Are neobanks safe? What to check before you switch

App-first banking can save you fees and time — if you check three things first.

Fingrass Editors

Editorial team

May 18, 2025 5 min read

Advertising disclosure: Fingrass may earn a commission when you sign up through links on this page, at no extra cost to you. Our opinions are our own.

Neobanks are app-first checking accounts that strip out the worst parts of legacy banking: overdraft fees, minimum balances, awkward apps, and three-day paycheck delays.

Who should consider switching?

Anyone paying monthly fees on a basic checking account, anyone hit by overdraft fees in the last year, and anyone who'd benefit from getting paid 1–2 days early.

What to watch out for

Some neobanks aren't banks themselves — they partner with one. Make sure your deposits are FDIC-insured through the partner bank, and read the fee schedule for ATM withdrawals.

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