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Online banks offer a healthy mix of superior APY, low fees, and moderate minimum requirements.
We compared the products and 60 online banks available nationwide to locate some of the most productive features available. See below to learn more about why we chose each institution, the pros and cons, and to access reviews of individual banks.
Annual percentage returns (APY) and principal points of the account are accurate as of October 2, 2023.
Why you can accept it as true with Forbes Advisor: Our editors are committed to providing you with unbiased ratings and information. Our editorial content is not influenced by advertisers. We use data-driven methodologies to compare monetary products and enterprises, so that they are all measured equally. You can read more about our editorial rules and banking method for ratings below.
We chose Quontic Bank as one of the online banks for its low fees and low minimum deposit requirements, as well as its generous APY and rewards.
In addition to its classic banking products (high-interest checks, high-yield savings, coin and DC accounts), Quontic offers cutting-edge accounts. The bank has a Cash Rewards checking account that will refund up to 1. 00% of eligible currencies. Debit card transactions.
With Quontic, have access to over 90,000 ATMs at no additional charge in the U. S. It adds 24/7 access to online banking and a mobile app. Customer service is available via live chat, email, and phone.
Read our full Quantic Bank review.
Quontic Bank offers one savings account, two checking accounts, one market account and five CDs with terms ranging from six months to five years.
Discover Bank has been chosen as the most productive online bank in terms of fees thanks to its zero-fee policy: no monthly maintenance fees, no inadequate budget fees, and no out-of-network ATM fees. There are also no fees for preventing payments, returned parts, or excessive withdrawals. In addition, Discover offers a full diversity of banking products and services, adding a savings account with superior APY and a rewards checking account.
The bank’s checking account provides 1% cash back on up to $3,000 on eligible monthly debit card purchases. And consumers have access to an extensive ATM network.
Discover also offers mobile banking: the app scores highest on the App Store and Google Play. Customer service is available 24/7, every day of the year.
Read our full Discover Bank review.
Discover Bank offers an existing coin-back account, a high-yield savings account, a marketplace account and CDs with terms ranging from 3 months to 10 years. The mobile app has a high rating on the App Store and Google Play.
Axos Bank is our most sensible choice as an online bank for ATM access, offering a network of approximately 91,000 ATMs in the US. Unlimited reimbursement of domestic ATM fees to out-of-network ATMs.
Customers can choose from four other free checking accounts, adding Rewards Checking, which offers one of the highest APYs, and CashBack Checking, which gives you 1% of your money back on all signature-based purchases. It also offers a relatively high APY on savings deposits. , with moderate minimum deposit requirements.
In addition, Axos provides 24/7 visitor service (including Thanksgiving and Christmas Day) via phone and secure online messaging. The site also has a live chat feature available during general business hours.
Axos is also doing well on the mobile banking front. The bank’s app has a high rating on the App Store and Google Play and allows users to satisfy their fundamental banking desires while traveling.
Read our full Axos Bank feature.
Axos offers five other checking accounts, a savings account, a cash market account and CDs with terms ranging from 3 months to five years.
We chose Ally as one of the most productive online banks for its competitive rates, low minimum deposit requirements, exclusive online savings tools, and maintenance fees not consistent with months. As a full-service online bank, Ally offers a diversity of banks with high APY. and verification and savings products with low fees. It has an extensive ATM network and reimburses up to $10 according to the cycle for fees charged to out-of-network ATMs.
Ally consumers also have access to the bank’s savings tools. With Ally’s savings account, you can create “cubes” that allow you to set 10 other savings goals within a single account. The bank also has a “rounding” feature that transfers the small replacement of your transactions to your savings account. And the bank’s “surprise savings” feature scans your Ally checking account to locate cash you can safely store and automatically transfers it to your savings account.
Ally Bank achieves top visitor satisfaction scores, with 24/7 visitor support over the phone. You can also receive answers to your questions via live chat, email, and postal mail.
Ally’s mobile app, available for iOS and Android, scores highest on the App Store and Google Play.
Read our full Ally Bank review.
Ally Bank offers a savings account, an interest-bearing checking account, a cash market account, and CD terms ranging from 3 months to five years. It also offers a two- and four-year rate for accumulating CDs and an 11-month penalty. Free CD.
We include nbkc bank because it is a full-service bank that offers interest-bearing accounts and helps keep fees to an absolute minimum. There are no monthly maintenance fees, overdraft fees, minimum balance fees, or transaction fees. Inbound domestic cable Transfers are also free.
The nbkc bank Everything account is a checking account and a savings account that accrues interest combined into one. You can spend, save, and pay for your expenses from a single account. It comes with an ATM network and reimburses up to $12 per month for out-of-network services. ATM fees.
Customer service can be provided via live chat, phone, or email. And you can access your accounts with the pass through the bank’s mobile app.
Read our full nbkc bank.
nbkc Bank offers an existing combined savings and savings account, a market account, and CD terms from 3 months to five years. It also has an additional one-year CD.
We chose iGObanking as one of the most productive online banks due to its wide diversity of products that provide a competitive APY with no consistent monthly fees, making it a smart position to buy cash for short-term monetary goals. This bank also has a large ATM. Network with no additional fee and discounts of up to $15 consistent with the month on qualified national ATM fees through other banks.
The bank’s accounts are available online and through its mobile app, available for iOS and Android. Customer service is available seven days a week by phone or email.
Read our full iGObanking review.
iGObanking offers an existing account, a savings account, a cash market account and classic CDs with maturities of 15, 18, 24 and 36 months. It also offers the GiftsforBanking CD, which offers a gift of your choice when you open a two-, three-, or five-year CD with a deposit of $25,000 or more.
We chose Salem Five Direct as our first choice, especially for higher balances as it secures unrestricted balances through a combination of insurance guarantees. In addition to the Federal Deposit Insurance Corporation (FDIC) policy of up to $250,000, all deposits in excess of this amount are covered. through the Massachusetts Depositor Insurance Fund (DIF). This differs from many other banks, which restrict deposit insurance to the FDIC’s maximum of $250,000 per depositor and per asset class.
Salem Five Direct does not charge fees consistent with monthly fees or out-of-network ATM fees. It also reimburses qualified fees through other banks, up to $15 depending on the cycle.
Like the other online banks on this list, Salem’s Five Direct mobile app is highly rated. Customer service is provided via live chat, online messaging, email, and phone.
Read our full Salem Five Direct review.
Salem Five Direct offers a checking account, savings account and certificates of deposit with terms ranging from 12 months to 36 months.
EverBank ranks first thanks to its guaranteed competitive rates: the bank’s yield promise states that the interest rate you earn will be among the most sensible 5% of “competitive accounts. “This is based on the accounts of the 10 largest banks and savings banks. retail outlets in 10 major U. S. marketsWhile the bank’s functionality compromise doesn’t mean getting the highest rate on the market, know that you’ll at least get a competitive rate compared to classic monetary institutions.
In addition, the bank does not charge monthly fees on your accounts, no overdraft fees on a connected EverBank account, and no ATM fees. EverBank also automatically reimburses up to $15 each month for third-party ATM fees. Keep a minimum balance of $5,000 or more in your checking account and get unlimited ATM refunds.
EverBank’s mobile app is very popular. Customer service will be offered seven days a week via phone and email.
Read our full EverBank review.
EverBank offers a yield commitment checkbook, a yield commitment money market, fundamental CDs, a companion CD, and what it calls an IntraFi CD, a CD that provides comprehensive FDIC deposit insurance.
We decided on Vio Bank as one of the most productive online banks for its competitive interest rates, low fees, and simple minimum deposit requirements on savings, cash market position, and CD accounts. In particular, it doesn’t offer a checking account, ATM network or branches, making it a smart position for those who need to set aside cash to grow.
That said, you can still access your deposit accounts through the bank’s popular mobile app and make internal and external movements. You can also fund the ACH movement of your Vio accounts with an external bank account. And the bank doesn’t rate incoming or outgoing cable movements. .
Read our full Vio Bank review.
Vio Bank offers a savings account, a marketplace account and certificates of deposit with terms ranging from six months to 120 months.
We chose Capital One 360 as the most sensible option for the most productive online banks because it’s an exclusive hybrid between an online bank with no monthly fees and a physical bank. In addition to virtual banking 24 hours a day, 7 days a week and seven days a week. During a week of live visitor service, Capital One offers full-service branches in the states as well as Capital One cafes. None of Capital One’s banking products require a minimum deposit or balance.
Capital One 360 simplifies the opening and management of your accounts, whether it’s a savings account, checking account or CD. None of the bank’s products require a minimum deposit or balance. You can access your accounts at any time from anywhere online or through the bank’s popular mobile app. And Eno, the bank’s virtual assistant, is available on the mobile app or via SMS.
At Capital One Cafés, you can get perks of personalized help in a café environment. The cafes offer qualified money advisors, cash workshops, and assistance opening and managing Capital One accounts. If you can’t locate a coffee shop near you, Capital One will also offer full-service branches in some states. Physical locations are not found in most online banks.
Read our full Capital One 360 Bank review.
Capital One 360 offers a savings account (360 Performance Savings), a checking account (360 Checking) and CD (360 CDs). It also offers a children’s savings account and a MONEY Teen check.
To create this list, Forbes Advisor analyzed the products of 60 online banks, adding a mix of neobanks and large and small online banks. We ranked each bank on 12 knowledge questions in the categories of product offerings, APY, fees, ATM network. , visitor experience, virtual experience and minimum requirements.
The weighting assigned to the category is as follows:
Online banks that offer the highest APY and lowest fees across all their products have risen to the most sensible on the list, as have those with low minimum deposit and balance requirements and an extensive ATM network. Banks with increased visitor satisfaction and intuitive virtual banking delight. It also scored higher. To appear on this list, the bank must be an online bank with national availability.
To learn more about our scoring, scoring method, and editorial process, ask our consultant on How Forbes Advisor evaluates banks.
Online banking is banking that is done virtually, an online page or a mobile application. Instead of going to a branch or ATM to manage your money, you can do it from your computer or smartphone.
Most classic banks and credit unions offer online banking services to their customers. The diversity of services available doesn’t differ much from what you’ll find in the most productive online banks. The difference is that with the classic bank, you also have the option to move to the branch. With online banking alone, this is not the case.
Customers of online banks can initiate transactions online, a mobile app, by phone or by mail. They can also link their online bank accounts to those they have at classic banks, credit unions, or other online banks.
Online banking products vary by institution. Typically, online banks offer the ability to open accounts, pay bills, move funds, deposit checks, view statements, and perform other typical banking tasks. Many also offer access to ATM networks. No additional charge.
These are the benefits that are presented through online banks that can improve your money life.
One of the main benefits of online banking is the ability to manage your accounts from virtually anywhere. You can check your balances, pay your bills, move cash between accounts, and even deposit checks remotely. Additionally, you can set up notifications and alerts, and if your debit card is lost or stolen, you can log into your mobile app to deactivate the card immediately. And many online banks still offer ATMs if you want to withdraw cash.
Some of the most productive online bank accounts offer additional features that can help you budget, save, and improve where your cash is served. These include:
Online banks have lower overheads, tend to charge fewer fees, and offer more competitive interest rates, which helps you save money. Most of the most productive online banks do not qualify:
Some online banks even offer refunds for ATM payments for all payments collected through out-of-network ATM operators.
Tracking expenses involves creating and sticking to a realistic budget. Online banking simplifies this task by allowing you to see credit and debit transactions at a glance. You can seamlessly clear the main points of your account to search for quick transactions or view purchases made. for a certain period of time.
Here are some other online banking issues:
Online banks can use the same encryption point as physical banks and can offer enhanced security features such as multi-factor authentication. These measures, in addition to taking fundamental measures for the security of your online banking, can protect your account data and them. Hackers.
Here are some other things you should do when opting for an online bank:
You can open a bank account online through the online page or mobile app of the bank or credit union of your choice. From there, you will need to regularly follow the same steps as opening a bank account at an agency. Below is a typical step-by-step. Procedure of steps to open an online bank account:
Online banks operate entirely online and typically have no branches. Customer service is available 24/7 through their websites, mobile apps, and phone lines. Since those banks do not bear the overall costs of operating physical branches, they tend to charge lower fees and possibly offer higher rates on deposit accounts. That said, many online banks will offer more limited account features and may not offer extensive lending and investment services.
Traditional banks offer a full variety of money services to consumers, such as checking accounts, savings accounts, loans, and investments. They also have branches for other people who prefer to bank in person. However, most classic banks offer negligible interest rates on deposits. accounts and would possibly rate the highest account maintenance fees per month.
Online banks are suitable for:
Our studies are based on data from the following monetary institutions: Acorns, Affinity Federal Credit Union, Affirm, Albert, Alliant Credit Union, Ally Bank, Amalgamated Bank, American Express, Andigo Credit Union, Apple Federal Credit Union, Armed Forces Bank, Aspiration. , Axos Bank, BancorpSouth Bank, Bank of America, Bank OZK, Bank5 Connect, BankDirect, BankPurely, BankUnitedDirect, Barclays, Bask Bank, BB
The most productive online banks are the ones that meet your needs. If you’re satisfied with your current banking services but need to earn more interest on your savings, look for an online bank that offers a competitive, high-yield savings account.
If you’re upgrading your current bank, focus on the total package. Look for an online bank that helps keep fees and minimum requirements low, offers superior APYs, and allows you easy access to your cash through ATMs and mobile phone apps. Take a look also for a bank that offers the right service to visitors.
The FDIC insures many online banks. Other online banks are affiliated with physical banks insured through the FDIC and some offer additional insurance policies through organizations such as the Massachusetts Depositor Insurance Fund (DIF).
FDIC-insured accounts are covered up to $250,000 per depositor, per asset class, in the event of bank failure. Before opening a bank account, verify that the financial institution is insured through the FDIC. Look for the National Credit Union Administration. (NCUA) to insure nationally licensed credit unions and many nationally licensed credit unions for similar amounts.
Online banks do not have ATMs of their own brand, but in many cases provide free access to ATMs through partner banks. ATM networks vary in length depending on the bank you use, and some of the most productive online banks provide free access to more than 37,000 ATMs across the country. If you withdraw cash frequently, check to see if your account has ATM payment refunds, as payments loaded from out-of-network ATMs can be charged quickly.
There is no such thing as a loose bank account. All bank accounts come with fees in one form or another, but it is possible to find checking and savings accounts with no monthly account maintenance fees.
Generally, online banks are safe. Look for the Federal Deposit Insurance Corporation (FDIC) to insure your accounts. Online banks with FDIC insurance have the same protections as banks with branches.
In many ways, online accounts are more secure than classic bank accounts because of online statements and because they focus on virtual transactions instead of paper checks. Avoiding paper statements and checks eliminates a fraud opportunity that many thieves take advantage of.
You can retrieve your bank statements by logging into your account and accessing the statements page on your bank’s website.
Online bank accounts can be blocked for various reasons. Banks can freeze them if credentials, such as a username or password, are entered too often. Accounts can also be blocked if online banking detects suspicious activity, such as fraud or money laundering. In some cases, your account may simply be blocked if you have too many notable debts to your creditors or to the government.
You may not be able to open an online bank account if you don’t have certain required documents, such as a government-issued photo ID, U. S. residential address, and a photo address. U. S. Citizenship, Social Security number, or tax identification number. In addition, your application may be denied. If you have earned too many negative bills, such as overdrafts or bad checks, report it to ChexSystems.
If your online bank has an ATM network that allows coin deposits, you can regularly deposit coins at a network ATM in the same way you would at a classic bank. Some online banks without an ATM network will offer coin deposits at some retailers, this can incur fees of up to $5 or more. Many online banks do not support coin deposits at all, but possibly offer a mobile phone check deposit feature.
Editor-in-chief, Global Data and Automation at Forbes Advisor. Mitch has over a decade of experience as a private finance editor, writer and content strategist. Prior to joining Forbes Advisor, Mitch worked for several sites, adding Bankrate, Investopedia, Interest, PrimeRates, and FlexJobs.
Kat Aoki is a private financier who helps consumers make better decisions about their mortgage loans, credit cards, banking products and more.