Do you need extra money for something emergency? I know I have and if you have a Chime account, it can come in handy in need.
I will show you how you can take advantage of the app.
Can you Overdraft Chime Checking Account?
Yes, you can overdraft your Chime checking account using the SpotMe feature up to $200. Your Chime Visa® Debit Card or Credit Builder Card must be activated to be eligible for the program.
Can you use Chime® SpotMe to send money using Cash App?
No, you cannot use Chime® SpotMe to send money with Cash App. SpotMe funds cannot be transferred to other applications like Cash App, Venmo, or PayPal.
While you can link your Chime account to Cash App for regular transactions, SpotMe is specifically designed to cover overdrafts on eligible purchases, not to facilitate transfers to other payment platforms.
Chime’s overdraft feature called SpotMe is a great way to get up to $200 without any fees.
What is Spotme?
SpotMe is an overdraft feature from Chime that covers debit card purchases and cash withdrawals only. It can’t be used to send money using Cash App, Venmo, etc.
All is not lost, though.
If you’re in a bind and need to send money to someone using Cash App, there are some good alternatives out there.
Below, I cover a few of the best alternatives that I’ve found so far and the pros and cons of using each.
Does Chime let you Overdraft without Spotme?
No, Chime does not allow you to overdraft without using the SpotMe feature. SpotMe is the only way for Chime members to access fee-free overdrafts, enabling them to overdraw their accounts by up to $200 based on eligibility criteria, such as receiving qualifying direct deposits.
Without SpotMe, transactions that exceed your account balance will be declined, and no overdraft will occur.
How does Spotme work on Chime?
Step 1: Ensure Eligibility
- Age Requirement: You must be at least 18 years old.
- Direct Deposit: Set up and receive at least one qualifying direct deposit of $200 or more each month into your Chime Checking Account. Qualifying deposits include payroll or benefits payments but exclude transfers from services like PayPal or Venmo.
Step 2: Activate Your Chime Card
- Chime Debit Card: Activate your Chime Visa® Debit Card or Chime Credit Builder Visa® Credit Card. This is necessary to use SpotMe.
Step 3: Enroll in SpotMe
- Open the Chime App: Make sure you have the latest version of the app.
- Access Settings: Navigate to the Settings tab in the app.
- Find SpotMe: Look for the SpotMe option and toggle it on.
- Agree to Terms: Read and accept the SpotMe Terms and Conditions to officially enroll.
Step 4: Understand Your Limit
- Initial Limit: Your SpotMe limit starts at $20, which can increase over time based on your account activity, such as regular direct deposits and spending behavior.
- Maximum Limit: Over time, you may qualify for a limit up to $200.
Step 5: Make Purchases
- Use your Chime debit card for purchases even if your account balance is low. If you exceed your balance, Chime will automatically cover the difference up to your SpotMe limit without charging any fees.
Step 6: Repay Overdrafts
- Your next direct deposit will automatically repay the amount you overdrew. For example, if you overdraw by $10, that amount will be deducted from your next deposit.
Step 7: Monitor Your Limit
- Keep an eye on your SpotMe limit in the app. You can adjust it manually if needed, but increases are determined by Chime based on your account activity.
Alternatives to Chime SpotMe for Sending Money Using Cash App
Dave
Dave is a financial app that offers interest-free cash advances up to $500 known as Dave “ExtraCash”.
With Dave, ExtraCash repayment is due on your next payday or on the next Friday if your next payday is unknown. You will need a steady income, but there’s no credit check.
To get started, simply download the Dave app and create an account. Once you’re a member, you can search the list of banks and select Chime as your financial institution. Then, use your login details to link your Chime account to Dave.
If you already have a bank linked to your Dave app, go to the profile tab, select Linked Banks and Card, tap Change, and select Chime from the list of banks. That way you can use your Chime account to send money with Cash App.
What are Some Pros and Cons of Using Dave ExtraCash?
Some pros and cons of using Dave ExtraCash include:
Pros:
- No credit check is required.
- Get up to $500 cash advance.
- Can transfer the funds instantly (with fees or 1-3 business days without fees).
- Payments are due on your next payday or the nearest Friday to when you took the advance.
Cons:
- You need a steady income to qualify.
- There is a $1 monthly fee.
- May not be available in all states.
- Can cost up to $11.99 for an instant transfer of your cash advance.
Cleo
Cleo is a financial app that offers a variety of features to help users track spending, budget, and save money.
One of the app’s most unique features is its fee-free cash advance, which can be used to cover expenses until payday. The cash advance is part of the Cleo Plus and Cleo Builder packages, which costs $5.99 per month.
To link your Chime account to Cleo, simply search for Chime using the bar at the top of the app and provide your login details.
Cleo’s other features include automatic saving and expense tracking, making it a valuable tool for anyone looking to get their finances in order.
What are Some Pros and Cons of Using Cleo?
Some pros and cons of using Cleo include:
Pros:
- Offers a fee-free cash advance.
- Automatic saving and expense tracking.
- No credit check.
- No interest.
- Express transfers so you can get your cash quickly (for a fee).
Cons:
- Only available to Cleo Plus and Cleo Builder users which cost $5.99 and $14.99 per month respectively.
- New users typically can only borrow between $20 and $70 the first time they use the cash advance service. Then it increases to up to $100 if you repay what you borrow without issue.
- Express transfers cost $4.
Albert
Albert is a money management app that analyzes your income and spending habits to make savings and budget recommendations. It also offers a premium service, Albert Genius, for $4/month.
Genius features include personal finance tips and advice from live experts, a 1% reward on your savings, and a micro-investment account.
You can receive Albert’s cash advances in your Chime account by going to the “Budget” tab, tapping +, and adding your account.
Albert will give you early access to $100 and remove the funds on your next payday. The advance is free if you take standard delivery, which can take up to three days.
For instant delivery, you’ll pay $3.99 if you’re a Genius subscriber and $4.99 if you’re not.
What are Some Pros and Cons of Using Albert?
Some pros and cons of using Albert include:
Pros:
- Analyze your income and spending habits to make savings and budget recommendations.
- Offers a premium service, Albert Genius, for $4/month.
- Genius features include personal finance tips and advice from live experts, a 1% reward on your savings, and a micro-investment account
Cons:
- It can take up to three days for standard delivery of cash advances. For instant delivery, it will cost you up to $4.99.
Empower
Empower is a financial tracking and budgeting app that helps you stay on top of your spending and save money.
Empower automatically sets aside a portion of your income into a savings account, and you can also get up to a 10% cashback reward when you use the Empower card at selected merchants.
There are no monthly fees, no minimum balances, and no overdraft or insufficient funds fees.
You can link Empower to your Chime account by searching for Chime in the app and filling in your account details. Empower costs $8 per month, but offers a free cash advance up to $250.
What are Some Pros and Cons of Using Albert?
Some pros and cons of using Empower include:
Pros:
- Helps you stay on top of your spending and save money.
- Automatically sets aside a portion of your income into a savings account.
- Can get up to a 10% cashback reward when you use the Empower card at selected merchants.
- Cash advance of up to $250.
Cons:
- $8 monthly fee.
- No free trial period.
Can I Borrow Money From Cash App Instead?
At the time of writing, the Cash App Borrow feature isn’t available to everyone and is still being tested.
A Cash App specialist, CashAppAndi, commented on a Reddit thread in December 2021 that the team is working on expanding this feature to more U.S. residents, but couldn’t provide a time frame for when it would be available.
Fast forward to May 2022 and many Cash App users state they still don’t have access to this feature. If you see the “Borrow” option in your account, it means you’re eligible.
Beyond that, the Cash App specialist tells Redditors that these factors could be to blame for why some users don’t have access: state of residence, type of device, and whether or not you’ve verified your identity with Cash App.
So if you’re still waiting for the Borrow feature to become available on your account, it looks like you might just have to be patient a little while longer.
What are Some Pros and Cons of Using Cash App Borrow?
Some pros and cons of using Cash App Borrow include:
Pros:
- Cash App Borrow is a quick and easy way to get cash in a pinch.
- You can get between $20 and $200.
- The loans come with relatively high interest rates, but they may be a good option for borrowers who need money immediately.
- Cash App is a secure and reputable company that puts a lot of measures in place to protect your account information.
Cons:
- Cash App Borrow loans come with high interest rates, so make sure you can afford the repayment before taking one out.
How To Borrow Money From Cash App Borrow
If you’re in need of quick cash, you may be wondering if you can borrow money from Cash App.
Cash App Borrow is a new feature that allows users to take out loans against their Cash App balance. The loans are meant to be repaid within a few weeks, and they come with relatively high-interest rates.
However, they can be a good option for those who need money immediately and can’t qualify for a traditional loan.
Here’s how to borrow money from Cash App:
- First, open the Cash App and tap on your balance located at the lower left corner of the screen.
- Then, go to the “Banking” header and check for the word “Borrow.” If you see “Borrow,” that means you’re able to take out a Cash App loan.
- Tap on “Borrow” and then “Unlock” to see how much you’re able to borrow. Cash App will give you several loan options to choose from, so select the amount and repayment plan that best suits your needs.
- Finally, read the user agreement and accept your Cash App Borrow loan.
Keep in mind that these loans come with high interest rates, so make sure you can afford the repayment before taking one out.
Is Cash App Borrow Safe?
Yes. Cash App Borrow is safe.
Cash App is owned by the reputable financial services and payment company Block (formerly Square), and it puts a lot of measures in place to keep your account secure, such as being PCI Data Security Standard Level 1 compliant — the highest level offered in the payment industry — and encrypting all your financial transactions.
Plus, users can set up two-factor authentication, security locks, and biometrics for added safety.
That said, Cash App experienced a data breach on April 4, 2022, that affected more than 8 million users of Cash App Investing.
The data breach came from a former employee who downloaded reports containing customer names, brokerage account numbers, and, in some cases, portfolio values and trading data.
It’s not yet clear how widely the information was shared. But overall, yes, Cash App Borrow is a safe and secure way to conduct financial transactions.
