Acorns, an investing and retirement savings app, is adding a debit card. The company has already received over 10,000 pre-orders for its new payment card that offers perks like investments into Acorns accounts when users shop online and in stores. The Acorns debit card comes with Acorns investment and its retirement account built into the cards services.
Acorns Debit Card Features
The card comes with real-time round-ups on all purchases so that consumers can automatically save small amounts of every time they spend. This is already an option with bank accounts or credit cards that are linked to the Acorns investment account. The card also offers digital direct deposit, mobile check deposit and check sending, free bank-to-bank transfers and unlimited free or fee-reimbursed withdrawals from automatic teller machines around the country. The company also says that users can get up to 10% of every purchase made at local merchants deposited into an Acorns account.
Card users get a bundle of the card, Acorns, and the Acorns later account for $3 per month. The Acorns portfolio management service costs $1 on its own. The retirement account costs another $1 a month. So you need to pay $1 more for the debit card.
The debit card works as an Acorns checking account which is secured by the Federal Deposit Insurance Corp. for up to $250,000.
How to Sign Up
Initially Acorns is making only 100,000 cards available. The first cards will be mailed by November 1, 2018. New customers need to create an Acorns account first by signing up here (you get a $5 signup bonus), and then are eligible to sign up for the debit card. If you already have an Acorns acount, then you can get your debit card here.
Seems like an interesting idea. The Acorns investment account is decent but not really the best option out there if you’re looking to get into investing. Robinhood is a better option in my opinion if you want to be more hands on. They do have a shopping portal that gives you cashback which is invested automatically.
The Acorns debit card though could help you save more money and easily invest it. The 10% at local merchants stands out from the perks, but there’s no details yet on what will earn that rate. Free ATMs are also a nice feature.