The Wealthfront Cash Account Now Offers Up to $8 Million in FDIC Insurance Through Partner Banks

Anyone can now receive up to 32x the FDIC insurance offered by traditional bank accounts in addition to a 4.80% APY.

PALO ALTO, Calif., Oct. 10, 2023 /PRNewswire/ -- Starting today, Wealthfront's award-winning Cash Account offers up to $8 million in FDIC insurance for individuals and up to $16 million for joint accounts. Thanks to the company's software-based approach and partnerships with FDIC-insured banks, the Wealthfront Cash Account offers some of the highest FDIC insurance available in addition to a high APY. The Cash Account has created immense value for clients this year, paying out nearly $600 million in aggregate interest since January 1, 2023.

"This year rattled consumer confidence in many financial institutions and put a premium on having as much FDIC insurance as possible to keep funds safe," said Dave Myszewski, Vice President of Product at Wealthfront. "Our combination of smart technology and partnerships with FDIC-insured banks means we can offer some of the highest FDIC protection available. In addition to providing an industry-leading APY and FDIC coverage, we will soon be rolling out more features that make our Cash Account an even better place for your uninvested cash."

FDIC insurance became increasingly important for consumers this year and is top of mind when deciding which institution to trust with their funds. Today's increase allows Wealthfront Cash Account clients to benefit from 32x the FDIC insurance offered by individual banks without the hassle of spreading funds across multiple banks manually. A given bank can only provide up to $250,000 of FDIC insurance per individual. Wealthfront is not a bank, but by sweeping deposits to up to 32 partner banks and keeping the amount held in each bank below the $250,000 limit, the Wealthfront Cash Account enables access to up to $8 million in FDIC insurance coverage.

Consumers also choose the Wealthfront Cash Account because it offers a 4.80% APY with no account fees or minimums, plus easy access to funds with unlimited, fee-free withdrawals, $10 wire transfers, and access to a debit card and nationwide network of ATMs. When clients are ready to invest, the Cash Account provides immediate transfers to the company's Automated Bond Portfolio and Automated Investing Account so money can often be in the market in minutes.

To learn more and open a Wealthfront Cash Account, please visit: https://www.wealthfront.com/cash

About Wealthfront
Wealthfront integrates investing and saving products to help young professionals build long-term wealth in any market condition. Through software, the company delivers high-yield savings, diversified ETF and bond investing, zero-commission stock investing, and low-cost loans to help sophisticated and new investors learn, lower costs, and grow wealth. Wealthfront is one of the highest-rated financial apps in the Apple App Store and has been named Best Automated Investment App, Best Overall Robo-Advisor, and Best Robo-Advisor for Goal Planning by Investopedia (2022), Best Cash Management Account and Best Investing App by Bankrate (2023), Best Robo-Advisor for Portfolio Options by NerdWallet (2023), and Best Robo-Advisor for DIY Financial Planning by Forbes (2023). The company currently oversees over $45 billion for nearly 700,000 clients in the US. To learn more please visit www.wealthfront.com or download the app on the App Store or Google Play.

Contact: [email protected]

Disclosures

We've partnered with Green Dot Bank, Member FDIC, to bring you checking features.

Checking features for the Cash Account are subject to identity verification by Green Dot Bank. Debit Card is optional and must be requested. Wealthfront Cash Account Visa® Debit Card is issued by Green Dot Bank, Member FDIC, pursuant to a license from Visa U.S.A. Inc. Visa is a registered trademark of Visa International Service Association. Green Dot Bank operates under the following registered trade names: GO2bank, GoBank, Green Dot Bank and Bonneville Bank. All of these registered trade names are used by, and refer to, a single FDIC-insured bank, Green Dot Bank. Deposits under any of these trade names are deposits with Green Dot Bank and are aggregated for deposit insurance coverage. Wealthfront products and services are not provided by Green Dot Bank. Green Dot is a registered trademark of Green Dot Corporation. ©2021 Green Dot Corporation. All rights reserved.

Fee-free ATM access applies to in-network ATMs only. For out-of-network ATMs and bank tellers a $2.50 fee will apply, plus any additional fee that the owner or bank may charge. Fees and Eligibility requirements may apply to certain checking features, please see the Deposit Account Agreement for details. Copyright 2023 Green Dot Corporation. All rights reserved.

The cash balance in the Cash Account is swept to one or more banks (the "program banks") where it earns a variable rate of interest and is eligible for FDIC insurance. FDIC insurance is not provided until the funds arrive at the program banks. FDIC insurance coverage is limited to $250,000 per qualified customer per banking institution. Wealthfront uses more than one program bank to ensure FDIC coverage of up to $8 million for your cash deposits. For more information on FDIC insurance coverage, please visit www.FDIC.gov. Customers are responsible for monitoring their total assets at each of the program banks to determine the extent of available FDIC insurance coverage in accordance with FDIC rules. The deposits at program banks are not covered by SIPC.

The Annual Percentage Yield (APY) for the Cash Account may change at any time, before or after the Cash Account is opened. The APY for the Wealthfront Cash Account represents the weighted average of the APY on the aggregate deposit balances of all clients at the program banks. Deposit balances are not allocated equally among the participating program banks.

Cash Account is offered by Wealthfront Brokerage LLC ("Wealthfront Brokerage"), a Member of FINRA/SIPC. Neither Wealthfront Brokerage nor any of its affiliates are a bank, and the Cash Account is not a checking or savings account. We convey funds to partner banks who accept and maintain deposits, provide the interest rate, and provide FDIC insurance. Investment management and advisory services are provided by Wealthfront Advisers LLC ("Wealthfront Advisers"), an SEC registered investment adviser, and financial planning tools are provided by Wealthfront Software LLC ("Wealthfront").

One-click loans refers to our Portfolio Line of Credit which is a margin lending product offered exclusively to clients of Wealthfront Advisers by Wealthfront Brokerage LLC. You should consider the risks and benefits specific to margin when evaluating your options. Learn more about these risks in the Margin Handbook.

Nerdwallet, Investopedia, and Forbes (the "Endorsers") receive cash compensation for referring potential clients to Wealthfront via advertisements placed on their respective websites. The Endorsers and Wealthfront are not associated with one another and have no formal relationship outside of this arrangement.

Bankrate's endorsement was voluntarily given and Wealthfront has no formal relationship with Bankrate.

The information contained in this communication is provided for general informational purposes only, and should not be construed as investment or tax advice. Nothing in this communication should be construed as a solicitation or offer, or recommendation, to buy or sell any security. Any links provided to other server sites are offered as a matter of convenience and are not intended to imply that Wealthfront Advisers or its affiliates endorses, sponsors, promotes and/or is affiliated with the owners of or participants in those sites, or endorses any information contained on those sites, unless expressly stated otherwise.

All investing involves risk, including the possible loss of money you invest, and past performance does not guarantee future performance. Please see our Full Disclosure for important details.

Wealthfront Advisers, Wealthfront Brokerage and Wealthfront are wholly owned subsidiaries of Wealthfront Corporation.

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