Chances are, you've been with the same bank for years. After all, it's easier to stick with the checking account you have now than to switch to a new one. But every once in a while, it's worth looking at what else is out there.
Even if you're mostly satisfied with your current bank, you may find that a different one better fits your needs, whether with lower fees, higher interest rates, superior in-person services, or more-attractive premium account packages that layer on the perks as your wealth grows. Or you may choose to stick with your current institution for everyday banking and open a savings account or certificate of deposit at an online bank or credit union, taking advantage of high yields on your extra cash.
You'll find plenty of great options to consider here. With the help of LendingTree, which collects deposit-account information, we've analyzed interest rates, fees, balance requirements and other features of accounts at national banks, credit unions, online banks and regional banks, and we've named winners in each of those categories. We've also highlighted two institutions that may be strong choices for customers in each of four profiles: Retirees, high-net-worth clients, travelers and families with kids.
For online banks, we selected three honorees and listed them in alphabetical order. Interest rates change frequently, so before you commit to any of these accounts, check the current yield. Yields and other terms listed here are as of early July.
Online-only banks don't face the overhead costs of running physical branches, so they can funnel that extra money to customers through competitive interest rates and low fees. Our picks offer some of the highest yields on the market, but we also assessed fees, the range of offerings, budgeting tools and more.
Ally Bank
Ally's Spending Account is a free checking account that provides access to more than 75,000 ATMs without surcharges, and you get a $10 rebate per statement cycle for fees levied by out-of-network machines.
But where Ally really shines is its savings products. The free Savings Account comes with a 3% yield on all balances, plus the ability to create up to 30 "savings buckets" to allocate cash to different goals, whether an emergency fund or a vacation. You can also arrange "round ups" so that transactions from your checking account are rounded up to the nearest dollar and the difference is transferred to your savings account when you've accrued at least $5. With "surprise savings," Ally identifies amounts of $25 or less in your checking account that the tool deems safe to automatically transfer to savings without risk that your checking balance will dip too low to cover your spending.
Ally's free Money Market Account also comes with a 3% yield, and the bank offers three kinds of CDs. The High-Yield CD recently had a rate of up to 3.7%, for a certificate with a 12-month maturity. Raise Your Rate CDs offer a 3% yield and the flexibility to increase your rate once over a two-year term or twice over a four-year term if Ally raises its rates. The No Penalty CD has a 2.7% yield and no penalty for early withdrawals. The CDs have no minimum deposit requirement.
Axos Bank
Axos Checking charges no monthly fee, and all you have to do to earn a 1% yield is set up a direct deposit of at least $1. Customers have fee-free access to more than 95,000 ATMs across the country and get unlimited reimbursement of domestic out-of-network ATM surcharges. Summit Savings offers a 3.75% yield with no fees or balance requirements.
Especially noteworthy is the bank's checking-and-savings bundle, Axos One. You earn a 4.21% yield on savings balances of less than $250,000 (3.5% on higher balances) and 0.51% on checking by meeting one of two requirements: Receive at least $1,500 in monthly qualifying direct deposits and maintain an average daily balance of at least $1,500, or receive at least $5,000 in all monthly qualifying deposits (including deposits such as paper checks) and maintain an average daily balance of at least $5,000.
Among the other accounts from Axos are First Checking and First Savings, designed for teenagers, and Private Client Checking and Savings, with extra benefits for customers who maintain a balance of at least $250,000.
Bask Bank
Bask Bank stands out for its free Interest Checking account, which pays a 1% yield on all balances with no strings attached. Customers get access to more than 55,000 surcharge-free ATMs and the ability to transfer money with Zelle.
The savings accounts are impressive, too. Interest Savings offers a base yield of 3.75%, but you can boost that to 4% with at least $2,500 in qualifying automated deposits during each statement period. Recently, new customers could also get a little extra yield when they open an account, bringing the total potential yield to 4.1%.
The Mileage Savings Account lets you earn 1.75 American Airlines AAdvantage miles for every $1 you save annually. With a $1,000 minimum deposit, you can also open a CD with Bask. Terms range from three months to two years, and yields range from 3.65% to 4.1%.
Use the Bankrate tool below to connect with a financial professional and get started today:
Methodology
With data from LendingTree, which collects deposit-account information, as well as from financial institutions and other sources, we evaluated national banks, credit unions, online banks (including online accounts from brokerage firms) and regional banks. We reviewed checking accounts, savings accounts, money market deposit accounts and certificates of deposit.
We looked at features including interest rates; minimum deposit and balance requirements; monthly maintenance fees and the ease of waiving those fees; ATM benefits, such as waived or reimbursed fees for out-of-network withdrawals; free or discounted benefits, such as personal checks, cashier's checks, paper statements and overdraft-protection transfers; overdraft fees; and online and mobile banking features, such as the availability of peer-to-peer payment services. Yields and other data listed in the article are as of early July.
Note: This item first appeared in Kiplinger Personal Finance Magazine, a monthly, trustworthy source of advice and guidance. Subscribe to help you make more money and keep more of the money you make here.
