Who Is One Finance for?
One Finance is an online platform that helps people budget and builds their savings with good interests. Based on numerous One Finance reviews, it’s one of the best choices for those used to online banking, given that it’s an online-only financial institution.
One’s notable feature is its ‘Pockets.’ They are basically sub-accounts you create for different purposes inside your budget and save accordingly with high interests.
Every client starts off with three Pockets: Spend, Save, and Auto-Save. However, One isn’t only a saving app but a hybrid account where you have your spending money and also create additional Pockets for free.
The One bank app is available to both Android and iOS users. It has a rating above four stars on Google Play Store and Apple store, indicating that users rarely encounter problems with the app.
What Is One Finance?
One Finance (simply known as One) is an online-only financial institution established in 2019 by former Capital One, PayPal, and Personal Capital executives. The company aims to educate people financially, help them optimize their earnings, and boost their savings habits.
One mobile banking relies on its partner bank, the Coastal Community Bank, with all deposits insured for up to $250,000. The Better Business Bureau rates the Coastal Community Bank with an A-, which is still a good score in terms of trustworthiness.
One Finance is essentially a neobank, which makes it perfect for those who prefer online banking to traditional banks. Compared to most neobanks, One doesn’t charge fees and offers high-interest rates.
Applying to One banking is quite a straightforward process. Even if you haven’t done it before, you’ll be done in a matter of minutes.
You can set up an account through an app or the One website. In order to be eligible for an account, you need to be an American resident and be above 18 years of age. Make sure to have your ID nearby, as you may be asked to provide a photo.
As with most online accounts, you’ll first need to provide your email and password. After completing the process and confirming your identity, you can continue the application process.
After this step, you can finish setting up your One bank account and get your One debit card. You can transfer money into your account in several ways: wire transfers, Venmo, PayPal, CashApp, etc.
However, bear in mind that there’s no possibility to make a cash deposit, as it’s an online-only platform. While this may be a drawback, there are many other options to choose from.
Furthermore, the most frequent customer complaint is related to customer service working hours. I.e., customer support is available only on working days, 8 a.m. to 5 p.m., and not in the evening or at weekends.
If you’re considering starting saving through One Finance, here’s an overview of its key features to make your decision easier:
Saving Pockets are the most prominent feature of One Finance. Upon opening your account, you get two default Pockets (Spend and Save), with the possibility of creating a third one, an Auto-Save Pocket. You’re free to activate more Pockets as you wish (up to 99), according to your saving needs.
Essentially, the Spend Pocket is your bank account, and you can divide it up like a digital cash envelope system. One online banking allows you to round up purchases to the next dollar and transfer the amount to your Auto-Save Pocket.
Furthermore, you can set up an Early Paycheck function. If you have a direct deposit set up for your Pocket, your paycheck may arrive up to two days early.
The high-yield Saving Pockets are what attract most people to One. The Save Pocket can yield 1% annually, while the Auto-Save Pocket can get you up to 3.00% APY. However, remember only these two Pockets will generate interest (in case you have multiple Saving Pockets set up).
Even at 1%, the Save Pocket provides you with more than most other savings accounts (though 5% interest savings accounts are even better if you qualify). Still, you can automatically save only up to 10% of your direct deposit income into the Auto-Save Pocket.
Customers who use the One Finance bank can take advantage of a few perks not frequently found with conventional checking and savings accounts.
Unlike traditional banks, it doesn’t levy overdraft fees. Instead, when an account holder overdraws their Spend Pocket, interest on the overdraft amount starts to accrue at a rate of 1.00% each month or an annual rate of 12.00%.
The account holder won’t be charged the interest if the overdraft is paid off at the end of the month, though. With the subsequent deposit into the Spend Pocket, any overdraft that is not repaid will be paid off, together with any accumulated interest.
Versatile Debit Card
One account’s debit card is the final feature that sets it apart. You don’t need to wait for your card to arrive in the mail before using it. Instead, once you’re authorized, One company grants access to a Virtual card.
You can use the money by simply connecting the card to the app. Approximately 55,000 ATMs accept the One card without charging a fee. Simply search for the emblem for the Allpoint network on the ATM.
Based on One Finance reviews, this is a perfect choice for all those who need help organizing their financials. If you’ve encountered problems in the past, One Finance will give you a head start in building your savings.
Pros & Cons
- High-interest rates on savings
- No minimum balance
- No fees
- Ability to create several sub-accounts
- No cash deposits
What kind of bank is One Finance?
One Finance is a neobank. This means they operate exclusively online and have no physical branches.
Who is One Finance partnered with?
One Finance is partnered with Coastal Community Bank, rated A- by the Better Business Bureau.
Is One Finance a good bank?
One Finance is a trustworthy online banking platform with FDIC insured deposits. One Finance reviews typically praise its unique features, like multiple sub-accounts and higher interest rates than traditional, brick-and-mortar banks.