More and more online banks offer perks that could save you money. What are the best online banks this year?
Because online banks don’t pay for a brick-and-mortar presence, the best online banks should offer low to no banking fees and offer better interest rates on deposit accounts compared with traditional banks. Excellent customer service and a wide range of banking products are what online banks should have.
11 Best Online Banks
Here are the top online-only banks you can open an account with today:
- Quontic
- Ally Bank
- Aspiration
- Axos Bank
- Bluevine
- Capital One 360
- Chime
- Current
- Discover Bank
- Synchrony Bank
- TIAA Bank
1. Quontic
Best Overall Online Bank
- Apple iOS: 4.4 /
- Google Play: 3.3
Quontic is a solid choice for an online bank. Quontic’s customer service and security protocols make it an appealing option for people who value their financial safety. It has several checking and savings accounts. Customers can earn rewards for using their debit card with the Bitcoin rewards checking account.
There are no monthly fees, low opening deposit requirements, and competitive APYs in these accounts. Many online banks have additional benefits such as free ATM access and mobile banking.
Why It Made Our List
- Quontic has competitive rates for its CD, MMA, checking, and savings accounts. Quontic wants to give its customers the best rates possible.
- Quontic gives you access to a variety of payment methods. You can use our mobile app to view transactions and access your account information. You have access to a large number of fee-free ATMs. You can easily access your money with this network of ATMs.
- Quontic has checking rewards accounts. unlimited ATM fee reimbursements and access to an array of financial tools are some of the benefits of these checking rewards accounts. In most states, you can get 1.5% back on your purchases with your debit card. You can earn an additional 1% back when you refer a friend who signs up for the card. Quontic is leading the way as the first traditional online bank to offer a There is a reward for checking account. This checking account allows you to take advantage of the potential benefits of cryptocurrencies by earning rewards through it.
Products
- High-interest checking
- Cash rewards checking
- Bitcoin rewards checking
- Money market account
- CD
- High Yield savings
- Mortgages
Learn More:
2. Ally Bank
- Apple iOS: 4.7 /
- Google Play: 3.9
An attractive online banking option is Ally Bank. It has features and services that make banking easier and more convenient. Low fees, high interest rates, and a selection of different types of accounts are what you get. You can access your account from anywhere with online banking.
Ally has many credit cards, loans, and investments to choose from, meaning it could handle many more of your financial needs. Ally’s customer service team is available to answer any questions you may have, from the comfort of your own home.
Why It Made Our List
- Ally does not have minimum deposit requirements, minimum account balances, or monthly fees. Ally has an account to fit your needs, no matter what your budget is.
- Ally’s savings account is consistently competitive and has buckets for saving goals, recurring transfers, and round-ups. You can manage your savings on the go with Ally’s free mobile check deposits.
- Fees are reimbursed up to $10 per statement cycle for fees at over 43,000 ATMs for checking or money market accounts. You can use any Allpoint ATM for free.
- Ally has a great mobile app and high customer satisfaction ratings.
Products
- Online savings
- Interest checking
- Money market
- CD accounts
- IRA and trust accounts
- Mortgages
- Auto loans
- Home loans
Learn More:
3. Aspiration Spend & Save™
- Apple iOS: 4.7 /
- Google Play: 4.3
Aspiration is an online-only cash management account that offers a The spend and save account is similar to a checking and savings account. It is a great way to manage your finances.
They offer a credit card, limited investment accounts, and a sustainable impact service that helps businesses make more sustainable choices. Businesses are encouraged to take a more active role in preserving the environment by using this service.
Why It Made Our List
- Aspiration is a social commitment that people who align their financial choices with their environmental principles like. Aspiration is committed to giving back to the environment with every purchase and offers a way to invest in what matters to you. They have earned B Corp status for their efforts. The company has been recognized for its exemplary corporate status.
- This account offers 1% cash back on purchases at eco-friendly retailers and.5% cash back everywhere else. exclusive savings opportunities for eco-friendly products and services can be found in this account. The basic account can be used for savings over $1,000 a month. You can start saving immediately if you have no minimum deposit requirements. A $5.99 premium account can earn up to 5% interest.
- Purchase protection includes an extended warranty on purchases, full refunds within 60 days if a store won’t accept your return, and $600 of phone insurance when you pay your bill with your card.
Products
- Spending account
- Saving account
- Credit card
- Sustainable investment accounts
Learn More:
4. Axos Bank
- Apple iOS: 4.7 /
- Google Play: 4.6
A range of banking and borrowing needs can be met by the one-stop shop of Axos Bank.
It has higher interest rates than brick-and-mortar banks. Online banking is convenient and accessible.
Why It Made Our List
- Checking accounts at Axos have interest, unlimited ATM fee reimbursements, and no maintenance fees or balance requirements. A user-friendly online banking platform is also offered by the bank.
- The Essential and rewards checking accounts have no insufficient funds or overdraft fees. unlimited reimbursement of ATM fees worldwide is included in Axos’ checking accounts. If you don’t connect an overdraft line of credit or savings account, the accounts will reject further transactions. Contact the bank to discuss other payment methods if you don’t have either of these options.
- You can apply for loans, manage your bank accounts, make remote deposits, and pay your friends with just their number and email from the website and app. They have an online chat feature that you can use to get answers to questions.
Products
- Checking accounts
- High-yield savings account
- CDs
- Mortgages
- Auto loans
- Personal loans
Learn More:
5. Bluevine
- Apple iOS: 4.6 /
- Google Play: 4.6
Bluevine is an online banking option that can be used to build and manage a business. Bluevine offers a variety of flexible financing solutions that can help businesses of any size meet their financial goals. Businesses can grow and maximize their cash flow with tailored checking and lending products. Businesses can get financial services and advice from the bank.
Deposits are insured by the Federal Deposit Insurance Corporation up to $250,000 per account holder. This assurance will give you peace of mind that your money is safe.
Why It Made Our List
- Bluevine’s only bank account, Business Checking, earns 2% on up to $100,000 when you spend $500 per month with your Bluevine Mastercard or accept $2,500 of customer payments per month in your account.
- You can use your Bluevine account to manage your bills, taxes, and payroll.
- Bluevine allows you to pay with a credit card even if the vendor doesn’t accept credit card payments. It gives you up to 45 days to pay and allows you to get credit card rewards. You can link your bank account to get the funds as soon as possible. New businesses can use this as a financial cushion. Business owners can focus on the long-term growth of their company if they have a financial cushion.
Products
- Business checking
- Business loans
6. Capital One 360
- Apple iOS: 4.9 /
- Google Play: 4.6
Capital One is one of the largest banks in the nation. There are local branches in 9 states.
If you want to house your family’s bank accounts and loans in the same place, it’s a great bank. They provide excellent services, as well as competitive rates and great customer service.
Why It Made Our List
- Capital One has over 700 branches, 70,000 ATMs, and innovative Capital One Cafes, where you can sip, snack, and take care of business. Capital One has a full range of services and products. If you are looking for a hybrid online bank that still gives you access to brick-and-mortar locations and facetime with your bank’s reps, Capital One is the one for you. Capital One has an impressive online banking service, with user-friendly tools and a great mobile app that makes managing your finances easy.
- Capital One has no minimums for checking accounts, savings, or CDs. It means you don’t have to worry about having to meet a deposit amount.
- Capital One has a joint account for parents and kids. This account is great for teaching teens how to manage their money, and parents can monitor their spending. Money can be transferred to your children. You can use parental controls to keep your children away from certain websites and apps. They can use the Capital One app to manage their finances and have their own card. It is easy for teens to learn about budgeting and saving with the Capital One app.
Products
- Performance savings
- CDs
- Kids savings account
- Checking
- Teen Checking
- Credit cards
- Business and commercial banking
- Auto loans
Learn More:
7. Chime Bank
- Apple iOS: 4.8 /
- Google Play: 4.6
Chime is what you are looking for if you are after no-hassle banking. Chime is a mobile app that allows you to manage your finances quickly and easily. Chime isn’t a traditional bank, but account holders’ funds are held at FDIC-insured banks. Chime has over 38,000 free ATMs.
Chime is quick and easy to use with a solid app that allows you to manage all your accounts in one place. It has a number of helpful features, such as budgeting tools, to help you stay on top of your finances. Chime has made banking very easy. Keeping track of your financial goals has never been easier.
Why It Made Our List
- The account has round-ups, paycheck advances, and 60,000 fee-free ATMs. You can use the financial management tools in this account to stay on top of your finances. You can link your Chime card to other payment methods. You can make payments with a tap of your phone with both Apple Pay and Google Pay.
- There are no fees for Chime’s checking or savings accounts. Chime is a convenient and secure way to manage your money.
- Chime offers decent interest on its savings accounts, with no minimum balance requirement.
Products
- Checking account
- Savings account
- Credit builder credit card
Learn More:
8. Current
- Apple iOS: 4.7 /
- Google Play: 4.6
Teens and young adults can use the Current banking app. It is simple for users to find what they need.
Current gives teens financial freedom and visibility, and gives security to their parents, with free instant money transfers, instant spending notifications, spending limits, and merchant blocking. Teens can use Current’s bank account for their spending needs.
Why It Made Our List
- If you want to teach your child about financial responsibility while keeping an eye on their spending, Current has the option to link a teen debit card to the main checking account. It is possible to give your child access to their own funds without any risk.
- Current has a variable interest rate of up to 4% on its savings account, which is higher than most online banks. The variable interest rate is one of the best in the industry, so you can rest assured that your money is growing faster than ever.
- Current’s website and mobile app are easy to navigate. Current has a range of helpful resources to help you get up to speed quickly. They have a lot of personal finance guides on their website. New bankers can use these resources to make the most of their money and create a secure financial future.
Products
- Checking
- Savings
Learn More:
9. Discover
- Apple iOS: 4.9 /
- Google Play: 4.7
Discover is a credit card company, but it does a lot more than that.
One of the best online banks is Discover. It’s even more attractive to manage your finances with Discover’s competitive interest rates. Discover has a savings account, a checking account, and a money market account for you to choose from. Personal loans, home loans, and other banking options are available from Discover.
Why It Made Our List
- Discover Bank does not charge fees for out-of-network ATMs, insufficient funds, stopped payment orders, overdrawn accounts, or returned items. Discover Bank is an ideal choice for consumers who want to save money. Keeping your account costs low is what it does. You can easily move money between accounts with the account’s free online transfers.
- Discover Bank offers 1% cash back on $3,000 of debit card purchases each month, along with other perks like fee-free overdraft protection, pay advances, and Apple Pay compatibility. It’s a great way to maximize your savings and make life’s purchases more rewarding.
- Discover has a 3.50% online savings account with no minimum balance, opening deposit requirements, or account fees. It can help you with any questions you may have.
Products
- Savings account
- Money market account
- Rewards checking account
- CDs
- Trust accounts
- Student, personal, and home loans
Learn More:
10. Synchrony Bank
- Apple iOS: 4.7 /
- Google Play: 4.6
Over the last 20 years, Synchrony Bank has built a positive reputation as an online bank. It is a leader in digital banking and has earned the trust of millions of customers. It has the best lineup of retail credit cards with popular brands. Shoppers in the US use these cards to get rewards and discounts that make shopping more rewarding.
Synchrony doesn’t offer any checking accounts, but its savings and CD rates are competitive, so it’s worth considering.
Why It Made Our List
- Synchrony Bank has a competitive savings account. You can quickly and easily grow your savings with a Synchrony Bank account. Minimum account balance requirements, minimum opening deposit, and monthly fees are not required. This makes the bank an attractive choice for customers who may not be able to meet the requirements or fees of traditional banks.
- Synchrony Bank has a variety of CDs. Not all banks offer a no-penalty CD. It’s important to research which option best fits your financial goals because these types of CDs offer flexibility and security. Synchrony’s CD rates are always competitive. CD rates should be considered when choosing the best place to invest your money.
- The customer service line at Synchrony Bank has weekday and weekend hours, and it has specialized phone numbers for each of its credit cards. The website has banking forms, FAQ, and an ATM finder tool.
Products
- High yield savings
- Money market accounts
- CDs and IRA CDs
- Credit cards
11. TIAA Bank
- Apple iOS: 4.7 /
- Google Play: 4.6
TIAA Bank has a wide range of banking services. Customers can access their accounts from anywhere with TIAA Bank’s convenient online and mobile banking services. Competitive high-yield checking and savings accounts are included. You can use their free online and mobile banking services.
TIAA has a good user experience with online tools and the ability to send money with Zelle. You can get help whenever you need it.
Why It Made Our List
- Guaranteed interest: We’re impressed with TIAA’s It has a yield pledge on its checking account. There will be no rate drops on the checking account and CDs for a year. The bank compares its rates to thousands of banks each week. Customers get the best rate possible on their savings account. TIAA adjusts its rates if they don’t fall in the top 5%.
- TIAA Bank does not charge monthly service fees or overdraft fees. There are no fees associated with opening an account at TIAA Bank. If you have at least $5,000 in your checking account, it will waive all ATM fees. It’s a great way to save money and get the most out of your checking account.
- TIAA’s customer service is open 7 days a week, while a lot of banks only open on weekdays. The customer service team is dedicated to helping you get the most out of your banking experience. The website and mobile app are very easy to use and have lots of resources. If you need assistance, the customer service team is very helpful.
Products
- High yield checking
- 3 CDs
- Savings
- Money market account
- Business and non-profit checking
- Commercial solutions
Summary: Best Online Banks
| Bank | Products |
|---|---|
| Quontic | Checking, Savings, MMAs, CDs, and Mortgages |
| Ally | Checking, Savings, MMAs, CDs, Loans, and Mortgages |
| Aspiration | Checking, Savings |
| Axos | Checking, Savings, MMAs, CDs, Loans, and Mortgages |
| Bluevine | Business Checking, Business Loans |
| Capital One 360 | Checking, Savings, CDs, Bussiness Accounts, Auto Loans, Credit Cards |
| Chime | Checking, Credit Cards, Savings |
| Current | Checking, Savings |
| Discover | Checking, Credit Cards, Savings, MMAs, CDs, and Loans |
| Synchrony | Savings, MMAs, CDs, and Credit Cards |
| TIAA | Checking, Savings, MMAs, CDs, and Business Accounts |
Pros and Cons of Online Banks
As with everything, there are pros and cons to online banking:
Pros:
- Convenience
- Low or No Monthly Fees
- Better Interest Rates Compared to the National Average
Cons:
- No face-to-face interaction
- Not all online banks have full banking services
- Depositing cash takes more time
Tips for Choosing The Best Online Bank
Different personal finance lives mean we need different banking services.
Think about Your Needs
You may value a free checking account over getting a high annual percentage yield on 6-month CDs. ATM fees are more important than mobile app ratings. It’s important to consider ATM fees when choosing a bank.
Some people need an online bank to manage their spending. Others prefer the convenience of having a physical branch nearby where they can access their money and speak with a banking representative in person. Some people want a place to store their money so it can grow faster than at their local branch of a national bank.
Read the Fine Print
Before you pick an online bank make sure you read the fine print — all the fine print. Taking a good look at the bank’s website, and making sure you’re aware of all potential fees is a must. To learn about a bank’s full schedule of fees, you have to dig deep and find a PDF. It is important to read the fine print and understand the fees associated with any banking product.
Check for Fees
Most online banks do not charge monthly fees. Some online banks may charge a fee for certain services. Foreign transaction fees, wire transfer fees, and even fees to replace an ATM card could surprise you. It’s important to understand how your bank charges fees so that you can build them into your budget.
If the bank charges a fee for a common banking task for you, make sure you know what they are. Knowing the fees associated with your bank account can help you budget and plan for any additional costs. If you get dinged by these other fees, you won’t get free access. It’s important to be aware of the fees because they can add up quickly.
Look Into the Interest Rates
Make sure you choose a bank that offers solid interest earnings, but also make sure you know the required account balances and opening deposits to earn the advertised interest rate. If you can’t qualify for an excellent online bank, you shouldn’t choose one.
Make Sure the Bank is FDIC Insured
Finally, make sure your money is protected – choosing a financial institution that is FDIC insured will give you peace of mind, so always check whether the bank you’re considering is federally insured.
Frequently Asked Questions
What is an online-only bank?
Financial institutions that offer their services exclusively online are called online-only banks. The lower overhead costs of these banks allow them to offer higher interest rates. Accountholders can carry out banking tasks online or with a mobile app. It makes banking more convenient by allowing accountholders to complete banking tasks on their own time.
Are online-only banks safe?
Quick answer, yes. Make sure the bank you are considering is insured by the Federal Deposit Insurance Corp. You can double-check this by visiting their website or calling them. (FDIC). You can have your account insured for up to $250,000. With the protection of the FDIC, your money is safe. If the bank is a member, the bottom of the website should have a logo from the FDIC. Customers will be reassured that their deposits are backed by the federal government with the FDIC logo. Credit unions will usually show membership in NCUA. Credit unions offer higher interest rates for savings and lower interest rates for loans, making them a great option for people looking to save or borrow money.
Is there a fee for online banking?
There are few or no service fees at online banks. The cost of operating and staffing physical branches is not something they have to deal with. Online banks can offer higher interest rates and lower fees than brick-and- mortar banks.
Are online banks better than regular banks?
Whether an online bank or traditional bank is better for you depends on what you’re looking for. The ability to make cash deposits is one of the biggest advantages of a traditional bank. Traditional banks offer more products and services than online banks. You can get lower account fees, higher interest rates, and larger ATM networks with an online bank. You can save money by doing this.
