What is Robinhood Cash Card?
If you are already using Robinhood app for investing, you may be familiar with their platform now and their popular features. Robinhood already has a checking account available where you will get a debit card and account number. You can access the funds that are not invested in market using this debit card. To extend their checking account product, they have introduced a new product called Robinhood Cash Card. Let’s discuss in detail about the Robinhood Cash Card in this article.
What are the benefits of Robinhood Cash Card
It’s basically a debit card with weekly bonuses on top of investing the change on each of your transaction. Robinhood will round up to the nearest dollar amount and invest the difference in your investment account with Robinhood. So you get both benefits of rounding up the change to the nearest dollar amount and a bonus of up to 10% to 100% matching to a maximum of $10. So every week you are capped at a $10 bonus but still a great deal for a debit card cash back benefit.
Currently they are maxed out for the new enrollments for this product and you have to be on their waitlist. One of my friend joined on the waitlist and he got approved within a week’s time so not sure how long is the waitlist. You can have the direct deposit setup and have all of your investment and spending accounts at one place.
Will I get a new Debit card if I opt-in for Cash Card
You will get a new debit card if you sign up for Robinhood Cash Card. Your existing debit card will be deactivated immediately and will be getting a new card. It takes around 3 weeks to get the new card delivered to you as of today. They could improve the delivery speed of its debit card in the future. This card is basically a MasterCard so get a zero fraud liability protection on this card. There are no hidden fees on this card but there is a 1.5% fee to transfer funds to an external account. You can check the detailed terms and conditions in this link.
Where can I invest the round ups and Bonus from Robinhood
You can automatically invest in your favorite stocks, ETFs or crypto of choice by setting up in your Robinhood account. As mentioned earlier, weekly bonus is capped at $10 and monthly round ups are capped at $100. There is another good perk on Robinhood Cash Card is getting access to your direct deposits 2 days earlier than your actual pay day.
Final Thoughts on Cash Card from Robinhood
This is an excellent choice if you are already a fan of simplified investing app from Robinhood. Perks like early access to your direct deposit funds, automatic investment of weekly bonus and round ups on every transactions are very attractive. This is a good way to start investing small amounts on your everyday spending. Robinhood app has nice features like options to request a new physical card, change ATM PIN, block card and many other helpful features.
