What is the Good Money Banking App?
You’ve seen the Faceboook ads too, so let’s took a look at the Good Money Banking App and the people behind it.
What is Good Money?
Good bank is a banking application that is “owned by its customers.” They claim it is a 4% Deposit Yield (2% cash and 2% Good Shares?). Half of their profits go towards “positive global impact.”
The CEO is Gunnar Lovelace, current CEO of Thrive Market. For those unfamiliar Thrive Market is an ecommerce platform where you can buy organic and natural products at reduced prices.
What happens if I sign up for Good Money?
Currently Good Money is still in the signup phase. When you go to their website it shows you the theoretical value of your spot on the waiting list. After signing up, we got this note from the CEO.
They say the bank is owned by the people, although in an interview with Forbes Lovelace said customers, “may eventually own up to 70%.” So that’s not completely true.
Good Money Banking Features
- 2% APY – Most banks have a 0.01% APY in their checking account. Good Money promises a 2% APY, which is mind boggling. In addition they say they will give away another 2% in interest.
- 2% APY Donated – Your account earns an extra 2% APY on top of the first 2%. Users vote on how to give this money. This is where the “50% of profits are donated statement comes from.”
- Affordable Loans – One thing will never change, banks make money lending it to others. In a recently released PR Newswire Good Money states they will offer the lowest consumer loan rates in the country. Bold claim.
- No Account or Overdraft Fees – Similar to Simple and other modern banking platforms, Good Money will not charge any fees for their accounts. They promise access to 35,000 ATMs nationwide as well.
- Investing – We know there will be a social good aspect to investing, but we don’t yet know if this means you can invest and watch your money grow.
Make Money when you Sign Up for Good Money?
The big motivator to sign up right now is the value of your spot on their waiting list. I’m not sure where they get this number from.
One thing to note with this is that this value is speculative and Good Money is not currently backed by the FDIC. However, they do partner with an unnamed institution that is partnered with the FDIC.
How Does Good Money have Money?
Good Money raised $30 million in initial funding from Breyer Capital, Mitch Kapor (Early investor in AngelList, Bitly, and many others), Ken Howery (US Ambassador to Sweden and VC from Bay Area) and others.
Conclusion: What is the Good Money Banking App?
From what you can see, Good Money looks like another banking app. Similar to Chime or Acorns, you can make interest on your bank account, get cash back, build a budget, save and more.
The biggest feature is that they give back. How and what they give to is yet to be seen, but we are keeping our eyes peeled.
