You have heard about Outlet, and you want to know all about it. With their claim of bringing you up to 6% on your profits, it sounds like a good opportunity if you want a slow-growing yet safe investment opportunity.
Nonetheless… is it a good opportunity?
We will answer all of your doubts in this concise review!
What Does Outlet Offer?
As their claim says, they bring you the opportunity to earn on your savings, being 6% the maximum. However, as they also claim, sometimes the Outlet rate is variable, and in such cases, it can be up to 100 times more than the average of a traditional bank.
Here is the info to back up their claims regarding the 100x interest rate, using $5000 as the initial deposit:
- Outlet: 1.37%
- Betterment: 0.3%
- Wealthfront: 0.3%
- SoFi: 0.3%
- TD Bank: 0.05%
What is worse, the average of banks is around 0.05%. Now you can see why Outlet is a much better option for investing your money.
You only need to deposit money to your Outlet account and that is all, you just can sit down and see your money grow, because they even have a live display of your current earnings.
What Are The Main Pros of Outlet?
Personally, we like the platform because it brings a straightforward manner to start investing in a safe way. We consider the following to be the principal pros of the platform:
- 100% Free – You can download it on your Android or iOS device with no cost
- No Minimum Balance – You can start with any amount you want
- Better Interest Rate – As you can see, the interest rate is much higher than the average of banks
- Your Money Is Covered – You can invest without risks, since your money is protected thanks to their partnership with Nexus Mutual, bringing each account protection of up to $50,000 USD, and of course, they also offer solutions for accounts bigger than that
- Easy Deposit and Withdrawal – You can do it at any time you please, and thanks to the bank integrations, you can do it in a couple of clicks
- Top-Notch Security – The entire platform is protected by military-grade encryption and they also use a SOC 2 Type II report
- You Have the Control – You are the only one who is entitled to deposit into your account
What Are The Cons of Outlet?
In all senses, the platform is excellent because they fulfill what they promise, however, they also have certain counts:
- Slow Growth – Even though their interest rate is higher than the average of banks, it is still quite slow
- Better Suited for Large Accounts – Because as you have seen, with that interest rate, it is not ideal for small sums of money
As you can see, Outlet is an excellent platform for safe and steadily growing investments. It is an excellent option for large funds since you do not have to do anything and your money is protected. It is just a deposit, set and forget, as you only have to count the money you earn!