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Digital banking 26 Sep 2018

Simple takes the lead in the U.S. banking industry by offering a 2.02% APY

BBVA backed digital banking platform Simple is shaking up the U.S. savings market by introducing a sector leading rate for consumers.

The move will see the Portland based lender drop a 2.02 annual percentage yield rate on all current and newly opened “Savings Goals” with a balance of $2,000 or more.

The Simple Savings Goal product is a protected balance within a customer’s checking account. The current national average annual percentage yield on a checking account in the U.S. is 0.05 percent. Simple’s 2.02 percent APY on balances as low as $2,000 is described by the bank’s leadership as ‘monumental in today’s financial market’.

Simple is a Portland-based tech company, founded in 2009, that provides digital banking services to customers as a distinctive alternative to the confusing fee-structures employed by most banks.

Simple, which was acquired by BBVA in 2014, describes it ethos as seeking to reward its customers by challenging the low national average most banks are paying on interest-earning checking accounts.

“We hope our 2.02 percent APY will encourage new customers to bank with Simple”

“Two percent for two thousand dollars is NOT too good to be true,” says Dickson Chu, Executive Chairman at Simple. “It’s just Simple’s newest method of making personal banking a more rewarding experience for our customers. We pride ourselves in always looking for ways to help people succeed.”

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The Simple Savings Goal product is a protected balance within a customer’s checking account.

Future tools

Since its inception, Simple has pioneered a number of new products to support its mission to help people feel confident with their money. The company most recently launched an in-platform budgeting tool called “Expenses”, an expansion of its automated saving feature, “Goals”. To date, more than five million Goals have been created with Simple.

“Simple has always been committed to helping people fund their dreams,” said Chu. “We hope our 2.02 percent APY will encourage new customers to bank with Simple and encourage current customers to increase their commitment. Once they take advantage of our portfolio of saving and money management tools —both existing and to be released in 2019— we expect people will appreciate seeing their money grow and their savings goals met.”

Simple combines innovative technology, intuitive user experience, and expertise in behavioral economics to help its customers easily bank, budget and save. Simple customers receive a Simple Visa card that’s tied to an FDIC-insured account with no surprise fees, and powerful budgeting and savings tools. Simple’s banking services are accessible via web, iOS, and Android apps.

For more information, please go to www.simple.com

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