What is Cover?
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Cover is subscription-based, overdraft protection that gives you access to extra funds when you need it. With Cover, you can have peace of mind knowing that you can tap into additional money without the worry of accumulating overdraft interest. With Cover, you can also get access to our in-house Financial Coach!

If you're eligible for Cover, you will be able to register for the feature on the main Spend Page in-app by selecting "Unlock Now" and "Get Cover".


How do I become eligible for it?

Cover isn't available for everyone. Using KOHO for spending, saving, and improving your credit might make it more likely for you to get Cover, but it doesn't guarantee that you'll get it. You can directly view in-app some things you can do to unlock it sooner.


How does it work?

With Cover, we’ll cover you up to the eligible $ amount you see in-app, so you can say goodbye to declined transactions and hello to funds whenever you need them. The funds are added to your total balance immediately upon enrolling. You can use these funds for purchases, to pay bills, or even set up automatic payments.

Every month, we'll just collect the monthly subscription fee, and you can keep dipping into the funds you already received at registration as many times as needed as long as you have enough money for your fees.


What happens if I miss my fee payment?

In the event of a missed payment for the Cover fee, your subscription will be cancelled.

We want to make managing your subscription as easy as possible for you, ensuring a smooth experience. Once you have paid back the full amount of the Cover funds you borrowed, we will attempt to collect the fees from your Spendable, making the renewal of your Cover subscription automatic and hassle-free.

Rest assured, you have the freedom to turn off the "Resubscribe Cover" option within the app at your convenience in account settings by clicking on the profile icon at the top left in-app and selecting "Cover settings". Just ensure you have the latest version of the app to disable auto-renewal.


Will I be charged every month?

Yes. A subscription to Cover costs a monthly fee based on your limit amount. With this fee you also get access to our certified, in-house Financial Coach!

Please be advised that the fees will be collected around 12 am EDT/1 am EST.


I want a higher Cover amount!

Our computer system decides the amount of Cover you can receive, and there's nothing you can do on your end to raise your limit. However, you can still do things to help, like using your KOHO Spendable account often and paying your monthly Cover fee and other KOHO fees, such as Credit Building, on time.

Our support team can’t grant higher limits upon request.


Will I pay interest on these funds?

Nope! We don’t charge penalties or late fees, but not paying these funds back may impact your access to this feature.


Are these considered taxable funds?

No, because it is categorized as a loan and not income.


Where can I see my Cover funds?

We have separated your Cover balance from your Spendable so you have more control over your money. You have access to the total amount between your Spendable and Cover amount. When you're making a purchase, the funds will first be withdrawn from your available Spendable amount until it hits $0, then the remaining amount will be pulled from your Cover amount. When adding funds to KOHO, the Cover funds will be replenished first and then the rest added back to your Spendable.


How can I use my Cover funds?

When you first sign up, the Cover funds are added to your total balance right away. This means that even when your Spendable amount reaches $0, you can still make purchases using the extra Cover funds. These funds are specifically intended for transactional purchases, enhancing the convenience of your financial transactions. You can pay bills, or even set up automatic payments.


Is it possible to change my billing date?

It's not possible to change or modify your Cover billing date.


Will this impact my credit score?

We don't perform any credit checks for Cover approval. If your loans are more than 3 months outstanding, it is up to KOHO’s discretion to report to the credit bureau.


How do I access the Financial Coach?

You can start a conversation with our Financial Coach in-app by asking your question and using #coach at the end of the message. Our Financial Coach can provide you with guidance on budgeting and saving. Please note, the Financial Coach is not intended for asking questions about Cover or granting higher Cover limits.


Can I cancel?

You can cancel at any time! If you do cancel, we'll automatically recollect the Cover funds after the 30 day subscription is done or you can repay the funds directly in-app. To cancel, go to > Cover > in the upper right corner click on the settings icon > tap on Cancel Cover.

If you accidentally cancelled your Cover, our support team won't be able to reactivate it for you. No worries, though! To get back on track, simply pay back the Cover funds and resubscribe again.

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