Robinhood 3% Checking and Savings Accounts

 Robinhood recently launched a 3% checking and savings account that has no fees and access to over 75,000 ATMs.

All account holders will have the option to pick their debit card design. The debit card is a Mastercard issued through Sutton Bank.

[ Update ] According to a statement from the SIPC via Bloomberg, Robinhood Checking & Savings is NOT SIPC insured. Robinhood has since renamed the tool to “Cash Management.”

3% Checking & Savings

Regardless of if your money is stored in Robinhood checking or savings, you’ll earn 3%. The accounts do not have a minimum balance requirement, and they also do not have foreign transaction fees.

Withdrawing Money

You can withdraw your money from a network of over 75,000 ATMs that are located in select retail shops. Find ATMs in the network via the Robinhood app.

Select ATM Partners:

  • Safeway

  • 7 Eleven

  • Target

  • Walgreens

  • Costco

  • CVS

  • Kroger

One important note is that it doesn’t seem like international ATMs are in the network, so I would still recommend keeping a checking account that doesn’t charge international fees like the Charles Schwab account.


Robinhood is a venture-backed company that is trying to disrupt the financial industry. Most tech companies are burning money to acquire users and mass market adoption.

The checking and savings products fall in line with Robinhood’s brokerage system. The 3% interest is most likely a loss leader to acquire new customers to use their brokerage account.

Is Robinhood Safe?

Robinhood has revamped the Checking & Savings feature to “Cash Management” after running into problems with insurance. Learn more about the regulatory issues and how Robinhood is moving forward in this TechCrunch article.


FDIC (Federal Deposit Insurance Corporation)

  • government agency

  • covered up to $250,000

The FDIC is a government agency that protects your funds that you deposit into banks and savings associations, up to $250,000. If your bank is FDIC insured and it goes out of business, then the federal government will cover your assets up to $250,000.

FDIC insurance covers all deposit accounts, including:

  • Checking accounts

  • Savings accounts

  • Money market deposit accounts

  • Certificates of deposit

The FDIC does NOT cover other financial services and products offered by banks such as stocks, bonds, mutual funds, life insurance policies, annuities or securities. Learn more about the FDIC here.

SIPC (Securities Investor Protection Corporation)

  • private

  • covers up to $500,000 (only $250,000 of cash)

The SPIC consists of a group of brokerages that work collectively to insure your money. SPIC protects against the loss of cash and securities held by a SPIC-member brokerage firm.

The maximum coverage for SPIC is up to $500,000, and a $250,000 limit for cash. Learn more about the SPIC here.

What does SPIC protect?

SPIC protects:

  • stocks

  • bonds

  • Treasury securities

  • certificates of deposit

  • mutual funds

  • money market mutual funds

  • and certain other investments as "securities." 

What Should I Do?

Here are a few paths to consider:

  1. If you currently have a Robinhood brokerage account and you want to be an early adopter, then you should reserve your spot in line (referral):

  2. If you currently have a Robinhood brokerage account, but you want a bonus or promo for opening the checking/savings account, then WAIT.

  3. If you don’t currently have a Robinhood brokerage account, then signup for one to earn a free stock (referral):

If you’re not in a rush to open a Robinhood account, I recommend waiting for a promotion. When Robinhood first launched their brokerage accounts, they didn’t have a “welcome offer.” A few months after launch, the “welcome offer” is a free stock.




Editorial Note: Opinions expressed here are the author's alone, not those of any bank, credit card issuer, airlines or hotel chain, vendors or companies, and have not been reviewed, approved, or otherwise endorsed by any of these entities. 

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