The core investment philosophy of Save is to generate stable returns on savings or deposit instruments and other cash accounts using market investments that do not require any customer outlay of capital but, rather, utilize the economic value to make investments on your behalf.
For the Wealth Card, the economic value is the interchange fee typically charged by card providers to merchants when processing credit transactions to help fund our investment. We don't pocket this fee for ourselves but rather use it for you to provide a savings opportunity.
For the Market Savings investments, we utilize the economic value of our customers' accounts, but not their accounts' principal itself. That economic value could be due to the interest that the customer forgoes.
These external revenues to the customers' savings/spending are used to finance the investment and ensure it doesn't lose value.
Any economic value is funded by Save, Save's partner banks, and/or payment networks, and there is no requirement for customer outlay of their own capital, nor do we fund it from customer accounts. For the Market Savings program, all cash deposited by customers is placed in an FDIC-insured bank account† and is not used to fund investments and is therefore not at risk of loss. It is important to note that Save is not a bank, but we partner with FDIC-insured member banks.