Cleo Cash Advance Review: A Good Option But Not for Everyone

Managing money can be tough, especially when unexpected expenses arise. Many people turn to cash advance apps to get quick financial relief. Cleo, a budgeting app with a built-in cash advance feature, claims to offer a smarter way to access funds while helping users develop better money habits.

But is Cleo a scam, or is Cleo cash advance legit? Many users wonder if the monthly fee is worth it and whether Cleo’s services truly help with financial stability. It’s important to properly understand Cleo’s features and offerings before trying out their services.

What Is Cleo?

Cleo is a financial management app that offers budgeting tools and cash advances. Founded in 2016, Cleo AI Ltd is based in New York, NY, and operates in 48 states and Washington, D.C. The app provides insights into spending habits, savings tools, and a humorous AI assistant designed to make money management more engaging.

While Cleo offers free budgeting services, its cash advance feature requires a paid subscription. Users can access funds without a credit check, making it appealing to those with low or no credit history. However, the app’s services come with certain costs and limitations that should be considered.

How Does Cleo Cash Advance Work?

Cleo cash advances provide a short-term financial cushion. Users can borrow between $20 and $500, depending on eligibility. The maximum loan amount starts at $70 and increases with a positive repayment history.

To qualify, users must:

• Be at least 18 years old
• Be a U.S. citizen or permanent resident
• Link an active bank account for transactions

Cleo does not require a minimum income, making it accessible to different financial situations. The app does not charge interest, but there is a $5.99 monthly subscription fee and an optional $3.99-$9.99 express transfer fee for same-day access.

Unlike traditional payday loans, Cleo does not run credit checks. This makes it a viable option for those needing fast cash without impacting their credit score. However, the fees may add up over time, making it important to evaluate whether Cleo is truly cost-effective.

Cleo’s Key Features

Cash Advances Without Credit Checks

One of Cleo’s main attractions is its no-credit-check cash advances. This feature allows users to borrow small amounts without affecting their credit score.

Budgeting and Financial Tracking

Cleo’s AI-powered budgeting tool analyzes spending patterns and suggests ways to save. Users receive notifications about upcoming bills and potential overdraft risks.

Cleo Wallet

This feature enables users to set money aside manually or automatically. However, it is not a traditional savings account and does not earn interest.

Credit Builder Card

For an additional $14.99 per month, Cleo offers a secured credit builder card. Payments are reported to major credit bureaus, helping users improve their credit scores over time.

Instant vs. Standard Transfers

Standard transfers take three to four business days. Users needing immediate funds can opt for an express transfer, but it comes with an extra charge.

Is Cleo Cash Advance Legit?

The company has been in business for nine years, which adds credibility. Cleo connects to bank accounts using Plaid, a widely used and secure financial technology service.

However, customer reviews present a mixed picture. Trustpilot rates Cleo at 4.2 out of 5 stars based on over 3,300 reviews, with most users praising the budgeting tools and AI assistant. The app also scores 4.6 stars on the App Store and 4 stars on Google Play.

On the other hand, Cleo holds an F rating with the Better Business Bureau (BBB). Complaints often mention difficulties with customer service and unexpected charges. While BBB ratings are not always a definitive measure, they suggest that some users have had negative experiences.

Cleo is not a scam, but its subscription fees and additional charges may not be ideal for everyone. Users should carefully evaluate whether the benefits outweigh the costs.

Pros and Cons of Cleo Cash Advance

Pros of Cleo Cash Advance

Cleo provides a range of useful features for users who want to better manage their finances. The app’s budgeting tools are particularly helpful for tracking spending and staying on top of bills. The AI assistant adds a fun, interactive element, offering reminders and helpful tips to keep users on track with their money goals.

A key highlight is Cleo’s no-interest cash advance option, which is beneficial for those who need small amounts of cash without the burden of high interest rates typical of payday loans. This can be a lifesaver for people in a financial pinch, provided they are mindful of the fees that can apply.

For those who enjoy a personalized financial approach, Cleo’s budgeting system allows users to set goals, track expenses, and even save money automatically. Plus, Cleo helps avoid overdraft fees by providing alerts for upcoming bills and low balances, which is a great tool for people with tight budgets.

Cons of Cleo Cash Advance

While Cleo offers a helpful service, it does come with some downsides that potential users should consider. The $5.99 monthly membership fee is a significant cost, especially when compared to other cash advance apps that do not require a subscription. For those who only need an occasional small loan, the monthly fee could feel like an unnecessary expense.

Another drawback is the express transfer fee. If you need to access your funds quickly, Cleo charges an additional $3.99 for same-day transfers, which can add up over time. Users who rely on these expedited transfers could end up paying a considerable amount in fees, making the service more expensive than it appears at first glance.

Additionally, while the app is designed to help users with budgeting and financial planning, some customers have voiced dissatisfaction with automatic upgrades to Cleo’s credit builder service, leading to additional charges. This has left some users feeling blindsided, as they were not fully aware of these changes.

Lastly, customer support has been a frequent point of criticism. Some users report difficulty getting help or resolving issues with transactions, which could be a frustration for those relying on timely assistance when managing their finances.

How Cleo Compares to Other Cash Advance Apps

EarnIn

EarnIn offers cash advances up to $750 per pay period. It does not require a subscription but charges a small fee for instant transfers.

Chime MyPay

Chime allows users to access up to $500 before payday without a subscription fee. Funds can be received within 24 hours.

Varo Cash Advance

Varo provides cash advances up to $500 with no membership fee. However, instant transfers come with a fee of up to $40.

Cleo’s main disadvantage compared to these apps is the required $5.99 monthly fee. Other platforms provide similar services without a mandatory subscription.

Verdict A Convenient Tool for Some, but Not Worth the Cost for Others

Cleo offers a legitimate and engaging way to manage finances, with helpful budgeting tools and a no-interest cash advance feature. However, the $5.99 monthly membership fee and optional express transfer fees make it an expensive option, especially for those who need frequent cash advances.

For users looking for a fun, AI-driven approach to budgeting and occasional small loans, Cleo could be a solid choice. The app’s budgeting tools and ability to track spending can be valuable for people working on better money habits. However, if you’re someone who needs larger cash advances or seeks fast access to funds without additional fees, alternatives like EarnIn, Chime, or Varo may provide better value.