M1 Spend Hero

M1 Spend Review: A 1% APY & Cashback Checking Account

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M1 Finance Logo
M1 Spend
Fees and Pricing
Ease of Use
1% APY is Market-Leading
1% Cashback on Spending
Easy Integration with Other M1 Products
M1 Plus is Free for 1 Year
Must have M1 Plus for best rates

Did you know that the average APY for a savings account in US is only 0.07%? What if we told you there’s an account that can give you 1.0% on your idle cash? Well, there is!

M1 Spend is a high-yield cash account from M1 Finance – a free personal finance “super app” which allows you to invest, borrow, and save, all in one place. You can read more about M1 Finance here, or keep reading for our M1 Spend review.

What is M1 Spend?

M1 Spend is an FDIC-insured checking account and debit card that earns 1.0% APY and 1% cashback. The account is part of the M1 Finance platform, allowing you to integrate your investing, saving, borrowing, and spending all in one place.

M1 Spend is M1’s equivalent of a checking account, but with some important caveats that separate it from your typical account. It is an FDIC-insured checking account and debit card, and you can direct deposit, pay bills, and spend money with your M1 Visa debit card. Basically, just how you’d expect a checking account to operate.

With M1, your money is held with Lincoln Savings Bank, Member FDIC. The account gives you insurance protection of up to $250,000. The account is given a routing number and an account number, and you’ll receive an M1 Visa Debit card for purchases or for withdrawing from an ATM.

It also offers a “premium” version called M1 Plus, which offers 1.0% APY and 1% cash back on qualifying purchases. We’ll go into more detail about the M1 Plus account below.

M1 Spend Hero

How Does M1 Spend Work?

M1 Spend is a checking account that allows you to easily move your money into investment portfolios with no minimum account balance fees.  

Because of the integration with M1’s Invest and Borrow platforms, your money doesn’t have to sit idly as cash, earning almost nothing. You can easily and instantly move your money into your investment portfolios, where you have full control over choosing stocks, funds and directing your investments. You can even use this money to back up a low-cost line of credit with M1 Borrow.

The account also has no minimum account balance fees, and M1 will cover one ATM transaction fee per month (or up to 4 with M1 Plus). There is no annual fee for M1 Spend and a $125 annual fee for M1 Plus. There are some fees for using a debit card abroad for free users, but for M1 Plus members it’s all reimbursed.

It works like a checking account because it is a checking account. M1’s competitive advantage lies in its ability to integrate this account with other components of its platform, providing you the tools to manage your money and grow your savings, all in one place.

M1 Spend & M1 Plus

As mentioned above, M1 Plus is available for a fee of $125 a year, however is free to new customers for the first year. An M1 Plus account gives you specific bonuses for all pillars of the M1 platform (Spend, Borrow, and Invest).

M1 Spend vs. M1 Plus

In terms of M1 Spend, there are some specific perks worth mentioning. First, M1 Plus gives you 1% cash back on qualifying debit purchases. This means any purchase with your debit card, excluding transfers of funds (and other fine print).

M1 Plus also gives you 1.0% APY on the money in your checking account. This is quite significant and roughly 33x the national average for APY in a checking account. If you plan to store a significant amount of money in your checking account or plan to use your debit card somewhat frequently, the $125 fee will pay for itself.

But several other bonuses apply to other aspects of the M1 platform. For M1 Invest, you’ll have two trade windows (morning and afternoon) and the ability to set up “smart” transfers for managing your money through different accounts.

M1 Plus also gives you access to the lowest rate for M1 Borrow – only 2% (although certain conditions apply).

This is just to briefly touch on the bonuses offered by M1 Plus (more on this page). Overall, we think it’s a solid investment option if you will be using M1 Finance often. If you plan to use the checking account regularly and utilize the investing features to manage your money, then it’s a no-brainer. You can even start with the base M1 Spend and upgrade when you see fit.

Is M1 Spend Worth It?

Yes. As a checking account alone, M1 Spend is a great option. But when combined with the M1 Finance platform, and especially M1 Plus, it’s definitely a service that is worth your time and attention. Once you incorporate the benefits of M1 Plus’ (1.0% APY and 1% cash back plus the other benefits), you’ll have an account that does much more than the typical checking account.

One downside of the M1 Finance app is that there is no physical branch to visit. Additionally, you need to be careful of ATM fees. Even with M1 Plus, you are only covered for 4 ATM reimbursements per month. Simply put, this isn’t many, and you’ll need to be careful how often you withdraw money.

Overall, if you want to spend, borrow, and invest, all in one place, then we think M1 is a great choice. The ability to seamlessly transition cash into an investment portfolio is a major benefit. You don’t have to have your cash sitting by, earning almost nothing. M1 Spend is a worthy addition to M1’s existing portfolio as a “finance super app,” but be sure to watch out for the issues mentioned above.

M1 Spend vs. Others

So, how does M1 compare to other high-yield cash accounts offered by other major online banks? We’ve put together this handy chart to help you decide! You’ll see what is offered by M1 Spend, and we think it stacks up quite well to other offerings. We’ve included info on the interest rate, fees, debit card, and amount insured in this review. Click each link to learn more about each service. 

Do note that the information in the chart is based on M1 Plus:

High-Yield Cash Accounts Comparison

M1 Spend (Plus)Personal CapitalWealthfrontBettermentWealthsimple
Interest Rate*1.0%0.65%1.40%0.75%variable
Debit Card1% Cash BackNoNoComingNo
Insurance$250,000$1.5 million$1 million$1 million$500,000
Learn MoreLearn MoreLearn MoreLearn MoreLearn More
*Rates are variable and subject to change. Accurate as of May 20, 2021.


Overall, we really like M1 Spend. Taken on its own, it’s a pretty basic checking account. However, when integrated with the entire M1 Finance platform, it becomes a lot more. And with M1 Plus, you get all this and more, but you’ll have to decide whether it justifies the $125/year.

Thanks for checking out our comprehensive overview and M1 Spend review! You can find some FAQs below if you want to learn more.


Is M1 Spend Free?

Yes, it is free to open an M1 Spend account. However, there are certain potential costs you should be aware of. First, to upgrade to an M1 Plus account, it is $125/year (but free for the first year).

Additionally, M1 Spend has 1 ATM reimbursement per month. After that, there are ATM fees. M1 Plus members get 4 ATM reimbursements per month.

How to Open an M1 Spend Account

Opening an M1 Spend account is easy. Just click here to get started. You will have to fill in your personal and banking info. There is no minimum account balance to open an account.

How to Use M1 Spend

M1 Spend integrates into the M1 Finance platform, allowing easy integration with M1 Borrow and Invest, all through the intuitive app. You need to download the app. You will then have full control over your checking account and can manage, move, and withdraw/deposit funds. You can also use the desktop platform to access M1 Spend.

Once you open an M1 Spend account, you will be sent a debit card that you can use to make purchases. You will also receive an account and routing number for direct deposit or bill paying.

Is M1 Spend FDIC Insured?

Yes! M1 Spend is an FDIC-insured checking account. Your money will be held with Lincoln Savings Bank, Member FDIC. You get insurance protection up to $250,000.

What is M1 Spend’s Routing Number?

M1 Spend’s routing number is 073923033. You will also receive an account number for your individual account, which you can use for direct deposit and bill paying.

Is There a Minimum Balance Required?

No, there is no minimum balance required for either Free, or M1 Plus members.

What are M1 Spend’s International Fees?

If you’re an M1 Plus member, all international fees are reimbursed. If you’re a free member, fees range between 0.8% and 1.0%

M1 Spend

1.0 % 

1.0% APY & Cashback