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Earning Interest, Reviews

Discover Bank CD Rates Review

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

Discover Bank
Most people know Discover as a credit card company, but it also operates an online bank and offers some of the best rates and terms on checking and savings accounts and certificates of deposit (CDs).

Savings account bonus offer: Earn up to $200 on your first Discover savings account

As a bank, Discover offers some of the best products on the market. Currently, they’re offering a major deal on their online savings account, which currently earns 1.70% APY. If you apply for their savings account for the very first time by 12/02/19 and deposit a balance of at least $15,000 by 12/16/19, you can earn a $150 bonus. If you deposit a balance of at least $25,000 by the same date, you can earn a $200 bonus. Applying for the account is easy as you don’t need to go to a branch. Bonuses will be credited to your account by 12/30/19. You can apply online or over the phone. Just be sure to enter or mention the promo code MM1119 when you apply.

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on Discover Bank’s secure website

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If you’re looking for CDs in particular, Discover is currently considered to have some of the best CDs due to their customer service and digital tools.

Discover Bank CD rates

CD term

Annual Percentage Yield (APY)

3 months

0.35%

6 months

0.65%

9 months

0.70%

12 months

2.00%

18 months

2.00%

24 months

2.05%

30 months

2.05%

3 years

2.05%

4 years

2.05%

5 years

2.10%

7 years

2.15%

10 years

2.20%

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on Discover Bank’s secure website

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How do Discover Bank CD rates compare?

While Discover Bank CD rates aren’t always the highest available, they are consistently among the top offers across all terms. However, you may be able to find a similar or even better rate with a CD that has a lower minimum deposit than Discover’s $2,500 requirement. Currently, several nationwide banks offered a 12-month CD at a rate higher than Discover’s 12-month CD APY, while requiring a lower minimum deposit. For example, at the same time the above rates were available at Discover, there were 12-month CDs with rates as high as 2.00% APY with a lower minimum balance amount to earn the APY.

It’s always great to go for the highest interest rates possible, but keep your CD investing strategy in mind. If you’re investing in CDs using the ladder strategy, it might be easier to keep everything in one bank since you’ll be switching in and out of CDs frequently.

Discover also stands out from its competition in the CD space with its mobile app and 24/7 U.S.-based customer service. If you value such features, keep those particulars in mind when weighing Discover CD rates against others’.

What you need to know about Discover Bank’s CDs

Discover Bank is very transparent in terms of fine print. It’s not difficult to understand what’ll happen with your money after you invest it. We’ll cover the basics here about what you need to know to invest in Discover Bank’s CDs.

How to open a CD

It’s very simple to open up a CD with Discover Bank. Go to their CD webpage and click on the orange “Open an Account” button near the top right of the page. You can then choose which accounts you’d like to open. Select “CD,” choose a CD term and enter how much you’d like to deposit.

You’ll then need to complete the application by providing your name, address, date of birth, phone number, Social Security number, employment status and possibly even your driver’s license. Once your application is complete and accepted, you’ll need to fund the account.

How to fund the CD

You’ll need to fund it within 45 days of submitting your application, which you can do in one of three ways:

  • Transfer funds from another bank account over the phone. (You can only do this when you first fund your account.)
  • Transfer funds from another bank via online transfer.
  • Write a check to yourself and send it to the following address:Discover Bank
    P.O. Box 30417
    Salt Lake City, UT 84130

The minimum deposit amount for each of Discover Bank’s CDs is $2,500. Once you open a CD, you can’t deposit more money later, so it’s a good idea to make sure you have all the cash you want to invest before you open the account.

Withdrawing funds from the CD

When you want to withdraw money from your CD, the biggest thing to consider is whether that CD has matured yet, or finished its term.

If your CD has not matured, you’ve got options: You can take the interest out penalty-free at any time, or you can withdraw the principal (or the money you deposited) at any time as long as you pay an early-withdrawal penalty. This penalty varies depending on the original term of your CD:

  • less than one year: three months’ worth of simple interest
  • one year to less than four years: six months’ worth of simple interest
  • four years: nine months’ worth of simple interest
  • five years to less than seven years: 18 months’ worth of simple interest
  • seven years or longer: 24 months’ worth of simple interest

If your CD has finished its term, you can withdraw your money penalty-free, allow the CD to renew or roll it into a CD of a different term length. (More on that in a bit).

Earning interest on a Discover CD

Your CD will start earning interest on the same business day that you fund the account. The interest will be added to your account once each month, however.

When it comes to what to do with your interest, you have two options: The default option is to allow it to compound within the CD (meaning you’ll earn interest on that interest), or you can have it automatically deposited each month into another Discover bank account.

What happens once the CD matures?

You’ll get a heads-up notice about a month before your CD matures so you can decide what to do with the money. You have two main options: Either reinvest it into another CD (of the same term length or a different term length), or withdraw the money from the CD and put it into another account (such as a checking or savings account, or perhaps a CD at a different institution).

If you don’t let Discover know what you want to do with the maturing CD, the CD will automatically renew into another one of the same term length. You have a nine-day grace period after your CD automatically rolls over to make any changes or withdrawals penalty-free.

The bottom line

As far as big-name banks go, Discover offers great CD products. Wells Fargo, for example, only offers interest rates as high as 1.55% APY on a $5,000 deposit for a 58-month CD. Chase Bank offers even lower maximum rates — an abysmal 1.05% APY, and only if you can commit a minimum of $100,000 for 10 years.

If you’re the kind of person who likes to keep your finances in one place, Discover also has great credit cards, as well as competitive online savings and checking accounts. No matter how long you’re considering putting money in a CD, Discover is worth a look. Even if it doesn’t have the best available rate, it’s usually within several basis points of the top offerings and well above the average APY.

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Advertiser Disclosure: The products that appear on this site may be 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 financial institutions or all products offered available in the marketplace.

Lindsay VanSomeren
Lindsay VanSomeren |

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

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Best of, Reviews

The Top 7 Second Chance Bank Accounts

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any credit card issuer. This site may be compensated through a credit card issuer partnership.

Some banks don’t like giving second chances to customers who have less-than-stellar financial histories, especially since it could expose them to expensive risks. A record of bounced checks or debit card overdrafts could easily lock you out of the conveniences of modern banking.

Fortunately, banks also like making money, and some offer special “second chance” accounts that minimize their risk while allowing consumers to stay in the banking system. A second chance bank account gives customers with troubled records a fresh opportunity to demonstrate they can bank responsibly.

When it comes to a second chance account, fees are an unfortunate reality. But some accounts offer customers a better deal than others, and we’ve researched our database to find the second chance accounts with the most reasonable fee structures, while also factoring in whether they provide online and mobile banking, and how accessible accounts are throughout the country.

Account Name

Monthly Fee

Minimum to open

Availability

Chime$0$0Nationwide
Peoples Bank Cash Solutions Second Chance Checking$4.95 $30Nationwide
GoBank Checking Account$8.95, can be waived if you meet requirements$20Nationwide
Radius Essential Checking$0$10Nationwide
Wells Fargo Opportunity Checking and Savings Accounts$10, can be waived if you meet requirements$25Nationwide
BBVA Easy Checking$13.95$25Alabama, Arizona, California, Colorado, Florida, New Mexico and Texas
Woodforest National Bank Second Chance Checking$15 monthly maintenance fee if you use a direct deposit$25Alabama, Florida, Georgia, Illinois, Indiana, Kentucky, Louisiana, Maryland, Mississippi, New York, North Carolina, Ohio, Pennsylvania, South Carolina, Texas, Virginia, and West Virginia

Second chance account basics

With a second chance bank account, customers shut out of traditional bank accounts get the opportunity to win their way back into a bank’s good graces. Similar to credit bureaus, financial services company ChexSystems maintains records of consumers’ banking histories. Bounced checks, overdrawn accounts or instances of fraud can all end up on your ChexSystems record; if you accumulate enough black marks on ChexSystems, banks could deny your application to open a new account.

Because second chance accounts are meant for customers who have demonstrated bad banking behavior, some lack features of traditional accounts, such as overdraft protection. In the eyes of the bank, you represent too much of a risk for them to extend you such courtesies.

Nobody likes paying fees, and we generally advise consumers to avoid needless banking fees due to the many fee-free banking options available. But fees are the price you pay for access to banking when you have a poor record. Plus, the second chance accounts listed below give you access to online and mobile banking, which is always a plus.

The 7 best second chance bank accounts

1. Chime

Chime

Fintech app developer Chime is not a bank, however their online checking account product is open to everybody no matter how bad your record is with ChexSystems. Chime does not check on applicants with ChexSystems, plus they offer lots of non-traditional features to help you get your financial life back on track. Best of all is the fact that they charge no fees at all, and require neither a minimum opening deposit or a minimum balance.

Chime account features:

  • No opening balance or minimum balance requirements.
  • Set up direct deposit for your paycheck, and the funds from each pay period will be deposited as soon as the transaction is initiated, giving you access to your pay up to two days earlier than conventional checking accounts.
  • Automatic savings features to help you save in your connected Chime Savings account.
  • The app sends you daily bank account balance notifications, and sends transaction alerts every time you use your debit card.
  • You can disable the debit card from the app.

Fees to watch out for:

  • Chime’s service is almost entirely fee-free: No monthly charges, no ACH transfer fees, no foreign transaction fees, and no ATM fees if you withdraw funds from MoneyPass ATMs.
  • If you make an ATM withdrawal outside of these networks, there is a $2.50 fee.
  • Overdrafts are not permitted, so there is never an overdraft fee.

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on Chime’s secure website

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2. Peoples Bank Cash Solutions Second Chance Checking

Peoples Bank Cash Solutions

This Texas-based bank offers a second chance bank account that is available nationwide, and so long as you don’t have a record of bank or checking fraud on your record, you should be approved for this account. You’ll need to deposit at least $30 before the bank activates your account and provides you with checks and a debit card.

Fees to watch out for:

  • $4.95 monthly maintenance fee
  • $27.50 overdraft fee
  • $27.50 nonsufficient funds fee
  • $3.95 printed statement fee (which can be avoided with electronic statements)
  • $2.00 ATM withdrawal fee at machines not owned by Peoples Bank
  • $25 stop payment fee
  • $20 account closure fee (if within 90 days of opening account)

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on Peoples Bank Cash Solutions’s secure website

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3. GoBank Checking Account

GoBank

A brand of Green Dot Bank, GoBank does not run a background check for new checking customers on ChexSystems, and it does not require a credit check. The account comes with a free debit card and fee-free access to a large network of ATMs, although be warned that out-of-network ATM withdrawals carry a $3 fee, on top of whatever the ATM operator charges. GoBank’s $8.95 monthly fee is high. However, this fee can be avoided with a monthly $500 direct deposit.

Account Features:

  • A free debit card
  • 24/7 mobile and online banking
  • Simple budgeting and spending tracker tools
  • Mobile check deposits

Fees to watch out for:

  • $2.95 sign-up fee, waived if you set up your account online
  • $8.95 monthly maintenance fee, waived each month your account receives payroll or government direct deposits totaling at least $500
  • Fees of up to $4.95 charged by retailers to make cash deposits
  • $3 out-of-network ATM withdrawal fee
  • $5 card replacement fee
  • Foreign transaction fee is 3% total transaction

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on GoBank’s secure website

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4. Radius Essential Checking

Radius Bank

Products from online bank Radius are available to customers nationwide, and accessibility is a strong point in its favor. This second chance bank account only requires customers to deposit $10 to open an Essential Checking account, which is lower than some other accounts on this list.

Account Features:

  • A free debit card
  • 24/7 mobile and online banking
  • Access to Radius’s budgeting and personal finance tracking apps
  • Eligibility to upgrade to Radius’s Reward Checking account after 12 months of positive banking history

Fees to watch out for:

  • $9 monthly maintenance fee
  • $25 per item non-sufficient funds fee (waived on all overdraft items $5 or less)
  • $5 daily overdraft fee

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on Radius Bank’s secure website

Member FDIC

5. Wells Fargo Opportunity Checking and Savings Accounts

Wells Fargo Bank

Wells Fargo’s Opportunity Checking and Savings Accounts are tailor-made for folks with a lackluster credit or banking history. With a $25 opening deposit, you’ll get access to a second chance bank account that offers most of the bells and whistles of a traditional bank account. The account does come with a monthly fee, although it’s possible to waive it if you meet a few requirements (see below).

Account features:

  • $25 minimum deposit to open
  • Free transfers are available between Opportunity Checking and Savings accounts
  • You can choose to opt into overdraft protection
  • Free access to bill pay
  • “My Spending Report with Budget Watch” is available if you want to pay extra attention to where your money is going
  • Free debit card with access to more than 13,000 Wells Fargo ATMs throughout the country

Fees to watch out for:

  • $10 monthly service fee, waived if any of the following are true:
    • You make 10 posted debit card purchases or payments
    • You keep a minimum daily balance of $1,500 in the account
    • You receive $500 total in direct deposits each statement cycle
  • $35 overdraft and returned item fee
  • $12.50 overdraft protection transfer fee
  • $15 fee for excess activity (exceeding withdrawals from your savings account)
  • 3% foreign transaction fee with your debit card
  • $5 for money orders
  • $31 for stop payments

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on Wells Fargo Bank’s secure website

Member FDIC

6. BBVA Easy Checking

BBVA
BBVA’s Easy Checking product is available as a second chance account to customers in Alabama, Arizona, California, Colorado, Florida, New Mexico and Texas. There is a $13.95 monthly service charge to maintain the account. You can request that BBVA upgrade your account one of their regular checking products after 12 months — and ditch that high monthly fee — so long as the Easy Checking account remains active and has a positive balance.

BBVA Easy Checking features::

  • Online and mobile banking, customized alerts, and a free debit card (with option to personalize)
  • $25 minimum deposit to open
  • Free BBVA ATM withdrawals

Fees to watch out for:

  • $3 fee for out-of-network ATM withdrawals
  • $38 insufficient funds fee ($32 in California)
  • $15 deposit item returned fee
  • $32 stop payment fee made over the phone or in person ($30 in California); $25 if made online

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on BBVA’s secure website

Member FDIC

7. Woodforest National Bank Second Chance Checking

Woodforest National Bank

This regional bank has a checking account aptly named Second Chance Checking, to help people rejected by other banks access — provided they live in one of the 17 states where a physical branch exists and can meet the $25 minimum opening deposit requirement. Those states are: Alabama, Florida, Georgia, Illinois, Indiana, Kentucky, Louisiana, Maryland, Mississippi, New York, North Carolina, Ohio, Pennsylvania, South Carolina, Texas, Virginia, and West Virginia.

Fees to watch out for:

  • $15 monthly maintenance fee if you use a direct deposit
  • $15 one-time account set-up fee
  • $2.50 ATM withdrawal fee when used at a non-Woodforest network ATM
  • $15 debit card set-up fee
  • $32 overdraft fee (for each charge)

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on Woodforest National Bank’s secure website

Member FDIC

Alternatives to a second chance bank account

Get a prepaid debit card

Tired of the traditional banking experience? You could opt for a prepaid debit card instead. With a prepaid card, you can load money onto it and spend at merchants that accept major credit and debit cards. But if you try and spend more money than what’s on the card, the transaction is declined — although this prevents you from accruing any overdraft or insufficient funds fees. This is useful if you feel you may still have trouble managing your spending and need an extra layer of security to prevent you from getting into trouble.

Some prepaid cards offer extra perks like advance direct deposit and free ATMs so long as you stay in their network.

Open a secured credit card

Discover it® Secured

APPLY NOW Secured

on Discover Bank’s secure website

Rates & Fees

Read Full Review

Discover it® Secured

Regular APR
24.49% Variable
Annual fee
$0
Minimum Deposit
$200
Credit required
bad-credit
New/Rebuilding

You may also have better luck applying for a secured credit card if your credit score is in good enough shape. Usually, this requires depositing cash with the lender, who then gives you the credit card for the same amount. Each month that you make on-time payments, the bank will report that good behavior to the credit bureaus, helping you boost your credit score. At the end of the payment period (generally 12 months, though it varies by banks), you’ll get the full deposit back.

Secured cards can come with high interest rates and many don’t feature the enticing rewards other high-end cards do, but they get the basic job done for consumers who don’t need a card with a high credit limit.

Advertiser Disclosure: The products that appear on this site may be 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 financial institutions or all products offered available in the marketplace.

Erin Millard
Erin Millard |

Erin Millard is a writer at MagnifyMoney. You can email Erin at [email protected]

James Ellis
James Ellis |

James Ellis is a writer at MagnifyMoney. You can email James here

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Reviews

OneUnited Bank Review: Checking, Savings, CD, Money Market and IRA Accounts

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

OneUnited Bank’s checking account options

UNITY E-Gold Checking

Be careful about this account’s monthly fee — it’s really high.
APYMinimum Balance to Earn APY
0.20%
$100
  • Minimum opening deposit: $500
  • Monthly account maintenance fee: $20, unless you meet the requirements to waive the fee. If you opt for paper statements, you’ll be charged another $2 per month.
  • ATM fee: None. However, you may still have to pay a surcharge fee from the ATM owner.
  • ATM fee refund: None
  • Overdraft fee: $37 per item, on up to six items per day. However, the bank won’t charge you this fee unless your account is overdrawn by more than $10. If you set up a backup account for overdraft protection, you’ll instead pay $15 per transfer.

This is OneUnited Bank’s premium-level checking account. Unfortunately, this account does not allow you to use paper checks. You’ll have to do all of your transactions via debit card, ATM cash withdrawal or online transfer. If you need to deposit a check that someone’s written to you, however, you can still deposit it with the bank’s mobile app.

This checking account comes with a pretty steep monthly fee. You can get it waived in one of two ways, however. If you keep at least $5,000 in your checking account, you won’t have to pay the fee. Similarly, if you make at least 10 debit card transactions and receive a direct deposit, you won’t have to pay the fee for that month.

The main benefit of opening this checking account is that you can earn interest on your balance, as long as you have at least $100 in your account. There aren’t any other perks that come with this account, such as rewards or ATM surcharge fee reimbursements.

How to get OneUnited Bank’s UNITY E-Gold Checking account

You can open the UNITY E-Gold Checking account online. You’ll need to be a U.S. citizen and send in a copy of your driver’s license to apply for an account.

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on OneUnited Bank’s secure website

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UNITY E-Style Checking

This checking account is cheaper than the bank’s UNITY E-Gold Checking account but doesn’t earn interest.
  • Minimum opening deposit: $100
  • Monthly account maintenance fee: $10, unless you meet the requirements to waive the fee. If you opt for paper statements, you’ll be charged another $2 per month.
  • ATM fee: None. However, you may still have to pay a surcharge fee from the ATM owner.
  • ATM fee refund: None
  • Overdraft fee: $37 per item, on up to six items per day. However, the bank won’t charge you this fee unless your account is overdrawn by more than $10. If you set up a backup account for overdraft protection, you’ll instead pay $15 per transfer.

This checking account is a little bit cheaper, but it still ranks as an expensive account. You can get the fee waived if you keep at least $500 in the account, however, or if you make at least 10 debit card transactions and receive at least one direct deposit each month.

This checking account also comes with several limitations. It doesn’t earn any interest, and you won’t be able to write paper checks with this account. Again, you’ll have to make all of your transactions digitally, with a debit card or by withdrawing cash from an ATM — although if someone writes you a check, you can deposit it into your account through the bank’s mobile app.

Other than that, this account doesn’t offer anything special.

How to get OneUnited Bank’s UNITY E-Style Checking account

You can apply for this account online. You’ll need to be a U.S. citizen and have a valid driver’s license that you can copy and send in to the bank to verify your identity. If you already have an account with OneUnited Bank, you can simply log into the online banking page and opening this account as well.

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on OneUnited Bank’s secure website

Member FDIC

U2 E-Checking

This is a second-chance account designed for people who’ve had problems being approved for a checking account in the past.
  • Minimum opening deposit: $100
  • Monthly account maintenance fee: $12, plus an extra $2 if you want your paper statement mailed to you each month.
  • ATM fee: None. However, you may still have to pay a surcharge fee from the ATM owner.
  • ATM fee refund: None
  • Overdraft fee: $37 per item, on up to six items per day. However, the bank won’t charge you this fee unless your account is overdrawn by more than $10. If you set up a backup account for overdraft protection, you’ll instead pay $15 per transfer.

Have you had trouble managing your checking account in the past, such as frequently overdrawing your account? If so, you might be surprised to find out that your checkered past can prevent you from getting another checking account in the future. If that’s the case, you may still be able to qualify for a second-chance checking account like this one at OneUnited Bank.

That’s not to say this is a nice account, however. It comes with a $12 monthly fee, and there’s no way to get the charge waived like you can with the bank’s other checking accounts. If you opt for this account, we suggest opening a fee-free checking account as soon as you’re able to qualify for one. Like the rest of OneUnited Bank’s online checking accounts, you won’t be issued any paper checks with this account. You must do all of your transactions entirely online, by debit card, or by withdrawing cash from an ATM.

How to get OneUnited Bank’s U2 E-Checking account

To open this account, you’ll need to apply online. You’ll also be required to send in a copy of your driver’s license to the bank so it can verify your I.D.

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on OneUnited Bank’s secure website

Member FDIC

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How OneUnited Bank’s checking accounts compare

OneUnited Bank only offers one interest-bearing checking account. While this rate is higher than average, it’s still not that great of an interest rate.

Furthermore, all of these accounts come with very high fees and few other perks. The bank will argue that it is possible to get the monthly fee waived for these checking accounts (except for its second-chance checking account, that is). And while that is true, that also still conveniently leaves the door open for them to charge you fees later if you aren’t able to meet the requirements each month, every month. That’s also to say nothing of the inconvenience of not being able to write a physical, paper check if you need it.

Instead, if you’re willing to do your banking online, why not choose one of these on our list of the best online checking accounts instead? These banks and credit unions won’t charge high fees and will offer you higher interest payments.

OneUnited Bank’s savings account options

UNITY E-Gold Savings

OneUnited Bank asks for a lot of money in order to make this account worth your while.
APYMinimum Balance to Earn APY
0.20%
$1,000-$24,999.99
0.40%
$25,000-$99,999.99
0.50%
Over $100,000
  • Minimum opening deposit: $1,000
  • Minimum balance to earn APY: $1,000
  • Monthly account maintenance fee: $5, unless you keep at least $2,500 in the account.
  • ATM fee: None. However, you may still have to pay a surcharge fee from the ATM owner.
  • ATM fee refund: None
  • Overdraft fee: $37 per item, on up to six items per day. However, the bank won’t charge you this fee unless your account is overdrawn by more than $10. If you set up a backup account for overdraft protection, you’ll instead pay $15 per transfer.

If you want to earn the highest rates possible on a savings account at OneUnited Bank, this account is your best bet. You’ll need to pack a lot of cash to open it, however. This account requires at least $1,000 to open the account, and you’ll need to keep at least that much in there to earn interest. We recommend waiting until you’ve got a larger amount of money saved up — at least $2,500 — because if you have anything less than this in your account, you’ll be charged a $5 monthly fee.

Like all savings accounts, this one is governed by federal rules that state you can only make six convenient (check, draft, debit card, telephone, internet, and preauthorized transfers) withdrawals per month from the account without penalty. You can make more than that, but you’ll be charged a $20 slap for each extra withdrawal beyond the sixth in a month. Cash withdrawals, however, are unlimited.

How to get OneUnited Bank’s UNITY E-Gold Savings account

As long as you’re a U.S. citizen, you can apply for this account online. You’ll need to provide a copy of your driver’s license with the application.

LEARN MORE Secured

on OneUnited Bank’s secure website

Member FDIC

UNITY E-Style Savings

This savings account is better for folks who don’t have a lot of money saved up yet.
APYMinimum Balance to Earn APY
0.20%
$200
  • Minimum opening deposit: $100
  • Minimum balance to earn APY: $200
  • Monthly account maintenance fee: $5, unless you receive at least one direct deposit into the account each month or have at least $200 in your account.
  • ATM fee: None. However, you may still have to pay a surcharge fee from the ATM owner.
  • ATM fee refund: None
  • Overdraft fee: $37 per item, on up to six items per day. However, the bank won’t charge you this fee unless your account is overdrawn by more than $10. If you set up a backup account for overdraft protection, you’ll instead pay $15 per transfer.

If you’re just starting out on your savings journey, you might not have the required $1,000 to open up a UNITY E-Gold Savings account. If that’s the case, this account might be a better fit for you. It only requires a $100 minimum opening deposit. But again, you may want to wait until you have a bit more saved. That’s because if you aren’t able to keep at least $200 in the account or receive at least one direct deposit, you’ll have to pay a $5 monthly fee. Given the low interest rate that this account offers, the monthly fees may eat away at your bank account balance over time.

You also are only allowed six certain transactions per month with this account due to federal Regulation D without penalty. If you need to make more than that, you’ll have to pay a $20 per withdrawal fee, which won’t be any fun. This doesn’t apply to cash withdrawals, however.

How to get OneUnited Bank’s UNITY E-Style Savings account

If you already have another account with OneUnited Bank, opening this account is as simple as logging into the online banking page and opening this account as well. If you’re not yet a OneUnited Bank customer, you’ll need to apply for this account online.

LEARN MORE Secured

on OneUnited Bank’s secure website

Member FDIC

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How OneUnited Bank’s savings accounts compare

OneUnited Bank’s savings accounts follow a similar pattern as its interest-bearing checking account. Its UNITY Gold Savings account offers a higher-than-average rate, but it’s still a long ways off from being what we’d really call a “good” interest rate. Its UNITY E-Style Savings account, on the other hand, currently offers a lower-than-average interest rate. If earning the highest interest rates are what’s important to you, then we’d recommend one of these on our list of the best online savings accounts instead.

Furthermore, we don’t like the fact that these accounts come with monthly fees that you’ll always need to be on the lookout for.

OneUnited Bank’s CD rates

UNITY Gold E-CDs

OneUnited Bank doesn’t give you very many choices or very good interest rates with these CDs.
TermAPY  Minimum Balance to Earn APY
120 days0.20%
$500
120 days0.20%
$250,000
1 year0.90%
$500
1 year0.90%
$250,000
2 years0.90%
$500
2 years0.95%
$250,000
4 years0.90%
$500
4 years1.00%
$250,000
  • Minimum opening deposit: $500
  • Minimum balance amount to earn APY: $500
  • Early withdrawal penalty: For the 120-day CD, you’ll pay three months’ worth of interest. For the one- and two-year CDs, you’ll pay six months’ worth of interest. For the four-year CD, you’ll pay one year’s worth of interest.

You get only four options for term lengths with OneUnited Bank’s UNITY E-Gold CDs. There are also two interest rate tiers depending on how much you deposit into the CD (with $250,000 as the dividing line), however both tiers are currently offering the same interest rate for each term length offered.

It’s also important to note that even if OneUnited Bank does ever offer a higher interest rate on its $250,000 and up CD, it’s generally not a good idea to keep that much money on deposit with any one bank. FDIC insurance only covers you up to a maximum $250,000. Banks can and do fail, and if you have more than the maximum insured on deposit, you could lose your money if OneUnited Bank ever goes under.

When your CD matures, OneUnited Bank will automatically renew it for another term. You will have the option of withdrawing the money during a short 10-day grace period after it matures, however.

How to get OneUnited Bank’s UNITY E-Gold CDs

You can open these CDs by applying for them online if you’re a U.S. citizen. You’ll need to provide a copy of your driver’s license so that the bank can verify your identity.

LEARN MORE Secured

on OneUnited Bank’s secure website

Member FDIC

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How OneUnited Bank’s CD rates compare

We’re sad to report that the rates OneUnited Bank offers on its CDs are far below those of other banks. CDs can be a great way to save and earn higher rates long-term, but because you are setting money aside for the long run, we always recommend seeking out the highest interest rates possible. After all, you can’t move your money without paying penalties if you change your mind later.

That’s why we recommend these top-yielding CDs instead if you’re looking for a place to stash your cash long-term. You’ll earn far more money with these CDs, so you can reach your financial goals faster than you can with OneUnited Bank.

Overall review of OneUnited Bank’s banking products

OneUnited Bank makes a great promise: helping to provide financial services to the underserved African-American community.

But in terms of deposit products, this bank doesn’t appear too different than the big-name banks out there. Its bank accounts generally do provide higher-than-average rates, but just barely. And when you compare these rates to the top-yielding banks, OneUnited Bank is left in the dust by the competition.

Another strike against OneUnited Bank is the amount of fees it charges for its bank accounts. For example, its UNITY E-Gold Checking account comes with a $20 monthly fee. That’s a lot of cash to take away from customers.

At the end of the day, even though this bank has a noble mission, you need to know that it’s still privately owned. That means that the bank is still beholden primarily to its owners, and not to you.

Whether you decide to go along with OneUnited Bank’s low rates and high fees in support of its mission is up to you. We’ve provided you with the full picture for how this bank’s accounts work and how the bank operates, and now the ball’s in your court.

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Lindsay VanSomeren
Lindsay VanSomeren |

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