X launched its X Money payments service in the US on Monday. The rollout is limited to paying subscribers, who get a deposit account, a Visa card, fee-free payments and up to 6 percent interest.
The service has been promised since 2024 and has been in closed testing since late June. The rollout remains limited and currently covers a portion of paying subscribers in the US. For them, the X app becomes a place to receive wages, pay bills and earn interest on deposits without leaving the platform.
X Money combines a deposit account, payments between users and a Visa debit card inside the X app. Users can send, receive and request money from others on the platform with no fees or limits, according to the company. The service also covers bill payments, wire transfers, mailing physical checks and direct deposit, with wages available up to two days before the usual payday.
A virtual card is issued automatically and can be added to Apple Pay and Google Pay. Users can also order a physical metal card and decide for themselves whether their X username appears on it. The card gives 3 percent cash back on eligible purchases, fee-free ATM withdrawals worldwide and no foreign transaction fees. Certain services are excluded from the cash back scheme.
The account is secured with passkeys, meaning login without a password, and users can set their own limits and require additional authentication for selected transactions. New users may receive a 15 dollar welcome deposit. The age limit is 18.
The clearest incentive is the rate. X advertises up to 6 percent annual yield on deposits, against roughly 4 to 5 percent at the most competitive US high-yield savings accounts and close to zero at the large traditional banks.
The rate is not the same for everyone. Premium+ subscribers get the highest level from day one, while regular Premium subscribers must meet requirements for qualifying direct deposits to reach the same level. The rate therefore depends both on subscription tier and on how the account is used.
X Payments LLC is not an FDIC-insured bank. Deposits are held at Cross River Bank in New Jersey, a lender used by a range of US fintech companies, and that is where the deposit insurance sits — up to 250,000 dollars per depositor.
Deposits are also automatically enrolled in a cash sweep program, where balances are spread across several banks in a network to extend coverage. X states up to 10 million dollars in aggregate FDIC coverage through the arrangement, subject to limits and certain conditions.
The service is currently available to a portion of paying subscribers in the US, following a test phase that began in late June. X has signalled further expansion but has not put figures on when, or which user groups come next.
Sources: The Independent, Mashable, Euronews, 9to5Mac, Engadget, X Money
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