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Reviews

UFB Direct Reviews: Savings, Money Market and Checking Accounts

Editorial Note: The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Year Established2000
Total Assets$10.0B
LEARN MORE on UFB Direct’s secure website

UFB Direct is another bank born of the digital age, opening its metaphorical doors in 1999. It’s a subsidiary branch of BofI Holdings, which also owns other online banks such as BofI Federal Bank.

It’s important to note that if you also have any money at BofI Federal Bank or any other company under the BofI umbrella, your money is pooled together when determining your FDIC coverage. For example, if you have $200,000 at UFB Direct and $200,000 at BofI Federal Bank, only $250,000 total will be covered under FDIC insurance in the unlikely event that these banks go under.

This bank proclaims to have some of the best rates and rewards out there for personal banking accounts, and indeed — it does. But that’s not the only thing that counts when deciding where to park your money. We’ll go into detail about UFB Direct’s banking products in this review.

UFB Direct’s Most Popular Accounts

APY

Account Type

Account Name

Compare Rates from Similar Accounts

0.20%

Savings

UFB Direct UFB Premium High-Yield Savings Account

1.80%

Goldman Sachs Bank USA High-yield Online Savings Account

on Goldman Sachs Bank USA’s secure website

*All rates are current as July 13, 2018.

UFB Direct savings account

UFB Premium Savings

UFB Direct’s Premium Savings account offers a high interest rate for those who have a lot of money.

APY

Balance amount

0.20%

$0-$24,999

1.30%

$25,000+

  • Minimum deposit amount to open the account: $100
  • Monthly account maintenance fee: $0
  • ATM fee: None. However, you may still face an ATM surcharge fee from the ATM’s owner.
  • ATM fee refund: None
  • Overdraft fee: $25 per each item over $25, up to $75 per day

UFB Direct’s Premium Savings account is a good choice for folks with large deposits looking for a place to park it indefinitely. You need to keep at least $0.01 in this account at all times. If you don’t, and the month ends without any money in the account, UFB Direct may close the account. In addition, if you close your account mid-cycle, you give up any interest that may have been accruing. With this account, it’s better to wait to close your account until right after a new cycle begins.

In addition, like most savings accounts, you’re limited to six transactions per month (not including deposits into the account). If you make more than this amount, you’ll face a $10 excessive withdrawal fee per item. If you do it enough times, UFB Direct may even change or close your account.

How to get UFB Direct’s Premium Savings account

You can only open an account with UFB Direct online, and only if you’re depositing “new money” into the account. This means that the initial deposit must come from a non-UFB Direct or non-BofI bank brand.

LEARN MORE Secured

on UFB Direct’s secure website

Member FDIC

UFB Savings

This account is a carbon copy of UFB Direct’s Premium Savings account, but with a slightly smaller minimum balance requirement to earn a slightly smaller interest rate.

APY

Balance amount

0.20%

$0-$19,999

1.00%

$20,000+

  • Minimum deposit amount to open the account: $100
  • Monthly account maintenance fee: $0
  • ATM fee: None. However, you may still face an ATM surcharge fee from the ATM’s owner.
  • ATM fee refund: None.
  • Overdraft fee: $25 per each item over $25, up to $75 per day

If you’ve got a slightly smaller balance than the hefty $25,000 needed to earn the highest rate from UFB Direct’s Premium Savings account, then this regular UFB Direct Savings account might be the best option for you at this bank. You’ll only need $100 to open it, and unlike the UFB Direct Premium Savings account, that money doesn’t need to come from outside the BofI banking brand.

Other than that, this account is very similar to the bank’s Premium Savings account. If you don’t have a balance in the account at the end of the month, UFB Direct may close it. If you go over six transactions (not including deposits) per month, you’ll face a $10 excessive withdrawal charge. If you do this too many times, UFB Direct might change it to a different account type or even close it.

How to get a UFB Direct Savings account

The only way to get a UFB Direct Savings account is by applying online. You can do that here:

LEARN MORE 

Member FDIC

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How UFB Direct’s savings accounts compare

UFB Direct does offer good interest rates on its savings accounts. However, they’re not the highest rates out there, and you need deep pockets in order to earn them. Unless you’ve got at least $20,000 rattling around in your metaphorical coin purse, you won’t earn very much with these accounts.

Instead, if you want to earn the highest rates out there and with less of a minimum deposit requirement, check out these top online savings accounts.

UFB Direct’s checking account

Airline Rewards Checking

Earn up to 120,000 American Airlines miles per year with this low-fee checking account — but be careful never to end the month with a $0 balance.
  • Minimum deposit amount: $100
  • Monthly account maintenance fee: $0
  • ATM fee: None.
  • ATM fee refund: UFB Direct will reimburse an unlimited amount of domestic ATM surcharge fees from the ATM’s owner.
  • Overdraft fee: $25 per each item over $25, up to $75 per day

If you’ve ever wanted to earn travel rewards points but aren’t into using credit cards to do it, this checking account could be a great option for you. You can currently earn up to 120,000 miles per year, but only with American Airlines.

You’ll earn one American Airlines mile for every $3 you spend through this account. Unfortunately, there are a lot of limitations on this program.

For starters, many purchases don’t count. Purchases made using “virtual wallets,” or at stores such as supermarkets, grocery stores, discount stores, wholesale outlets, “money transfer institutions” and any purchases made at the U.S. post office won’t earn any miles. In addition, in order to count, the purchase must be a POS (point-of-sale) purchase. This means that you used your debit card to make a purchase, and didn’t pay via check, ATM withdrawal or bank transfer.

Your airline miles will be deposited into your American Airlines rewards account within 60 days after the end of each month. If you happen to close your account in the middle of the month, you’ll lose any points you’ve been accumulating since the beginning of the month, so it’s a better idea to wait to close your account until just after a new month has begun.

Finally, make sure you never end the month with a $0 balance in your account. If you do, UFB Direct won’t give you any miles you’ve earned for that month, and it may even close your account.

How to get UFB Direct’s Airline Rewards Checking account

In order to get UFB Direct’s Airline Rewards Checking account, you must apply online. You’ll also already need to have an American Airlines account already opened, because you’ll need to enter in your AA frequent flier number as a part of the application process.

LEARN MORE Secured

on UFB Direct’s secure website

Member FDIC

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How UFB Direct’s checking account compares

We really like the fact that you can earn travel rewards with this checking account. This is truly a unique feature among banks. However, there are a lot of limitations with this account: You need to be careful about never zeroing out your account at the end of the month, you can only earn travel rewards with one airline and many purchases you’ll make won’t count toward earning rewards.

If you’re comfortable with these limitations, this can be a great account for you, especially if you’re a frequent traveler. If you’re looking for a checking account with less limitations, or a checking account that earns interest, however, check out these top online checking accounts instead.

UFB Direct’s money market account

UFB High Yield Money Market account

If you can keep a high balance in this money market account, you can earn a great interest rate and skirt the monthly fee.

APY

Minimum Deposit Amount

1.60%

$5,000

  • Monthly account maintenance fee: $10
  • ATM fee: None. However, you may still face an ATM surcharge fee from the ATM’s owner.
  • ATM fee refund: None.
  • Overdraft fee: $25 per each item over $25, up to $75 per day

This money market account does come with a $10 monthly fee, however if you keep at least $5,000 in the account, you won’t be charged this fee. In addition, when you make your opening deposit, the money needs to come from a non-BofI branded bank, or you won’t be able to open the account.

You can write checks with this account, however keep in mind that you’ll still be limited to just six transactions per month due to the Federal Regulation D limits. If you go over that amount, you’ll face a $10 fee for each occurence, and UFB Direct may change or close your account if you do this repeatedly.

How to get UFB Direct’s High Yield Money Market account

You can open a High Yield Money Market account with UFB Direct online. Remember, you need to deposit at least $5,000 of “new” money into your account from a non-BofI brand.

LEARN MORE Secured

on UFB Direct’s secure website

Member FDIC

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How UFB Direct’s Money Market account compares

UFB Direct does offer a high interest rate on its money market account. But, that high interest rate has some downsides: You need to maintain a very high balance to avoid the monthly maintenance fee, and if you have your money in another BofI brand, you can’t use the money to open the account. The money has to come from a non-BofI branded bank.

Even though this bank does have one of the highest interest rates currently available, it’s not technically the highest out there. Plus, there are many more options for a high-yielding money market account with a lower minimum deposit amount. It’s important to check out all your options for high yielding money market accounts before deciding.

Overall review of UFB Direct’s banking products

We like many of UFB Direct’s accounts. Its money market account is one of the highest-earning money market accounts currently available. The fact that you can earn airline rewards points with its checking account is truly unique and valuable for frequent fliers.

However, it’s important to keep in mind that even though these accounts may offer good rewards and returns, there are still a lot of limitations with them. You may need to come to the table with a large deposit amount, or there may be so many stipulations and rules with its checking account that you may not earn as much as you thought you would.

Advertiser Disclosure: The card offers that appear on this site are from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all card companies or all card offers available in the marketplace.

Lindsay VanSomeren
Lindsay VanSomeren |

Lindsay VanSomeren is a writer at MagnifyMoney. You can email Lindsay here

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Reviews

Review of State Farm Bank Rates

Editorial Note: The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Year Established1999
Total Assets$16.7B
LEARN MORE on State Farm Bank’s secure website

When you hear about State Farm, chances are that the first thing that comes to mind is insurance. After all, for years their slogan — “Like a good neighbor” — implied that State Farm’s main business was to protect you with insurance for when things in life don’t go as planned.

But with a rebrand, they’ve now shifted their message to imply that not only are they around when life goes wrong, but they’re also “here to help life go right” with a larger focus on their other products and services — more specifically, banking and financial products outside the realm of insurance.

State Farm Bank offers all of the traditional banking products you’d expect: home loans, vehicle loans, and credit cards, plus checking and savings accounts, money market accounts, and more.

For this review, we’ll be focusing on their certificates of deposit, IRA accounts, checking accounts, savings accounts, and money market accounts.

*Note: All rates below are based on State Farm's corporate location (zip code: 61791). To see rates in your area, enter your zip code on their rates page.

State Farm Bank’s Most Popular Accounts

APY

Account Type

Account Name

Compare Rates from Similar Accounts

0.10%

Savings

State Farm Bank Savings

1.80%

Goldman Sachs Bank USA High-yield Online Savings Account

on Goldman Sachs Bank USA’s secure website

0.10%

CD Rates

State Farm Bank 12 Month CD

2.25%

Barclays 12 Month Online CD

on Barclays’s secure website

1.45%

CD Rates

State Farm Bank 36 Month CD

2.55%

Ally Bank High Yield 3 Year CD

on Ally Bank’s secure website

2.65%

CD Rates

State Farm Bank 60 Month CD

2.85%

Barclays 60 Month Online CD

on Barclays’s secure website

State Farm CD rates

Regular CDs

CDs from State Farm Bank don’t offer the highest rates available, and with a somewhat complex early withdrawal fee policy, you can likely find a better place to keep your money in a CD.

Term

Less than $100,000

$100,000+

12 months

0.10%

0.10%

24 months

0.40%

0.40%

30 months – special term

2.30%

2.30%

36 months

1.45%

1.45%

48 months

1.75%

1.75%

60 months

2.65%

2.65%

  • Minimum opening deposit: $500
  • Minimum balance amount to earn APY: $500
  • Early withdrawal penalty: If you make a principal withdrawal within six days of your initial deposit, or within six days of your previous withdrawal, the penalty is seven days’ interest. For all other principal withdrawals, the penalty will be the greater of a minimum of $25 or:
    • 90 days of interest for a CD term of 11 months or less
    • 180 days of interest for a CD term of 12 to 23 months
    • 365 days of interest for a CD term of 24 to 47 months
    • 545 days of interest for a CD term of 48 months or greater

We like that the account minimum is low at only $500, which makes it easy to get started with little money. Another benefit is that interest compounds daily and can be added to the CD, paid out to you by check, or deposited into a State Farm Bank account.

However, rates are low compared to many other banks’ CD products, and the complex early withdrawal penalty makes it less attractive if you’d have to withdraw your funds early for any reason.

If you decide to use this product, make sure you invest money that you likely will not need to access during the time that it is invested. Also, you have to move quickly when your CD matures if you want to withdraw your funds without a penalty — there is only a 10-calendar-day grace period after which the CD will automatically renew.

How to get State Farm’s CDs

You can apply for an account directly on State Farm’s website. To be eligible, you must have a Social Security Number, Tax Identification Number, or Individual Taxpayer Identification Number. Minors may open a CD and be listed as the primary or secondary account holder; however these accounts must be opened through a State Farm agent or by phone.

LEARN MORE Secured

on State Farm Bank’s secure website

Coverdell Education Savings Account (ESA) CDs

If saving for your child’s education is important to you, you might consider using a Coverdell ESA. Contributions are not tax deductible, but funds will grow tax-free until distributed. Plus, the earnings are used for qualified education expenses, they can be withdrawn tax-free.

Coverdell ESA funds can be invested in a CD or in mutual funds. CD rates are listed in the table below.

Term

APY (Less than $100,000)

APY ($100,000+)

12 months

0.10%

0.10%

24 months

0.40%

0.40%

30 months – special term

2.30%

2.30%

36 months

1.45%

1.45%

48 months

1.75%

1.75%

60 months

2.65%

2.65%

  • Minimum opening deposit: $500
  • Minimum balance amount to earn APY: $500
  • Early withdrawal penalty: If you make a principal withdrawal within six days of your initial deposit, or within six days of your previous withdrawal, the penalty is seven days’ interest. For all other principal withdrawals, the penalty will be the greater of a minimum of $25 or:
    • 90 days of interest for a CD term of 11 months or less
    • 180 days of interest for a CD term of 12 to 23 months
    • 365 days of interest for a CD term of 24 to 47 months
    • 545 days of interest for a CD term of 48 months or greater

Coverdell ESA CD rates are the same as traditional CD rates. The only difference is that these funds are to be used for educational expenses for students.

The contribution maximum is $2,000 per student per year up to age 18, even if multiple accounts are opened for the same student. This means if you open account for your child and your parents open an account for your child, the combined maximum is still $2,000 per year.

There is also a modified adjusted gross income cap of $95,000 for single tax filers and $190,000 for married filing jointly, after which only a partial contribution can be made to a Coverdell ESA. If your modified adjusted gross income is above $110,000 for single tax filers, or $220,000 for married filing jointly, you are not eligible to contribute to a Coverdell ESA.

Distributions from a Coverdell ESA don’t have to be reserved for college expenses. Any educational expenses for kindergarten through grad school may qualify. Qualified expenses include things like:

  • Tuition and fees
  • Academic tutoring
  • Books, supplies, and equipment
  • Room and board
  • Uniforms
  • Transportation
  • Computers and technology

Coverdell ESA funds can also be invested in mutual funds instead of CDs. Mutual funds may offer higher interest rates, depending on which funds are selected.

How to get State Farm Bank’s Coverdell Education Savings Account (ESA) CDs

An ESA can be opened by anyone, including the child for whom the funds are being saved, as long as their modified adjusted gross income falls without the limits outlined above. The combined total per year cannot exceed $2,000. There is no limit to the number of accounts that can be established for one student.

If funds contributed exceed $2,000, they must be withdrawn before June 1 of the following tax year. If they aren’t, the funds will be subject to a 6% excise tax, which will be reported on the child’s tax return each year that the excess funds remain in the account.

To open an account, call State Farm Bank at 1-877-734-2265.

LEARN MORE Secured

on State Farm Bank’s secure website

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How State Farm’s CD rates compare

While State Farm Bank offers a low minimum account deposit to open a CD, better CD rates can be found elsewhere. We’d suggest shopping around to find a higher interest rate CD, or investing your money in a different type of account.

State Farm’s IRA accounts

IRA CD rates

State Farm Bank’s IRA CD has a low account minimum of only $500 and also offers both a traditional and Roth plan. Interest is compounded daily, but rates are low compared to what is available from other banks.

Term

APY

12 months

0.10%

24 months

0.40%

30 months Special Term

2.30%

36 months

1.45%

48 months

1.75%

60 months

2.65%

  • Minimum opening deposit: $500
  • Minimum balance amount to earn APY: $10. If you’re age 59 ½ or older and are taking normal distributions, the account balance may fall below the minimum opening balance. However, it cannot fall below $10.
  • Early withdrawal penalty: If you’re age 59 1/2 or older, normal distributions are allowed without an early withdrawal penalty. However, if you want to transfer funds to a different IRA, withdrawals will be subject to early withdrawal fees. If you make a principal withdrawal within six days of your initial deposit, or within six days of your previous withdrawal, the penalty is seven days’ interest. For all other principal withdrawals, the penalty will be the greater of a minimum of $25 or:
    • 90 days of interest for a CD term of 11 months or less
    • 180 days of interest for a CD term of 12 to 23 months
    • 365 days of interest for a CD term of 24 to 47 months
    • 545 days of interest for a CD term of 48 months or greater

Like other CD products with State Farm Bank, you can withdraw interest earnings without penalty. Another nice benefit with this retirement investing account, you are also eligible to withdraw a portion of your original deposit as a normal distribution without penalty if you are over age 59 1/2. Keep in mind that any interest payments withdrawn will be considered distributions and taxes and IRS penalties may apply if you are under age 59 1/2.

However, one drawback with this account is that you can’t easily access your balance information online, and there are no electronic statements available.

How to get State Farm’s IRA CDs

To open an account, call State Farm Bank at 877-734-2265.

You can open your account with $500 or more and select either a Traditional or Roth plan with terms between 12 and 60 months.

The contribution limit for 2018 is $5,500, or 100% of your earned income, whichever is less. If you are over age 50, you can contribute an additional $1,000 per year.

There are also limits to the amount you can deduct from your taxes based on your adjusted gross income. These limits are based on federal law.

LEARN MORE Secured

on State Farm Bank’s secure website

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How State Farm’s IRA CD rates compare

Rates for State Farm’s IRA CD rates aren’t the highest on the market. There are other banks that offer better IRA CD rates so you can earn more interest on your money. One nice benefit that may not be available at all banks is that interest is compounded daily at State Farm Bank.

IRA Money Market Account

Investing in an IRA Money Market account with State Farm Bank may be easier than using their IRA CD product because you can electronically contribute a portion of each paycheck into your Money Market account. Plus, there’s no time commitment required for your investment.

Minimum balance amount

APY

$100 - $9,999

0.35%

$10,000 - $24,999

0.45%

$25,000 - $49,999

0.45%

$50,000 - $99,999

0.45%

$100,000 - $249,999

0.45%

$250,000 - $24,999,999

0.45%

$25,000,000+

0.45%

Rates effective as June 13, 2018

  • Minimum opening deposit: $1,000
  • Minimum balance amount to earn APY: $100
  • ATM fee: None
  • ATM fee refund for foreign transactions: Up to $10
  • Overdraft fee: $25 maximum of 3 per day

With State Farm Bank’s IRA Money Market Account, there is a minimum deposit of $1,000 required to open your account. However, if you take distributions, your account balance may fall to less than $1,000. The minimum balance required to earn interest is $100; however if your average daily balance is less than $500, you will be charged a minimum balance fee of $10.

Withdrawals from this account prior to age 59 1/2 may be subject to IRS penalties. Plus, you must give at least seven days notice before making any transfers or withdrawals from your account.

Interest on this account compounds daily but is only added to your account balance monthly.

You are only allowed to make six transfers from your account each month by phone or mail, otherwise you may be subject to an excessive transaction fee of $10. State Farm also has the right to refuse transactions after you’ve hit the limit, or even close your account. You can make unlimited withdrawals by mail or telephone.

How to get State Farm’s IRA money market account

To open an account, call State Farm Bank at 877-734-2265.

To be eligible, you must be at least 18 years old. IRA money market accounts can only have one owner.

LEARN MORE Secured

on State Farm Bank’s secure website

State Farm’s checking account options

Interest Checking

Although the minimum amount required to open a State Farm Bank Interest Checking account is only $100, you must maintain an average daily balance of $500 in order to avoid a minimum balance fee. In addition, your account must have a balance of $2,500 in order to earn the stated interest rates.

Minimum deposit amount

APY

$0 - $2,499

0.00%

$2,500+

0.25%

Rates effective as June 13, 2018

  • ATM fee: None.
  • ATM fee refund for foreign transactions: Up to $10
  • Overdraft fee: $25, maximum of 3 per day. Overdraft protection is $3 for a transfer from another State Farm Bank account.

You can’t just deposit $100 to open your account and begin earning interest. In fact, if you only deposit $100 to open your account, you will be subject to a minimum balance fee of $10 if your average daily balance isn’t at least $500.

Plus, if you want to earn interest on your money, you have to have a balance of at least $2,500, significantly more than the minimum required to open the account, or even the minimum required to avoid the minimum balance fee. If you don’t read the fine print, this can be misleading.

There are much better options for interest bearing checking accounts with higher APYs and lower minimum balance requirements.

How to get State Farm’s Interest Checking account

You can apply for an account online in only 10 minutes. You must have a Social Security Number, Tax Identification Number, or Individual Taxpayer Identification Number in order to apply.

There must be at least one account holder that is age 18 or older. Minors may be account holders, but you must open an account with a State Farm agent or by phone.

LEARN MORE Secured

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Regular Checking

The requirement to open a regular checking account is much lower, plus there are no minimum balance fees to contend with.
  • Minimum deposit amount: $25
  • ATM fee: None.
  • ATM fee refund for foreign transactions: Up to $10
  • Overdraft fee: $25, maximum of 3 per day. Overdraft protection is $3 for a transfer from another State Farm Bank account.

While this account doesn’t earn any interest, we like that there are essentially no fees if you don’t overdraw your account. It also has handy features like mobile check deposit and a mobile banking app. You can also get account alerts by text or email.

It may be a good option for those who aren’t able to meet the minimum balance requirements for State Farm Bank’s Interest Checking account.

However, there are still plenty of online banks that offer interest-bearing checking accounts with no or low minimum balance requirements. You may as well be earning interest on your money with an online bank if you can.

How to Get State Farm Bank’s Regular Checking Account

You can apply for a regular checking account online on State Farm’s website in only a few minutes.

To be eligible for a checking account, you have to have a Social Security Number, Tax Identification Number, or Individual Taxpayer Identification Number. There can be multiple account holders listed, but at least one of them must be 18 years or older. If the account will have a minor listed, it must be opened over the phone or with a State Farm agent.

LEARN MORE Secured

on State Farm Bank’s secure website

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How State Farm’s checking accounts compare

Compared to these interest-bearing checking accounts with several online banks, there’s no way State Farm Bank can be competitive. Their account minimums are much higher in order to earn interest. Even then, the amount of interest earned with State Farm is significantly lower than other banks.

We suggest checking out other options besides State Farm if you want to earn interest on your checking account.

State Farm Bank’s savings account options

Consumer Savings Account

The interest rate on State Farm’s Consumer Savings Account may be higher than some brick-and-mortar banks, but it can’t compete with online savings options.

Minimum balance amount

APY

$0 - $9,999

0.10%

$10,000 - $24,999

0.10%

$25,000 - $49,999

0.15%

$50,000 - $99,999

0.25%

$100,000 - $249,999

0.30%

$250,000 - $24,999,999

0.30%

$25,000,000+

0.30%

Rates effective as June 13, 2018

  • ATM fee: None.
  • ATM fee refund for foreign transactions: Up to $10
  • Overdraft fee: $25, up to 3 per day. Eligible for $3 overdraft protection from a linked State Farm Bank account.

The minimum deposit to open a savings account is $100. If the main account holder is over age 18, there is a minimum balance requirement of $100; if the balance falls below $100, a $3 fee will be charged.

This could be a good starter savings account for those under age 18 who are looking to earn a little interest on their money, especially since there’s no minimum balance fee for main account holders under age 18. That said, there are other online savings accounts with much higher interest rates available.

How to get State Farm’s savings account

A savings account can be opened online if you are over age 18 and a minor won’t be listed as an account holder. However, if a minor will be an account holder, you must open the account by phone or by working with a State Farm agent.

To be eligible for a State Farm savings account, you have to have a Social Security Number, Tax Identification Number, or an Individual Taxpayer Identification Number.

LEARN MORE Secured

on State Farm Bank’s secure website

Health Savings Account (HSA)

Having a HSA is a nice option for State Farm Bank customers; however, higher interest rates can be found elsewhere.

Minimum balance amount

APY

$0 - $2,499

0.05%

$2,500 - $9,999

0.15%

$10,000+

0.40%

Rates effective as June 13, 2018

  • Annual fee: $25
  • ATM fee: None
  • ATM fee refund for foreign transactions: None

An HSA can be a good way to get tax benefits and earn a little interest at the same time. State Farm’s HSA works essentially like a checking account, but it’s only to be used for qualified medical expenses.

There is no minimum balance fee associated with this HSA account, and after opening, you can make deposits at any time. There is an annual fee of $25 on the first anniversary of your account opening and every year thereafter.

Having an HSA can be a good idea, but you can likely find one with a better interest rate.

How to Get State Farm’s HSA

If you want to open an HSA with State Farm, call 877-734-2265. There is no option to apply online.

By federal law, you can only use an HSA in combination with a high-deductible health insurance plan.

LEARN MORE Secured

on State Farm Bank’s secure website

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How State Farm’s savings accounts compare

While it is a good idea to have a savings account, you can earn more interest on your savings by using a different institution. Savings interest rates with State Farm are low, especially when compared to online savings accounts.

State Farm Bank’s Money Market account

Consumer Money Market Account

If you’re new to State Farm Bank, this is the best way to earn extra interest on your initial account opening and deposit. There is an introductory interest rate of 2.00% (1.17% APY) for your first deposit up to $249,999.

Minimum balance amount

APY

$0 - $9,999

0.30%

$10,000 - $24,999

0.40%

$25,000 - $49,999

0.45%

$50,000 - $99,999

0.45%

$100,000 - $249,999

0.45%

$250,000 - $24,999,999

0.45%

$25,000,000+

0.45%

Rates effective as June 13, 2018

  • ATM fee: None.
  • ATM fee refund for foreign transactions: Up to $10
  • Overdraft fee: $25, up to 3 per day. Eligible for $3 overdraft protection from a linked State Farm bank account

A State Farm Money Market Savings account will help you earn more interest than a traditional savings account with State Farm. If you have the funds available to do a large introductory deposit, you can earn extra interest versus depositing smaller amounts over time because of State Farm’s special introductory offer.

The minimum amount required to open an account is $1,000. However, if you withdraw a portion of your funds later, keep in mind that there is a minimum balance fee of $10 that will be imposed if the average daily balance is below $500.

Like other savings accounts, there is a limit of six transfers from your account each month, including automatic transfer, bill pay, etc. If you go beyond six transfers, State Farm has the right refuse your transaction or even shut down your account. You may also be subject to a $10 fee for excessive transactions. There is also a requirement that you must provide written notice at least seven days before any withdrawal or transfer from the account.

How to get State Farm’s Consumer Money Market Account

You can apply for an account online. To be eligible, you must have a Social Security Number, Tax Identification Number, or Individual Taxpayer Identification Number. One account owner must be over age 18. If a minor will be an account owner, the account must be opened over the phone or via a State Farm agent.

LEARN MORE Secured

on State Farm Bank’s secure website

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How State Farm’s money market account compares

While the regular rates on State Farm’s Money Market Savings are not as high as the special introductory rate, they’re much higher than with State Farm’s regular savings account. However, there are still higher money market rates available at other banks. We think it’s a good idea to shop around for a better rate.

Overall review of State Farm banking products

State Farm does have decent terms and interest rates on their products, but they’re certainly not the lowest rates on the market. However, if your main concern is getting the most interest for your money, we recommend finding another bank to house your funds. State Farm is consistently outperformed by other banks that offer higher rates and similar (if not better) terms.

Advertiser Disclosure: The card offers that appear on this site are from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all card companies or all card offers available in the marketplace.

Kayla Sloan
Kayla Sloan |

Kayla Sloan is a writer at MagnifyMoney. You can email Kayla here

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Reviews

nbkc bank Review of Deposit Rates

Editorial Note: The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Year Established1999
Total Assets$0.6B
LEARN MORE on Nbkc Bank’s secure website

You may or may not have heard of nbkc bank before. It’s a full-service, FDIC-insured national bank with just four physical bank branches located in Kansas and Missouri. nbkc, established in 1999, offers mortgage loans in all 50 states, as well as personal and business bank accounts, IRAs and money market accounts.

In this review, we’ll be focusing on their personal banking options, CDs, health savings account and IRA.

nbkc bank’s Most Popular Accounts

APY

Account Type

Account Name

Compare Rates from Similar Accounts

1.51%

Savings

nbkc bank Personal Money Market Savings

1.80%

Goldman Sachs Bank USA High-yield Online Savings Account

on Goldman Sachs Bank USA’s secure website

All rates in this review are current as of July 11, 2018.

nbkc bank’s personal checking account

nbkc’s personal checking account provides a competitive interest rate, unlimited transactions and no hidden fees.

APY

Minimum deposit amount

0.90%

$5

  • Monthly account maintenance fee: None
  • ATM fee: No fee if you use any of the 24,000+ MoneyPass® ATMs in the U.S. For out-of-network ATMs, the fee may vary but nbkc will refund up to $12 in ATM fees each month.
  • ATM fee refund: Up to $12 monthly refunds for ATM fees other banks charge you.
  • Overdraft fee: $0

This checking account has no minimum balance requirement and needs just a small deposit to get started. Account holders will pay absolutely nothing to take advantage of features like eStatements, talking to a rep on the phone, ordering checks (first book of 120 checks are free, then $18 fee), a debit card, or online banking and bill pay.

On top of that, a competitive APY is offered on all balances, making this a great option to store savings as well without having to worry about exceeding a monthly transaction limit.

The only fees you might incur is if you’re sending or receiving wire transfers. It doesn’t cost anything to receive a domestic wire, but there are two other fees detailed below.

  • $5 to send a domestic wire anywhere in the U.S.
  • $45 to send or receive international wire transfers

This personal account would be great for someone who’s looking to earn interest with a checking account and avoid costly bank and ATM fees.

How to get nbkc bank’s personal account

Applying for an nbkc personal bank account is simple and you can do it online. Just go to their website and click on the drop-down menu on the far right corner at the top of the page. Click on “Personal” under the “Open Account” heading. Then, click on “Open Personal Account.”

In order to complete the online application, you’ll need your Social Security number, valid driver’s license or state ID, and you must be at least 18 years old and a U.S. citizen or resident alien.

LEARN MORE Secured

on nbkc bank’s secure website

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How nbkc bank’s checking account compares

When compared with some of the other top checking accounts, nbkc’s personal account is a strong contender.

Their interest rate is not the highest, but some of the banks with higher interest rates require a much higher minimum deposit when opening an account.

However, nbkc isn’t the only bank offering a competitive interest rate with a low minimum deposit.

nbkc bank’s money market account

Personal Money Market Savings

nbkc bank’s money market account acts as a personal savings account and rewards you with a generous interest rate.

APY

Minimum balance amount

1.51% APY

$0.01 - $1,000,000

1.00% APY

$1,000,000.01+

  • Monthly account maintenance fee: $0
  • ATM fee: No fee if you use any of the 24,000+ MoneyPass® ATMs in the U.S. For out-of-network ATMs, the fee may vary but nbkc will refund up to $12 in ATM fees each month.
  • ATM fee refund: Up to $12 monthly refunds for ATM fees other banks charge you.
  • Excessive withdrawals fee: None
  • Overdraft fee: $0

nbkc describes their money market account as a “no gotcha” savings that pays even more interest. It’s very similar to the personal checking account in that it has virtually little to no fees. It also offers the first box of 120 checks free; after, it’s $18.

The only difference is that you can earn much more interest on your money given the higher rate and there is a limit of six debit transactions you can make per month. Although there is no fee when withdrawing over the limit, withdrawing excessively may lead to the bank changing your account into a personal checking account.

In order to earn the rates mentioned above, you can have as little as a penny in your account so you don’t have to worry about meeting high minimum balance requirements. This account would be a great option for someone who’s looking for a simple savings account with no balance requirements and a competitive interest rate.

How to get nbkc bank’s Personal Money Market Savings account

Applying for a nbkc money market account is simple and you can do it online. Just go to their website and click on the drop-down menu on the far right corner at the top of the page. Click on “Personal” under the “Open Account” heading. Then, click on “Open Money Market Savings.”

In order to complete the online application, you’ll need your Social Security number, valid driver’s license or state ID, and you must be at least 18 years old and a U.S. citizen or resident alien.

LEARN MORE Secured

on nbkc bank’s secure website

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How nbkc bank’s money market account compares

When compared with other money market accounts, nbkc’s interest rate actually comes in a bit low. That fact that they don’t really have a minimum balance requirement to obtain the APY, helps the account stand out from others.

Another trend noticed among the top money market accounts is that they allow account holders to write checks. nbkc offers checks with this account.

nbkc bank’s CD Rates

Personal CDs

A simple, yet basic personal CD solution that is not one of our favorites.

Term

APY

3 months

0.05%

6 months

0.40%

7 Month Special (CD Only)

1.97%

12 months

1.11%

12-Month Special (CD Only)

2.02%

14-Month Special (CD Only)

2.22%

18-Month Special (CD Only)

2.28%

24 months

1.31%

36 months

1.61%

48 months

1.82%

60 months

2.12%

  • Minimum opening deposit: $1,000
  • Minimum balance amount to earn APY: $0.01
  • Early withdrawal penalty: Varies. 3-6 months=90 days’ interest; 12 months=180 days’ interest; 24-36 months=360 days’ interest, 48-60 months= 540 day’s interest

nbkc bank offers flexible terms for personal CDs ranging from three months to five years. This might be ideal for someone who wants options in order to decide on a term or who would prefer a short-term savings plan for less than a year.

While their rates are not that great, you can open an account for as little as $1,000 and the only fee you’d have to worry about is an early withdrawal penalty. For 3- to 6-month CD, the penalty is 90 days’ interest; for a 12-month CD, the penalty is 180 days’ interest; for 24- and 36-month CDs, the penalty is 360 days’ interest, for 48- and 60-month CDs, the penalty is 540 days’ interest.

How to get nbkc bank’s CDs

In order to open a personal CD account, you need to contact them either by calling their main line: (816) 965-1400, toll-free number: (888) 905-2165 or by stopping in one of their branches.

LEARN MORE Secured

on nbkc bank’s secure website

Add-to Starter CD

nbkc also offers a 12-month add-to-starter CD as a flexible way to automatically increase your savings.

Term

APY

12 months

1.11%

  • Minimum opening deposit: $25
  • Minimum balance amount to earn APY: $0.01
  • Early withdrawal penalty: 180 days’ interest

With nbkc’s add-to CD product, account holders can increase the balance for their CD or CD IRA during the first year by adding money to it. The benefit is that once you open a CD with the bank, you can add to it consistently, starting with just $25.

From there, you can set up a $25+ automatic deposit from your nbkc checking account. This account would be best for someone who wants to work toward a savings goal, like preparing for a down payment on a house.

How to get nbkc bank’s Add-to Starter CD

In order to get an add-to starter CD, you need to first have a CD account with nbkc, then contact them either by calling their main line: (816) 965-1400, toll free number: (888) 905-2165 or by stopping in one of their branches.

LEARN MORE Secured

on nbkc bank’s secure website

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How nbkc bank’s CD rates compare

nbkc’s personal CDs leave a lot to be desired when compared with other banks’ CD products.

While it’s nice that the bank offers CD terms that are less than 12 months, it won’t really do consumers much good since the interest rate is so low. If you’re looking for a CD with a term less than 12 months, you will earn some interest using nbkc, but it will probably compare to what an online savings account can offer.

The interest increases as you increase your term, but it still falls flat compared with other banks. Many banks also have a lower minimum deposit amount as well making their CDs an all around better option than what nbkc offers.

nbkc bank’s Personal Health Savings Account

nbkc allows you to save for medical expenses while earning a guaranteed amount of interest.

APY

Minimum balance amount

1.01%

$0.01 - $1,000,000.00

0.50%

$1,000,000.01+

  • Minimum opening deposit: $0
  • Monthly account maintenance fee: None
  • ATM fee: No fee if you use any of the 24,000+ MoneyPass® ATMs in the U.S. For out-of-network ATMs, the fee may vary but nbkc will refund up to $12 in ATM fees each month.
  • ATM fee refund: Up to $12 in ATM fees each month.
  • Overdraft fee: $0

A Health Savings Account or (HSA) is a savings account that people with a high-deductible health insurance policy can use to save money tax-free for qualifying medical expenses.

nbkc offers an average interest rate for this account compared with their other personal accounts. It’s higher than what you can earn with a personal checking account but you can get a better APY with their money market account.

How to get nbkc bank’s Personal Health Savings Account

To open a personal Health Savings Account with nbkc, you need to contact the bank either by calling their main line: (816) 965-1400, toll-free number: (888) 905-2165 or by stopping in one of their branches.

LEARN MORE Secured

on nbkc bank’s secure website

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How nbkc bank’s health savings account compares

Like many of their other products, nbkc offers a standard interest rate for their Health Savings Account. While it is competitive and more than what most other banks offer, it’s not the highest rate on the market right now.

While a few other banks and credit unions may offer a higher interest rate, they also have higher account minimums while nbkc offers a $0 minimum opening balance.

If you don’t have hundreds or thousands to deposit into your HSA right off the bat and you want to earn interest, nbkc’s Health Savings account is a good option.

nbkc bank’s IRA account options

IRA CD Rates

Personal IRA CDs

This account is basically a copycat of nbkc’s personal CD, only you can use it to save for your retirement with varying withdrawal terms.

Term

APY

3 months

0.05%

6 months

0.40%

7 Month Special (CD Only)

1.97%

12 months

1.11%

12-Month Special (CD Only)

2.02%

14-Month Special (CD Only)

2.22%

18-Month Special (CD Only)

2.28%

24 months

1.31%

36 months

1.61%

48 months

1.82%

60 months

2.12%

  • Minimum opening deposit: $1,000
  • Minimum balance amount to earn APY: $0.01
  • Early withdrawal penalty: Varies. It depends on how much is withdrawn as well as the term.

nbkc’s IRA CDs have the same rates and minimum opening deposit requirements as their personal CDs. The only difference is that you can invest your IRA contributions.

There is no fee to transfer funds from another bank, and if applicable, you’re free in the clear to withdraw your designated required minimum distribution each year.

This would be a good option for someone looking to store their retirement savings for a shorter term whether it be six months or five years.

By holding your account at a bank like nbkc that’s backed by the FDIC, your funds will be protected by the U.S. government for up to $250,000.

How to get nbkc bank’s IRA CDs

To open a personal IRA CD, you need to contact the bank either by calling their main line: (816) 965-1400, toll free number: (888) 905-2165 or by stopping in one of their branches.

LEARN MORE Secured

on nbkc bank’s secure website

Add-to Starter IRA CD

This account is a copycat of nbkc’s add-to starter CD, only with an IRA framework.

Term

APY

12 months

1.11%

  • Minimum opening deposit: $25
  • Minimum balance amount to earn APY: $0.01
  • Early withdrawal penalty: 180 days’ interest

nbkc’s add-to IRA CD product works just like the personal CD add-to account where you can contribute funds to your account over a 12-month period.

You just need $25 to get started and can set up automatic transfers of $25+ regularly. This would be a favorable option for someone looking to increase their retirement savings and grow their account at a steady, guaranteed interest rate.

However, the APY is quite low and if rates do increase, you won’t be able to take advantage of them while your term is still active.

How to get nbkc bank’s Add-to Starter IRA CD

In order to get an add-to starter IRA CD, you need to first have an IRA CD account with nbkc, then contact them either by calling their main line: (816) 965-1400, toll-free number: (888) 905-2165 or by stopping in one of their branches.

LEARN MORE Secured

on nbkc bank’s secure website

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How nbkc bank’s IRA CD rates compare

nbkc bank’s personal IRA CDs definitely comes in on the low end when compared with other IRA CD products.

The APY is much lower than other banks but one of the perks is that you can start adding to your IRA CD with just a small amount of money. Other banks also have lower minimum deposit requirements and offer higher rates so it best to shop around.

Overall review of nbkc bank’s products

We like that nbkc offers a wide variety of banking products, low minimum deposit requirements and hardly any hidden fees. It’s clear that this bank has fulfilled their mission of offering simple and straightforward solutions to customers. However, little information is readily available on their site about some of their accounts.

In terms of their personal checking account, being able to earn interest is also a worthy perk.

However, the APY for many of their other accounts, like the money market and their CDs, falls short compared with other banks. If you want to get more bang for your buck with a CD, IRA CD or personal IRA account, you should look elsewhere.

Advertiser Disclosure: The card offers that appear on this site are from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all card companies or all card offers available in the marketplace.

Chonce Maddox
Chonce Maddox |

Chonce Maddox is a writer at MagnifyMoney. You can email Chonce at chonce@magnifymoney.com

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Reviews

PurePoint Financial Review of Savings and CD Rates

Editorial Note: The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Year Established1979
Total Assets$120.9B
LEARN MORE on PurePoint Financial’s secure website
PurePoint Financial has been making a splash on the market ever since its launch in 2017. Even though it’s a new bank, don’t let that fool you: It falls under the umbrella of the Mitsubishi UFJ Financial Group Inc. This conglomerate is the fifth-largest bank in the world, with $2.59 trillion in assets.

This is a unique hybrid online/physical bank. You can do all of your banking online or if you prefer, you can visit one of the branches if you live in certain cities in Florida, Illinois, New York or Texas. If you visit a branch in person, representatives can assist you with opening and managing an account, but you cannot make cash deposits or withdrawals at a branch.

PurePoint claims that its main mission is to spur more Americans to save in order to counter the overall poor savings rate in this country. In this review we’ll cover its two products — CDs, and its savings account. We’ll fill in all the details to let you know if this bank is right for you and if it really does live up to its hype.
PurePoint Financial’s Most Popular Accounts

APY

Account Type

Account Name

Compare Rates from Similar Accounts

1.90%

Savings

PurePoint Financial Online Savings

1.80%

Goldman Sachs Bank USA High-yield Online Savings Account

on Goldman Sachs Bank USA’s secure website

2.30%

CD Rates

PurePoint Financial 12 Month Online CD

2.25%

Barclays 12 Month Online CD

on Barclays’s secure website

2.75%

CD Rates

PurePoint Financial 24 Month Online CD

2.55%

Ally Bank High Yield 3 Year CD

on Ally Bank’s secure website

3.00%

CD Rates

PurePoint Financial 36 Month Online CD

2.85%

Barclays 60 Month Online CD

on Barclays’s secure website

All rates are as of 7/11/2018

PurePoint Financial’s Savings Account

This is one of the higher earning accounts available today, but you’ll need a lot of money to open this account.

APY

Minimum deposit amount

1.90%

$10,000

0.25%

Up to $10,000

  • Monthly account maintenance fee: $0
  • ATM fee: N/A
  • ATM fee refund: N/A
  • Overdraft fee: N/A

If you’re looking for a simple, no-fuss online savings account that earns a good rate, this is definitely an account to consider. You’ll need a $10,000 minimum deposit to open the account and earn the high interest rate listed, but you can withdraw money and drop the balance below $10,000 after the account is open, if you wish. If you do this, you’ll earn a lower interest rate (currently 0.25% APY).

This account also does not come with ATM access or overdraft protection. Rather, if you happen to overdraw the account, you “agree to pay the amount of the overdraft promptly, without notice or demand from us,” according to PurePoint Financial’s disclosure. Additionally, there is no way to make a cash deposit into the account — you can only make transactions via bank or wire transfer, mobile deposit or by writing a check to make a deposit into the account.

Federal Regulation D limits you to making just six transactions (ACH, telephone, mobile or online banking, or wire transfer) per month. If you go over that amount, you’ll pay a $10 per-item fee, up to $50 per month. If you go over these limits regularly, PurePoint Financial may take away your transfer privileges or even close your account.

How to get the PurePoint Financial Savings Account

You can easily open this account in three different ways: in person at one of its financial centers, over the phone or online.

LEARN MORE Secured

on PurePoint Financial’s secure website

Member FDIC

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How PurePoint Financial’s Savings Account compares

PurePoint Financial isn’t offering the very highest interest rates, but they’re pretty darn close. This bank is a decent choice if you have a lot of cash. If you’re starting off with a smaller balance size, want ATM access to your savings account or want to earn the highest rates currently available, however, we recommend choosing a high-yielding savings account at another bank.

PurePoint Financial’s CD rates

These CDs earn decent rates but they’re not the highest earning CDs out there.

Term

APY

12 months

2.30%

18 months

2.50%

24 months

2.75%

36 months

3.00%

  • Minimum opening deposit: $10,000
  • Minimum balance amount to earn APY: $10,000
  • Early withdrawal penalty: 181 days’ worth of interest, regardless of CD term length.

PurePoint Financial’s CDs are another no-fuss, straightforward product. Any interest you earn will be compounded daily and credited to your CD account once a month. You can choose to withdraw the interest earned penalty-free at any time, but remember: The APY quoted for these accounts assumes you keep rolling the interest back into the CD account. If you make a withdrawal of interest, you’ll earn a lower rate than the one quoted when you open your account.

Your CD will renew automatically, however you’ll get a 10-day grace period to make any changes.

One of the nice things about PurePoint Financial’s CDs is that it offers you a 10-day rate promise. When you open a CD or an existing CD is automatically renewed, PurePoint Financial will give you the best rate available during the 10-day period after you open the account or renew it. This helps ensure you get its best rate possible, which can ease your mind in a fluctuating interest rate environment (like we’re in today).

How to get PurePoint Financial’s CDs

There are three ways to open a PurePoint Financial CD. You can open one over the phone, online or by visiting a local branch in person. You’ll need to provide some basic information about yourself such as your name, address and Social Security number.

LEARN MORE Secured

on PurePoint Financial’s secure website

Member FDIC

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How PurePoint Financial’s CD rates compare

Much like its savings account, PurePoint Financial offers good — but not the best — rates. Furthermore, if you make only the minimum deposit with this CD account, you do not have the option to make a partial withdrawal and still be able to earn interest on this account.

If you don’t have this hefty minimum deposit, or if you think you’ll need to make a partial withdrawal below the minimum deposit amount or if you just want to earn higher rates, we suggest checking out these top-yielding CD accounts instead.

Overall review of PurePoint Financial’s banking products

PurePoint Financial has a worthy goal of getting people to save more. It does offer decent rates on its products, but it is possible to find even higher rates at some other banks.

Furthermore, the minimum deposit needed to save with this bank makes it only available to advanced savers. If you’re just getting started with your savings, it’s unlikely you’ll be able to afford the minimum deposits at this bank unless you were born with a silver spoon in your mouth or received a large inheritance.

Overall, we don’t think this bank is a bad choice, but it’s not the absolute best out there. We recommend scoping out a few more options before deciding whether you want to open an account here or not.

Advertiser Disclosure: The card offers that appear on this site are from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all card companies or all card offers available in the marketplace.

Lindsay VanSomeren
Lindsay VanSomeren |

Lindsay VanSomeren is a writer at MagnifyMoney. You can email Lindsay here

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Reviews

EverBank Changes Name to TIAA Bank: What You Need to Know

Editorial Note: The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Year Established1998
Total Assets$33.9B
LEARN MORE on EverBank’s secure website
As far as major banks go, EverBank, now known as TIAA Bank, is relatively young but gives other banks a run for their money. They started up in 1961 and since then, they’ve ramped up their business and provide a suite of award-winning bank accounts. Now, the bank has been acquired by TIAA and is newly named TIAA Bank. While the name has changed, the fairly competitive rates have not.

Although EverBank offers a wide range of lending, investment and banking services, in this review, we’ll just focus on the crux of their business — their banking products. While EverBank offers consistently high rates on their accounts, that’s not the only thing you need to consider when deciding whether or not to open an account at this bank.

We’ll cover everything else you need to know — rates, fees, minimum deposits and rules — in this review as well.
EverBank’s Most Popular Accounts

APY

Account Type

Account Name

Compare Rates from Similar Accounts

1.50%

Savings

EverBank Yield Pledge Money Market - First Time Client (1st Yr)

1.80%

Goldman Sachs Bank USA High-yield Online Savings Account

on Goldman Sachs Bank USA’s secure website

2.35%

CD Rates

EverBank 1 Year Yield Pledge CD

2.25%

Barclays 12 Month Online CD

on Barclays’s secure website

2.70%

CD Rates

EverBank 3 Year Yield Pledge CD

2.55%

Ally Bank High Yield 3 Year CD

on Ally Bank’s secure website

2.90%

CD Rates

EverBank 5 Year Yield Pledge CD

2.85%

Barclays 60 Month Online CD

on Barclays’s secure website

EverBank’s CD rates

Yield Pledge CDs

EverBank offers some of the top rates out there on this standard CD account.

Term

APY

3 months

1.60%

6 months

1.75%

9 months

1.93%

1 year

2.35%

18 months

2.45%

2 years

2.50%

2.5 years

2.60%

3 years

2.70%

4 years

2.80%

5 years

2.90%

As of 7/11/2018

  • Minimum opening deposit: $5,000
  • Minimum balance amount to earn APY: $0.01
  • Early withdrawal penalty: For each of the following CDs, the early withdrawal penalty will be:
    • For each of the following CDs, the early withdrawal penalty will be:
    • 6-month CD: 45 days’ worth of interest
    • 9-month CD: 68 days’ worth of interest
    • 1-year CD: 91 days’ worth of interest
    • 18-month CD: 136 days’ worth of interest
    • 2-year CD: 182 days’ worth of interest
    • 2.5-year CD: 228 days’ worth of interest
    • 3-year CD: 273 days’ worth of interest
    • 4-year CD: 365 days’ worth of interest
    • 5-year CD: 456 days’ worth of interest

EverBank’s Yield Pledge CD has pretty standard terms, which means you don’t need to worry about any funny business. You’re allowed to withdraw the interest earned without penalty, but if you do so, you might not earn the stated APY (the stated APY assumes that you let interest pile up within the account rather than withdrawing it).

Once the CD matures, it’ll automatically roll over into a new CD of the same type. But, you also get a 10-day grace period from the date of maturity to make any changes, such as withdrawing the money, adding any funds and/or changing the terms of the CD.

It’s easy to open a Yield Pledge CD account online. All you have to do is provide some basic personal information about yourself to help verify your identity, such as your name and Social Security number. After you’ve applied for an account, you’ll also need a way to fund it. You can do this by writing a check and mailing it in, or using their mobile deposit app, setting up a wire transfer or depositing the funds online from another bank.

LEARN MORE Secured

on TIAA Bank’s secure website

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How EverBank’s CD rates compare

When it comes to high rates on a CD, you can’t really go wrong with EverBank. They currently offer some of the best CD rates available, which puts them on par with some of the bigger online banks.

In particular, we really like EverBank’s Yield Pledge promise, which states that EverBank will always keep their rates among the top 5% of all banks. This makes them a really attractive bank to stick with if you plan on opening multiple CDs, or doing a CD ladder strategy. This gives you peace of mind that the bank isn’t luring you in with temporarily high rates, only to drop them back down after you’ve already got a bunch of CDs with them. You can rest assured you’ll always get high rates, even in the future.

EverBank’s checking account

Yield Pledge Checking

High interest rates and low (or even no) ATM fees make this a great checking account for people who use ATMs frequently.

APY

Minimum Balance Amount

1.21% (1-Year Intro APY)

$5,000 - $250,000

0.25%

$0-$9,999.99

0.46%

$10,000-$24,999.99

0.61%

$25,000-$49,999.99

0.61%

$50,000-$99,999.99

0.71%

$100,000-$10,000.000

As of 7/11/2018

  • Minimum opening deposit: $5,000
  • Monthly account maintenance fee: None
  • ATM fees: None (we are excluding any ATM surcharge fees charged by the ATM’s owner).
  • ATM fee refunds: Unlimited ATM surcharge fee refunds each month if you keep an average daily balance of $5,000 in your account.
  • Overdraft fees: $30 insufficient funds fee, up to twice daily, if you don’t have overdraft protection enabled. Otherwise, an overdraft transfer from a linked EverBank account is free.

You’ll need a hefty amount of money to open this account, but if you’ve got it, it’s one of the highest-earning bank checking accounts. You’ll even earn a higher premium rate in your first year, regardless of how much you have in the account. After that, it’ll drop back down to the normal (but still high) interest rates for this account.

This account is especially great for people who use ATMs frequently and keep a large amount of money in their checking account. You’re not required to keep $5,000 in your account after opening it, but if you do, you get an added bonus: EverBank will refund all ATM surcharge fees that other ATM owners charge. Plus, they, themselves won’t charge you any fees for using whichever ATM you wish. It’s truly free-for-all ATM use.

It’s easy to open a Yield Pledge Checking account online. All you have to do is provide some basic personal information about yourself to help verify your identity, such as your name and Social Security number. After you’ve applied for an account, you’ll also need a way to fund it. You can do this by writing a check and mailing it in, or using EverBank’s mobile deposit app, setting up a wire transfer or depositing the funds online from another bank.

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How EverBank’s checking account compares

EverBank offers exceptional rates on their checking account. In fact, it’s one of the best online checking accounts available. There’s only one catch: You need to have a large opening deposit of at least $5,000, which is a lot of cash for most people.

But, once you open the account, you don’t necessarily need to keep it funded with $5,000 every day, although you do get some ATM perks and can earn higher interest rates by doing so. Still, it’s a great checking account for most people, although you can earn even higher interest rates by keeping your excess cash in an EverBank Money Market account.

EverBank’s money market account

Yield Pledge Money Market

EverBank’s Money Market account also offers great rates and low (or no) ATM charges.

APY

Minimum Balance Amount

1.60% (1-Year Intro APY)

$5,000 - $250,000

1.10%

$0-$9,999.99

1.15%

$10,000-$24,999.99

1.25%

$25,000-$49,999.99

1.35%

$50,000-$99,999.99

1.50%

$100,000-$10,000.000

As of 7/11/2018

  • Minimum opening deposit: $5,000
  • Monthly account maintenance fee: $0
  • ATM fees: None (not including any ATM surcharge fees charged by the ATM’s owner).
  • ATM fee refunds: Unlimited ATM surcharge fee refunds each month if you keep an average daily balance of $5,000 in your account.
  • Overdraft fees: $30 NSF fee, up to twice daily, if you don’t have overdraft protection enabled. Otherwise, an overdraft transfer from a linked EverBank account is free.

You can earn high rates with EverBank’s Checking account, but you can earn even higher rates for your savings in an EverBank Money Market account. Plus, it’s a tiered account, so as your balance grows, you’ll earn even more money.

Just watch out; you’re limited to six transactions per month with this account, unless they’re in-person, by mail or ATM transactions. If you go over that amount, you’ll pay $10 per transaction, and they may even close your account or convert it into a checking account if you do this enough times.

It’s easy to open a Yield Pledge Money Market account online. All you have to do is provide some basic personal information about yourself to help verify your identity, such as your name and Social Security number. After you’ve applied for an account, you’ll also need a way to fund it. You can do this by writing a check and mailing it in, or using EverBank’s mobile deposit app, setting up a wire transfer or depositing the funds online from another bank.

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How EverBank’s money market account compares

EverBank also offers high interest rates on their Money Market account. Unlike their Yield Pledge Checking account, however, they’re not actually among the current top contenders for best money market account rates. There are many other banks out there offering higher rates on money market accounts than EverBank.

You also need to bring a lot of cash to the table with this account — $5,000, which again, is a lot for many people.

Overall review of EverBank’s products

We really like EverBank and their Yield Pledge promise, which states that they commit to being among the top 5% of banks offering the highest interest rates on their accounts. This makes them especially appealing if you’re doing a CD ladder because you might not want to fuss around every few years figuring out where you’re going to deposit your CD money next, depending on who’s offering the highest interest rates. With EverBank, you can plop it down in one spot and rest assured that you’ll earn great rates.

One thing we do not like about EverBank is that it requires high minimum deposits for all of their accounts. This precludes a lot of people from getting started with their savings. Still, it’s an all-around great option for folks who already have a small pile of cash saved up to earn even more money on their deposits.

Advertiser Disclosure: The card offers that appear on this site are from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all card companies or all card offers available in the marketplace.

Lindsay VanSomeren
Lindsay VanSomeren |

Lindsay VanSomeren is a writer at MagnifyMoney. You can email Lindsay here

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Reviews

Bank of America Checking, Savings, CD, and IRA Account Reviews

Editorial Note: The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Year Established1904
Total Assets$1,765.2B
LEARN MORE on Bank Of America’s secure website
Chances are you’ve heard of Bank of America. It’s one of the biggest banks in the country, after all. This bank carries a wide range of financial products, such as credit cards, auto loans, home loans, investment accounts and yes — checking, savings, CD and IRA accounts as well. We’ll be focusing on these specific accounts in this review.

We put Bank of America’s banking accounts to the test. Perhaps not surprisingly, we found that they offer much lower rates and higher fees than many of the best banks out there. Bank of America may also offer different rates depending on what part of the country you’re in. To keep things consistent, we always looked at rates in the 28255 zip code (in Charlotte, N.C.), because this is where Bank of America is headquartered.
Bank of America’s Most Popular Accounts

APY

Account Type

Account Name

Compare Rates from Similar Accounts

0.03%

Savings

Bank of America Regular Savings

1.80%

Goldman Sachs Bank USA High-yield Online Savings Account

on Goldman Sachs Bank USA’s secure website

0.07%

CD Rates

Bank of America 12 Month Featured CD

2.25%

Barclays 12 Month Online CD

on Barclays’s secure website

0.05%

CD Rates

Bank of America 12 - 17 Month CD

2.55%

Ally Bank High Yield 3 Year CD

on Ally Bank’s secure website

0.04%

CD Rates

Bank of America Risk Free CD

2.85%

Barclays 60 Month Online CD

on Barclays’s secure website

Bank of America checking account options

Bank of America Interest Checking® Account

Bank of America’s Interest Checking® Account offers a minuscule amount of interest and a few extra perks in exchange for a higher monthly fee.

APY

Minimum Balance Amount

0.01%

$0 - $50,000

0.02%

$50,000+

As of 7/11/2018

  • Minimum opening deposit: $100
  • Monthly account maintenance fee: $25 (waived if you meet certain requirements, detailed below)
  • ATM fees: No fee for using Bank of America ATMs. If you use an out-of-network ATM in the United States, you’ll pay $2.50 per transaction (plus whatever surcharge fees the ATM’s owner tacks on). If you use a foreign ATM, you’ll pay $5 per transaction, plus a 3% foreign transaction fee and any surcharge fees.
  • ATM fee refunds: If you’re a Preferred Rewards Platinum or Platinum Honors client, you won’t be charged the out-of-network ATM fees in the United States. Preferred Rewards Platinum clients will receive one surcharge fee refund per month, and Platinum Honors clients will receive unlimited surcharge fee refunds.
  • Overdraft fees: $35 per item

This checking account earns a minuscule amount of interest while charging a higher monthly fee than their Core Checking account. But, you can also get the monthly fee waived by doing one of the following:

  1. Keeping a combined balance of at least $10,000 in all of your Bank of America accounts.
  2. Enrolling in Bank of America’s Preferred Rewards program and earn at least a Gold, Platinum or Platinum Honors tier.

The Interest Checking account also has a few other perks. If you do opt-in to the overdraft protection and have a linked savings account set up, any transfers to cover overdrafts are done free of charge (with the Core Checking account, this normally costs $12 per transfer). You’ll also get free checks, and you can choose to enroll in the BankAmeriDeals cashback rewards program and the Keep The Change savings program.

It only takes a few minutes to apply for Bank of America’s Interest Checking® Account. You’ll need to provide some basic personal information, such as your name, Social Security number and address. A credit check may be performed during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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Bank of America Core Checking® Account

This fee-heavy, no-interest-earning account isn’t one our favorites.
  • Minimum opening deposit: $25
  • Monthly account maintenance fee: $12 (unless you meet requirements, detailed below)
  • ATM fees: No fee for using Bank of America ATMs. If you use an out-of-network ATM in the United States, you’ll pay $2.50 per transaction (plus whatever surcharge fees the ATM’s owner tacks on). If you use a foreign ATM, you’ll pay $5 per transaction, plus a 3% foreign transaction fee and any surcharge fees.
  • ATM fee refunds: If you’re a Preferred Rewards Platinum or Platinum Honors client, you won’t be charged the out-of-network ATM fees in the United States. Preferred Rewards Platinum clients will receive one surcharge fee refund per month, and Platinum Honors clients will receive unlimited surcharge fee refunds.
  • Overdraft fees: $35 per item

This is Bank of America’s go-to checking account for most people. Sadly, it doesn’t earn any interest and charges a monthly fee to boot. Check out our roundup of other great low-fee checking accounts. Still, it’s fairly easy to get this fee waived in one of four ways:

  1. Have at least one monthly direct deposit of $250
  2. Keep a daily balance of $1,500 in your account
  3. Enroll in their Preferred Rewards program and reach a Gold, Platinum or Platinum Honors tier
  4. Be a high school, college or vocational program student under age 24

When you opened a bank account before the 2008 financial crisis, it was common to be automatically enrolled in an overdraft program. Bank of America’s overdraft program works like this: If you don’t have a linked savings account and you overdraw your account, you’ll face a $35 overdraft fee per item, up to four times per day. If you do have a linked savings account, they’ll charge you a $12 transfer fee to cover the cost. Now, due to new federal regulations, you need to manually opt into this program when you open an account. If you don’t, you’ll instead face a $35 non-sufficient funds (NSF) fee for each item, which is basically the same as the overdraft fee anyway.

Although this is a fee-heavy account, it does come with a couple nice features. Their Keep The Change program automatically rounds up your purchases and deposits the difference into your savings account. You can also earn cashback rewards by shopping at certain retailers through the BankAmeriDeals program.

It only takes a few minutes to apply for Bank of America’s Core Checking® account. You’ll need to provide some basic personal information, such as your name, Social Security number and address. Bank of America may perform a credit check during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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How Bank of America’s checking accounts compare

This bank’s checking accounts, like accounts at most big banks, offer low interest rates and high fees, especially compared with the best online checking accounts out there. Only one of their checking accounts does offer interest, and it’s such a low rate that you’ll probably even forget it does offer interest. The monthly maintenance fees for these accounts are quite high, and while it is possible to skirt them rather easily, that still means you need to be on your toes to make sure you meet the requirements each month.

The one thing that we actually do like with these accounts is Bank of America’s Keep The Change feature, which rounds up your purchases and deposits the difference into your savings account. This is a unique feature for bank accounts and can really help you save more cash, but it’s also possible to find apps that do the same thing that don’t come with these restrictive accounts.

Bank of America’s savings account options

Rewards Savings

This savings account rewards you with a monthly fee and a super low interest rate.

Tier

APY

Standard

0.03%

Gold

0.04%

Platinum

0.05%

Platinum Honors

0.06%

As of 7/11/2018

  • Minimum opening deposit: $100
  • Monthly account maintenance fee: $8 (waived if you meet certain requirements, detailed below)
  • ATM fees: No fee for using Bank of America ATMs. If you use an out-of-network ATM in the United States, you’ll pay $2.50 per transaction (plus whatever surcharge fees the ATM’s owner tacks on). If you use a foreign ATM, you’ll pay $5 per transaction, plus a 3% foreign transaction fee and any surcharge fees.
  • ATM fee refunds: If you’re a Preferred Rewards Platinum or Platinum Honors client, you won’t be charged the out-of-network ATM fees in the United States. Preferred Rewards Platinum clients will receive one surcharge fee refund per month, and Platinum Honors clients will receive unlimited surcharge fee refunds.
  • Overdraft fees: $35 per item

This is Bank of America’s basic savings account, and an option if you’re just looking for a basic, no-frills place to store your cash. Once again, this account comes with a monthly fee that you should be able to skirt around in one of three ways:

  1. Keep at least $500 in this account
  2. Link up your Bank of America Interest Checking® account
  3. Enroll in the Preferred Rewards program and earn at least a Gold, Platinum or Platinum honors tier.

It shouldn’t be too difficult, but remember to keep these rules in mind should you want to drain your savings account and use the cash.

In addition to the monthly maintenance fee, you’re also limited to six transfers and withdrawals per month, as per Federal Regulation D. If you go over that amount, Bank of America will charge you $10 per transaction, up to $60 per month (however, if you’re enrolled in the Preferred Rewards program or keep at least $20,000 in your account, this fee will be waived).

It only takes a few minutes to apply for Bank of America’s Rewards Savings account. You’ll need to provide some basic personal information, such as your name, Social Security number and address. A credit check may be performed during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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Minor Savings Account

A low-fee alternative to teach your children how to save.

Tier

APY

Standard

0.03%

Gold

0.04%

Platinum

0.05%

Platinum Honors

0.06%

As of 7/11/2018

  • Minimum opening deposit: $25
  • Monthly account maintenance fee: None
  • ATM fees: No fee for using Bank of America ATMs. If you use an out-of-network ATM in the United States, you’ll pay $2.50 per transaction (plus whatever surcharge fees the ATM’s owner tacks on). If you use a foreign ATM, you’ll pay $5 per transaction, plus a 3% foreign transaction fee and any surcharge fees.
  • ATM fee refunds: If you’re a Preferred Rewards Platinum or Platinum Honors client, you won’t be charged the out-of-network ATM fees in the United States. Preferred Rewards Platinum clients will receive one surcharge fee refund per month, and Platinum Honors clients will receive unlimited surcharge fee refunds.
  • Overdraft fees: $35 per item

If you’re looking to teach your kids about savings, this account is one option. Thankfully, Bank of America waives or lowers many of the fees associated with this account. For example, while you’d normally be charged a $10 fee for going over six withdrawals or transfers per month, the bank will only charge kids and teens $1 per occurrence, up to $6 per month, and only if they have less than $300 in their account. Another nice perk is that you, as a parent, can make automatic transfers into your child’s account.

Once the child reaches age 18, the account automatically converts into a regular Rewards Savings account with higher fees and requirements, so be prepared.

It only takes a few minutes to apply for Bank of America’s Minor Savings account. The account will be jointly owned by your and your child, and so you will both need to provide some basic personal information, such as your names, social security numbers, and addresses. A credit check may be performed during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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Custodial (UTMA) Savings Account

This custodial account operates under the rules of the Rewards Savings account.

APY

Minimum Balance Amount

0.03%

$0

As of 7/11/2018

  • Minimum opening deposit: $100
  • Monthly account maintenance fee: $8
  • ATM fees: No fee for using Bank of America ATMs. If you use an out-of-network ATM in the United States, you’ll pay $2.50 per transaction (plus whatever surcharge fees the ATM’s owner tacks on). If you use a foreign ATM, you’ll pay $5 per transaction, plus a 3% foreign transaction fee and any surcharge fees.
  • ATM fee refunds: If you’re a Preferred Rewards Platinum or Platinum Honors client, you won’t be charged the out-of-network ATM fees in the United States. Preferred Rewards Platinum clients will receive one surcharge fee refund per month, and Platinum Honors clients will receive unlimited surcharge fee refunds.
  • Overdraft fees: $35 per item

This savings account is meant for parents to save for their children’s expenses after they become adults, such as college, living expenses or a home down payment. Bank of America’s UTMA savings account works exactly like their Rewards Savings account, with one twist: it falls under UTMA regulations.

This means that the account is technically owned by the child, but the parent acts as a custodian and manages the account for them until they’re 18 or 21 (depending on the rules of the state you live in). After this point, the now-adult can access the money and do whatever they want with it, and you’re no longer in charge of the account.

It only takes a few minutes to apply for Bank of America’s Custodial Savings account. Both you and your child will be listed on the account, and so you will both need to provide some basic personal information, such as your names, Social Security numbers and addresses. Bank of America may perform a credit check during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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How Bank of America’s savings accounts compare

There’s no two ways about it: these savings accounts, on the whole, offer high fees and very low interest rates. If you’re banking on these savings accounts for your next vacation, it’ll be quite some time before you find yourself sipping mai tais on a Hawaiian beach. If you’re looking to earn more money with your savings account, a better option would be one of these top online savings accounts.

Bank of America’s CD rates

Featured CD account

Earn a slightly higher interest rate on a short-term CD by bringing 10x the cash to the table.

Term

APY

12 Months

0.07%

As of 7/11/2018

  • Minimum opening deposit: $10,000
  • Minimum balance amount to earn APY: $0.01
  • Early withdrawal penalty: 180 days’ worth of interest on the amount that you withdraw.

If you’re looking for a shorter-term commitment and want to earn a slightly higher rate, you might consider Bank of America’s Featured CD. Still, you won’t earn much more; the interest rate on this featured CD barely edges out their regular 12-month CD, which itself pays out a very small amount of interest.

You also need to pony up a higher amount of cash for this minuscule interest rate increase: You’ll need at least $10,000 to open this CD, whereas you can open a normal CD with as little as $1,000.

It only takes a few minutes to apply for the Featured CD. You’ll need to provide some basic personal information, such as your name, Social Security number and address. Bank of America may perform a credit check during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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Standard Term CD account

The ability to choose your own CD term with a low opening deposit requirement makes this a great choice for people looking for flexibility.

Term

APY

28-179 Days

0.03%

6-11 Months

0.03%

12-17 Months

0.05%

18-23 Months

0.07%

24-35 Months

0.10%

36-47 Months

0.55%

48-59 Months

0.65%

60-119 Months

0.75%

120 Months

0.75%

As of 7/11/2018

  • Minimum opening deposit: $1,000
  • Minimum balance amount to earn APY: $0.01
  • Early withdrawal penalty:
    • For CDs under 90 days, you’ll pay either all interest earned on the amount withdrawn, or 7 days’ worth of interest on the amount withdrawn (whichever is more).
    • For CDs between 90 days up to 12 months, you’ll pay 90 days’ worth of interest on the amount withdrawn.
    • For CDs between 12 months up to 60 months, you’ll pay 180 days’ worth of interest on the amount withdrawn.
    • For CDs over 60 months, you’ll pay 365 days’ worth of interest on the amount withdrawn.

We like Bank of America’s CDs because they offer a ton of flexibility. You can choose any term length you want, from one month to 120 months. You only need $1,000 to open a CD, which is much lower than many other CDs at other banks. You’ll be able to choose how you get paid interest: you can have it reinvested back into the CD, deposited into your linked checking or savings account or have a check mailed to you every so often.

However, it’s not all roses and sunshine. The biggest thing that counts — the interest rate — is actually quite low with this account.

When your CD matures, it’ll be automatically rolled over into a new CD account with the same term length. Don’t worry, though: you have a short seven-day grace period where you can make any changes to the CD, including adding more money, changing the term length or withdrawing the cash.

It only takes a few minutes to apply for Bank of America’s Standard Term CD. You’ll need to provide some basic personal information, such as your name, Social Security number and address. A credit check may be performed during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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How Bank of America’s CD rates compare

While Bank of America does offer some pretty nifty features for their CDs (such as flexible term lengths and low minimum deposit amounts), we still can’t get over the fact that the interest rates offered on these CDs are much, much lower than the CDs that you can get elsewhere. These low rates could be worth it if you’re trying to pull off a creative CD ladder structure with odd term lengths, but if you’re looking for the highest interest rates out there, we suggest giving these CDs a pass.

Bank of America’s IRA rates

Featured CD IRA

This account is basically a copycat of Bank of America’s Featured CD, but within an IRA framework.

Term

APY

12 Months

0.07%

As of 7/11/2018

  • Minimum opening deposit: $2,000
  • Minimum balance amount to earn APY: $0.01
  • Early withdrawal penalty:
    • For CDs under 90 days, you’ll pay either all interest earned on the amount withdrawn, or 7 days’ worth of interest on the amount withdrawn (whichever is more).
    • For CDs between 90 days up to 12 months, you’ll pay 90 days’ worth of interest on the amount withdrawn.
    • For CDs between 12 months up to 60 months, you’ll pay 180 days’ worth of interest on the amount withdrawn.
    • For CDs over 60 months, you’ll pay 365 days’ worth of interest on the amount withdrawn.

Bank of America’s Featured IRA CD works exactly like their regular Featured CD, except that it operates within the framework of an IRA. Strangely, it requires a slightly smaller minimum opening deposit ($2,000) compared with the regular Featured CD, which requires at least $10,000 to open.

But, assuming you can manage that hurdle, you’ll still have the same options for dealing with interest payments and CD renewals. You can choose to have interest added onto your CD balance, or paid out to you via deposit into a linked Bank of America account or a check. When your CD matures, it’ll automatically roll over into another Featured CD, and you’ll still have a seven-day period where you can make any changes to your account, including withdrawing the cash.

It only takes a few minutes to apply for a Bank of America’s Featured CD IRA. You’ll need to provide some basic personal information, such as your name, Social Security number and address. A credit check may be performed during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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Standard Term IRA CD

Bank of America also offers their regular Standard Term CDs in IRA form.

Term

APY

28-179 Days

0.03%

6-11 Months

0.03%

12-17 Months

0.05%

18-23 Months

0.07%

24-35 Months

0.10%

36-47 Months

0.55%

48-59 Months

0.65%

60-119 Months

0.75%

120 Months

0.75%

As of 7/11/2018

  • Minimum opening deposit: $1,000
  • Minimum balance amount to earn APY: $0.01
  • Early withdrawal penalty:
    • For CDs under 90 days, you’ll pay either all interest earned on the amount withdrawn, or 7 days’ worth of interest on the amount withdrawn (whichever is more).
    • For CDs between 90 days up to 12 months, you’ll pay 90 days’ worth of interest on the amount withdrawn.
    • For CDs between 12 months up to 60 months, you’ll pay 180 days’ worth of interest on the amount withdrawn.
    • For CDs over 60 months, you’ll pay 365 days’ worth of interest on the amount withdrawn.

This account is also another copycat of Bank of America’s regular Standard Term CDs, but within an IRA account. If you open up one of these accounts, you’ll also get a seven-day grace period where you can make any changes to the CD after it matures. Otherwise, it’ll continue on as a rollover CD, with the same term length as before. You can also choose to have interest deposited back into the CD account, or paid out to you via check or electronic deposit into a linked Bank of America account.

Because these CDs are so flexible, it’s easy to choose a term that might fit better with your retirement savings plan. For example, if you just need a place to store your retirement funds for, say, 30 months (not 24 months or 36 months — two common CD terms), these Standard CD IRA accounts allow you to choose that term length. It’s an odd situation for sure, but if you do find yourself in this spot, these CD IRAs allow you that degree of flexibility.

It only takes a few minutes to apply for Bank of America’s Standard Term CD IRAs. You’ll need to provide some basic personal information, such as your name, Social Security number and address. Bank of America may perform a credit check during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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Variable Rate CD IRA

This CD IRA may — or may not — offer higher rates than their regular Standard Term CD IRAs.

Term

APY

18-23 Months

0.03%

As of 7/11/2018

  • Minimum opening deposit: $100
  • Minimum balance amount to earn APY: $0.01
  • Early withdrawal penalty:
    • For CDs under 90 days, you’ll pay either all interest earned on the amount withdrawn, or 7 days’ worth of interest on the amount withdrawn (whichever is more).
    • For CDs between 90 days up to 12 months, you’ll pay 90 days’ worth of interest on the amount withdrawn.
    • For CDs between 12 months up to 60 months, you’ll pay 180 days’ worth of interest on the amount withdrawn.
    • For CDs over 60 months, you’ll pay 365 days’ worth of interest on the amount withdrawn.

Theoretically, you should be able to earn a slightly higher interest rate by choosing a variable rate. However, sometimes it doesn’t always work out that way. As of the time of this writing, the interest rates offered on regular 18-23-month Standard Term CD IRAs is double that of these Variable Rate CD IRAs.

If interest rates should rise, it may be beneficial to open one of these CDs, which also automatically roll over, disperse interest and have the same policies toward a grace period as regular CDs. But, keep in mind that this bank can change — or not change — the interest rate on this CD at any time, making it a bit of a gamble. Right now, it looks like their Standard Term CD IRA is winning in the rate department.

It only takes a few minutes to apply for a Bank of America Variable Rate CD IRA. You’ll need to provide some basic personal information, such as your name, Social Security number and address. The bank may perform a credit check during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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How Bank of America’s CD IRA rates compare

Just like with their other accounts, Bank of America offers very low rates. If you’re hoping to grow your money as much as possible within an FDIC-insured environment, you might be better off choosing one of the current top IRA CDs. But, just as with their regular non-IRA CDs, we can still see how someone could find these CDs useful, especially if you need an IRA CD with a weird term length. But, fortunately, those cases are probably very rare, and you’re likely better off choosing a higher-interest-earning IRA CD.

Money Market IRA

Bank of America’s Money Market IRA lets you add more money at any time.
  • Minimum opening deposit: $100

Even though Bank of America offers a wide range of CD terms, you still might prefer to keep your retirement savings in something a little more liquid in case you need to access it on short notice. If that’s the case, you might consider their Money Market IRA, which works similarly to a savings account. However, unlike their savings account, you can’t use this account to make withdrawals by check, debit card or draft.

You’ll have to call the bank to hear the rates associated with this account as well as to open this account. Fortunately, it only takes a few minutes to apply for a Bank of America Money Market IRA. You’ll need to provide some basic personal information, such as your name, Social Security number and address. Bank of America may perform a credit check during the application process, which should take 1-2 days. If approved, you’ll need to send in a signature form, and then you can fund your account.

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Overall review of Bank of America’s products

Bank of America does offer some truly neat features that we like, such as their many options for different CD term lengths. If you’re looking for weird CD term lengths, Bank of America is right for you. We also like their Keep The Change feature, which rounds up purchases to the nearest dollar and deposits the difference in your savings account.

But for most people (probably including yourself), you want to earn the best rates and pay the lowest fees possible. If that’s the case, we recommend another bank, because Bank of America’s products are consistently outperformed by other banks that offer higher rates and lower fees.

Advertiser Disclosure: The card offers that appear on this site are from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all card companies or all card offers available in the marketplace.

Lindsay VanSomeren
Lindsay VanSomeren |

Lindsay VanSomeren is a writer at MagnifyMoney. You can email Lindsay here

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Reviews

Chase Bank Reviews: CD, Checking, and Savings Rates

Editorial Note: The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Year Established1824
Total Assets$2,198.3B
LEARN MORE on Chase Bank’s secure website
Chase Bank is one of the biggest of the so-called “big banks” in the U.S. The bank can trace its roots all the way back to 1877 when it was known as “Chase National Bank,” named after Salmon Chase, appointed by former President Abraham Lincoln as secretary of the treasury. Chase Bank currently exists under the umbrella of the JPMorgan Chase & Co., a massive conglomerate made up of over 1,200 individual financial mergers and acquisitions since 1799.

Chase Bank is ubiquitous, operating 5,100 branches and 16,000 ATMs across the country. It’s not hard to find a local Chase Bank branch — or several — in your community, which is one reason why it’s become so popular. In fact, Chase claims that nearly half of all American households have some sort of a financial relationship with them.

But just because the bank is widespread doesn’t necessarily mean it’s the right bank for you. We’ll dive into the details of its accounts in this review and give you all the information you need to make an informed decision.

One final note: The interest rates below are as of June 8, 2018 and may vary at different Chase Bank locations across the country. To compare apples to apples and keep everything consistent, we’ll be reporting rates from the 10017 area code (New York, N.Y.), which is where Chase Bank’s headquarters is located.
Chase Bank’s Most Popular Accounts

APY

Account Type

Account Name

Compare Rates from Similar Accounts

0.01%

Savings

Chase Bank Chase Savings

1.80%

Goldman Sachs Bank USA High-yield Online Savings Account

on Goldman Sachs Bank USA’s secure website

0.05%

CD Rates

Chase Bank 12-14 Month CD - Relationship

2.25%

Barclays 12 Month Online CD

on Barclays’s secure website

0.65%

CD Rates

Chase Bank 36-41 Month CD - Relationship

2.55%

Ally Bank High Yield 3 Year CD

on Ally Bank’s secure website

0.85%

CD Rates

Chase Bank 60-83 Month CD - Relationship

2.85%

Barclays 60 Month Online CD

on Barclays’s secure website

*All rates are current as of July 11, 2018.

Chase Bank’s CD rates

Chase’s CDs come with many different term length options, but don’t expect the interest rates on these CDs to make you a millionaire.

Standard rates

Term

APY

1-17 months

0.01%

18-41 months

0.05%

42-59 months

0.10%

60-119 months

0.25%

120 months

0.70%

Relationship rates

$1,000-$9,999

$10,000-$99,999

$100,000+

1-11 months

0.02%

0.02%

0.02%

12-14 months

0.02%

0.02%

0.05%

15-17 months

0.05%

0.15%

0.20%

18-20 months

0.15%

0.25%

0.30%

21-23 months

0.65%

0.75%

0.75%

24-29 months

0.15%

0.25%

0.30%

30-35 months

0.65%

0.75%

0.75%

36-41 months

0.40%

0.60%

0.65%

42-47 months

0.70%

0.80%

0.85%

48-59 months

0.50%

0.70%

0.75%

60-83 months

0.60%

0.80%

0.85%

84-119 months

0.75%

0.95%

1.01%

120 months

1.16%

1.26%

1.30%

  • Minimum opening deposit: $1,000
  • Minimum balance amount to earn APY: $1,000
  • Early withdrawal penalty:
    • For CDs of less than 24 months, you’ll pay 1% of the amount withdrawn.
    • For CDs of longer than 24 months, you’ll pay 2% of the amount withdrawn.

    In either case, the penalty won’t be more than the total interest you’ve earned.

Chase Bank offers many different CD term lengths, which can allow you to customize your savings plan. This feature is especially handy if you’re trying a creative CD laddering strategy. You can also withdraw the interest earned at any time without paying a penalty, which is a convenient feature if you need this income before the CD matures. However, you’ll still face an early withdrawal fee if you want to withdraw any of the principal (the amount you initially put in the CD).

When you open up a Chase CD, it’ll automatically renew for the same term length once it matures. However, after this happens, you’ll still have a 10-day grace period where you can withdraw the money or make any changes to your CD without penalty.

You can open up a CD with Chase Bank online as long as you’re a U.S. citizen and you have some form of government-issued ID. In addition, you’ll also need a way to fund your new account.

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How Chase Bank’s CD rates compare

We’ll be blunt. Chase Bank’s CD interest rates don’t even come close to the current top competitors for best CD rates. While it’s nice that it offers many different term length options, this isn’t what’s going to give you the greatest returns: high interest rates will. That’s why we suggest passing on these CDs and instead choosing another bank if you want to earn the most money possible.

Chase Bank’s checking account options

Chase Premier Plus Checking

This checking account comes with very high fees, but offers nice rewards for military members.

APY

Minimum balance amount

0.01%

$0

  • Minimum opening deposit: $25
  • Monthly account maintenance fee: $25
  • ATM fee: $2.50 for non-Chase ATMs within the U.S. If you’re using a foreign ATM, you’ll pay $5 per withdrawal and $2.50 per transfer or inquiry, plus a 3% foreign exchange fee.
  • ATM fee refund: Your first four non-Chase ATM uses are free.
  • Overdraft fee: $34 per each item over $5, up to three per day. If your account is overdrawn for five or more consecutive days, you’ll also face a $15 extended overdraft fee.

This account is probably best for current and former military members, as well as those with deep pockets and/or other banking relationships with this bank. People who fall under this umbrella can get the high monthly account maintenance fee waived under one of these options:

  • Be an active-duty military member or veteran with a military ID
  • Have an average daily balance of $15,000 across all your eligible linked Chase accounts and investments
  • Sign this account up to make automatic payments to your Chase first mortgage

If you have this account, you’ll also get a few other minor perks. You can get free checks, a free 3” x 5” security box (as long as there are some available) at your local Chase branch and free money orders and cashier’s checks.

In addition, if you are a current military member and have your military paycheck deposited into this account, you’ll get a few more free perks: no fees at all for using non-Chase ATMs, free wire transfers and no foreign exchange fees for ATM or debit card transactions.

You can easily open a Chase Premier Plus checking account online as long as you’re a U.S. citizen. You’ll need an ID number (such as a driver’s license number) and a way to fund your new account, such as via a transfer from another checking account or by debit card.

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Chase Premier Platinum Checking

Chase Bank’s highest-level interest-bearing checking account charges a higher monthly fee, but you get several other fees waived in exchange.

APY

Minimum balance amount

0.01%

$0

  • Minimum opening deposit: $100
  • Monthly account maintenance fee: $35 if you live in CT, NJ or NY. $25 everywhere else.
  • ATM fee: No ATM fees for using non-Chase ATMs, however you’ll pay a 3% foreign transaction fee if you withdraw cash from a foreign ATM.
  • ATM fee refund: Your first four non-Chase ATM uses are free.
  • Overdraft fee: If you have overdrafted your account by four times or less in the past 12 months, you won’t pay any overdraft fees. Otherwise, it’ll be $34 per each item over $5, up to three per day.

This account also comes with a high monthly fee. But if you’ve got deep pockets, you can get it waived each month simply by keeping an average daily balance of $75,000 in your eligible linked Chase Bank accounts and investments.

In addition to the ATM and overdraft fees being waived in certain cases, you’ll also get several other fees waived. These are mostly oddball fees that few people pay regularly anyway, but these waived fees still might be useful in your situation.

You’ll get free checks, a free rush order on new debit card replacements, free stop-payment orders, free incoming wire transfers, free money orders and cashier’s checks, free statement copies and a free 3” x 5” safe deposit box, as long as one is available in your local branch.

Finally, if you do have this account, you can get the monthly maintenance fees waived on certain other Chase checking, savings and business accounts.

If you’re a U.S. citizen and have a government-issued ID number handy, you can easily apply online. You’ll also need to provide a way to fund your new account, such as by check card or ACH transfer.

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Chase Total Checking

A solid checking account option but look at other no-fee checking accounts if you want to avoid fees.
  • Minimum opening deposit: $25
  • Monthly account maintenance fee: $12
  • ATM fee: $2.50 for non-Chase ATMs within the U.S. If you’re using a foreign ATM, you’ll pay $5 per withdrawal and $2.50 per transfer or inquiry, plus a 3% foreign exchange fee.
  • ATM fee refund: None.
  • Overdraft fee: $34 per each item over $5, up to three per day. If your account is overdrawn for 5 or more consecutive days, you’ll also face a $15 extended overdraft fee.

If you don’t quite have the high balances required to waive the monthly maintenance fees on the more premium checking accounts, the Total Checking account might be a better option for you. With this account, you can have the monthly maintenance fee waived in one of three ways each month:

  • Have at least $500 direct-deposited into your account
  • Keep a balance of $1,500 in your account
  • Have at least $5,000 in this and other linked Chase accounts and investments

This account offers no interest and none of the perks of Chase Bank’s other accounts, such as free checks or free ATM uses.

If you’re a U.S. citizen and have the number from your government-issued ID handy, you can easily open an account online. You’ll also need to provide a method to fund your new account, such as a transfer from another bank account or with a debit card.

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Chase College Checking

Chase Bank’s College Checking account is free for college students for their first five years in college. Once you pass the five-year mark, you might be better off graduating into a no-fee checking account option unless you meet the requirements to have the fee waived.
  • Minimum opening deposit: $25
  • Monthly account maintenance fee: $6 (your first five years are free, however)
  • ATM fee: $2.50 for non-Chase ATMs within the U.S. If you’re using a foreign ATM, you’ll pay $5 per withdrawal and $2.50 per transfer or inquiry, plus a 3% foreign exchange fee.
  • ATM fee refund: None.
  • Overdraft fee: $34 per each item over $5, up to three per day. If your account is overdrawn for 5 or more consecutive days, you’ll also face a $15 extended overdraft fee.

If you’re a college student between the ages of 17 and 24 (and can prove your status), you’re eligible to open up a College Checking account with Chase.

There won’t be any monthly maintenance fees for the first five years after you open the account. If it takes you a long time to graduate or if you go to grad school and extend your college career past the five-year mark, however, there are still a couple of ways you can get the monthly maintenance fee waived:

  • Have at least one direct deposit (any amount) per month
  • Keep an average daily balance of $5,000 in your account

If you’re a U.S. citizen, and a college student between the ages of 17 and 24, you can open a College Checking account with Chase Bank online. You’ll also need to provide a way to fund the account, and a government-issued ID.

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Bonus offer: Chase College Checking account

For a limited time (until Aug. 13, 2018), Chase Bank is offering a special $50 bonus to new customers who open up a College Checking account. You’ll need to go on the website to get a coupon, which you then can bring into a local branch (the offer is not available for people who sign up online).

When you open your account, you’ll need to enroll in electronic statements. Finally, you’ll need to make at least 10 transactions with your new checking account within 60 days to be eligible for the $50 bonus. If you meet all these qualifications, you’ll get your bonus money within 10 days.

One final heads up: Don’t close your account for at least six months after you open it. Otherwise, Chase will deduct the $50 bonus from your account.

Chase High School Checking

This student account comes with a $6 monthly fee, but it’s highly unlikely you’ll ever have to pay it if you have a parent who already banks with Chase.
  • Minimum opening deposit: $25
  • Monthly account maintenance fee: $6
  • ATM fee: $2.50 for non-Chase ATMs within the U.S. If you’re using a foreign ATM, you’ll pay $5 per withdrawal and $2.50 per transfer or inquiry, plus a 3% foreign exchange fee.
  • ATM fee refund: None.
  • Overdraft fee: $34 per each item over $5, up to three per day. If your account is overdrawn for 5 or more consecutive days, you’ll also face a $15 extended overdraft fee.

This checking account is available to high school students between the ages of 13 and 17 who apply along with a parent. Parents who already have a banking relationship with Chase (not including a College Checking or High School Checking account) are eligible to apply for this account as a co-owner along with their student.

Although it comes with a $6 monthly maintenance fee, it’s almost guaranteed that you won’t have to pay it, since one of the ways to waive this fee is by having a parental co-owner with a linked non-College Checking and non-High School Checking account. Conveniently, those are also the requirements to open this account.

But, if Chase Bank ever does change the rules, or you find yourself in some weird loophole where this doesn’t apply to you, there are a couple of other ways that you can get the $6 monthly maintenance fee waived:

  • Have at least one monthly direct deposit made into the account
  • Keep a daily average of at least $5,000 in this account

Once the student co-owner turns age 19, this account will automatically transform into a Chase Total Checking account. It’s a good idea to keep this in mind, since the Total Checking account comes with a $12 monthly maintenance fee that you definitely do not want to be surprised by.

If you, as a parent, already have a qualifying personal checking account with Chase Bank and are prepared to be a co-owner on the checking account with your 13- to 17-year-old, then they are eligible for this account.

You’ll need to provide a way to fund the account along with your and your child’s government-issued IDs. Finally, you’ll need to apply for this account in-person at a local branch, rather than online.

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How Chase Bank’s checking accounts compare

Overall, we’re not too impressed with Chase Bank’s checking accounts. Each account charges a monthly maintenance fee, and while it is possible (and even probable, in some cases) to have this fee waived, you’ll still need to be on your toes each month to make sure you meet the requirements.

Furthermore, only two of its checking accounts offer any interest on your deposit. And even then, it’s worth noting that it’s only currently at 0.01% APY, which is the smallest amount of interest a bank can offer while still technically saying that it does offer interest.

If you’re looking for a higher interest-earning online checking account, take a look at these top-rated online checking account options instead.

Chase Bank’s savings account options

Chase Savings Account

Earn rock-bottom interest rates while trying to skirt the monthly fee with Chase Bank’s Savings Account.

APY

Minimum Deposit Amount

0.01%

$0

  • Minimum opening deposit: $5
  • Monthly account maintenance fee: None.
  • ATM fee: $2.50 for non-Chase ATMs within the U.S. If you’re using a foreign ATM, you’ll pay $5 per withdrawal and $2.50 per transfer or inquiry, plus a 3% foreign exchange fee.
  • ATM fee refund: None.
  • Overdraft fee: $34 per each item over $5, up to three per day. If your account is overdrawn for five or more consecutive days, you’ll also face a $15 extended overdraft fee.

You don’t get much with this savings account. Furthermore, you’ll need to find ways to waive the monthly maintenance fee, otherwise this fee could easily wipe out any earnings you receive for the month. There are four different ways you can get this monthly maintenance fee waived:

  • Keep at least $300 in this account
  • Set up a recurring monthly deposit of at least $25 from a linked Chase Bank personal checking account
  • Be under the age of 18
  • Have a linked Chase Premier Plus, Premier Platinum or Private Client checking account

You’ll also need to make an opening deposit of at least $25 to establish the account. This account also comes with a $5 “savings withdrawal limit fee” that will be charged each time you exceed six withdrawals per month. Unlike with the Chase Premier Savings account, there is no way to have this fee waived, so if you think you’ll be making a lot of withdrawals, you may want to consider another savings account.

Finally, if you exceed the Federal Regulation D limits (not including ATM or in-person withdrawals), the bank may also downgrade your account to a Chase Total Checking account.

Chase Bank does make it easy to sign up for a Savings Account online. U.S. citizens are eligible to apply, and all you’ll need is a way to fund the account and a government-issued ID number.

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Chase Premier Savings

Chase’s Premier Savings account doesn’t offer much in the way of returns or consumer-friendly benefits.

Standard rates

APY

Minimum Deposit Amount

0.01%

$0

Relationship rates

APY

Balance Amount

0.04%

$0-$49,999

0.07%

$50,000-$99,999

0.08%

$100,000-$249,999

0.11%

$250,000+

  • Monthly account maintenance fee: $25
  • ATM fee: $2.50 for non-Chase ATMs within the U.S. If you’re using a foreign ATM, you’ll pay $5 per withdrawal and $2.50 per transfer or inquiry, plus a 3% foreign exchange fee.
  • ATM fee refund: None.
  • Overdraft fee: $34 per each item over $5, up to three per day. If your account is overdrawn for 5 or more consecutive days, you’ll also face a $15 extended overdraft fee.

Chase’s Premier Savings account offers you the best chance to earn high interest rates with a savings account at this bank. However, you’ll need to watch out for the $25 monthly maintenance fee, which you can skirt in one of two ways:

  • Keep at least $15,000 in this account
  • Have a linked Chase Premier Plus or Chase Premier Platinum Checking account

You’ll also need to make an opening deposit of at least $100 to open this account (however, the balance can drop below that afterward). If you make more than six withdrawals per month, you’ll also face a $5 “savings withdrawal limit fee,” unless you have more than $15,000 in your account.

This is different from the Federal Regulation D limits, which limit you to six transactions per month, not including ATM or in-person transfers. If you exceed these limits, your account may automatically be downgraded to a Chase Total Checking account instead.

If you’re interested in opening a Premier Savings account with Chase Bank online, you’ll need to be a U.S. citizen. In addition, you’ll also need a way to fund your new account (such as with a transfer from an existing bank account) and you’ll need to provide the bank with a government-issued ID number.

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How Chase Bank’s savings accounts compare

Like many traditional bricks-and-mortar banks, Chase Bank offers some less-than-stellar interest rates. Case in point: the current highest-yielding online savings accounts are paying 15X what the maximum interest rate Chase offers, and with a lot less hassle. It may be convenient for you to open a savings account with Chase if you want to bank with a local branch, but if you want to earn the most money possible from your savings account, this isn’t the account to choose.

Overall review of Chase Bank’s products

Chase Bank has made quite a name for itself over the years. However, when it comes to its personal deposit accounts, there’s a lot left to be desired. Each of these accounts comes with high fees and super-low interest rates that make it hardly worthwhile to bank with Chase.

There may be good reasons to bank with Chase, such as if you prefer to use a conveniently-located branch near you. But in terms of earning the most money possible from your bank deposits, Chase Bank is definitely one to pass up.

Advertiser Disclosure: The card offers that appear on this site are from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all card companies or all card offers available in the marketplace.

Lindsay VanSomeren
Lindsay VanSomeren |

Lindsay VanSomeren is a writer at MagnifyMoney. You can email Lindsay here

TAGS:

Advertiser Disclosure

Reviews

Bank of Internet Reviews: Checking, CDs Rates, Money Market, and Savings Accounts

Editorial Note: The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

Year Established2000
Total Assets$10.0B
LEARN MORE on Bank Of Internet USA’s secure website
San Diego, Calif.-based Bank of Internet USA is a newer bank, having started up in the year 2000 while many traditional banks have been around for decades. It was also one of the first banks to exclusively operate online. Even though it’s a new kid on the block, it’s still a solid performer, and has received an “A” health rating from DepositAccounts.com, another LendingTree company, which indicates it’s a solid choice for consumers looking for a new bank account.

U.S. citizens and resident aliens 18 years or older are welcome to apply for an account with Bank of Internet. To apply online, you’ll need at least three pieces of information: a social security number, a U.S. driver’s license or state ID, and a physical mailing address (P.O. boxes aren’t allowed), along with other basic information about yourself like your name and phone number.

In this review we’ll cover Bank of Internet’s checking, CD, money market, savings, and IRA accounts. We’ll discuss the interest rates, fees, and rules that come along with each account so you can decide whether Bank of Internet will be the best bank for you.
Bank of Internet USA’s Most Popular Accounts

APY

Account Type

Account Name

Compare Rates from Similar Accounts

1.30%

Savings

Bank of Internet USA Smart Savings Account

1.80%

Goldman Sachs Bank USA High-yield Online Savings Account

on Goldman Sachs Bank USA’s secure website

1.00%

CD Rates

Bank of Internet USA 12 Month CD

2.25%

Barclays 12 Month Online CD

on Barclays’s secure website

1.30%

CD Rates

Bank of Internet USA 36 Month CD

2.55%

Ally Bank High Yield 3 Year CD

on Ally Bank’s secure website

2.25%

CD Rates

Bank of Internet USA 60 Month CD

2.85%

Barclays 60 Month Online CD

on Barclays’s secure website

Bank of Internet CD rates

While Bank of Internet’s CDs are pretty standard, they do offer a unique feature: interest is paid out every year for CD terms over one year in length.

Term

APY

3 months

0.55%

6 months

0.75%

12 months

1.00%

24 months

1.20%

36 months

1.30%

48 months

1.40%

60 months

2.25%

As of 7/11/2018

  • Minimum opening deposit: $1,000
  • Minimum balance amount to earn APY: $1,000
  • Early withdrawal penalty:
    • For the 3-month CD, you’ll pay 1.5 months’ worth of interest.
    • For the 6-month CD, you’ll pay 3 months’ worth of interest.
    • For the 12-month CD, you’ll pay 6 months’ worth of interest.
    • For the 24-month CD, you’ll pay 12 months’ worth of interest.
    • For the 36-month CD, you’ll pay 18 months’ worth of interest.
    • For the 48-month and 60-month CD, you’ll pay 24 months’ worth of interest.

Bank of Internet offers a pretty standard CD with this account. You can choose from a range of terms, and you must bring a moderately-sized deposit to the table to open an account. You’ll also face a penalty for withdrawing your cash early, and if you do withdraw money, Bank of Internet will first remove it from the interest you’ve earned. Since the APY you’ll earn is calculated based on the assumption that you leave the interest in the account to earn even more interest, withdrawing any money early can reduce the actual APY you get.

One important heads-up: if you choose a CD term longer than a year, you’ll receive a payout of the interest you’ve earned from the prior year, rather than having it sit in your CD account until maturity. Additionally, the CD will auto-renew to another CD of the same term length when it matures. You’ll still have a 10-day grace period to withdraw the money or make any changes to the CD, however.

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Member FDIC

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How Bank of Internet’s CD rates compare

When it comes to CD rates, Bank of Internet is a bit like Goldilocks. It doesn’t offer the best CD rates out there, but it also don’t offer the worst. In addition, its minimum deposit size to open a CD is relatively standard among banks, however it will be a bit cost-prohibitive to many people, especially those just starting out their savings.

One option to get around this is to find another bank with a lower minimum deposit size for CDs, or to simply open a savings account until you have enough cash saved up to open a higher-interest-earning CD.

Bank of Internet checking account options

Rewards Checking

This fee-free account offers a great opportunity to earn high interest rates on your checking account money.

APY

Minimum Deposit Amount

Up to 1.25%

$0

As of 7/11/2018

  • Monthly account maintenance fee: $0
  • ATM fees: $0
  • ATM fee refunds: Unlimited ATM fee refunds for any domestic ATMs
  • Overdraft fees: Free, if you link a savings or money market account to cover any overdrafts.

If you’re looking for a high-interest-earning checking account, this is a great one to consider. You can earn three different tiers of interest rates, depending on how you use the account. To earn the base rate of 0.4166% APY, you’ll need to receive at least $1,000 worth of monthly direct deposits into this account. To earn an additional 0.4166% APY, you’ll need to also make at least 10 purchases of at least $3 per month with your Bank of Internet Visa® debit card. Finally, if you also make another five purchases (for a total of 15) of at least $3 per month, in addition to the direct deposit requirements, you can earn yet another 0.4166% APY — totalling a whopping 1.25% APY.

This account also comes with a cashback rewards program. To enroll, you’ll need to log in to your account and navigate to the Purchase Rewards section, where you can see what cashback offers are available at local and online stores. You’ll need to manually activate the offers in order for it to work; otherwise, you won’t earn anything. If you do earn any cash back, it’ll be deposited into your account at the end of the next month.

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Member FDIC

Platinum Checking

The only string attached with the Platinum Checking account is that you need a high balance to earn any interest.

APY

Minimum Balance Amount

0%

$1 - $4,999

0.71%

Over $5,000

As of 7/11/2018

  • Monthly account maintenance fee: $0
  • ATM fees: $0
  • ATM fee refunds: Up to $8 per month from domestic ATM surcharge fees
  • Overdraft fees: $0

If you tend to keep a large balance in your checking account and don’t use it a whole lot, this could be a good rewards checking account to consider. You won’t earn anything on the first $4,999 in the account, but once you hit the $5,000 mark, you’ll earn a decent interest rate for a checking account, and with no strings attached like with Bank of Internet’s Rewards Checking account.

There aren’t any fees for using any domestic ATMs; however, you still might owe ATM surcharge fees from the ATM’s owner. Bank of Internet will reimburse you up to $8 for these surcharge fees, but unlike the Rewards Checking account, it’s not an unlimited amount — so this account may be better for folks who don’t use ATMs frequently either.

The Platinum Checking account also comes with the same cashback rewards program as the Rewards Checking account. Simply log into your online account, select which offers you’re interested in, and shop at that store. Your cash rewards will be deposited into your bank account at the end of the next month.

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CashBack Checking

You can earn up to 1.00% cash back when you use your Bank of Internet USA debit card to make purchases with this account.
  • Monthly account maintenance fee: $0
  • ATM fees: $0
  • ATM fee refunds: Unlimited ATM fee refunds for any domestic ATMs.
  • Overdraft fees: $25

Bank of Internet’s CashBack Checking account may be an option to consider if earning cash back if more your style. You’ll earn 1.00% cash back on any signature-based purchases made with your Bank of Internet USA debit card if you keep an average daily balance of $1,500 in your account. (A “signature-based purchase” is one where you don’t use the PIN pad.) If you have less than the $1,500 average daily balance in your account, you’ll still earn cash back, but at a slightly lower rate (0.50%).

You can earn up to $2,000 in cash back per month. Also, heads-up: this cash back is counted as income, so you’ll owe taxes on this money when you file your taxes at the end of the year (the bank will send you a 1099-MISC form to record on your taxes).

In addition to this cashback program, you’re also eligible for the regular cashback rewards program offered with the other checking accounts. All you have to do is log in to your online account, select which offers you’re interested in purchasing, make the purchase, and earn a set amount of cash back on top of what you’re already earning. The money from this cashback program and your normal daily spending will be deposited into your checking account.

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Essential Checking

Bank of Internet’s Essential Checking account doesn’t earn any interest or come with any inherent rewards, but it won’t cost you anything either.
  • Monthly account maintenance fee: $0
  • ATM fees: $0
  • ATM fee refunds: Unlimited ATM fee refunds for any domestic ATMs.
  • Overdraft fees: $0

This fee-free account also does not offer any interest, nor does it come with its own cashback rewards program like the CashBack Checking account.

However, this account is still eligible for Bank of Internet’s own cashback rewards program. To earn cashback rewards with this program, you need to log into your account online and select the cashback offers that you’re interested in. Then, simply use your Bank of Internet USA Visa® Debit Card to make a purchase with these merchants, and your cash rewards will be deposited into your bank account in the next month.

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Golden Checking

The Golden Checking account allows you to earn a small amount of interest and free checks if you’re 55 or older.

APY

Minimum Deposit Amount

0.20%

$0

As of 7/11/2018

  • Monthly account maintenance fee: $0
  • ATM fees: $0
  • ATM fee refunds: Up to $8 per month from domestic ATM surcharge fees.
  • Overdraft fees: $0

If you’re over age 55, you’re eligible to open Bank of Internet’s Golden Checking account. It offers a few extra perks on top of its regular accounts — you’ll earn a small amount of interest on any money you keep in the account (with no stipulations for minimum balances or transactions), and you’ll get a free box of checks as often as every six months.

In addition, you’re eligible for Bank of Internet’s cashback program. If you log into your online account, you’ll be able to select from certain retailers offering cashback rewards. Simply activate these rewards, spend money with your Bank of Internet USA Visa® Debit Card at these retailers, and the money you earn will be deposited back into your account the following month.

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First Checking

This checking account is a great option to wean your teen into managing their own money.

APY

Minimum Deposit Amount

0.25%

$0

As of 7/11/2018

  • Monthly account maintenance fee: $0
  • ATM fees: $0
  • ATM fee refunds: Up to $12 per month from domestic ATM surcharge fees.
  • Overdraft fees: $0

Bank of Internet’s First Checking account is designed to be exactly that… your teen’s first checking account. It’s jointly owned by you and your teen (ages 13 to 17, or 18 in Alabama), so you also have complete control over the account, including being able to deposit an allowance into the account and monitor spending.

There are also a few other nice safeguards that come with the account. In order to prevent totally reckless spending, your teen is limited to withdrawing just $100 cash per day, or making just $500 in point-of-sale transactions. Even though it’s a checking account, this account doesn’t allow any check-writing capabilities, though it does come with a Visa® debit card. Finally, your teen won’t be allowed to make certain purchases or use their card at certain kinds of establishments, like bars, liquor stores, or casinos.

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How Bank of Internet’s checking accounts compare

We really like all of Bank of Internet’s checking accounts because they each come with low fees — or even no fees. You can use any domestic ATM you want without paying any Bank of Internet fees, and each of its checking accounts even offers at least some, if not an unlimited amount, of ATM surcharge fee reimbursements. This makes these accounts great for people who use ATMs frequently.

In addition, many of its accounts offers great interest rates. Some of these accounts — like the Rewards Checking account — are even currently rated as some of our best online checking accounts.

Bank of Internet’s Money Market account

You can write checks from this money market account, but you won’t earn as much interest as with a regular Bank of Internet Smart Savings account.

APY

Minimum Deposit Amount

1.05%

$0

As of 7/11/2018

  • Monthly account maintenance fee: $0
  • ATM fees: $0
  • ATM fee refunds: None
  • Overdraft fees: $25

Bank of Internet’s Money Market account earns slightly less than its regular Smart Savings account, but in return, you get the option to write checks from this account. You can also pay your bills online for free with this account.

But, just like other money market or savings accounts, you’re limited to making just six transactions per month from this account, per Federal Regulation D. If you go over that number, you’ll pay a $10 excessive transaction fee per each new transaction.

Heads-up: if you also have a checking account and have opted into overdraft protection with this account, any overdraft transfers made on your behalf will also count against the six transaction limit. Finally, any checks you write will be counted against the six-transaction limit in the month that they’re posted to your account, not in the month that you write them.

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How Bank of Internet’s Money Market account compares

Unfortunately, Bank of Internet’s Money Market account offers a lackluster interest rate, especially compared to the best money market account rates out there — but we do like that it has no monthly account maintenance fee and no minimum balance requirement. This will make the account accessible to anyone, but if a high interest rate is what you’re after, you can still find higher-yielding accounts with no fees from other banks and credit unions.

Bank of Internet’s Savings account

This account offers a fairly high interest rate, but remember to request an ATM card if you plan on making ATM withdrawals from this account.

APY

Minimum Deposit Amount

1.30%

$0

As of 7/11/2018

  • Monthly account maintenance fee: $0
  • ATM fees: $0
  • ATM fee refunds: None
  • Overdraft fees: $25

The Smart Savings account from Bank of Internet is a pretty standard savings account. Like all savings and money market accounts, you can only make up to six transactions per month from this account as per Federal Regulation D. If you exceed that amount, you’ll pay a $10 excessive transaction charge.

One thing to note with this account is that you’ll need to request a free ATM card with this account if you plan on making ATM withdrawals from it — it doesn’t come with one automatically. It’s not a big deal, but just something to be aware of if you ever plan on making an ATM withdrawal from your savings account.

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How Bank of Internet’s savings account compares

Bank of Internet does offers a higher rate than most banks, but still, it’s not the top contender out there. For that, you’ll need to instead turn to our recent rankings of the best online savings accounts.

Its terms, however, are quite fair. There are very few fees that come with this account, and if most people use it as intended, it’s possible that they never will pay any fees for having a savings account with Bank of Internet. In addition, there is no minimum balance, so it’s easy to get your savings started with this bank.

Bank of Internet’s IRA accounts

IRA CD rates

These CDs earn a much lower rate than Bank of Internet’s normal CDs, but in return you do get the tax benefits of an IRA account.

Term

APY

12 months

0.60%

18 months

0.70%

36 months

0.75%

As of 7/11/2018

  • Minimum opening deposit: $1,000
  • Minimum balance amount to earn APY: $1,000
  • Early withdrawal penalty:
    • For the 12-month and 18-month CD, you’ll pay six months’ worth of interest.
    • For the 36-month CD, you’ll pay 18 months’ worth of interest.

Although Bank of Internet’s IRA CDs offer a paltry rate compared to its regular CDs, you do still get the tax benefits from opening these accounts within an IRA. Specifically, you can open a Roth IRA or a traditional IRA through these CDs.

This CD comes with a $1,000 minimum deposit, which may be a hard pill to swallow for savers just starting out on their retirement savings journey. There are other signs this account is geared towards older savers, too: if you need to take a required minimum distribution (RMD) from your IRA, you can do so from these CDs without paying an early withdrawal penalty — this is a nice feature.

When your IRA CD matures, it’ll automatically roll over into another IRA CD of the same terms, but with the new interest rate of the day. You’ll still have a 10-day grace period to make any changes to the CD without paying any early withdrawal penalties.

There are a few fees to be aware of with this account: If you close the account and/or transfer your money out, you’ll face a $35 fee. If you’d like an annual paper statement, that’ll also set you back $10.

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How Bank of Internet’s IRA CD rates compare

We’ll be honest — Bank of Internet doesn’t offer very high interest rates on its IRA CDs. It may be convenient for you to open an IRA CD here if you already have an account, but if earning the best returns on your money is your primary concern, you will be better off choosing one of these IRA CDs with much higher rates.

IRA Savings account

You can earn a low rate on your retirement savings but have more flexibility for moving your retirement cash around with this IRA Savings account.

APY

Balance Requirement

0.15%

$250 - $1,000

0.70%

Over $1,000

As of 7/11/2018

  • Monthly account maintenance fee: $0
  • Overdraft fees: $25

If you think you might want to move your retirement savings to a new institution before your CD term is up and you don’t want to pay early withdrawal fees, then you may want to consider an IRA savings account. You can get started with your retirement savings with as little as $250 with this account, making it much more accessible to those just getting started. You can also choose from a Roth IRA or a traditional IRA.

You won’t get an ATM card with this account (if you’re saving for retirement, you probably don’t need one anyway). If you decide to roll over or close your IRA, you’ll face a $35 IRA transfer fee or a $35 IRA closing fee as well. Finally, you’ll pay a $10 fee if you’d like an annual paper statement from your account.

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Overall review of Bank of Internet’s products

Bank of Internet is a bit hit-or miss. They have many different types of checking accounts, and most of them offer fantastic rates and perks, such as a cashback rewards program. Additionally, these accounts don’t come with any maintenance fees. However, the interest rates offered on its money market, savings, and CD products aren’t really that great, especially compared with its competitors.

It may be worth keeping a checking account with Bank of Internet if you’re looking for a low-fee, high-earning account. But at the same time, it’s also possible to find great rates on the whole package — checking and savings accounts — at other banks as well.

Advertiser Disclosure: The card offers that appear on this site are from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all card companies or all card offers available in the marketplace.

Lindsay VanSomeren
Lindsay VanSomeren |

Lindsay VanSomeren is a writer at MagnifyMoney. You can email Lindsay here

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