GO2bank Review 2023: Mobile Banking With Overdraft Protection

According to the FDIC, The "unbanked" in America represent 7.1 million households. These are people who do not have access to a checking or savings account.

Without a bank account, trying to cash a check or receive a direct deposit, such as government stimulus, can be difficult and expensive.

GO2bank wants to change this by providing the underbanked with an affordable alternative. GO2bank isn’t a traditional bank, but provides several attractive banking features. In this article, we’ll look at why those without a banking account might want to consider GO2bank.

Who Is GO2bank?

GO2bank is Green Dot Bank’s digital banking initiative. GO2bank is a division of Green Dot Bank. Green Dot Bank was founded in 1999 and headquartered in Pasadena, CA. GO2bank’s mission is to serve the underbanked. GO2bank was started in January 2021 and shouldn’t be confused with GOBank, another Green Dot Bank brand.

“Too many Americans struggle to access their money, are paying too much for financial products, and are negatively impacted by the lack of solutions designed to suit their needs,” said Dan Henry, CEO of Green Dot, in a press release.

GO2bank is built to be the go-to destination for seamless, affordable, useful banking – combining the security, stability, and experience of an FDIC-insured bank with the innovation and agility of a leading fintech.”

What Do They Offer?

GO2bank has the full backing of Green Dot Bank, which serves 33 million customers through its retail and direct-to-consumer debit card products. GO2bank aims to serve people who don't have a checking or savings account, which was about 5.4% of households in 2019.

Instead of being forced to utilize expensive check cashing options, they can turn to GO2bank. While GO2bank is not free, it's less expensive than some of the other non-bank alternatives. Applying to GO2bank doesn’t require a credit check or a credit score.

Overdraft Protection

To take advantage of up to $200 in overdraft protection, customers need to make multiple direct deposits within a span of 35 days. Customers have 24 hours to cover their overdraft at no charge. After that, the fee is $15.

There are three levels of overdraft protection. Levels kick-in automatically depending on your direct deposit activity.

Early Paycheck Access

When customers direct deposit their paycheck, they can access their funds up to two days early. Government benefits are available up to four days early. GO2bank is able to do this through its partnership with Plaid, which connects directly with a large number of payroll services.

Secured Credit Card

GO2bank’s secured credit card is available in addition to its debit card. Getting a secured credit card can be a great way for those who have limited or damaged credit to start the credit-building process.

A secured credit card works by depositing money on the card. If you deposit $500, your credit limit will be $500. If you close the account at any point and there is still money on the card, it will be returned to you. 

GO2bank reports cardholder payments to each of the three credit bureaus. Credit lines start at $100. This card has no annual fee and it provides cardholders with credit monitoring through VantageScore®, which is powered by Equifax®.

Cash Back And Interest Earnings

When you purchase eGift Cards from the nearly 100 popular merchants in the GO2bank mobile app, you can earn up to 7% cash back*. You’ll earn 3% cash back on Amazon eGift Cards. For savings of up to $5,000, you’ll also earn 1% interest, which is well above the national savings rate.

Are There Any Fees?

Yes, while all can be avoided, the following fees may apply:

How Does Go2bank Compare?

Go2bank offers a strong interest rate but only up to $5,000 in deposits.  If you have more in savings than that, you may want to choose a different online bank. 

When Go2bank first launched, its maximum overdraft protection coverage was higher than many of its competitors offered. However, several top banks have recently changed their overdraft protection policies to keep pace. Check out how Go2bank compares today in this quick table.

How Do I Open An Account?

You can visit the GO2bank website to open account. You'll need to provide your name, address, date of birth, Social Security number, and phone number during the application process. 

You'll also need to verify your identity by uploading your driver's license or other form of ID. If you're approved to open an account, G02bank says that your debit card should arrive with 7-10 days.

Is My Money Safe?

Yes, GO2bank’s deposits are FDIC-insured. Additionally, GO2bank monitors your account and will send a text message if it detects fraudulent activity. You can lock your card instantly through the mobile app. Your debit card is an EMV chip-enabled card.

How Do I Contact Go2bank?

Go2bank can be contacted by phone or live chat. Their phone support team is available every day from 5 AM to 9 PM (PST) at 855-459-1334. Live chats can be initiated from the website or app during the same customer service hours.

Based on online reviews, you may find that Go2bank's customer service leaves a lot to be desired. Its Trustpilot rating is currently "Bad," with an average review rating of 1.6/5 from 50+ reviews.

Is It Worth It?

If you don't have a traditional checking account and want access to banking features, such as check cashing or direct deposits, GO2bank is an excellent and free option. It can also be a great way to build credit, especially if you're willing to set up direct deposit into your GO2bank account to avoid the monthly fee. 

If you want to compare GO2bank's benefits and fees with other banking alternatives, check out our top online banks.

Go2bank FAQs

Here are a few of the most common questions we hear people asking about Go2bank.

Why did I receive a GO2bank card in the mail?

If you received an unsolicited debit card from Go2bank, its either because you're a former customer or you were selected to receive an offer by one of its third-party partners. If you don't wish to open an account with Go2bank, you can simply cut up the card and throw it away.

Can you deposit cash into a Go2bank account?

Yes, cash deposits are supported but they come with a $4.95 retailer service fee.

What types of transactions are covered by Go2bank's overdraft protection?

Only debit card purchases made at retailers (in person or online) are covered. Bill payments, person-to-person money transfers, and ATM withdrawals are not eligible for overdraft protection coverage.

Is there a credit check for the GO2bank™ Secured Visa® Credit Card?

No, Go2bank won't check your credit when you apply for its secured credit card. However, you'll need to make a security deposit of at least $100 to get the card.

GO2bank Features

DISCLOSURES

* Activated, chip-enabled debit card and opt-in required. $15 fee may apply to each eligible purchase transaction that brings your account negative. Balance must be brought to at least $0 within 24 hours of authorization of the first transaction that overdraws your account to avoid the fee. We require immediate payment of each overdraft and overdraft fee. Overdrafts paid at our discretion, and we do not guarantee that we will authorize and pay any transaction. Learn more about Overdraft Protection (PDF).