Discover Revamps Rewards for Cashback Checking Accounts
Discover Cashback Checking users can now earn 1% cash back for debit card purchases. This offer is capped at $3,000 in qualifying purchases per month and does not include ATM withdrawals, cash back at registers, or payments made through a peer-to-peer transfer service such as PayPal or Venmo.
Cashback Checking is an online checking account provided by Discover. Accountholders can load money into their accounts via direct deposit, digital transfers from another bank, or mobile check deposit. Discover offers free ATM withdrawals through a network of 60,000 ATMs nationwide, and users can write checks through their Cashback Checking account.
In addition to the cashback rewards, the online checking account provides free online bill pay and no monthly fee. There is no minimum deposit for the account, and users can redeem their cashback rewards at any time.
Arijit Roy, Discover’s vice president of Deposits, said, “We know customers are looking for something truly different, which is why we created a checking account that not only rewards customers with cash back when they use their own money, but also helps them save by not charging any fees.”
This testament was proven during the recent Bank of America eBanking outrage. Bank of America ended its free checking service and replaced it with a $12 monthly fee account. Customers launched a petition online that amassed thousands of signatures in under a week. One month later, the petition currently has almost 375,000 signatures.
There is one major drawback to the Discover Cashback Checking services. At this time, there is no way to deposit cash directly into the account. You can deposit it into another bank and transfer to your Discover account, but you cannot go to a store or ATM to put physical money into your digital account. By comparison, mobile-only bank Chime offers cash deposits at 60,000 Green Dot providers nationwide.