【8/1】Mango has started requiring a monthly net Direct Deposit (all Direct Deposits minus ACH debits) of at least $800 into the account in order to earn 6% interest. One possible way to withdraw money from your Mango account is by purchasing a Money Order.
【Effective 7/1/2016】 The interest cap on the NetSpend family’s 5% accounts dropped sharply from $5,000 to $1,000, leaving much less room to earn interest. Fortunately, Mango is still alive. You can also consider 1% interest accounts such as Discover and Ally. 【3/17/16】 Use the mobile app to deposit a check of at least $100 into your netSpend account ($20 account opening bonus application link)—you can simply write a check to yourself—and enter promo code BONUS15 to receive a $15 bonus. Note that netSpend mobile check deposit has two options based on processing speed: In Days and In Minutes. The latter charges a fee, so the former is recommended. Only one bonus may be received per account tied to the same SSN. Among the ultra-low deposit rates offered by major U.S. banks, Netspend stands out by offering a savings account that earns 5% APY on the first $5,000. Netspend not only issues its own Prepaid Debit Card accounts, but also manages Prepaid card programs for 4 other institutions. That means we can open 5 accounts total and earn 5% interest on up to $25,000. If fully maxed out, that’s $1,250 in interest per year! Much better than what the big banks offer. A similar product is Mango, offered by REV Worldwide, which pays 6% on $5,000.
Even better, if you sign up through a Referral link, you can also get $20 when opening your first account ($10 for Ace Elite and Mango), but you must fund the account with at least $40 via ACH after opening it.
Contents [Hide]
The netSpend/REV Worldwide Family
| Brand | Interest Rate | Direct Deposit Requirement | Inactive Account / Inactivity Fee | Underlying Bank | Manager | Interest Paid | Referral Signup Link |
|---|---|---|---|---|---|---|---|
| Netspend | $5,000 5% | One-time $500 | 90 days, $5.95 | MetaBank | Netspend | Quarterly | Netspend |
| Brinks | $5,000 5% | One-time $500 | 90 days, $5.95 | BofI Federal Bank | Netspend | Quarterly | Brinks |
| Ace Elite | $5,000 5% | One-time $500 | 90 days, $5.95 | MetaBank | NetSpend | Quarterly | ACE Elite |
| H-E-B | $5,000 5% | One-time $500 | 90 days, $5.95 | BofI Federal Bank | NetSpend | Quarterly | HEB (no Referral program) |
| Western Union | $5,000 5% | One-time $500 | 90 days, $5.95 | MetaBank | Netspend | Quarterly | WU |
| Mango | $5,000 6% ($3/mo maintenance fee) | $500 monthly | None | Sunrise Bank | REV Worldwide | Monthly | Mango (no Referral program) |
| Purpose Card | $5,000 5% | One-time $500 | 90 days, $5.95 | MetaBank | NetSpend | Quarterly | Cannot be opened online |
How to Maximize the netSpend Family
Restrictions
Each person can only have 5 accounts in the Netspend family. Among them, you can have only 3 accounts under the same underlying bank. Therefore, if you want to use all 5 slots, the best combination in the Netspend family is Netspend, Brinks, Ace Elite, Western Union, and H-E-B (which has a signup fee). There are fees for using these Netspend cards for purchases, so do not use them for everyday spending. There are also fees for using an ATM or calling customer service to check your balance. Replacement ATM cards also cost money. So honestly, the best place for the ATM cards they mail you is in a drawer.
Signup and Activation
First, it’s recommended to open an account through a Referral link. You can use one of the Referral links above, and choose the Pay-as-you-go plan during signup so there is no monthly fee. Netspend will then mail you a Prepaid Debit Card, which you can activate online. After activation, you can ACH transfer $40 into the account and wait for the Bonus to post. Note that across all Netspend accounts, you can only receive one Referral bonus every 180 days. For example, if you open a Netspend account today and a Brinks account tomorrow, you will not receive 2 Referral bonuses. If you are not in a hurry to deposit money, you can wait 180 days before activating the second account. Also, even if you do not want to wait 180 days, it is strongly recommended that you do not activate the second account until after receiving the first referral bonus. Otherwise, that small $20 bonus may be denied because you already had a Netspend account when the bonus was issued.
Direct Deposit Upgrade to Premium
Now, NetSpend’s own accounts can open a Savings account without upgrading first, so this step can be skipped. However, other accounts managed by netSpend still require the upgrade. After signing up and activating the card, you will receive a routing number and an Account number. Just like a normal Checking account, you can use the ACH transfer feature on your bank’s website to push $500 or more into your Netspend account (Chase, Citi, BofA, and various AMEX products are not recommended; Ally, Fidelity, Discover, Santander, PenFed, ETrade, USAA, or ING are recommended). Once the Netspend account receives this $500, it will automatically be converted into a Premium account, and they will mail you a new premium card.
Open the Savings Account and Move Money Into It
In Netspend online banking, you can select Open Savings Account, then choose Move Money to transfer funds from the Checking account into the high-interest Savings Account. In that account, you can earn the excellent 5% APY on the first $5,000.
Make Sure to Stay Active Every 90 Days
If a Netspend-family account has no activity for 90 days, a $5.95 maintenance fee will be charged (except for residents of NJ and CT). So the easiest method is to set up a Recurring Transfer at your own bank and move $1 in/out every month. That will keep the account active and satisfy the activity requirement.
How to Use Mango (REV Worldwide)
Although it has a $3 monthly maintenance fee, the 6% APY can earn $50 more than the 5% Netspend accounts above (assuming you keep the full $5,000 there), more than enough to offset the fee. Note that, similar to the Netspend family, almost every ATM-related action comes with a fee. Their ATM cards also belong in a drawer.
Signup and Activation
Click the link above to register for a Mango account. Once the card arrives, you can activate it online. Very convenient.
Monthly Direct Deposit: Earn the Full 6% Interest
This card requires a monthly Direct Deposit of at least $500 net Direct Deposit (all Direct Deposits minus ACH debit) of at least $800 into the account, and you must also keep at least $1 on the Prepaid card in order to earn the 6% interest. Considering the $3 monthly fee, it is recommended to keep $1 on the Prepaid card year-round and $5,000 in the savings account. Each month, while sending DD to the Mango account, you can withdraw the money by purchasing MO.
Things to Note
There is a limit when using ACH Pull to transfer money out of Mango: at most $2,500 per transaction. Anything higher may be rejected and incur a returned payment fee.
Summary
These are the 5% high-yield accounts available to most people in the U.S. Although there are balance caps, given the terrible rates at major banks, earning something is better than nothing. If you open all 6 accounts listed above and fully fund them with $30,000, you can earn $1,514 per year in essentially risk-free interest. If you do not have that much money, it is recommended to do the Netspend family first and Mango later, because if you cannot keep the full $5,000 in Mango, it does not justify the monthly fee. Have you applied for any of the accounts above? Feel free to share your thoughts.