“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,” Dan Henry, CEO of Green Dot Corp., said in a press release.
Henry added that “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.”
Two in three Americans live paycheck to paycheck, the company said, which means they have to stretch their money further. GO2bank strives to make money access and management safe and easy while also addressing common financial challenges.
About 7.1 million U.S. households (5.4 percent) were unbanked in 2019. Further, almost 12 percent had to rely on pricey cashier checks, money orders and bill pay services. GO2bank aims to assist customers with lowering costs and building confidence.
The bank features as much as $200 overdraft protection, high-value rewards, high-interest savings and opportunities to establish, build and track credit, regardless of credit history, the release said.
GO2bank also extends low or no monthly fees and ease of access to more than 90,000 retail distribution locations nationwide, giving them the ability to quickly and conveniently deposit money and to get paid up to two days early (or up to four days early for government benefits).
Daniel Eckert, Green Dot’s executive vice president and chief product, strategy and development officer, said the debate among FinTech and Big Tech challengers poses an existential threat to traditional banks.
In May, Green Dot’s adjusted earnings per share was about $1.13, beating the Street by 20 cents.