The Webull Cash Management Account might be worth considering if you already invest with Webull and want to earn a high interest rate on uninvested cash. But if you'd like to open a joint account or explore more traditional banking options, go through our best banks for more picks.
What is the Webull Cash Management Account?
While Webull is an online investment platform, you can earn interest on uninvested cash through the Webull Cash Management Account. Here's how it works: You'll open a brokerage account, activate cash management, and your cash balances that aren't invested will still earn some interest.
The Webull Cash Management Account is accessible to any Webull users who have cash accounts (excluding IRA accounts) on the investment platform.
Webull isn't a bank, but it's partnered with banks that provide FDIC insurance. Webull spreads cash deposits across multiple banks so up to $1 million can be insured.
no monthly service fee
5.00%
$0
- High interest rate
- No monthly fees
- No minimum balance requirements
- Unlimited withdrawals
- No joint accounts
- Can't deposit cash
The Webull Cash Management Account might be worth considering if you already invest with Webull and want to earn a high interest rate on uninvested cash. But if you'd like to open a joint account or explore more traditional banking options, go through our best banks for more picks.
- FDIC insured of up to $1 million
- Interest accrued daily, deposit the 15th of each month
Webull Cash Management Account Key Features
Competitive Annual Percentage Yield (APY)
The Webull Cash Management Account pays 5.00% APY, which is more than the average savings account. It's even more competitive than some high-yield savings accounts.
Interest in the account grows daily — it's calculated by multiplying your daily uninvested cash balance by the current APY and then dividing it by 365.
If your account isn't earning interest, it might be because Webull changed its cash management program when it implemented its bank sweep program. You'll need to re-enroll in the cash management program to earn interest.
Low Opening Requirements
The Webull Cash Management Account is a fee-free management account — It has a $0 minimum opening deposit and no monthly service fee. Webull might be worthwhile if you don't have a lot of money to deposit upfront.
Webull Cash Management Fees and Costs
The Webull Cash Management Account doesn't have monthly fees or minimum balance requirements.
There are fees for wire transfers, though. Deposits via wire transfer cost $8 per deposit, and withdrawals via wire transfer costs $25 per withdrawal. You also could be charged a $5 reversal fee for ACH transfers that are returned because of insufficient funds.
How to Open a Webull Cash Management Account
To get the Webull Cash Management Account, open a brokerage account with Webull and select the Cash Account option. You must be at least 18 years old and include your Social Security number. You'll also need to provide your address and general information about yourself, like your birthday and phone number.
Once enrolled in the Cash Management Program, you can deposit money into your account and earn interest on uninvested cash.
Webull Cash Management Customer Experience and Support
The Webull app is rated 4.3 out of 5 stars in the Google Play Store with over 183,000 reviews. It's received 4.7 out of 5 stars in the Apple Store with over 298,600 reviews.
To contact customer support, you can call from 9 a.m. to 5 p.m. ET. You can also send a message to support through the app anytime.
Is Webull Trustworthy?
For our Webull Cash Management Account review, we've included ratings from the Better Business Bureau, which reviews how companies deal with customer complaints. Bear in mind, BBB ratings are not necessarily the be-all and end-all. To see if a company may be suitable for you, also speak with current customers or read online customer reviews.
The BBB gave Webull an F rating. On the BBB website, Webull has received over 145 complaints, it hasn't responded to 90 complaints filed, and it has 10 unresolved complaints. Government action has been also taken against the business.
According to a desist and refrain order by the California Department of Financial Protection and Innovation, the DFPI tried to reach out to Webull regarding a consumer complaint that was filed with them, but Webull didn't respond. As a result, Webull has to pay a penalty of $5,000.
In March 2023, Webull was also required to pay a fine of $3 million because the Financial Industry Regulatory Authority claimed Webull wasn't utilizing reasonable due diligence when approving customers for options trading between December 2018 and July 2021.
Webull Cash Management Account: Pros and Cons
Pros
- High interest rate on uninvested cash
- No monthly fees
- No minimum balance requirements
Cons
- Have to open a cash brokerage account
- No joint accounts
- Limited ways to deposit/withdraw money
Is the Webull Cash Management Account Right for You?
You might like the Webull Cash Management Account if you currently invest with Webull and would like to earn a competitive interest rate on cash that isn't being invested. The account also doesn't require a minimum opening deposit and has no monthly service fee.
You may prefer other options if you want more of a traditional banking experience. Online or brick-and-mortar banks will also be a better fit if you're interested in opening various or joint bank accounts.
Webull Cash Management Alternatives
Webull Cash Management Account Review vs. Betterment Cash Reserve Account Review
Betterment is an online investment platform where you can bank and invest.
You may prefer Betterment over Webull if you want to explore several different account options. Betterment has the Betterment Cash Reserve Account and Betterment Checking Account. Betterment also has joint accounts, while Webull doesn't.
The Webull Cash Management Account may appeal to you if you already invest with Webull and are eligible for the promotional rate offer. You'll be able to keep your money all in one place instead of at different investment platforms.
Betterment Cash Reserve Review
Webull Cash Management Account Review vs. Wealthfront Cash Account Review
Wealthfront is another investment platform. The Webull Cash Management Account and Wealthfront Cash Account both pay higher interest rates than the average savings account.
The Wealthfront Cash Account allows you to get cash at select ATMs. At Webull, you can only withdraw money through a bank or brokerage transfer.
Another thing to keep in mind is that Wealthfront also has joint accounts, but Webull doesn't.
You might find the Wealthfront Cash Account worthwhile if you already invest with them and are looking for a place to keep uninvested cash.
Wealthfront Cash Account Review
Why You Should Trust Us: How We Reviewed the Webull Cash Management Account
At Business Insider, we use our bank account methodology to rate all of our banking products. While the Webull Cash Management Account isn't technically a bank account, we used our checking account methodology since cash management accounts are similar to high-yield checking accounts.
When determining our rating, we considered specific account features like minimum opening deposits and fees. We also considered criteria relating to the overall customer experience, such as the ethics of the company and customer service availability.
We assign each category a rating between 0 and 5, and star ratings can be anywhere from one to five stars. 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.
Webull Cash Management Account FAQs
When comparing Webull's Cash Management account to traditional savings accounts, it notably pays a high interest rate. The rate is in line with the best high-yield savings accounts.
The Webull Cash Management Account has no monthly service fee. There are no fees for ACH transfers, although you'll be charged a $5 reversal fee for ACH transactions that don't go through because of insufficient funds. You'll also have to pay fees for outgoing and incoming wire transfers.
Webull isn't a bank, but its banking services are provided by FDIC-insured banks. As of November 2023, Webstar Bank, Keystone Bank, First State Bank, Legacy Bank & Trust, and Preffered Bank are participating in the bank sweep feature. A total maximum of $1 million can be insured through partner banks.
The Webull Cash Management Account can stand out from competitors because it offers a competitive interest rate. However, other online investment platforms have cash management accounts that offer more FDIC insurance through their partner banks or more perks like early direct deposit and savings buckets. The Webull Cash Management also doesn't have a debit card.
You can make withdrawals through an ACH transfer, wire transfer, or brokerage transfer via the Automated Customer Account Transfer Service (ACATS).
