Are you looking for ways to earn more on your savings without locking your money away? The Tellus app promises competitive interest rates that can reach up to 10% APY through its unique cash management platform.
The Tellus app operates differently from conventional banks. Instead of FDIC insurance, your funds are backed by real estate mortgages.
This comprehensive Tellus app review examines everything you need to know about this fintech solution that has gained attention for offering significantly higher returns than traditional savings accounts.
Key Takeaways
Here are the essential points about the Tellus app that every potential user should understand:
- High Interest Rates: The app offers competitive rates with the Reserve Account providing 8.00% APY on balances up to $2,500 and the Boost Account offering a base rate of 6.00% APY with opportunities to earn up to 10% through daily boost rewards.
- Not FDIC Insured: Unlike traditional banks, Tellus is not FDIC insured. Your deposits are instead backed by real estate mortgages and the company maintains overcollateralized loans as protection for user funds.
- Free to Use: The platform charges no monthly fees, no transfer fees, and no subscription costs. The only requirement is a minimum deposit of $125 to start earning interest and ensure daily earnings of at least $0.01.
- Daily Interest Payments: Interest compounds and pays daily rather than monthly, which can significantly increase your earnings over time compared to traditional savings accounts.
- Mobile First Experience: The entire platform operates through a mobile app with customer support available through in-app chat Monday through Friday from 9 AM to 5 PM PST.
What is the Tellus App
The Tellus app is a fintech platform that functions as a digital wallet and cash management system. The company launched with the goal of helping users earn higher returns on their savings by connecting their deposits to real estate investments.
Tellus operates as an investment platform rather than a traditional bank. The app generates returns by funding residential real estate loans, particularly in stable markets across the United States. This business model allows them to pass higher interest rates to users while maintaining what they describe as low risk lending practices.
The platform targets users who want better returns than traditional savings accounts but prefer not to invest directly in stocks or other volatile assets. Users can access their funds anytime, making it more flexible than certificates of deposit or other time locked investments.
The app has received positive ratings in mobile app stores, earning 4.2 out of 5 stars on Google Play and 4.4 out of 5 stars on the Apple App Store. These ratings reflect generally satisfied users who appreciate the higher interest rates and user friendly interface.
How Tellus Works
The Tellus app operates through a straightforward process that takes just minutes to set up. Users download the mobile app, complete the registration process, and can begin transferring funds immediately.
Fund Transfer Process: You can transfer money into your Tellus account through ACH transfers from your linked bank account or through Zelle payments. The platform currently allows users to link only one external bank account for security purposes.
Interest Calculation: Interest accrues daily on your entire account balance. This daily compounding means your earnings grow faster than accounts that compound monthly or quarterly. The platform calculates and displays your interest earnings in real time through the app interface.
Boost Rewards System: The unique feature of Tellus is its boost rewards program. Users can activate daily boosts by logging into the app, answering trivia questions, or participating in promotional activities. These boosts temporarily increase your interest rate above the base APY.
Withdrawal Process: You can withdraw funds anytime without penalties, though transfers typically take one to two business days to complete. Some withdrawals may take up to seven business days depending on your bank’s processing times.
Tellus Account Types
The platform offers several account options designed for different savings goals and preferences. Each account type provides unique benefits while maintaining the core features of high interest rates and daily compounding.
Reserve Account Features
The Reserve Account provides a hands off approach to earning higher interest rates. This account pays 8.00% APY on balances up to $2,500, which represents a significant improvement over traditional savings accounts.
The Reserve Account does not include boost features, making it ideal for users who prefer consistent returns without daily engagement. Once your balance reaches the $2,500 limit, excess interest automatically transfers to your Boost Account.
Recent updates have allowed users to increase their Reserve Account limit to $4,000 by completing specific tasks within the app. This feature provides additional earning potential while maintaining the simplified approach of the Reserve Account.
Boost Account Overview
The Boost Account serves as the primary offering from Tellus, providing a base rate of 6.00% APY with no maximum balance limits. This account appeals to users who want to maximize their earnings through active participation.
Daily Boost Rewards represent the key feature of this account. Users can earn temporary rate increases by completing simple daily tasks such as logging into the app, answering trivia questions, or participating in monthly promotions.
The boost system can increase your effective rate to as high as 10.00% APY for varying periods. Extended boosts may last for weeks or months and often require actions like referring friends or engaging with special promotions.
Interest Rates and APY
Tellus offers some of the most competitive interest rates available in the cash management space. The platform’s rates significantly exceed traditional bank offerings and compete favorably with other high yield alternatives.
Current Rate Structure shows the Reserve Account at 8.00% APY for balances up to $2,500, while the Boost Account provides 6.00% APY base rate. These rates update periodically based on market conditions and the performance of the underlying real estate investments.
Rate Comparison with traditional banks reveals the advantage of the Tellus platform. The average savings account rate according to FDIC data is approximately 0.42% APY, making Tellus rates roughly 15 to 20 times higher than conventional options.
Boost Potential allows active users to achieve rates up to 10.00% APY through the daily rewards system. While these elevated rates are temporary, consistent participation can significantly increase your overall returns compared to the base rates.
Rate History shows that Tellus has increased rates several times since launch, with the most recent increase bringing Reserve Account rates from 6.10% to 8.00% APY and Boost Account base rates from 5.75% to 6.00% APY.
Stacks and Vaults Features
Tellus provides additional account features that help users organize their savings goals and potentially earn even higher rates through longer term commitments.
Stacks Functionality
Stacks operate as virtual subaccounts that help users save for specific goals while earning the same high interest rates as the main Boost Account. Users can create unlimited Stacks for different purposes like vacation funds, emergency savings, or major purchases.
Each Stack requires a minimum balance of $125 and automatically benefits from any boost rewards you activate. The platform allows customization with descriptions and target amounts, making it easy to track progress toward specific financial goals.
Automated Savings features enable recurring transfers from your main account or external bank to specific Stacks. This automation helps build consistent saving habits while maximizing the benefit of daily compounding interest.
Vaults for Higher Returns
Vaults function similarly to certificates of deposit, offering higher interest rates in exchange for committing funds for specific time periods. These accounts appeal to users with excess cash they do not need immediate access to.
Current Vault Rates include 4.65% APY for six month terms, 5.00% APY for twelve month terms, and 5.12% APY for twenty four month terms. These rates may change based on market conditions and are guaranteed for the duration of your commitment.
Minimum Requirements for Vaults start at $1,000, significantly higher than other Tellus account options. However, there are no maximum balance limits, allowing users to earn vault rates on substantial deposits.
Security and Safety
Understanding the security framework of Tellus is crucial since the platform operates differently from FDIC insured banks. The company implements what it calls “triple layer protection” to safeguard user deposits.
Real Estate Backing forms the foundation of Tellus security. All user deposits are backed by residential real estate mortgages, primarily concentrated in stable markets across the Pacific Northwest region of the United States.
Overcollateralization means that the value of real estate securing loans exceeds the loan amounts. As of recent reports, Tellus maintains at least $1.30 in real assets for every $1.00 of customer deposits, providing a buffer against potential losses.
Additional Cash Reserves supplement the real estate collateral. The company maintains extra cash reserves as an additional protective layer, though the specific amounts are not publicly disclosed.
Technical Security includes bank level encryption using AES-256 standards to protect personal and financial data. The platform implements standard security measures for data transmission and storage.
Fees and Costs
One of the attractive aspects of the Tellus platform is its fee structure, which eliminates many common charges associated with traditional banking products.
No Monthly Fees means users never pay recurring charges for maintaining their accounts. This fee free structure applies to all account types including Reserve, Boost, Stacks, and Vaults.
No Transfer Fees for moving money into your Tellus accounts through ACH transfers. However, your external bank may charge fees based on their own fee schedules for outgoing transfers.
Withdrawal Considerations include a $5 fee for withdrawal requests under $50. This policy encourages users to make larger, less frequent withdrawals rather than numerous small transactions.
Minimum Deposit Requirements include $125 for Reserve and Boost accounts and $1,000 for Vaults. These minimums ensure that accounts generate at least some daily interest earnings.
Customer Support and App Experience
The Tellus app provides customer support primarily through digital channels, reflecting its mobile first approach to banking services.
Support Availability runs Monday through Friday from 9 AM to 5 PM Pacific Time through in-app live chat. Users can also submit questions through contact forms on the company website for non urgent inquiries.
App Performance receives generally positive reviews with ratings of 4.2 stars on Google Play and 4.4 stars on the Apple App Store. Users appreciate the clean interface and straightforward navigation for managing their accounts.
Response Times for customer support are generally quick during business hours, with most issues resolved promptly through the chat system. The support team appears knowledgeable about platform features and common user questions.
Limited Support Hours represent a potential drawback for users who prefer 24/7 availability. The lack of phone support may also disappoint users who prefer voice communication for complex issues.
Pros and Cons
Understanding both the advantages and limitations of the Tellus platform helps potential users make informed decisions about whether the service fits their needs.
Major Advantages
Competitive Interest Rates represent the primary benefit, with rates significantly exceeding traditional bank offerings. The boost system provides opportunities for even higher returns through simple daily activities.
No Fee Structure eliminates monthly charges and most transaction fees, allowing users to keep more of their earnings. This approach contrasts favorably with many traditional banks that charge various service fees.
Daily Interest Payments and compounding provide faster growth compared to monthly or quarterly compounding schedules used by many banks. This feature can significantly impact long term returns.
Flexible Access allows withdrawals at any time without penalties, providing liquidity similar to traditional savings accounts while earning much higher rates.
Notable Limitations
No FDIC Insurance represents the most significant concern for risk averse users. While the company provides alternative protections, this difference may concern users accustomed to government backed deposit insurance.
Limited Customer Support hours and channels may frustrate users who need assistance outside business hours or prefer phone communication.
High Minimum Deposits of $125 for basic accounts and $1,000 for Vaults may exclude users with smaller initial deposits compared to many traditional banks with no minimums.
Real Estate Risk exposure means that user deposits are subject to real estate market conditions, though the company maintains overcollateralized loans to mitigate this risk.
User Reviews and Feedback
Customer feedback provides valuable insights into the real world experience of using the Tellus platform for cash management and savings goals.
Positive Reviews frequently mention satisfaction with the high interest rates and user friendly app interface. Many users appreciate the daily boost system and find it engaging to participate in trivia questions and promotional activities.
Trust and Reliability feedback generally shows confidence in the platform, with users reporting consistent interest payments and smooth withdrawal processes. The transparent communication about how the platform works helps build user confidence.
Common Complaints include limited customer support hours and occasional technical issues with the app. Some users have reported difficulties with initial account setup or linking external bank accounts.
Long Term Users tend to express satisfaction with their experience and often recommend the platform to others seeking higher returns on savings without stock market exposure.
FAQs
Is Tellus FDIC insured?
No, Tellus is not FDIC insured because it operates as a fintech company rather than a traditional bank.
What is the minimum deposit required?
The minimum deposit is $125 for Reserve and Boost accounts, and $1,000 for Vault accounts.
How quickly can I withdraw money?
Most withdrawals process within one to two business days, though some may take up to seven business days.
Are there monthly fees?
No, Tellus charges no monthly fees, transfer fees, or subscription costs.
How does the boost system work?
Users can activate daily boosts by logging in, answering trivia questions, or participating in promotions to temporarily increase interest rates.
What backing secures my deposits?
Deposits are backed by residential real estate mortgages with overcollateralized loans and additional cash reserves.
Can I link multiple bank accounts?
Currently, Tellus allows linking only one external bank account for security purposes.
What customer support options are available?
Support is available through in-app live chat Monday through Friday from 9 AM to 5 PM Pacific Time.
