Finding the motivation to save more in a fun way can be difficult. PrizePool makes it exciting to grow your money and the APY isn’t so bad. (The current average is around 0.07% APY.)
Beyond a higher APY, PrizePool offers the chance to win $10,000 in savings every single month, setting it apart from other FinTech savings tools.
If this savings account sounds interesting to you, read the rest of our PrizePool review to find out what else they offer.
- PrizePool offers a 0.30% APY on your savings
- You have a chance of winning $10,000 every single month
- The lack of fees and minimum balance requirements set PrizePool apart from the crowd
6,000 weekly prizes and monthly chance to win $10,000 grand prize
What Is PrizePool?
Frank Chien and Joe Woo co-founded PrizePool in 2019 to help make saving money more fun and exciting. According to the website, PrizePool’s mission is to “incentivize Americans to build a better financial foundation.”
With the potential to win real cash each month, the hope is that savers will be more motivated to save. The banking services for PrizePool are provided by Evolve Bank & Trust.
What Does It Offer?
PrizePool is a relatively new platform. Here’s how it’s different.
The main attraction of PrizePool is the potential cash winnings. Once you open an account, here’s how the drawing works.
Each dollar in your PrizePool account will earn 1 ticket per day. So, if you have $100 in your account, that would lead to 100 tickets per day or 700 tickets per week. Each of the tickets is automatically entered into the weekly cash drawing.
Each month, you have a chance to win 6,000 cash prizes. That includes the monthly grand prize of $10,000.
Even if you don’t win a cash prize, your funds will still earn a 0.30% fixed APY. Each month, your savings account will see a boost from this competitive APY.
Although it’s possible to find higher APYs elsewhere, this is significantly higher than the current national average.
Note: These numbers are from June 2022. It’s likely the offered APY will change over time.
Without a, you can’t easily spend funds from this account. If you need regular access to spend directly from your savings account, then PrizePool probably isn’t a good fit. Generally speaking, however, a savings account shouldn’t function in the same way as a checking account. The whole point of saving is to put money away and not touch it until you need it.
No Minimum Balance Requirement
Saving money is a smart move. But it can take time to build up a savings account. Luckily, PrizePool doesn’t require any minimum balance. With that, you can build savings at your own pace.
Of course, you might be more motivated to save based on the way the drawings work. After all, more dollars leads to more chances of winning the grand prize. It’s a great way to encourage yourself to build savings quickly.
No Debit Card
Without a debit card, you can’t easily spend funds from this account. If you need regular access to spend directly from your savings account, then PrizePool probably isn’t a good fit. Generally speaking, however, a savings account shouldn’t function in the same way as a checking account. The whole point of saving is to put money away and not touch it until you need it.
Are There Any Fees?
It might be surprising, but PrizePool doesn’t have any fees. Zip, zero, none. You can open an account and participate in the drawing pool without paying a single fee, ever.
How Do I Contact PrizePool?
Need to get in touch with PrizePool? You can email email@example.com.
If you reach out, it’s likely you’ll have a good experience. The company has earned 4.6 out of 5 stars on Trustpilot. It’s also earned 4.4 out of 5 stars on the Google Play Store and 4.7 out of 5 stars on the Apple App Store.
How Does PrizePool Compare?
PrizePool isn’t the only savings account out there that encourages savings through a drawing system.
Another good option is Yotta. With Yotta, you can also tap into a lottery system reward opportunity. The big difference is that Yotta has a debit card. So, if you want an easy way to spend your savings, then Yotta might be a better fit.
How Do I Open An Account?
Open your account on the PrizePool site. You’ll need to provide your name and email. Plus, add a password to create your account.
From there, you can download the app to manage your savings easily.
After your account is set up, you can start building savings. Remember, every dollar gets you a daily ticket into the prize drawings.
Is It Safe And Secure?
PrizePool is a safe savings opportunity. The company works with a partner bank, Evolve Bank & Trust to safeguard your funds. The account is FDIC-insured. With that, your funds are insured for up to $250,000.
Is It Worth It?
PrizePool offers a great way to build savings in a free account. The incentive of regular cash prizes can definitely help many savers up their game. After all, you’ll have the chance of winning $10,000. That’s motivation to tuck a little bit extra into savings each month.
If you struggle to build savings, then PrizePool is an opportunity worth trying. The platform could be just what you need to grow your savings. Plus, you might even get lucky and win thousands of dollars to accelerate your financial goals.
But even if you don’t win, PrizePool offers a respectable APY to help you grow your savings. When combined with the lack of fees, PrizePool could be the right tool to help you meet your savings goals.
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Tickets Earned Per Dollar Saved
Each $1 in your account will earn 1 ticket, per day.
Monday-Friday, 8 AM-11 PM (EST)
Saturday-Sunday 8 AM-9 PM (EST)
Web/Desktop Account Access
1299 (through Evolve Bank & Trust)
6,000 weekly cash prizes and monthly chance to win $10,000 grand prize