Introduction: Does BankMobile Really Allow Students to Save Millions?
Due to the high number of questions including “Is BankMobile legit?” and “Is BankMobile safe?” combined with searches for objective reviews of BankMobile, we decided to research the firm and publish our findings in this BankMobile review article.
You’ve probably come across the BankMobile banking application and the BankMobile online banking services. In this article, we’re looking at BankMobile reviews from different angles.
Is BankMobile worth it? Is it safe? Read on to find out….
This company is relatively new but has already established itself as one of the biggest and fastest-growing online banks in the United States. Offering consumers the ability to deposit checks by phone, conduct online mobile banking and use one of the best mobile banking apps on the market, it’s clear at first glance why one might consider BankMobile to be one of the best online banks.
If you’re a student or young adult in your 20s, it’s likely that most of your daily activities are already conducted online. If you’re used to shopping online, socializing online, and viewing entertainment online – why not also conduct your mobile banking online?
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BankMobile Review | Is BankMobile Legit?
You won’t find too many objective BankMobile reviews on the internet today, so let us start this BankMobile review with some background context.
BankMobile was founded in 2014 by Jay Sidhu and his daughter Luvleen Sidhu. Jay Sidhu is also the CEO of Customers Bank.
In January 2020, the CEO seat of BankMobile was passed from Jay to Luvleen. Luvleen has been featured regularly in the media including CNBC, Bloomberg, Yahoo Finance, and The Wall Street Journal as she continues to promote the banking app.
The company’s growth has been tremendous.
In 2017, GlobeNewswire.com announced that BankMobile’s Vibe account holders save over $62 million per year. In addition, their banking application has been downloaded more than a million times just on the Android platform alone.
Earlier this year, the company announced they were partnering with the well-known brands of BillShark and Bartleby to offer even better deals to students.
The founders and employees of BankMobile have diligently worked over the years to get the company listed among the top 15 banks in the United States. This is a tremendous feat considering the type of consumer checking accounts they offer.
Is BankMobile Legit?
Searching around the web will inevitably get you to websites where people repeatedly ask two related questions: Is BankMobile safe? Is BankMobile legit?
The answer is easy to determine just by looking at the facts above.
BankMobile continues to expand its market share and is now serving millions of clients around the United States. As mentioned above, it is a company that is now listed among the top 15 banks in the U.S. based on some key parameters.
Still, it’s completely normal for people to ask these questions based on the relative newness of BankMobile, especially when compared to other well-established banks that have been around for 200 years or more!
Bank Mobile Review
For example, BNY Mellon was founded in 1784 and State Street was founded in 1792. With competitors’ founding dates occurring such a long time ago, it can be hard for newcomers to compete against them.
BankMobile was founded in 2014, so it’s normal for people to wonder if it could be a scam. This is why on some online reviews, consumers are asking: Is BankMobile a scam? Is it safe?
Additionally, when they first launched, BankMobile tried to introduce a few new banking ideas that were considered somewhat unorthodox by the public.
They made a strategic decision that their entire business model would be based on all of their services being done online, with no physical branches where a consumer can go and talk to one of their bank employees.
Instead, their customer service strategy was predicated on customers reaching them through online channels or via phone.
This was a great strategy, as it allowed the bank to reduce their costs and pass the savings on to its customers. But on the other hand, American customers have deep-rooted concerns about cyber-security, information privacy, and hacker prevention.
In one survey, 42% of American citizens said they are more afraid that someone will hack into their bank account and take their money, than they are of losing their job.
Since BankMobile is doing everything online, it’s normal to see how distrust and fear could hinder consumers from wanting to use their mobile banking app. However, based on our research and findings we saw no factors pointing to BankMobile being an illegitimate or unsafe online bank.
So to finally answer the question, “Is BankMobile safe?” Yes, we believe so!
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More Details on Online Banking Apps
This section contains additional details and insights about the trend towards online banking. If you’d like, you can skip this section and go straight to the section below to continue reading our BankMobile review.
According to statistics, online banking is now being used by 51% of adults in the United States. Additionally, 35% of smartphone owners are choosing to use online mobile banking.
In response, almost every major bank now has its own banking application. This is a dream come true for the younger generations who still need to pay their bills but hate traditional banking methods such as waiting in long lines, writing checks or struggling to find an ATM.
Mobile banking apps are capable of solving all these problems. However, having access to a mobile banking application isn’t necessarily a priority for everyone. For example, many older adults may not care as much about a banking application as they do about privacy and security concerns.
Everyone has a different understanding of what is most important to them. When you’re choosing the best bank for you, be sure you have a list of priorities in mind.
BankMobile Vibe Card Example
Those who use cash regularly will prefer banks that have more ATMs close to them. If they aren’t conducting their finances online, then a banking application is useless.
On the other hand, Generation Z (which includes today’s students) grew up on the internet. They are used to doing everything online. That’s why they love the ease and convenience of using a banking application for their needs. These consumers are more likely to choose companies that will allow them to handle their banking entirely online.
Today, every student has a smartphone that connects to the internet. They are more likely than any other generation before them to conduct all their financial business online. That’s why the companies that offer the best mobile banking apps will attract the most students to bank with them.
Banks that can conduct their business mainly through the internet provide a host of benefits to their customers. Without the cost of physical locations, these banks have the opportunity to lower their fees and save consumers a lot of money. BankMobile has saved millions of dollars for its clients so far due to this benefit.
Continue reading the in-depth BankMobile review below to learn more.
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BankMobile Review | What You Need to Know about BankMobile
As mentioned earlier, a mix of opinions about BankMobile can be found online. Let’s take a closer look at the pros and cons found across the various BankMobile reviews.
BankMobile Review | Pros
BankMobile offers five different banking options: BankMobile Vibe, Vibe UP, Credit, Personal Loans and Student Refi. Although ideal for students and young adults, BankMobile has no age limit for opening an account with them.
They currently have 55,000 ATMs worldwide, which is more than Chase, Wells Fargo, and Bank of America combined! In addition, students using their BankMobile cards are able to use these cards without any fees when getting cash from these ATMs.
For students receiving financial aid from their school, BankMobile guarantees they will receive their funds on time – no matter the circumstances.
Another BankMobile perk for students is the Passport Recognition Program. With it, customers can earn prizes and discounts by simply taking steps to manage their money smarter.
The average cost for using a BankMobile Vibe account is less than $34 per year.
They provide a 1.50% APY deposit interest rate, and deposits can be made in cash via their ATMs or transferred from other banks. An interest-bearing checking account allows deposits up to $15,000 with a 1.04% APY interest rate.
Also, the option to submit checks by phone is another option for customers making deposits into their BankMobile app account.
BankMobile does not charge for stop payments. They also don’t charge overdraft fees, insufficient funds fees, monthly service fees, or cashier’s check fees! As you are probably aware, other banks charge between $6 and $40 for these types of services.
Using their banking application allows consumers to make payments very easily. In fact, just taking a picture of the bill that needs to be paid is enough to do the job.
The firm’s banking application also provides services like Money Meter that help customers get a holistic view of all their spending.
In addition, they help graduating students refinance their student loans through the BankMobile Student Refi program. Together with LendKey, they manage the entire process on behalf of their clients, providing stress-free migration of their loan.
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BankMobile Review | Negative Sides of the Company & BankMobile Complaints
Even though we can see a lot of benefits from using BankMobile and its banking application, there are also some downsides. Here are some of the most common complaints:
Unlike traditional banks, customers don’t have access to standard types of loans. They only have a personal loan package that offers up to $30,000 with an APR of 16% and standard credit with a fee that ranges from 14.74% to 22.74. They don’t offer any other plans.
Also, they are very focused on providing services to students and young adults. Since these younger customers don’t typically need mortgage loans or money market accounts just yet, BankMobile does not offer these features.
This is an unfortunate situation for more-established customers who choose to bank with them and would prefer to have all their banking needs met by just one bank. Now those customers are stuck using BankMobile for some services and a more traditional bank for others.
They also don’t have a live chat option on the BankMobile website. Instead, you can write them via Facebook Messenger and get a reply within minutes. While this is not a drawback for many, for some it is still a cause for BankMobile complaints.
In addition, even though withdrawing cash from BankMobile ATMs is free, doing it on other banks’ ATMs will involve a $3 fee. And while receiving funds from other customers directly into your account is free, if you want to conduct a wire transfer to someone else it will cost $25.
Also, if you get into an overdraft situation and spend more than you have in your account (known as going into the red zone), the bank won’t stop you from completing that transaction. This can be considered a good thing for some customers, but to many others, it is considered a lack of protection.
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BankMobile Review | What People Say About the Company – Positive and Negative BankMobile Complaints
BankMobile reviews on the internet generally speak highly positively about the bank. Out of a maximum score of 5 stars, most customers give BankMobile around 4 stars.
On TrustPilot, the overall review score is 3.8. Almost half of the reviewers rated BankMobile with an excellent rating and only 29% of reviewers gave the bank a very low rating of 1 star.
On the Better Business Bureau site, there are over 300 BankMobile complaints about their Vibe account option. Most of the customers providing reviews (228 of them) also voiced concern about other areas of the bank’s products and services.
Finder.com is another site where you can find a few online BankMobile reviews, and their overall rating for the bank is 4 stars. They referenced the BankMobile Vibe account option as a “seamless way to receive refunds and financial aid from your school.”
They viewed the company as an exclusively student-oriented online banking company with online mobile banking as a priority.
Read More: Tips for Finding the Best Mobile Banking Apps
BankMobile Review Conclusion: Is BankMobile Safe and Should You be Opening an Account with Them?
The most important conclusion to be made in this BankMobile Review is that BankMobile is safe, reliable and legit.
The only thing that might be considered unsafe about BankMobile is the poorly managed overdraft policy. In addition, if your card and credentials are stolen, the chances are high that the hackers can clear all the money out of your account.
Students are the main clientele of this bank, and so most of the benefits are geared towards them.
BankMobile Vibe App
Students receiving financial aid are the ones who are going to benefit the most from a company like BankMobile. If you are receiving funds through your school, BankMobile and the banking application will allow you to manage your money with almost zero expenses.
According to BankMobile management, over the first two years since they launched the banking app, they have managed to save the college and university students around $100 million in banking fees. This information tells you just how successful this bank is, who benefits the most, and who it is dedicated to serving.
If you are an adult who finished college a long time ago, you’ll likely find nothing special about this company. However, if you’re around the age of 20 you might really enjoy banking with BankMobile.
The bank’s online-friendly options, mobile banking application that works perfectly, and low fees are three essential features that will attract customers. Happy banking!
Image Sources:
- https://bankmobilevibe.com/
- https://www.customersbank.com/about/corporate-leaders/luvleen-sidhu/
- https://fintechzoom.com
- https://cdn.pixabay.com/photo/2019/10/02/18/00/selfie-4521579_960_720.jpg
- https://cdn.gobankingrates.com/wp-content/uploads/2020/05/BankMobile-Vibe-review.jpg
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