Customers can deposit their cash for free at 8,500+ Walgreens locations. In its announcement, Chime makes the comparison between Walgreens locations and bank branches, mentioning that the new partnership offers more walk-in locations than users have with any bank in the U.S. Also worth noting is the fact that 78% of Americans live within five miles of a Walgreens store.
“We know having access to a physical location for cash deposits is important to our members, and until recently, the options have been limited,” said Chime Co-founder and CEO Chris Britt.
Chime users can make deposits by handing the Walgreens cashier their cash and their Chime debit card. Once the cashier loads the funds into the user’s account, the money is available immediately. Customers are limited to three $1,000 cash deposits each day and $10,000 each month.
Chime’s Walgreens partnership adds to the company’s existing cash deposit capabilities. Customers can also deposit cash at 75,000+ other retail locations including Walmart, CVS, and 7-Eleven, though these stores charge a loading fee of anywhere from $3 to $5. Partnerships with pervasive retailers such as these are key for Chime, since many of the challenger bank’s users receive earnings and tips in cash.
Today’s news comes as Walgreens itself is entering the alternative banking arena. The company announced earlier this year it is partnering with InComm and Mastercard to launch a new bank account offering with a debit card that will pair with a mobile banking app and in-person service at Walgreens locations.
Chime was founded in 2013 and has since risen to the top of challenger banks in the U.S. The company has 20 million customers and boasts a valuation of $25 billion (though the accuracy of that number has been disputed).