BONN, Germany—T-Mobile has entered the banking business by launching an online banking product.
“It’s going after big banks in the U.S. that charge monthly maintenance fees for consumers that don’t keep a minimum balance,” stated GSM Arena in its analysis.
In addition, T-Mobile is offering certain customers a flexible way to deal with overdrafts.
The online-only banking product requires users to do all their banking on the T-Mobile MONEY app. From there, they can deposit checks, check balances, transfer money, or make P2P payments. Users also get a debit Mastercard for making purchases that is compatible with Apple, Google, and Samsung Pay wallets.
“Compared to big bank names with physical locations, you won’t pay a monthly fee to maintain an account and there’s no minimum balance required,” GSM Arena said.
Also, if consumers make a purchase that surpasses their available balance, they won’t be charged an overdraft fee up to $50 into the red.
T-Mobile will give you 30 days to get your account back into the black before issuing a charge, GSM Arena said.
Finally, T-Mobile MONEY pays 4% APY for up to $3,000 and 1% APY on anything above that.