I think you’re right that below a certain threshold, moving money between accounts just isn’t worth it. But from our research, it looks like people can actually stand to gain 100x on their deposit accounts, and I think that’s more compelling than an extra one-tenth of a percent. The bulk of consumers use the big banks that offer 0.01%, so getting even 1% on their deposits becomes significantly more compelling.

What do you think about a fully managed service that moves the funds automatically behind the scenes. You’d only have a single account/app which you’d use to withdraw your funds, but whenever rates change, the funds get moved. You’d always be getting the best rates (and the best distribution of rates) but not have any of the overhead of moving the funds. Would that be worth paying, say, 5% of the total interest earned?