Vanguard Cash Plus Account Review: Online Cash Management Account

The Vanguard Cash Plus Account offers a high interest rate, but withdrawals and deposits are limited to online transfers.
Chanelle Bessette
By Chanelle Bessette 
Published
Edited by Sara Clarke

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NerdWallet rating 

The Vanguard Cash Plus Account offers a high interest rate and federal insurance up to $1.25 million for individual accounts. It’s a cash management account, which provides the services and features of checking or savings accounts, but these types of accounts are typically offered by brokerages, not banks. These brokerages sweep customer deposits into accounts at partner banks behind the scenes to provide insurance.

Best for: Vanguard customers who wish to earn a high interest rate and have access to a higher-than-average federal insurance limit on their savings.

Reviewed in: Feb. 2024. Period considered: Feb. 2024.

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Where Vanguard shines

Where Vanguard falls short

  • Offers a high annual percentage yield.

  • Annual fee is easily waived with e-statements.

  • High federal insurance limit through partner banks.

  • Limited ways to make withdrawals and deposits.

Checking and savings features

4.0

NerdWallet rating 

Upsides

High interest rate. With a rate of 4.60% APY, the Vanguard Cash Plus Account rivals the rates found on many high-yield savings accounts.

No minimum balance requirement. The account doesn’t require customers to maintain a minimum balance to keep the account open.

High federal insurance through third-party banks. Vanguard works with partner banks to sweep customer funds into accounts that are insured by the Federal Deposit Insurance Corp. Customers can get up to $1.25 million in insurance on their deposits or up to $2.5 million for a joint account.

Easy way to avoid annual fee. The account comes with an annual fee of $25 that can be waived if you sign up for e-statements.

Unlimited number of transactions. There is no limit to the frequency of transactions that can be made with the account.

High withdrawal limit. Customers can withdraw up to $100,000 in a single business day.

Downsides

No way to withdraw or deposit cash, and no check writing. The only way to move money with the Vanguard Cash Account is through online transfers using your routing and account numbers. The account can also receive direct deposits and mobile check deposits.

Customer experience

4.0

NerdWallet rating 

Upsides

Solid website and decent app ratings. Vanguard’s website is easy to navigate, and its mobile app has decent ratings in the Apple and Google app stores.

Mobile check deposit available. Customers enrolled in Vanguard Cash Plus are able to fund their account with the Vanguard mobile app.

Downsides

Limited customer service phone hours. Vanguard offers extended daytime hours of 8 a.m. to 8 p.m. Eastern time for phone customer service, but there are no weekend hours.

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