Advertiser Disclosure

Reviews

Webster Bank Review: Checking, Savings, CD and Money Market 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.

Webster Bank’s checking account options

WebsterOne Relationship Checking

Steep maintenance fees and virtually no interest make this checking account hard to sell.
APYMinimum Balance to Earn APY
0.01%$0.01
  • Minimum opening deposit: $50
  • Monthly account maintenance fee: $14.95 if you set up direct deposit and $16.95 otherwise. Read below to find out how you can avoid this fee.
  • ATM fee: None
  • ATM fee refund: None
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

Webster Bank’s maintenance fees are a bit steep, but there are ways to reduce or avoid paying them. For WebsterOne Relationship Checking, you get a couple of dollars knocked off the maintenance fee if you set up direct deposit. The fee can be eliminated, though, if you have a combined total of $4,000 across your Webster Bank checking, savings and money market accounts. Another way to get the fee to $0 is to have $20,000 in business with Webster Bank across your checking account, savings account, money market account, certificates of deposit (CDs), home equity loan and installment loans.

While WebsterOne Relationship Checking comes with only a sliver of interest, it also comes with no fees when you use an ATM outside of Webster Bank’s network. The same cannot be said of most of the other deposit accounts offered by this bank.

How to get WebsterOne Relationship Checking account

You can apply online or in person using your employment information, Social Security number and driver’s license number.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

Webster Value Checking

This no-interest checking account has plenty of fees, but most of them are easy to get out of paying.
  • Minimum opening deposit: $50
  • Monthly account maintenance fee: $11.95. Read more below to learn how to avoid this fee. Separately, there is a $2 monthly fee if you do not receive monthly statements electronically.
  • ATM fee: $2.50 for non-Webster Bank ATM transactions
  • ATM fee refund: None
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

Webster Value Checking has a slightly lower account maintenance fee than the WebsterOne Relationship Checking option, and getting around the fee is much easier, too. For this account, you have three options to avoid the fee: You can keep a $1,000 average monthly balance in your Webster Value Checking account, make at least 10 non-ATM transactions with your debit card or be 65 and older and have direct deposit set up.

This account bears no interest, comes with ATM fees and will incur a $2 fee per month if you don’t opt into electronic statements. The $2 fee is waived for those 65 and older or 18 and younger.

How to get Webster Value Checking account

Apply online or in person using your driver’s license, Social Security number and employment information.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

Webster Opportunity Checking

An account for those who may have been pushed out of the traditional banking system.
  • Minimum opening deposit: $50
  • Monthly account maintenance fee: $11.95 if you set up direct deposit and $16.95 otherwise. Separately, there is a $2 monthly fee if you do not receive monthly statements electronically, unless you are 65 and older or 18 and younger.
  • ATM fee: $2.50 for non-Webster Bank ATM transactions
  • ATM fee refund: None
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

Webster Opportunity Checking may look nearly identical to Webster Value Checking, but it’s not. Webster Opportunity Checking is built for those who may have been forced out of the traditional banking system by past financial mistakes or misfortunes. When this happens, many financial institutions will turn you away, making it difficult to manage your money and avoid predatory financial services.

You can earn a clean slate, though, by opening a Webster Opportunity Checking account. There is no way to avoid the monthly maintenance fee with this account.

How to get Webster Opportunity Checking account

You can only open this account by visiting a branch. Be sure to bring a valid government-issued ID and a copy of your Social Security card.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

Webster Premier Checking

Steeper fees and balance requirements get you a marginal increase in APY with this account.
APYMinimum Balance to Earn APY
0.01%$0.01
0.01%
$50,000
  • Minimum opening deposit: $500
  • Monthly account maintenance fee: $21.95 (this can be waived)
  • ATM fee: None
  • ATM fee refund: All charges from outside ATM owners will be returned to you the same day
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

Webster Premier Checking is an expensive way to access marginally better interest rates. First, it has the largest of all Webster Bank’s maintenance fees, and it can only be waived if you keep $10,000 across your checking, savings and money market accounts, or if you have a combined $50,000 across your Webster Bank checking, savings and money market account, CDs, home equity loans and installment loans.

There is no fee for using another financial institution’s ATM, though. When an ATM owner imposes a fee on its end, Webster Bank will return it to you the same day. Other perks include free wire transfers, free checks and a reduction in interest rates on loan products. You must have this account to take full advantage of the Webster Premier Savings account, which we will talk about shortly.

How to get Webster Premier Checking account

Gather your driver’s license, Social Security number and employment information before applying in person or online.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

Webster Student Checking

This lower-fee account for college students bears no interest.
  • Minimum opening deposit: $50
  • Monthly account maintenance fee: None for five years
  • ATM fee: First four non-Webster ATM transactions per month are free; each after that incurs a $2.50 fee
  • ATM fee refund: One fee charged by a non-Webster Bank ATM owner will be returned to you per month
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

Aimed at college students, the Webster Student Checking account doesn’t bear any interest, but it does come with several other perks. For example, with this type of account you won’t have any maintenance fees for five years. You’ll also get four free transactions per month at non-Webster Bank ATMs, though each transaction after that will cost you a couple of dollars.

You’ll get the first fee that another financial institution charges you to use its ATM returned to you with this account. But that refund will only happen once per month. After that, you’re stuck paying outside ATM owners whatever fee they’re charging with no reimbursement. On top of that potential refund, you can get one overdraft fee refunded to you each academic year.

How to get Webster Student Checking account

Open your account online or in person with your student ID card.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

magnifying glass

How Webster Bank’s checking accounts compare

The fee structure on Webster Bank’s checking accounts is a lot to keep up with. While it’s wonderful that there are ways to avoid many of the fees, each one comes with an added asterisk that you’ll have to remember throughout every month. Individually, the fee waivers are simple, but when considered holistically it’s likely to be difficult to keep up with them.

On top of that, Webster Bank’s checking account rates are not anywhere near competitive. We highly recommend shopping around for other checking accounts before deciding to open your account here. Because there are so few options for shopping around when you’ve been booted from the traditional banking system, Webster Opportunity Checking may still be a desirable account if you’ve gone through that experience. But otherwise, you can find better rates elsewhere.

Webster Bank’s savings account options

Webster Value Savings

This account is essentially the same as Passbook Savings, except you can access it online.
APYMinimum Balance to Earn APY
0.02%$0.01
  • Minimum opening deposit: $5
  • Minimum balance to earn APY: 1 cent
  • Monthly account maintenance fee: $5 unless you have a consumer checking account with Webster Bank or maintain an account balance of $300
  • ATM fee: $2.50 for non-Webster Bank ATM transactions
  • ATM fee refund: None
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

Webster Value Savings is very similar to Passbook Savings, except it can be accessed online. The other difference is that besides age and balance potentially getting you out of the monthly maintenance fee, you can also dodge this fee by having a checking account with Webster Bank. Remember that you cannot make more than six withdrawals per month as this is a savings account.

How to get Webster Value Savings account

You can apply online or in person with your employment information, Social Security number and driver’s license.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

WebsterOne Savings

This account boasts better — though still low — interest rates. But you’ll have to have a corresponding checking account to earn them.
APYMinimum Balance to Earn APY
0.05%$0.01
0.10%$25,000
0.15%$100,000
  • Minimum opening deposit: $5
  • Minimum balance to earn APY: Varies depending on desired APY
  • Monthly account maintenance fee: $5 unless you maintain a balance of at least $300
  • ATM fee: $2.50 for non-Webster Bank ATM transactions
  • ATM fee refund: None
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

With WebsterOne Savings, you start to see interest rates creeping up, but they are still low compared to the rest of the market. Besides that, the minimum balance requirements for the higher interest rates are quite steep. To earn these interest rates, you must have a WebsterOne Relationship Checking account. If you don’t, your WebsterOne Savings account will only pay the going interest rate of a Webster Value Savings account.

To get out of paying the monthly maintenance fee, you must maintain a balance of $300. The only other way out if it is age: Those younger than 21 or 65 and older do not have to pay this fee. But they are still subject to the rule of six withdrawals per month.

How to get WebsterOne Savings account

Gather your driver’s license, Social Security number and employment information so that you can apply in person or online.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

Premier Savings

Get slightly higher interest rates in exchange for having a Webster Premier Checking account.
APYMinimum Balance to Earn APY
0.05%$0.01
0.05%$10,000
0.15%$25,000
0.20%$50,000
0.25%$100,000
  • Minimum opening deposit: $5
  • Minimum balance to earn APY: Varies depending on desired APY
  • Monthly account maintenance fee: None
  • ATM fee: $2.50 for non-Webster Bank ATM transactions
  • ATM fee refund: None
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

While Webster Bank’s Premier Savings account offers higher rates, they are still low. To earn these interest rates, you will have to have a Webster Premier Checking account in your name, too. Otherwise, you’ll only be rewarded with the marginal Webster Value Savings rate.

This account comes with no maintenance fee and a limit of six withdrawals per month.

How to get Webster Bank’s Premier Savings account

Use your driver’s license, Social Security number and employment information to open this account online or in person.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

Premier Savings Extra

This savings account offers a small bump in APY in exchange for a higher balance requirement.
APYMinimum Balance to Earn APY
0.15%$0.01
0.30%$25,000
0.40%$50,000
0.50%$100,000
0.55%$250,000
  • Minimum opening deposit: $5
  • Minimum balance to earn APY: Varies depending on desired APY
  • Monthly account maintenance fee: $10 (this can be waived)
  • ATM fee: $2.50 for non-Webster Bank ATM transactions
  • ATM fee refund: None
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

If you want to earn about half a percentage point more, you can do so with Premier Savings Extra. This account has slightly higher interest rates, and the monthly maintenance fee can be waived if you maintain a balance of $10,000 or more. You will also need a Webster Premier Checking account. Otherwise, you’ll only earn the rate offered for Webster Value Savings.

How to get Webster Bank’s Premier Savings Extra account

Come prepared with your driver’s license, Social Security number and employment information when you apply for this account online or in person.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

Passbook Savings

This account can only be accessed by visiting a brick-and-mortar location.
  • Minimum opening deposit: $5
  • Minimum balance to earn APY: 1 cent
  • Monthly account maintenance fee: $5 unless you maintain a balance of $300
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

Passbook Savings is an in-person savings account. That means you will not have access to online banking, and every transaction you want to make will have to be completed at a brick-and-mortar location. Also, you’ll have to call the bank to check for the current rates. This may be no big deal if online banking makes you uncomfortable, or if you want to make it harder to get money out of your account for self-disciplinary reasons. But for most other people, it’s an inconvenience.

This account does come with a monthly maintenance fee, but it can be waived if you maintain a balance of $300 or more. It can also be waived if you are younger than 21 or 65 and older – even if you have less than $300 in your account.

Savings accounts fall under certain federal rules, including Regulation D. This regulation states that you are allowed up to six certain withdrawals per month. If you do and it is your first offense, Webster Bank will send you a warning letter. If your behavior persists, the bank will be forced to shut your account down.

How to get Webster Bank’s Passbook Savings account

To open this account, bring employment information, your Social Security number and your driver’s license to your local branch. This account cannot be opened online.

Holiday Club Savings

This savings account can help you save for the holidays with a low APY.
APYMinimum Balance to Earn APY
0.02%$0.01
  • Minimum opening deposit: $5
  • Minimum balance to earn APY: 1 cent
  • Monthly account maintenance fee: None
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

Holiday Club Savings accounts help you save for holiday spending by automatically transferring some money from one of your other accounts every month. This set-it-and-forget-it method ensures that you’ll be socking money away even if you forget.

Every year during the third week of October, Webster Bank will issue you a physical check for the amount you have saved in your Holiday Club Savings account. From there, all you have to do is deposit it and get shopping.

How to get Webster Bank’s Holiday Club Savings account

You can get the process started in person or online with your employment information, Social Security number and driver’s license.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

magnifying glass

How Webster Bank’s savings accounts compare

Webster Bank’s savings accounts don’t hold a candle to some of the best savings rates on the market. These higher rates can be found at traditional banks and credit unions, but the majority of them are offered by online-only financial institutions that do not have to pay the overhead costs of maintaining brick-and-mortar location.

If the idea of a Holiday Club Savings account sounds appealing to you, know that Webster Bank is not the only one to offer it. Typically, you’ll find these accounts at credit unions. If you shop around, you’re likely to find one with a far higher interest rate.

Webster Bank’s CD rates

Traditional CDs

This CD product offers middle-of-the-road interest rates with a unique fee formula.
TermAPY
11 months2.25%
16 months2.40%
24 months1.75%
36 months1.75%
60 months1.75%
  • Minimum opening deposit: $1,000
  • Minimum balance amount to earn APY: 1 cent
  • Early withdrawal penalty: Early withdrawals on 11-month CDs incur a $25 fee plus 1% of the amount you withdraw; all other CDs incur a $25 fee plus 3% of the amount you withdraw.

Webster Bank’s traditional CDs don’t have the worst rates around, but they’re not the best, either. Be sure to shop around for the top CD rates to ensure your money has a chance to grow quickly.

A relatively unique feature of these traditional CDs is that you can withdraw money even if it puts your balance below the minimum opening deposit amount. Your fees are structured a bit differently, too.

Most CDs have early withdrawal penalties based on the amount of interest your certificate has accrued. But Webster Bank charges a flat-rate fee plus a percentage of the amount you withdraw. It’s still never a great idea to withdraw money from a CD as withdrawal penalties — however they’re formulated — can eat away at your earnings.

How to get Webster Bank’s traditional CDs

You can open your traditional CD with your employment information, Social Security number and driver’s license online or in person.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

Bump Up CD

The lower interest rate on this CD has potential to grow.
TermAPY
36 Months1.75%
  • Minimum opening deposit: $1,000
  • Minimum balance amount to earn APY: 1 cent
  • Early withdrawal penalty: $25 plus 3% of the amount you withdraw

The Bump Up CD is offered in a 36-month term. You may notice that the rate on this 36-month CD is slightly lower than a traditional 36-month CD. But with the Bump Up CD, you have the option to “bump up” your interest rate once during your term. That means if rates go up, you’ll be able to take advantage and potentially score a higher rate than even the traditional CD for the remainder of your term. It’s not a guarantee, though — rates could go down or stay stagnant, in which case you’re not going to want to bump your rate at all.

To get this kind of CD, you must have either a Webster Premier Checking or WebsterOne Relationship Checking account.

How to get Webster Bank’s Bump Up CDs

You’ll need your employment information, driver’s license and Social Security number when you go to open this CD in person or online.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

magnifying glass

How Webster Bank’s CD rates compare

Webster Bank’s CD rates aren’t horrible, but they aren’t the best CDs on our list, either. They also come with some unique features you aren’t likely to find at other financial institutions. These features can be bad, such as the mandatory nature of certain checking accounts, or good, such as the ability to withdraw money beyond the floor of the minimum opening deposit.

Shop around to make sure you’re finding those better rates, keeping these CDs’ unique features in mind.

Webster Bank’s money market account option

Premium Money Market Savings

You’ll find a low rate of return on Webster Bank’s only money market product.
APYMinimum Balance to Earn APY
0.02%$0.01
0.02%$10,000
0.05%$25,000
0.15%$100,000
  • Minimum opening deposit: $1,500
  • Minimum balance to earn APY: Varies depending on desired APY
  • Monthly account maintenance fee: $12 waivable fee
  • ATM fee: $2.50 for non-Webster Bank ATM transactions
  • ATM fee refund: None
  • Overdraft fee: $37 on overdrafts more than $5. If your account remains overdrawn for more than five days, you will be charged an extra $5 fee each day it remains overdrawn.

Webster Bank’s Premium Money Market Savings account doesn’t earn a high rate of return, regardless of which tier your balance places you in. There is also a maintenance fee, which not all money market accounts have when competitors offer them. But this fee can be waived if you maintain a balance of $2,500 or more.

Money market accounts fall into the savings account category, which means that they are also subject to federal Regulation D. You are allowed up to six certain withdrawals per month without risking getting your account closed shut down by the bank.

How to get Webster Bank’s Premium Money Market Savings account

Open your account in person or online with your Social Security number, driver’s license and employment information.

LEARN MORE Secured

on Webster Bank’s secure website

Member FDIC

magnifying glass

How Webster Bank’s money market account compares

The rates offered by Webster Bank fall entire percentage points behind the competition. Money market accounts were originally meant to offer much higher rates than your typical savings account. You can still get that benefit today if you shop for money market accounts. Unfortunately, you won’t find competitive rates at Webster Bank.

Overall review of Webster Bank’s banking products

All the deposit accounts offered by Webster Bank fall behind the competition. Many of them also require high balances or tandem accounts to avoid monthly maintenance fees or score a slightly higher APY.

The only account that may be worth checking out is Webster Opportunity Checking. But that account is only useful to consumers who are having trouble finding a financial institution that will allow you to open an account. Everyone else should shop the competition to potentially nab higher interest rates and lower fees.

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.

Brynne Conroy
Brynne Conroy |

Brynne Conroy is a writer at MagnifyMoney. You can email Brynne here

Advertiser Disclosure

Reviews

Review of Green Dot Unlimited Cash Back Bank Account

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.

Get rewarded for your spending with the Green Dot Unlimited Cash Back Bank Account. The account earns unlimited 3% cash back earned from online or in-app purchases, but unlike most cashback programs, this one prevents you from enjoying your earned rewards immediately. The catch: You can only access and redeem your cashback rewards if your account is in good standing a year after registration. In addition, there is a $7.95 monthly fee, although it’s simple to get around the fee.

While you wait for your account registration anniversary, you can use this account’s other features to your advantage. For one, Green Dot Bank can get you your paycheck up to two days in advance through direct deposit. You can also use the 3%* APY Green Dot Bank High-Yield Savings Account to stash and grow your money.

Green Dot doesn’t have any branch locations of its own, so it relies heavily on its app and participating stores to offer its services to customers. This makes it slightly tricky for users who need quick and easy ATM access.

Read on to learn more about the FDIC-insured Green Dot Unlimited Cash Back Bank Account and its rewards requirements, fees and fine print.

How does the Green Dot Unlimited Cash Back Bank Account work?

 

The Green Dot Unlimited Cash Back Bank Account’s biggest draw is the unlimited 3% cash back earned from online or in-app purchases. There’s no limit to how much cash back you can earn, so long as you’re using your card for online and in-app purchases (there’s more on how Green Dot identifies those purchases in a section below)

Getting access to your cash back is a little trickier, however. While you’ll see the cash back earned on each purchase reflected almost immediately, you’ll have to wait for each anniversary of your account registration to redeem the funds. On each anniversary date, you can transfer your cash back rewards into your Unlimited Cash Back Bank Account. Your registration date is the date you actually register your card no matter where you got it, either at a store or online.

On your registration anniversary, your account must be in good standing. This means it must have a positive balance and cannot be blocked or flagged for any reason. If you have a negative balance, you must bring it to a positive balance before you can redeem your rewards.

Depositing cash into your Unlimited Cash Back Bank Account is also a little unorthodox, as Green Dot doesn’t have any of its own branches or ATMs. To deposit cash, you need to visit a Green Dot participating retailer, including CVS pharmacies and Walmart stores. Cash deposits are free when you initiate the deposit on the Green Dot app and complete them at a retail store. You can also initiate a cash deposit by swiping your Green Dot debit card at a participating retailer, who may charge a cash deposit fee of their own.

As for withdrawals, you can locate free ATMs through the bank’s app. Otherwise, you’ll face an out-of-network ATM fee, in addition to a potential ATM owner surcharge.

Unlimited Cash Back Bank Account features

  • Earns unlimited 3% cash back on eligible online or in-app purchases
  • Get your paycheck up to two days earlier with ASAP Direct Deposit™
  • Links to 3%* APY Green Dot Bank High-Yield Savings Account
  • No overdraft fees

Along with its competitive cash back rate, another big perk of banking with Green Dot Bank is that you can get your direct deposit paychecks up to two days in advance. Typically, employers deposit paychecks into employees’ banks two days before actual payday. So instead of letting your paycheck sit in the Automated Clearing House (ACH) limbo, where payments like these are processed, Green Dot deposits your paycheck on the same day the bank receives it. Exact timing and availability of your direct deposit will depend on when your employer submits your payment information and deposit verification.

Also included with the Green Dot app is the Green Dot Bank High-Yield Savings Account. There is no fee, and the account earns 3%* APY on balances up to $10,000. Once you’ve redeemed your cash back rewards and deposited them into your Unlimited Cash Back Bank Account, you can then transfer those funds into your High-Yield Savings Account for better savings.

As you’ll read below, the Unlimited Cash Back Bank Account is rife with fees, depending on how you use your account and manage your money. But a certain perk of the account is its lack of overdraft fees. So when you make a purchase that your balance cannot cover, Green Dot will decline the transaction, but they won’t charge a fee like most other banks do.

Unlimited Cash Back Bank Account fees and fine print

Unlimited Cash Back fees
Unlimited Bank Account purchase — online $0
Unlimited Bank Account purchase — in store$1.95 or less
Monthly fee$7.95, waived when you spend $1,000 or more in the previous monthly period
Deposit cash with Green Dot app & participating locations$0
Direct deposit$0
Out-of-network ATM withdrawal$3 per transaction
Teller cash withdrawal$3 per transaction
Out-of-network ATM balance inquiry$0.50
Foreign transactions3% of total transaction amount
Paper checks (pack of 12 checks)$5.95

There are quite a few fees to keep an eye out for when you have a Green Dot Unlimited Cash Back Bank Account. For starters, note that there is a fee when you open the account in a store. You can easily avoid this fee by opening the account online instead.

The account charges a $7.95 monthly fee. This can be waived when you spend at least $1,000 in the previous monthly period. This excludes transactions like ACH payments or prepaid card purchases. This may be easier if you do much of your shopping online, since you’re more likely to reach the minimum balance. If you’re betting the cash back you earn will offset this monthly fee, you’d have to spend $3,180 in a year to earn enough to pay off a year’s worth of the monthly fee. Plus, you’d have to wait for each anniversary to take advantage of that cash back bonus.

It also helps to keep your account activity online. You can initiate the deposit through the Green Dot app then depositing cash at a participating retailer at no charge. However, if you want to deposit cash without the app by swiping the debit card at a participating retailer, then the retailer may charge a service fee for cash deposits. Note that direct deposits are free.

As for the fine print, there is some room for error when it comes to determining which purchases are eligible for the 3% cashback. Green Dot identifies online and in-app purchases through unique merchant category codes (MCC) and “other identifying information,” according to the Green Dot website.

However, Green Dot acknowledges that sometimes online or in-app merchants use an MCC that does not properly identify themselves as online or in-app. On Green Dot’s part, the bank states that it “does not determine which MCC a merchant chooses to classify itself as and has no way of changing a merchant’s identifying information.” So if merchant misidentification is the case, your purchase won’t register as online or in-app and won’t earn 3% cash back.

Cash back also does not apply to airline tickets or to products and services that are redeemable for cash, such as gift cards, online funding of accounts, credit card cash advances, P2P funding, prepaid cards, money orders and traveler’s checks.

Opening an Unlimited Cash Back Bank Account

You can open an Unlimited Cash Back Bank Account either online or in-store at Green Dot participating retailers. When you open an account online, you’ll need to provide your full name, address, email address, phone number, Social Security number and date of birth. If you open an account in store, you’ll need to register your new debit card online or through the Green Dot app. There, you’ll need to provide your personal information.

Who is the Green Dot Unlimited Cash Back Bank Account best for?

The Green Dot Unlimited Cash Back Bank Account seems to be a better option for those who aren’t chasing a quick reward. Green Dot requires you to wait a year after account registration to redeem your cash back rewards, which may not be much of a reward for some. It’s more of an added perk than a real primetime feature since you have to wait so long.

The Unlimited Cash Back Bank Account may also be better for those who are tech savvy enough to manage their accounts largely online and in the app. Accounts are more easily opened and registered online and even cash deposits work best when done through the app.

That said, this account could be a potential hassle who want the ease and speed of ATM access. Green Dot requires you to visit a participating store to deposit cash, whether you use the app or not. For many, navigating a physical store just isn’t as convenient. When it comes to withdrawals, it may be difficult to find a free ATM nearby in order to avoid the out-of-network ATM fee.

In all, the Green Dot Unlimited Cash Back Bank Account seems to hold a lot of promise. But there’s a few hoops to jump through to earn rewards and use the account efficiently that detract from the eye-catching 3% cash back.

*Rate accurate as of August 21, 2019

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.

Lauren Perez
Lauren Perez |

Lauren Perez is a writer at MagnifyMoney. You can email Lauren here

Advertiser Disclosure

Reviews

Fitness Bank Savings 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.

Fitness Bank’s savings account option

Fitness Savings Account

This unconventional savings product offers customers the chance to earn an outstanding APY when they are physically active. The daily average number of steps you took in the previous month determines the APY you earn on your account balance. The table below outlines the five earning tiers that this bank currently offers:
APY Tiers*Minimum Balance to Earn APYSteps Required
0.50%$1000-4,999
1.25%$1005,000-7,499
1.75%$1007,500-9,999
2.50%$10010,000-12,499
3.00%$10012,500+

If you are a US citizen age 65 or older, you qualify for a different rate schedule:

APY Tiers*Minimum Balance to Earn APYSteps Required
1.25%$1000-4,999
1.75%$1005,000-7,499
2.50%$1007,500-9,999
3.00%$10010,000+
  • Minimum opening deposit: $100
  • Minimum daily balance to earn APY: $100
  • Monthly account maintenance fee: $10, waived by maintaining the minimum daily balance.
  • ATM fee: N/A
  • ATM fee refund: N/A
  • Overdraft fee: $40

These rates truly are outstanding if you live an active lifestyle. The first month, everyone gets highest APY regardless of number of steps they take. After that, your APY will be assigned based on your daily average number of steps over the course of the prior month. Needless to say, if you don’t live a very active lifestyle, or if you have a health condition that would prevent you from meeting the step requirements, this may not be the best account for you.

This bank charges a $10 monthly maintenance fee if you don’t maintain a minimum average daily balance of $100. If you’re not confident you can maintain this minimum, you may want to look at a checking account rather than a savings account — keep in mind, however, that Fitness Bank only offers a savings account. If you meet the minimum balance requirement, the monthly maintenance fee will be waived.

This savings account does not come with an ATM card or checks. You are limited to six certain withdrawals and/or transactions per month, per Regulation D, which is enforced by the federal government, although banks do have some flexibility in allowing more than six per month in certain cases. At Fitness Bank, if you make more than six withdrawals per month you will be charged a $10 fee for each additional withdrawal.

If you want to go above and beyond achieving the highest APY available from this account, you can join one of Fitness Bank’s challenges. Every month, there is a step challenge where you can compete with all other participating Fitness Bank members to get the highest number of average daily steps. Top competitors will be awarded with prizes at the end of the month. You can also set up challenges just for your family or friend group, or for a group of employees participating in a workplace challenge.

How to get Fitness Bank’s savings account

Opening a savings account at Fitness Bank is a straightforward process. The bank boasts account setup will take you less than two minutes.

You’ll fill out a quick online application, supplying basic information like your name, address and Social Security number, along with documentation of your driver’s license or passport. Then you’ll need to provide funding information, namely your bank account number, credit card or debit card.

LEARN MORE Secured

on FitnessBank’s secure website

Member FDIC

magnifying glass

How Fitness Bank’s savings account compares

This bank offers phenomenal rates. At the time of writing, they offer the highest savings account rate in the market — if you can rack up the steps needed to earn it. In addition, you will have to be comfortable doing your banking 100% online with this savings account. You will not receive a checkbook or ATM card – all of your withdrawals and deposits will be completed via electronic transfer. If you’d prefer ATM access or the ability to visit a physical branch, Fitness Bank is not the right match for you.

The minimum deposit required to open and maintain an account without incurring a monthly maintenance fee isn’t outrageous. But you can find savings accounts offering somewhat competitive rates without these requirements. And to repeat, you’ll have to meet the step requirements; if that challenge goes unfulfilled, the advantages of saving with Fitness Bank wane. Its rates get progressively less competitive the fewer steps you take.

Overall review of Fitness Bank’s banking products

This bank offers a unique financial product aimed at promoting wellness. Its minimum balance and deposit requirements are fairly average for the industry, as are its fees. While its offerings are fair and get more generous as you take more steps, you will likely find better rates elsewhere if you cannot realistically meet these specific fitness standards. If you can, though, you’re in for some of the best rates on the market.

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.

Brynne Conroy
Brynne Conroy |

Brynne Conroy is a writer at MagnifyMoney. You can email Brynne here