Update 8/26/24: PrizePool is closing down. Due to the previous bad rates I assume most readers don’t still have accounts or at least no funds in there. You can find the best current high yield accounts by clicking here.
We are letting you know that PrizePool is being acquired. Unfortunately, this means we are winding down the PrizePool app and your PrizePool account will be closed on September 23rd. The last day for user-initiated withdrawals is on September 19th. Please make sure to withdraw or transfer your funds before that date. Any remaining funds will be pushed back to your linked account after that date. In the meantime, update your direct deposit and autopay information, and check that your physical address and other contact details with us are accurate in case we need to mail you any future correspondence. Key dates & account closure process will take place as follows: 8/23 — we will no longer accept sign ups for PrizePool. There will be no additional referrals created. Stacked purchases will be disabled. Initiating deposits (one-time, recurring deposits and Vault) from PrizePool will be disabled. Direct deposits will continue to work until 9/19. 8/29 — All ticket issuance stops, including weekly drawing bonus tickets, savings, debit spend, and shopping cash back. The last savings bonus will be issued. All tickets will be auto-submitted for the last weekly drawing on 8/30. 8/30 — Last Weekly Drawing Pro-rated Stacked refunds will start being issued All PrizePool games and rewards will cease 9/19 at 2PM PT — You will no longer be able to withdraw funds from the account nor receive direct deposits into the account This means you will no longer be able to withdraw funds or conduct electronic fund transfers, including use of your debit card to make purchases and payments, and initiate ACH transfers. We will work with users whose balances exceed their L1/L2 limits to increase their limits IMPORTANT: Please update any merchants or direct deposit providers who have your PrizePool account number on file. Any electronic fund transfers into your account will be declined or returned to the sender if they are received after your Account is closed. 9/20 – PrizePool will start pushing remaining funds back to linked accounts. Any funds that failed to be pushed out will be issued via check within 6-8 weeks. Please ensure your address on file is correct. Any pending cash back shopping commissions will be credited to the account 9/23 at 2PM PT — Your Account will be closed. You will no longer be able to login to the PrizePool app IMPORTANT: Please download any account statements before this date. We will also send out 1099s to individuals who qualify. PrizePool was founded in the midst of the pandemic with a mission to incentivize Americans to save more and build a better financial foundation. Thank you for supporting us on this journey for the past four years. If you have any questions, you can reach us at [email protected] or via in-app messaging. Sincerely, PrizePool
Hat tip to reader BlakeD
Update 11/24/20: PrizePool has sent out an e-mail stating that they will be offering PrizePool Series (weekly drawings instead of monthly) and you can win one prize per weekly drawing. Hat tip to Eduardo Baez
Offer at a glance
- Interest Rate:Â Unknown
- Availability:Â Nationwide
- Hard/soft pull:Â Soft pull
- ChexSystems: Unknown
- Credit card funding:Â Unknown
- Monthly fees:Â None
- Insured:Â FDIC
The Offer
- PrizePool is another prized link savings account similar to Yotta Savings. Every $1 you have in your account you receive one ticket per day. There are $50,000 in monthly prizes given out (one $25,000 grand prize and $25,000 in small prizes). There is a maximum of 750,000 tickets a month which is equivalent to about $25,000 a month. You’re also limited to winning one prize per month.
The Fine Print
- All bank account bonuses are treated as income/interest and as such you have to pay taxes on them
Avoiding Fees
This account has no monthly fees to worry about
Referral Program
PrizePool has a referral program, when you refer somebody you earn 10% of their winnings (this is an extra 10%, the person you refer doesn’t lose 10%). Below is inaccurate:
a referral is used both the referrer and referree receive 10% of each others monthly winnings for life (this is an extra 10%, neither party loses any of their winnings). For example, if I refer someone and they win $25,000, I’d get $2,500. If I won $25,000, they’d get $2,500. So ideally you’d want to use a referral from somebody who is going to keep funds in their account.
Our Verdict
Yotta Savings started with a very high APY and that has consistently dropped (now down to 1.66-2%). Unlike Yotta it’s difficult to know what the APY will be as all the prizes seem to be pooled? I think we will see a lot of these prized link accounts, probably the first month or so the effective APY will be high before it steadily drops. You can find more high yield accounts by clicking here.
Why would they be “acquired” and completely shut down? They don’t have a feature rich or well designed app, so not sure what someone would be buying as I doubt they have any tangible assets.
It’s probably an acqui-hire. TLDR: The company buys out a team with experience working together.
Companies are usually willing to pay $1 million per head (pretty much a bonus that vests over 4 years) + the standard TC (total comp), which is probably $300k to $600k per year, depending on their level.
It sounds better than we failed.
Prizepool is dead – email went out today with the tiered shutdown info. We are letting you know that PrizePool is being acquired. Unfortunately, this means we are winding down the PrizePool app and your PrizePool account will be closed on September 23rd. The last day for user-initiated withdrawals is on September 19th. Please make sure to withdraw or transfer your funds before that date. Any remaining funds will be pushed back to your linked account after that date. In the meantime, update your direct deposit and autopay information, and check that your physical address and other contact details with us are accurate in case we need to mail you any future correspondence. Key dates & account closure process will take place as follows: 8/23 — we will no longer accept sign ups for PrizePool. There will be no additional referrals created. Stacked purchases will be disabled. Initiating deposits (one-time, recurring deposits and Vault) from PrizePool will be disabled. Direct deposits will continue to work until 9/19. 8/29 — All ticket issuance stops, including weekly drawing bonus tickets, savings, debit spend, and shopping cash back. The last savings bonus will be issued. All tickets will be auto-submitted for the last weekly drawing on 8/30. 8/30 — Last Weekly Drawing Pro-rated Stacked refunds will start being issued All PrizePool games and rewards will cease 9/19 at 2PM PT — You will no longer be able to withdraw funds from the account nor receive direct deposits into the account This means you will no longer be able to withdraw funds or conduct electronic fund transfers, including use of your debit card to make purchases and payments, and initiate ACH transfers. We will work with users whose balances exceed their L1/L2 limits to increase their limits IMPORTANT: Please update any merchants or direct deposit providers who have your PrizePool account number on file. Any electronic fund transfers into your account will be declined or returned to the sender if they are received after your Account is closed. 9/20 – PrizePool will start pushing remaining funds back to linked accounts. Any funds that failed to be pushed out will be issued via check within 6-8 weeks. Please ensure your address on file is correct. Any pending cash back shopping commissions will be credited to the account 9/23 at 2PM PT — Your Account will be closed. You will no longer be able to login to the PrizePool app IMPORTANT: Please download any account statements before this date. We will also send out 1099s to individuals who qualify. PrizePool was founded in the midst of the pandemic with a mission to incentivize Americans to save more and build a better financial foundation. Thank you for supporting us on this journey for the past four years. If you have any questions, you can reach us at [email protected] or via in-app messaging. Sincerely, PrizePool
An Early Holiday Gift From PrizePool
Use PrizePool Debit to pay for your purchases from November 14, 2022 to January 13, 2023.
Reach at least $1,500 total spend during the promotion period.
Receive your bonus tickets!
– Reach $1,500 total spend and receive 300k bonus tickets.
– Reach $3,000 total spend and receive 300k additional bonus tickets, totaling 600k bonus tickets.
Win!
(Technically, this step occurs all throughout the journey since you’re still entered into Tap to Win for cash back prizes, earn 100 bonus tickets on every $1 spent, and entered into weekly drawings on top of this promotion
There has been a server error which prevents me from logging in to my account. Does anyone have the same issue?
There has been a sever error which prevents me from logging in to my account. Does anyone else have the same issue?
PrizePool is now offering an additional 5,000 20 cent prizes for each weekly series now, which should enable more people to get a prize each week now.
This seems wrong. I would think you would still need to report it if it’s under 600.
I won a prize! Do I have to pay taxes now?
Written by Frank Chien
That’s great! Saving money has really paid off for you!
If you win less than $600 (in a calendar year), you don’t have to worry about taxes. If you win over $600 (either all at once or with multiple prizes in a calendar year), we’ll send you a 1099 form in the new year which you can file with the rest of your income when you do your taxes.
What kind of winnings are people getting from this, with what balance kept there?
I’ve kept $500 there for a couple months, and I’ve won the same amount in every drawing, which is kinda strange. First monthly drawing 11/1: won $5; second month: $5; then weekly drawings 12/4: $2, 12/11: $2 (plus 10% for each one for using a referral link).
If someone has $1000 (twice as much) there, are you winning about twice as much? Though it’s hard to tell with a small number of drawings.
I have deposited only $483.00 since opening the account at the end of September 2020 and have earned $37.40 in prizes including referrals. So, my current balance is $520.40.
September 2020 drawing –> $5 monthly prize plus $0.50 referral prize ($5.50)
October 2020 drawing –> $10 monthly prize plus $1 referral prize ($11.00)
November 2020 drawing –> $10 monthly prize plus $1 referral prize ($11.00)
December 2020 Week 1 drawing –> $2 weekly prize plus $0.20 referral prize ($2.20)
December 2020 Week 2 drawing –> $2 weekly prize plus $0.20 referral prize ($2.20)
December 2020 Week 3 drawing –> $5 weekly prize plus $0.50 referral prize ($5.50)
It’s funny, after I posted on here, I didn’t win anything at all in the next 4 drawings.
Yotta has been underperforming for me recently as well. Finally got my HMBradley account opened, and I’ve been shifting my money there.
I won nothing in the last weekly drawing of January 8th, 2020. It was my first drawing without a prize.
Anyway, the more people on board, the less chance we have of getting a prize. So, we will start getting nothing more often now.
Few weeks ago, they stated a $500 balance gave you a 50% chance of winning a prize. Now, they say a $1,000 balance gives you a 50% chance of winning a prize. So, having only about $500 gives us slim chances of getting a price.
They are pushing people to deposit at least $5,000 since they say now a $5,000 balance gives you a 95% chance of of winning a prize.
They are escalating their game!
Not trying to be macabre the day before Thanksgiving but it is worth noting that PrizePool does not currently have a “beneficiary designation” function so may be some risks (delays) to your estate planning if you intend on using the account as a primary savings vehicle. I tried to add my wife as a beneficiary as I do with all my savings accounts and they said they could not, but working on it.