What is Fidelity Bloom?
Fidelity Bloom is the latest banking app from Fidelity which replaces Fidelity Spire. This app is geared towards those new to personal finance and focuses on encouraging good financial health and learning. Unlike it's precursor Fidelity Spire, it also comes with more features that make it stand out among other banking apps.
Fidelity Bloom Features
One of the key benefits of Fidelity Bloom is the opportunity to receive a 10% match on your first $300 of deposits into your Fidelity Bloom Save account. This means that Fidelity will match 10% of your deposits up to a maximum of $30 in matching funds. This can help you save more money and reach your goals faster. After the first year, Fidelity will match 5% of your deposits.
10 Cents for Every Debit Swipe
Another benefit of the Fidelity Bloom app is the ability to earn a 10-cent reward into your Fidelity Bloom Save account every time you use your Fidelity Bloom debit card. This reward can add up quickly, especially if you use your debit card frequently for everyday purchases. These rewards can also be used to offset any account fees or investment management fees charged by Fidelity.
Access to Money Market Funds
Fidelity Bloom is marketed as a bank account but it's really a brokerage account behind the scenes. By default, your cash will be allocated to Fidelity's money market fund SPAXX. The current 7-day yield for this fund is 4.97% (as of 8/19/20223) which is higher than most competitive APY offerings banks are giving out right now. The yield is subject to change, but follows the interest rates set by the Federal Reserve similar to high yield savings accounts. Fidelity's money market funds tends to offer higher yields than even the best HYSAs and they are SIPC insured.
Finally, the Fidelity Bloom app offers up to 25% cash back when you shop in-app with over 1,100 participating retailers. This can be a great way to save money on purchases you would make anyway. This benefit is similar to what a lot of other banking apps are offering now (i.e. Venmo Debit Card + Dosh) however so it's not as unique.
If you are new to personal finance or want to take advantage of the 10% match and other benefits, Fidelity Bloom is a great app to consider. As of now, Fidelity is offering a $100 deposit bonus for the Fidelity Bloom® Spend Account and the Fidelity Bloom® Save Account. The total deposit amount between the two accounts needs to equals $25 or more to qualify for the bonus. You can read more about it here.