What if you could do all your banking on an app—with no fees and a full range of financial services available to you? That’s the basic pitch of MoneyLion, a financial membership service that targets a younger demographic who might not have a ton of money saved in the bank. MoneyLion quickly gets users set up with a no-fee checking account, a managed investment account, and gives users tools and tips to improve their credit score.

If you’re trying to save up for a car or hoping to improve your credit in order to unlock insurance discounts, MoneyLion might be just the app you need. Its cashback rewards of up to 12 percent help you earn money when you spend, and its personal loans are great for people trying to put together the money for a car.

Of course, through this process, you’ll want to use Insurify to compare quotes on car insurance. After all, you can’t hit the roads unless you have coverage. Insurify makes it easy to compare quotes side by side, from a wide array of car insurance providers.

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MoneyLion: Is this online bank a roaring success?

MoneyLion was founded in 2013 by a group of New York-based tech and finance specialists. The fintech service was developed to help people more easily manage their personal finances, save money, and improve their credit score. More broadly, the company website states that MoneyLion’s mission is to “rewire the American banking system so that we can positively change the financial path for every hard-working American.”

Although MoneyLion essentially operates as an online bank, the company likes to differentiate itself as a break from the tired world of banking. MoneyLion instead bills itself as a “financial membership” that hopes to be more modern and user-friendly than your typical bank. That mission has resonated, with MoneyLion reporting over five million users as of summer 2019. The financial services brand now has offices in New York, San Francisco, Salt Lake City, and Kuala Lumpur.

So, how does MoneyLion work?

MoneyLion is easy to get started with, which is one of the service’s chief selling points. Simply create an account on www.MoneyLion.com, download the app (available for iOS and Android), and log in. You’ll be set up with a checking account that you can immediately add money to. The money you put in there is insured—just like at any other bank. And MoneyLion is happy to note that this is a zero-fee account—so you won’t have to deal with any monthly fees, overdraft fees, or ATM fees. You’ll also be given a debit card that can be used at any of MoneyLion’s 55,000+ ATMs nationwide.

MoneyLion also gives you an investment account that enables you to invest as much or as little as you want. Other popular features include the cash advance system where MoneyLion “lets you borrow from future you,” as the company website says. These Instacash transfers enable you to get up to $250 fast, with zero interest. This money will be withdrawn from your account about two weeks later.

What is MoneyLion Plus?

You might find you want the ability to take out more Instacash at a moment’s notice. Or perhaps you want more powerful credit-building services. If that’s the case—and you want to unlock MoneyLion’s full suite of financial services—you might be a good candidate for MoneyLion Plus. This is their subscription membership that costs $19.99/month. 

When you open up a MoneyLion Plus account, you’re given a $500 credit-builder loan designed to help you improve your credit. Some of the money from this loan can be placed in checking, but the rest can be kept in your locked Credit Reserve Account. Simply pay off this loan monthly (on top of your monthly membership fee), and you’ll watch your credit score grow thanks to MoneyLion Plus’s credit monitoring program, which will provide you with a weekly credit score.

And this is all done through an app?

MoneyLion is an app-based bank. Once you download the free MoneyLion app, you’re all ready to improve your financial health. Your borrowing, saving, and investing accounts are all in one place on the MoneyLion app’s dashboard. The mobile app will deliver daily tips for improving your credit, saving, and investing. The app will also send you timely push notifications to help you prevent overdraft fees and be made aware of any credit score surprises.

What services does MoneyLion provide? 

MoneyLion provides users with a full range of financial services. These include:

  • A bank account: The MoneyLion checking account makes it easy to access your money whenever you need it. You’ll face zero bank fees and earn plenty of cashback rewards whenever you spend.
  • Loan services: If you have an urgent expense, MoneyLion makes it easy to borrow. When you sign up for a MoneyLion Credit Builder Plus account, you’ll receive a $500 low APR loan, which you’ll make monthly loan payments on to build credit. You can also borrow cash in an instant with zero APR Instacash. 
  • Managed investing: Once you have some money, it’s natural to want to grow it. The MoneyLion investment account helps you do just that. Add as much or as little as you want to this managed investment account and watch it grow. 
  • Cards: To help you access your money, MoneyLion will give you a card with zero initial fees. This can be used at any of MoneyLion’s 55,000+ ATMs—and can be locked quickly through the app if you run into security problems. MoneyLion also offers credit cards with rewards programs that help you earn just by spending.
  • Credit tracking: MoneyLion’s credit monitoring services help you track your credit score as it goes up so that you always know where you stand. 

MoneyLion Reviews: Here’s what customers are saying…

So what do customers think of MoneyLion? And how does it stack up against competitors in the online banking industry?

In the App Store, the MoneyLion app has 4.7 stars from nearly 57,000 reviews. This recent review from a long-time MoneyLion user raves about how much the service led to an improved credit score:

On the other side of the coin, this one-star review complains about MoneyLion’s subpar customer service and frustrations with loans:

In the Google Play store, where users have given MoneyLion 3.6 stars across more than 32,000 reviews, this user loves parts of the app and service but finds other elements of the service to be “predatory”:

In general, users have some misgivings about online banking and sometimes worry that services like MoneyLion aren’t “legit.” And some users have been critical of MoneyLion for getting financially vulnerable individuals stuck paying fees that are hard to cancel. In fact, MoneyLion even faced a class-action lawsuit for “ensnaring individuals in debt.” 

Overall, some users think it’s best to steer clear of the Credit Builder Plus membership and believe it’s wiser to build credit by simply opening a credit card and paying it on time rather than paying $20 a month for MoneyLion’s Credit Builder Loan.

MoneyLion is not accredited through the Better Business Bureau (BBB). The BBB site also states that MoneyLion has received a pattern of consumer complaints, with over 900 complaints closed in the past three years. This review on the BBB website sums up how some feel after working with MoneyLion:

MoneyLion FAQ

What is MoneyLion? 

MoneyLion is an online bank that enables users to save, borrow, and invest right in their mobile app. The service is aimed at users hoping to improve their financial health and improve their credit score. 

What bank is MoneyLion partnered with? 

MoneyLion’s checking account funds are held by Lincoln Savings Bank, Member FDIC. Although Lincoln Savings Bank is the financial institution that hosts your MoneyLion funds, MoneyLion still asserts that they are responsible for all activities related to your funds. You should still contact MoneyLion (and not Lincoln Savings Banks) for any questions or concerns related to your account.

How do I contact MoneyLion? 

You can contact MoneyLion through the mail at MoneyLion, Inc., P.O. Box 1547, Sandy, UT 84091-1547 or through their phone number, which is 1 (888) 704-6970. If you decide you want to cancel your MoneyLion services, you’ll want to call 1 (888) 659-8244.

Can MoneyLion help me save on insurance? 

MoneyLion is committed to helping you improve your financial health and boost your credit score. Having a strong credit score improves your standing in the eyes of insurance companies and can help you earn discounts. Additionally, MoneyLion’s rewards program perks can also help you save on rental car insurance while traveling. While MoneyLion isn’t specifically designed to help you save on insurance, many of its services make it easier to manage money that might go toward insurance coverage.  To truly save on insurance, you need Insurify. Insurify is the easy-to-use quote comparison tool that helps you understand the insurance landscape. Insurify makes it easy to access free quotes from a variety of car insurance companies. No more jumping from site to site, writing down quotes as you go. With Insurify, all the information you need about insurance is in one place. 

MoneyLion Contact Information

Phone number1 (888) 704-6970
AddressMoneyLion, Inc.
P.O. Box 1547
Sandy, UT 84091-1547
Customer service phone number1 (888) 659-8244
Emailsupport@moneylion.com
Websitewww.moneylion.com
Updated May 21, 2020

Mark Steinbach is a writer based in Brooklyn, NY. In addition to his years of work as a copywriter, he is also a TV writer with a degree in English from Harvard University. When he isn't writing, he can be found playing tennis or doing crossword puzzles.