Online-only banks, which have become more popular in recent years, are known for offering deposit accounts without minimum balance requirements or monthly fees — and Chime is no exception. Founded in 2012, Chime is a financial technology (fintech) company offering two deposit products through partnerships with two FDIC-insured banks.

As an online financial company that provides mobile banking services, Chime doesn’t have any physical branches. As such, Chime is best for customers who are comfortable solely banking online. Chime has just two deposit accounts to choose from — a savings and a checking account — so it won’t appeal to customers who are looking to consolidate their finances under one roof. However, both accounts are free to open and come without pesky fees.

There’s no minimum balance requirement to open a checking account at Chime, and there isn’t a monthly fee, either. The account comes with a Visa debit card and 24/7 mobile banking through Chime’s highly-rated mobile app available for iOS and Android. The account also features early direct deposit, so customers can get their paychecks up to two days earlier. They’ll also have access to their cash via 50,000 fee-free ATMs across the U.S.

Chime’s overdraft service, called SpotMe, will cover overdrawn transactions on debit card purchases. To qualify, customers must receive $200 or more in qualifying direct deposits over the last 34 days. Initially, Chime will only cover overdrafts up to $20, but that limit can go up to $200 depending on your account activity and history. If you overdraw more than your limit, or if you don’t have SpotMe at all, Chime will simply decline the transaction, but you won’t be charged a fee. All this noted, you must be a Chime+ member to unlock access to SpotMe, which you can become by making at least $200 in qualifying direct deposits in the preceding 34 days.

Chime offers a high-yield savings account, but the yield isn’t robust unless you’re a Chime+ member, which you can become by making at least $200 in qualifying direct deposits in the preceding 34 days in a Chime checking account. You can easily find other online banks offering a better annual percentage yield (APY) than Chime’s base yield.

As with Chime’s checking account, there are no monthly fees or minimum balance requirements to worry about, making the account highly accessible for consumers.

• Other online banks provide a better APY with no strings attached.

Chime’s services are provided by The Bancorp Bank and Stride Bank. Both banks are FDIC-insured up to the limit allowed by law: $250,000 per depositor, per account type. In addition to two deposit accounts, Chime offers a credit card through its Credit Builder card, which can be used everywhere Visa credit cards are accepted.

Chime offers customer service through live chat, phone and email. Assistance over the phone and live chat is available 24/7. The live chat feature is available through Chime’s highly rated mobile app.

Chime is an option for customers who prefer online-only banking and want to avoid fees and minimum balance requirements. While it lacks physical branches and a wide range of account types, its user-friendly app makes it a strong choice for those seeking simple, mobile-first banking. The only caveat is that some features — including Chime’s top yield on its savings account — are locked behind Chime+ status.

With so many financial institutions to choose from, it can be hard to know who to trust. Bankrate’s ever-growing list of bank and credit union reviews is updated regularly. Our editorial team analyzes and reviews each institution across deposit products such as savings accounts, checking accounts, certificates of deposit (CDs) and money market accounts (MMAs). Banks are rated by important factors such as offered interest rates, fees, minimum balance requirements, access to funds and more. We assign a score to each type of account and its features, weigh them carefully based on importance to account holders and determine an overall score. Read our full review methodology.