Spruce Banking is a solid mobile banking platform that doesn't charge monthly fees. Its accounts come with several special perks like cash-back rewards and early direct deposit. Spruce doesn't pay interest on its accounts, though, so you may want to consider one of the best high-yield savings accounts instead.
Pros and Cons
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Spruce Savings Account
no monthly service fee
3.50%
$0
- No monthly fees
- No minimum balance
- Savings feature that allows you to set individual financial goals
- Get cash back rewards through Dosh when you shop at one of 10,000+ select retailers
- Online-only experience
- Spruce Savings account is linked to Spending account, which is the primary Spruce bank account
- When you use the Spruce debit card at select retailers you'll get cash back rewards automatically deposited into your account
- 55,000 free ATMs nationwide through the Allpoint ATM network
- Deposits are FDIC insured through Pathward®, N.A.
The Spruce Savings Account may be ideal if you're looking for unique savings features. You can set up individual financial goals through the account and evaluate them through charts that track your progress. If you use your debit card at select retailers, you'll get cash-back rewards deposited into your account.
Spruce Spending Account
no monthly service fee
None
$0
- No monthly service fees
- No minimum balance
- $20 bonus if you meet the requirements by April 20, 2022
- Early direct deposit
- No overdraft fees
- Courtesy Coverage that covers a negative balance of up to $20 if you meet the requirements
- Unable to overdraw your account
- $3 out-of-network ATM fee
- $4.95 fee for bank teller cash withdrawals
- 55,000 free ATMs nationwide through the Allpoint ATM network
- To receive Courtesy Coverage, you must make at least $200 in qualifying direct deposits within a 35-day period
- To get a $20 bonus, open a new Spruce bank account before April 20, 2022, and make at least $200 in direct deposits during the first 45 days of opening the account
- Deposits are FDIC insured through Pathward®, N.A.
The Spruce Spending Account is a solid free account. You won't have to deal with monthly service fees, minimum opening deposits, or overdraft fees.
If you use an ATM outside of the Allpoint network, you'll have to pay a $3 fee. There's also a fee if you go inside a another bank and withdraw cash with a teller.
How Spruce Banking Works
Spruce is a new fintech platform created by the tax preparation company H&R Block.
H&R Block is not a bank. However, the Spending and Savings accounts are FDIC insured through Spruce's banking partner Pathward, N.A. Money deposited in your account will be safe. You'll also have access to over 55,000 fee-free ATMs through the Allpoint network.
You don't need to be a client of H&R Block to become part of Spruce. You can sign up online or through mobile.
With Spruce, you'll open checking and savings accounts. At this time, the banking platform doesn't allow you to only open a Spruce Savings or Spruce checking account by itself.
The Spruce mobile app is available in the Apple Store and Google Play Store, where it has 5 stars but limited customer reviews.
Customer service is available over-the-phone or online from 5 a.m. to midnight CT.
Is Spruce Banking Trustworthy?
We usually include ratings from the Better Business Bureau to help indicate how a business deal with customer issues and handles transparency. Spruce Banking is a new banking platform so it doesn't have a BBB rating, yet.
Since accounts are also insured by Pathward N.A., we're also including the bank's BBB rating for some additional perspective. Pathward N.A. has a B- rating because it has a high number of customer complaints, and it still hasn't resolved a few of them.
How Spruce Banking Compares
We compared Spruce Banking to two other online banking platforms: Chime® and One.
All three banking platforms require no minimum opening, deposit, or monthly fees. You can also see up financial goals through their different savings features.
Choosing between these three platforms will likely hinge on what you prioritize in your banking experience.
You may prefer Spruce to the other banking platforms if you'd like to get cash back on some purchases. Cash-back rewards are provided by Dosh. There are more than 10,000 retailers that offer rewards.
If you're more concerned with earning interest, it'll be a toss-up between Chime or One.
One pays the highest interest rate of all three platforms, but the amount you'll earn will vary depending on your account balance. If you have a high account balance, you also may want to consider other options.
Chime pays a good rate on its Chime Savings Account, but it has access to fewer fee-free ATMs than Spruce or One. However, you would also need to open the Chime® Checking Account.
Why You Should Trust Us: How We Reviewed Spruce Banking
We rate bank accounts on a scale from one to five stars. For Spruces spending and saivngs accounts, we used Personal Finance Insider's bank account ratings methodology. The exact factors we evaluate vary depending on the type of account — for example, we look at overdraft fees for checking accounts and interest rates for savings and money market accounts.
We use a weighted average to get our star rating, which means we weigh certain features, like interest rates and fees, at a higher weight percentage than others. We understand that these areas can more heavily impact a person's overall banking experience.
