Ready to earn rewards for your business spend?
The single best, new opportunity to earn points right now is with a no-fee Brex Cash account. Not only can you earn 110,000 bonus points (redeemable for 110,000 airline miles or $1,100), but you can get an account that will prove incredibly valuable for your business.
In this post I wanted to provide an updated, consolidated list of Brex Cash FAQs, given all the questions we’ve received. We’ve been able to get clarity from Brex on some frequent questions (in particular regarding instant approvals and denials), which are reflected below.
For background on the amazing Brex Cash offer, see previous posts:
- Exclusive: 80K Points With Brex Business Cash Account
- My Experience Opening A Brex Cash Account (Easiest 110K Points I Ever Earned)
- How To Redeem Brex Points For Cash & Travel
- Save Money With Brex Perks & Partner Offers
Brex Cash FAQs
I’ve received so many questions about Brex Cash, and that’s understandable:
- On the surface this offer might sound too good to be true
- This isn’t a credit card or checking account, so it’s unlike anything else available in the market
- This is a product many people weren’t previously familiar with, so there’s a learning curve
In this post, I wanted to provide some consolidated answers to some of the questions I’ve received most often.
Is a Brex Cash account a checking account?
While a Brex Cash account in many ways functions similar to a business or corporate checking account, it isn’t actually one. Rather it’s a cash management account. What’s the difference?
You link your business checking account to your Brex Cash account, and then you can transfer funds so that you can do everything from payroll to bill pay through there.
That’s the beauty of Brex Cash — it feels like the best, lowest fee, highest-tech, and most cohesive business account you could possibly have.
Is the Brex Card a credit card?
When you open a Brex Cash account you’ll automatically get a Brex Card, which you can use for purchases:
- You can use it virtually or get a physical card
- It functions just like a credit card (including from the perspective of merchants) — you can earn bonus points and pay with it in the same you otherwise would with a credit card, but it isn’t actually a credit card
- Rather it functions more like a very rewarding debit card, in the sense that money is automatically withdrawn from your Brex Cash account; the limit on your Brex Card will be 80% of your Brex Cash account balance
How many points does the Brex Card earn?
When you use the Brex Card that comes with your Brex Cash account for spending, you can expect to earn the following number of Brex points when using the daily payment method:
- 8x points on rideshare
- 5x points on travel booked through Brex
- 4x points on dining & restaurants
- 3x points on Apple products
- 3x points on recurring software
- 1x points on everything else
Are there fees for a Brex Cash account?
No, there are no fees for opening or maintaining a Brex Cash account. Actually, you’d be hard-pressed to find an account out there that comes with fewer fees. There’s no annual fee, no wire fees, no foreign transaction fees, no authorized user fees, no points transfer fees, etc. I’ve been using Brex for everything from payroll to bill pay, and I have paid exactly zero in fees.
Are Brex rewards taxable?
No, Brex rewards generally won’t be taxed, or at least I’m told you shouldn’t receive a 1099 from Brex. Of course you’ll want to talk to your tax advisor about tax implications, etc., but just like with credit card rewards, generally you won’t pay taxes on Brex rewards.
Are Brex deposits insured?
All Brex Cash deposits at program banks are FDIC-insured up to $250,000.
Brex Cash Application Questions
Is there a credit pull when you apply for Brex Cash?
No, there’s no credit pull when you apply for a Brex Cash account, so this won’t in any way be reflected on your personal credit report. On the application you will be asked for your social security number, but that’s simply due to federal data-collection requirements.
Does opening a Brex Cash account count towards 5/24?
If you’re looking to minimize inquiries for Chase’s 5/24 rule, then no, opening a Brex Cash account won’t impact you. As mentioned above, this won’t report to your personal credit report, and there won’t even be a credit pull.
Do you have to be a US citizen to apply for a Brex Cash account?
You need to have a US-registered business to apply for a Brex Cash account, but you don’t actually have to be a US citizen.
Can sole proprietorships get a Brex Cash account?
No, sole proprietorships can’t get a Brex Cash account. You must have a C-corp, S-corp, LLC, or LLP, to qualify for a Brex account.
Is there a minimum funding requirement for opening a Brex Cash account?
No, there’s no minimum funding requirement to open a Brex Cash account. However, your credit limit on the linked Mastercard will be 80% of your Cash balance.
Do you need a business checking account to open a Brex Cash account?
Yes, you need to have a business checking account to open a Brex Cash account. You can’t link your personal checking account.
Can you open a Brex Cash account for multiple businesses?
If you run multiple businesses then you can absolutely open a Brex Cash account for each business, and you’d be eligible for a bonus on each account. The limitation is per business, and not per person.
When applying for a Brex Cash account, should you put anything in the “referral” field?
No, you will want to keep the referral field empty. As long as you apply using the OMAAT link, you will be eligible for the bonus discussed above.
Why are some businesses not offered product choices during the application process?
During the application process, some businesses will be presented with the option of applying for Brex Cash, Brex Card, or Brex Cash and Card. If you are presented with these options, I recommend Brex Cash, since this is the amazing offer we’re talking about.
However, businesses that are self-funded and/or not tech companies will automatically be pushed to the Brex Cash product. That’s a good thing, and is just intended to simplify the process.
Are Brex Cash account approvals instant?
In general, most Brex Cash accounts are approved instantly, and you can start using your account right away, from bill pay, to payroll, to using your virtual Brex Card.
In some cases applications may need to be manually reviewed, in which case it may take a few days to get approved. This seems to be particularly common for companies where Brex is unable to collect the information needed to verify the business, which is often the case for companies without a big electronic presence. Companies in certain industries also require additional review, based on Federal banking regulations related to those types of businesses.
Given the influx of new accounts, if your business profile does require manual underwriting, it may take a few weeks.
It looks like I was approved, but I can’t fund my account, and Brex says it’s “pending” or “suspended”?
You likely haven’t yet been fully approved, and your application is still being reviewed. When Brex primarily served venture-backed businesses, it made sense to give access to the portal and discounts in advance of the formal approval. This isn’t a great user experience at scale as it creates confusion (and we’ve shared that feedback), but that’s the backstory.
Due to Federal regulations like Know Your Customer and the Patriot Act, Brex is required to collect and maintain information on depositors before they can allow them to transact. As Brex isn’t doing a personal credit check here, there are additional steps to collating that data. If your account is suspended, it likely has nothing to do with you, or even with Brex, but with the need to tick the legal boxes before moving forward.
Why did I get declined for a Brex Cash account?
While there are some reports of people getting declined, in general you can expect that getting approved for a Brex Cash account is easier than getting approved for most business credit cards, for example.
For those who have been declined for a Brex Cash account, it generally seems to be for one of a few reasons. Keep in mind the following:
- Make sure you have a registered US business, and not a sole proprietorship
- During the application process you may be presented with several account options, and select the Brex Cash with daily payments option; if you get denied because you don’t meet the minimum cash requirement, you likely applied for the wrong product
- I highly recommend entering your business email address and website if possible; you could still be approved without a website and with a personal email address, but most instant approvals are for applications with a business email address and website
- This sounds obvious, but seems to be an issue; make sure your information is correct, that the business address you enter matches the business address on file, etc.
In general it seems that a manual review is needed most for companies where Brex is unable to collect information needed to verify a business online. This is typically for businesses that don’t have much of an electronic presence. For those situations that has to be done manually, and that could take a while, given the volume of applications that Brex is receiving.
Brex Rewards Questions
How soon do Brex points post to your account?
Points from purchases with the Brex Card generally post instantly (or almost instantly). For the 110,000 bonus points:
- You can expect that the 10,000 bonus points for spending $3,000 and the 20,000 bonus points for linking payroll will post very quickly
- The additional 80,000 bonus for OMAAT readers may take a few days to post; generally the 80,000 points seem to post at some point on the Tuesday following when you complete the spending requirement, as there’s a manual sweep
Why doesn’t my Brex account show the bonus of 80,000 points?
After your account is created, don’t worry if you only see the 30,000 bonus points listed in the “tracking rewards” section. As long as you use the OMAAT link, you’ll automatically receive the additional 80,000 points upon completing qualifying activity. Those will generally post the Tuesday following when you complete qualifying activity.
How do you earn the Brex Cash sales revenue and/or payroll bonus?
With the Brex Cash bonus, 90,000 points is linked to spending, while 20,000 points requires depositing sales revenue and/or running payroll with Brex Cash. Eligible providers include the following:
Payroll providers: ADP, Deel, Extensis, Gusto, Insperity, Intuit Payroll, Justworks, Paychex, Paylocity, Rippling, Sure Payroll, TriNet, WageWorks, Workday, Your People
Ecommerce platforms or payment gateways: Amazon, BigCommerce, Braintree, PayPal, Shopify, Square, Stripe, Venmo, Wix, Xoom
As you can see, this can be as simple as using PayPal to deposit sales revenue or payroll, so shouldn’t be very complicated.
What airlines can you transfer Brex points to?
In addition to being able to redeem Brex points for one cent each, you can also transfer Brex points at a 1:1 ratio to any of eight airline partners.
Can you transfer Brex points to someone else’s frequent flyer account?
You can transfer Brex points to a frequent flyer account of anyone listed on your Brex account. You can easily add employees to your account online for free.
Is Brex too good to be true?
Understandably a lot of people have asked things along the lines of:
“So you’re telling me this is a no-fee account, it’s actually useful, and I can earn up to 110,000 points as a new user?”
I can appreciate that sentiment, because when I first opened my Brex Cash account, I thought the same thing as well. You know the saying — “if something sounds too good to be true, it probably is.”
I figured I’d provide a bit of background on how I see things (again, this is purely my take, and not based on anything Brex has told be directly). Brex is trying to disrupt the world of business management, business credit cards, etc. It’s not just that Brex is introducing a new product, but it’s a concept that we haven’t seen before.
Brex is extremely well funded (the company has raised hundreds of millions of dollars), and Brex is trying to create a splash here. Up until several months ago Brex was primarily targeting startups (particularly in the tech space), while now Brex is trying to broaden its appeal to a wider set of businesses.
As the company’s leadership explained last year in an interview, Brex is trying to play offensive, while most other companies play defensive.
Bottom line
Brex Cash is a completely new product to the market. Not just the card specifically, but the concept of a valuable business management account that isn’t a checking account or credit card.
Hopefully the above answers any questions you may have about Brex Cash. If there’s anything I missed, please let us know in the comments section, and we’ll do our best to answer them.
This really is a phenomenal opportunity to not only pick up 110,000 bonus points (which can get you $1,100 or 110,000 airline miles), but also to get a no-fee account that will likely prove valuable for your business.
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