Our portfolio company Chime is piloting a way for its users to receive their federal $1,200 stimulus checks instantly, weeks before the government is expected to send the payments. To do this, the Chime team randomly picked 1,000 of its customers to receive the payment through SpotMe, which allows members to go negative in their accounts without incurring fees. Chime is backing the pilot with their own capital, and is challenging traditional banks to do the same.
CEO and co-founder Chris Britt stated, “We think the aggressive action taken by the government is awesome, and we applaud it, but consumers need faster access to that money to pay their bills. We’re putting real dollars on the line, without interest rates or guarantees…What if Bank of America or other people did this too?”
Read more about their efforts here.