Mango Money is a prepaid credit card and money managing software designed to be affordable. With an attractive 6% Annual Percentage Yield (APY), another draw to this savings account is that it does not require a credit check. But, is it actually worth looking into? We decided to evaluate the company and develop a Mango Money review to find out.
In recent years, prepaid cards are growing in popularity. According to survey results from independent research group GFK, 60% of consumers had a branded prepaid payment card in 2014. Although the satisfaction rate of prepaid cards was at roughly 70% at the time of the survey, users need to be aware of potentially higher bank fees. Mango Money’s prepaid card does come with the usual ATM fees as well as a monthly service fee, but there is actually so much more to MM than its card. Let’s break it down.
The Mango Money Review
Hopefully, by the end of our findings, you will have determined if this savings route is for you.
How does Mango Money work?
The Mango Visa Prepaid Card is not a credit card, which is why it does not require a credit check. It also does not have an activation fee. According to the website, there are no hidden costs or interest charges. Not to mention, the card can be used anywhere that Visa debit is accepted. Plus, once you have activated your card, you can start utilizing the 6% APY savings account. To qualify for the 6%, though, you need a net direct deposit of $800 or more each month and a minimum balance of just $1 by the end of the month.
What type of services do they offer?
One of the goals of Mango Money seems to be helping customers improve their finances. In order to accomplish this, they offer a variety of features. In addition to their prepaid card and savings account, you can sign up for their text messaging alert system, which sends you a message every time you use your card or money is deducted. It’s a great way to track how much you spend, but buyer beware; text messaging rates may apply with your phone carrier.
Mango also provides an app for both the iPhone and Android that allows you to view your account, reset your pin or transfer funds any time while on the go.
Another great feature is the fact that there are different funding options as well. You can choose to do a direct deposit into your Mango account or bank transfers even from PayPal.
Lastly, MM tries to make themselves accessible to their customers. If there is something you cannot find through the FAQ on their website, you can reach out to them through phone or email. They boast of spending more time and money on their customers instead of on traditional advertising dollars such as television or print ads.
What are the cons?
Mango Money has some great features, but there are a few downfalls. For instance, even though it doesn’t require a credit check, it also does not help you improve your current credit score. And when you o a cash deposit, there are limitations on how much you can deposit. Moreover, there is a limit to how much you can withdraw at the ATM along with how much can be on your card. It’s actually been noted in previous reviews that getting your money out is harder than putting it in. You need to use the card to access your money rather than transferring the money out through ACH.
It’s also important to know that there is a threshold with the 6% interest rate. Because Mango wants to give individuals the tools they need to create better savings habits, they feel after reaching $5,000 the right habits are established. This is why they drop the APY to 0.10% for those with more than $5,000 in the account. Likewise, for any account not meeting the $800 minimum net direct deposit, they drop the APY to 2%.
What else are people saying?
Even though the 6% interest rate is much higher than the typical 1% rate promised by most savings accounts, the fact that the money is not easily accessible is an issue for many. The needing $800 (a $300 increase, which began September 2016) is also restricting to some. Some reviewers feel as though they are being forced to jump through hoops to maintain the 6% rate, where that time could be better spent elsewhere.
Reviews of the company and their services were mostly positive.
Conclusion:
Mango Money is not for everyone. If you are someone who does not use a credit card often, doesn’t need regular access to your savings funds or is looking to build your emergency savings in general, Mango may be a great option for you. Even if you feel you are unable to meet the $800 minimum, it could be worth keeping or trying for the 2% APY they still offer, which is very competitive.
Did you find this Mango Money review helpful? Have you tried their services before? Weigh in on the comments below or start a discussion on our Forums page.
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