInPgh]

bogleheads had a couple threads on this earlier this year:

https://www.bogleheads.org/forum/viewtopic.php?t=188477

Read that thread - it was a pretty good situation for a while, as you could open 5-6 such accounts and get 5% on $25-30K. However, all but Mango and Insight have reduced the balance that gets 5% from $5000 to $1000.

Their website still says $5000

[bjl584]

Doesn't seem worth the trouble unless you had a significant amount of cash and were willing to take the time to open multiple accounts.

[feh]

Doesn't seem worth the trouble unless you had a significant amount of cash and were willing to take the time to open multiple accounts.

IIRC, that was the debate taking place in the bogleheads thread. Some people were willing to invest the time and others weren't.