Momentum Card Pre-Paid 6% 5K

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In search of interest paying pre-paid cards similar to Mango, I found Momentum Card:
http://www.momentumcard.com/
http://www.momentumcard.com/momentum-visa-cardholder-agreement.p...

$10 for a card. ATM and reload fees, but free direct deposit (assuming ACH push works). Not sure about Vanilla Reloads.

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I think it's in everybody's best interest to keep this quiet, but I suggest everybody revisit the loading limits of your... (more)

dbl118 (Feb. 04, 2014 @ 5:58p) |

Got my card in December, realized at the end of January that the interest wasn't nearly adding up to 6%. I was told tha... (more)

ajcp (Feb. 05, 2014 @ 10:03a) |

Well, after having some success, seem to be back to normal load limit.

In fact, even WORSE, because now I am limited to 3... (more)

AveApostle (Apr. 08, 2014 @ 11:20p) |


  • No Direct Deposit required (as is required with similar products like www.mangomoney.com)
  • No Online application, must apply in store
  • $10 activation fee, $10 minimum deposit to open savings account


"Pay As You Go" plan fees: $1 credit and debit transaction fee, $2 direct deposit or in-store load, $2 ATM fee, 3%+$1 foreign transaction fee, $2 in-store cash withdrawal, $0.25 per call automated phone balance, first customer service call free $1.50 thereafter, $10 account cancellation, $5 lost/stolen card, $5 paper statement

Optional plan: "Flat Fee" plan fees: $10/mo maintenance, $0 credit and debit transaction fee, $0 direct deposit or in-store load, $2 ATM fee, 3% foreign transaction fee, $0 in-store cash withdrawal, $0.25 per call automated phone balance, first customer service call free $1.50 thereafter, $10 account cancellation, $5 lost/stolen card, $5 paper statement
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I didn't realize what you meant in the title until after going through the card terms. In case anyone else was as confused:

savings account details

You have a linked savings account that offers 6% APY up to $5000. Interestingly, they state the APY is valid "as of 6/28/2012".


The problem is that you have to get the card in person and the locations are limited.

lokimoki said:   In search of interest paying pre-paid cards similar to Mango,Between MangoMoney, MomentumCard, and the various flavors of Netspend 5% savings (netspend.com, PayPal savings account, mycontrolcard.com, etc.) which allow up to 15K at 5% per SSN, you could have over 25K (or 50K+ per couple) earning 5%-6% minus fees. But for most people, it's not worth all the hassle.

To clarify some of what I said, the Netspend 5% savings products have a 5K cap each but the T&C says max 15K per SSN across their products. In another FW thread, it was mentioned that MyControl might be an exception since it doesn't state a 5K limit. And what I meant when I said 25K or more per person, that's because it was reported that there were ways one could open more than one Maango account, but that might have changed. Also, fees can significantly affect yield.

Rate is currently 6%, APY is then 6.16%. Only visible after logging into my momentum account. I've had my account since January. So far, so good. Interest was paid on April 1 (paid out quarterly and if you close the account, you forfeit any unpaid interest). No fees charged except the initial $10 fee. I signed up for the pay as you go model and was pleasantly surprised they didn't charge me the stated fee when I direct deposited in $$ to fund the savings account.

Is this FDIC insured?

soundtechie said:   Is this FDIC insured?From the website "Rest assured as your deposits are FDIC insured through The Bancorp Bank." LINK

hpack said:   Rate is currently 6%, APY is then 6.16%. Only visible after logging into my momentum account. I've had my account since January. So far, so good. Interest was paid on April 1 (paid out quarterly and if you close the account, you forfeit any unpaid interest). No fees charged except the initial $10 fee. I signed up for the pay as you go model and was pleasantly surprised they didn't charge me the stated fee when I direct deposited in $$ to fund the savings account.

Isn't your balance capped? There's no compound interest; your APY calculation is meaningless.

edit: also, wait, the website claims

** The current interest rate is 5.83% and Annual Percentage Yield ("APY") is 6.00% as of 6/28/2012.

Yes, interest is capped so APY plateaus around 6% and then decreases if you don't withdraw the interest.

The main page (non-account) still says 5.83%, but I can confirm I received 6% interest in April.

Can load this card at "Visa ReadyLink" locations -- wondering if anyone has tried a debit card w. PIN at any such places. p.s. same locations to load Wells Fargo debit cards

My first two loads with VR worked great (2 cards, $500 each). My third card wouldn't load. I called CS, they said there is a max load from VRs at $1,000 per 24 hours and $5,000 per month. I didn't see that in the T and C, but could have missed it. I wonder if this is a VR limit, not a Momentum limit...

By the way, in getting the card in the first place, I made it out of the Money Mart without a hitch.

"The Simple Dollar" blog had a post this morning that included this quote: “Poverty, I realized, wasn't only a lack of financial resources; it was isolation from the kind of people that could help you make more of yourself.” – Keith Ferrazzi

I saw this first hand at the Money Mart... people with a lot less money than I have were paying a lot more for managing their financial houses. I kinda felt like holding an impromptu FWF seminar for them. It's crazy. They were paying for money orders to pay their bills and paying a fee to cash a check while I essentially get paid (via sign up bonuses and reward rates) for doing the same thing.

DB

Can you ach money out of the card?

debentureboy said:   
"The Simple Dollar" blog had a post this morning that included this quote: “Poverty, I realized, wasn't only a lack of financial resources; it was isolation from the kind of people that could help you make more of yourself.” – Keith Ferrazzi

I saw this first hand at the Money Mart... people with a lot less money than I have were paying a lot more for managing their financial houses. I kinda felt like holding an impromptu FWF seminar for them. It's crazy. They were paying for money orders to pay their bills and paying a fee to cash a check while I essentially get paid (via sign up bonuses and reward rates) for doing the same thing.

DB


+1


Sad but true.

fcyjgu said:   Can you ach money out of the card?



I tried ACH pulling from Momentum via external bank account and it failed.

edit: Looks like billpay to credit card will work...

edit 2: Trying to ACH pull ends up in a phone call from external bank's fraud department. Be ware!

depreshun said:   fcyjgu said:   Can you ach money out of the card?



I tried ACH pulling from Momentum via external bank account and it failed.

edit: Looks like billpay to credit card will work...

edit 2: Trying to ACH pull ends up in a phone call from external bank's fraud department. Be ware!



Great intel my friend. Well done.

Did you have any problems linking the acct in the first place?
What bank called you and what did they say?
Was this just a courtesy call?
Any indication that they will let future pulls happen?

No problem linking Alliant. I noticed the micro deposit did not get pulled back to Alliant as it typically does. That should have been my warning flag. The problem seems to be that the underlying Bancorp service is blocking ACH pulls. They called as it did not appear to be my account I was attempting to pull from but I think it was more Bancorp blocking, not really sure. It was definitely not a courtesy call. Personally, I wouldn't try future ACH pulls, period. Their quick-pay free billpay seemed to process an AMEX payment just fine. I will update once it posts to AMEX.

$2 Direct Deposit fee (Pay As You Go plan) -- anyone charged when using ACH in? Any additional load fees for VRs? "In store" withdrawals are free, though I'd be surprised if they'd give you 5K. p.s. Pop Money accepts the Bancorp routing number

Pay As You Go = $2 per load. If consistently loading more than 5 VRs per month, the $10 Flat Fee is better. For me, this is a savings account so I'm just going to make one 5K deposit. If I need to make a large withdrawal I'll go to a Money Mart or try to get cash from a local bank. The card can also be loaded with Visa Readylink - plenty of locations, but as far as I can tell, cash only.

Although the T&C claim $2/load, I did a single ACH push back in January and was never charged a fee. I immediately transferred the $ from the card to the linked savings account, so it's possible that it won't go negative on the card if you have a $0 balance.

I did my first load with Vanilla Reload and I haven't gotten charged yet. I don't think there is a fee for loading with a Vanilla reload. I guess that we will see, though..

depreshun said:   No problem linking Alliant. I noticed the micro deposit did not get pulled back to Alliant as it typically does. That should have been my warning flag. The problem seems to be that the underlying Bancorp service is blocking ACH pulls. They called as it did not appear to be my account I was attempting to pull from but I think it was more Bancorp blocking, not really sure. It was definitely not a courtesy call. Personally, I wouldn't try future ACH pulls, period. Their quick-pay free billpay seemed to process an AMEX payment just fine. I will update once it posts to AMEX.



Payment posted to AMEX last night.

Silverthunder said:   I did my first load with Vanilla Reload and I haven't gotten charged yet. I don't think there is a fee for loading with a Vanilla reload. I guess that we will see, though..



+1... Could prove to be a nice backup to Bluebird.

So far lots of problems with ACH links and pushes. Makes me wonder about the difficulties withdrawing money if need be. Mango and PayPal have gone smoother.

lokimoki said:   So far lots of problems with ACH links and pushes. Makes me wonder about the difficulties withdrawing money if need be. Mango and PayPal have gone smoother.

Those problems are becoming par for the course when linking prepaids to regular bank accounts. I suspect people are/were taking advantage of a massive gap in security at this particular junction. Banks seem to think no good can come from the linkage. Keep trying though... Once the bank is assure its you and your account they should loosen up.

Or is the problem on Momentum's side?

So far no additional fees for VRs. Max saving balance is 5K, and the quarterly interest is paid into savings, so under $4920 should be OK. Best large withdrawal option seems to be in-person (free). I assume some banks will give you cash with a PIN, not sure about the fees.

lokimoki said:   So far no additional fees for VRs. Max saving balance is 5K, and the quarterly interest is paid into savings, so under $4920 should be OK. Best large withdrawal option seems to be in-person (free). I assume some banks will give you cash with a PIN, not sure about the fees.



Are you certain you can only leave $4920 in savings? I have $5K in there and just figured the accrued interest would be added to that but would not accrue additional interest.

depreshun said:   lokimoki said:   So far no additional fees for VRs. Max saving balance is 5K, and the quarterly interest is paid into savings, so under $4920 should be OK. Best large withdrawal option seems to be in-person (free). I assume some banks will give you cash with a PIN, not sure about the fees.



Are you certain you can only leave $4920 in savings? I have $5K in there and just figured the accrued interest would be added to that but would not accrue additional interest.


+1

That's usually how it works.
To realize the maximum potential if the 6% you leave the max amount in.
The interest is divvied out just go in an withdraw the dividend.... leaving the original 5k to accrue more interest.

KYBOSH said:   The interest is divvied out just go in an withdraw the dividend.... leaving the original 5k to accrue more interest.

Assuming the interest is paid after you reduce your 5K balance by the amount of the interest.

lokimoki said:   KYBOSH said:   The interest is divvied out just go in an withdraw the dividend.... leaving the original 5k to accrue more interest.

Assuming the interest is paid after you reduce your 5K balance by the amount of the interest.


I can't believe there's a hard cap on the amount you can actually have in the savings account...

Only how much will accrue interest at a given rate.

KYBOSH said:   I can't believe there's a hard cap on the amount you can actually have in the savings account...

Only how much will accrue interest at a given rate.


Can you go over 5K in the savings account? I can't.

lokimoki said:   KYBOSH said:   I can't believe there's a hard cap on the amount you can actually have in the savings account...

Only how much will accrue interest at a given rate.


Can you go over 5K in the savings account? I can't.


If you can't deposit more than 5k in your account I'm astonished.
That will be my first time hearing of such a thing.

So I guess the next question/test is to see what happens if you have the max amount in your account (5k) what will happen to your interest accrues.
I bet it will still post to the account but I dont have a Momentum account to test it out. Wish I did...

Please keep us posted. I can't believe they will claim they cant pay you your interest because there isn't enough room in your account.

I've currently got $5052.53 in my savings account. Opened the account and funded $5K back in January. $52.53 accrued interest 1st quarter and it was credited to the savings. My plan is to withdraw $$ after the 2nd quarter interest credits.

Edit:
Should also mention that my past couple monthly e-statements show additional accrued interest, so it still hasn't stopped even when total is >$5K

Thanks for the confirmation.
Next time im in FL im getting this card.

I guess the interest can put you over 5K, but not a deposit. Good to know about the interest paying interest.

I ACH pushed funds in and set up several billpays on 7/2. The funds were depleted but the billpay status is "not processed" and the merchants have not received payments. If I have to sit through one more minute of this awful elevator music on their apparent eternal hold I will look for the bridge. Anyone have any similar experience and/or a way to get an actual human on the line???

depreshun said:   I ACH pushed funds in and set up several billpays on 7/2. The funds were depleted but the billpay status is "not processed" and the merchants have not received payments. If I have to sit through one more minute of this awful elevator music on their apparent eternal hold I will look for the bridge. Anyone have any similar experience and/or a way to get an actual human on the line???
I'm not familiar with Momentum's billpay system, but online bill payments were entered 2 days before a holiday. Payments have not processed as of the day after the holiday. Is there really a cause for concern at this point?

dbond79 said:   depreshun said:   I ACH pushed funds in and set up several billpays on 7/2. The funds were depleted but the billpay status is "not processed" and the merchants have not received payments. If I have to sit through one more minute of this awful elevator music on their apparent eternal hold I will look for the bridge. Anyone have any similar experience and/or a way to get an actual human on the line???
I'm not familiar with Momentum's billpay system, but online bill payments were entered 2 days before a holiday. Payments have not processed as of the day after the holiday. Is there really a cause for concern at this point?




Yes, there is because there is something amiss for sure. I finally got through to someone in Canada, I believe. He said his screen looked different and I even had to send screenshots to show him. He said the funds show as available and to retry the payments. I did, and as expected they were declined due to insufficient funds. They have over $1k of my funds held in limbo. His response was "We are going to forward this issue off to our issuing bank to see what is going on, and as soon as we hear anything we will give you a call.". No funds and no call as of yet.

Skipping 37 Messages...
Well, after having some success, seem to be back to normal load limit.

In fact, even WORSE, because now I am limited to 31 days rather than 30 (I have gCal set to the minute for reloads).

Any similar problems?



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