Sometimes, however, things don’t go according to plan. If you’ve had a bank account closed in the past because of overdraft fees or a prolonged negative balance, you may not be able to open a new one for up to five years. Fear not; many alternatives to traditional bank accounts will allow you to earn interest on your money.

The Best Alternatives to Traditional Bank Accounts

1. Second Chance Checking Accounts

As companies seek to reach out to unbanked or underbanked Americans, more are offering tempting checking account alternatives. These alternatives often offer many features and low fees, though you’ll want to research so you know exactly what you’re getting into.

Second-chance checking accounts offer all of the features of a traditional bank account but are typically offered by a financial company and not a “bank.” Most do not check your ChexSystems report, which greatly increases your chance of approval.

Chime is an award-winning financial app and debit card offering a terrific online savings and checking account for savers. Using the Chime checkbook feature, you can send checks to anyone you wish, fee-free.

There are no account opening fees or monthly maintenance fees; the only fees you’re likely to incur are ATM fees for using a network other than the Chime network.

Another great benefit of Chime is that you can get paid 2 days earlier with direct deposit. Your money doesn’t get stuck in “electronic limbo,” as Chime puts it. Early access to direct deposit funds depends on the payer.

No credit check is required to open a Chime account. When approved, you’ll have access to a Chime Visa® Credit Card, a Spending Account, and an optional savings account should you need one.

Chime Disclosure – Chime is a financial technology company, not a bank. Banking services and debit cards provided by The Bancorp Bank or Stride Bank, N.A.; Members FDIC.

Read our Chime Review

2. Certificates of Deposit (CDs)

CDs generally pay higher rates than savings accounts. But you might be hesitant to tie up your money in CDs. There is a way around that, using what is known as a CD ladder. That’s a strategy where you use multiple CDs with varying maturities. It’s a way of ensuring some of your money is liquid but still earning higher rates of return.

Let’s use Alliant Credit Union as an example. Their High-Yield CDs are currently offering % APR for 12-month CDs. Now, let’s say you have $30,000 you want to invest. Rather than investing your entire savings in a single CD, you invest 1/12 of your savings each month. That’s $2,500 per certificate.

You invest $2,500 monthly in a 12-month CD, paying about %. After 12 months, your savings of $30,000 are invested in 12 different CDs.

This means one CD will be maturing every month, giving you a strong measure of liquidity. The maturing CD can even be rolled over into a new 12-month certificate. This strategy enables you to take advantage of rising rates in the future.

Still, another variation is to invest in CDs of different maturities. For example, if you want to invest the entire $30,000 in savings today, you could put five equal shares into different CDs with maturities of one year, two years, three years, four years, and five years. You’d be tying up your money longer, but the return will be higher.

• Check out our post How (and Why) to Create a CD Ladder for a deeper look at CD ladders.

3. US Treasury Securities

Most people are at least remotely aware that Treasury securities exist, but very few individuals invest in them. That’s unfortunate because certain U.S. Treasury securities pay high-interest rates. Moreover, since the US government issues them, they’re considered the safest investments, virtually impervious to default.

US treasury securities come in various terms. They can range from 30 days to 52 weeks for treasury bills, two years to 10 years for treasury notes, and 30 years for treasury bonds.

Treasury bills, being short-term, pay lower rates but are still much better than those of traditional banks. But if you’re willing to invest longer, you can get higher returns on treasury notes.

They can be purchased in denominations of as little as $100 and pay interest every six months. Current rates are around 4.98% for two-year notes and about 4.67% for five-year notes. You’ll be tying your money up longer than you would with a savings account, but the higher interest may be well worth it.

You can purchase, hold, and sell US treasury securities through Treasury Direct.

4. High Dividend Stocks

Stocks are, of course, riskier than traditional savings. They’re not suitable if your primary purpose is creating an emergency fund. But if you’re looking for a higher yield on your savings and a chance at price appreciation, there are plenty of good high-dividend stocks.

NASDAQ.com has a list of dividend-paying stocks, and many can have yields over 5%.

Many well-established companies tend to be less volatile than the overall stock market. High dividend yields tend to offer a measure of protection during market declines.

There’s a bonus here, too. If the dividends paid by the company are considered qualified dividends, there may be no tax liability on them.

To start buying dividend stocks (and any other kind of investing in financial markets), we recommend checking out Ally Invest, an online discount broker. They have low fees and no minimum deposit, so it will be simple to get started.

5. Municipal Bonds

Morningstar reports that the average annual return on municipal bond funds is about 3.5% over the past five years. That’s much higher than yields on traditional bank accounts and many of the alternatives in this article.

However, the best part is that the interest paid on municipal bonds is exempt from federal income tax. If your state has an income tax, and the bonds are issued by an agency within your state, the interest will also be exempt from state income tax. This is referred to as double tax-exempt.

Since bonds are tax-exempt, if you have a combined marginal tax rate of 25%, a bond yielding 3% is equivalent to a 4% return on a taxable investment.

Small investors should usually invest in a municipal bond fund. The fund can diversify between various bonds issued and may even be sorted by state to take advantage of double tax-exempt status.

6. High-Yield Bonds

These are long-term securities issued by corporations. They can run for 20 years or more but pay higher interest rates than traditional banks. In fact, according to MorningStar, the average five-year return on high-yield bonds is around 4%.

Individual bonds usually sell in denominations of $1,000. Some may even require a minimum purchase of $10,000 (10 bonds), making it hard for small investors to diversify. A better alternative may be a high-yield bond fund. For example, the iShares 0-5 Year High Yield Corp Bd ETF has a one-year return of about 3.85%, and that fund is comprised of bonds with maturities of not more than five years, making it lower risk than long-term bonds.

7. Real Estate Investment Trusts

Not many people think of real estate when it comes to savings. But there’s a way you can use real estate as a form of high-yield savings. Real estate investment trusts, or REITs, are mutual funds that invest in real estate. It’s primarily commercial real estate, like retail space, office buildings, warehouses, or large apartment complexes.

REITs pay dividends. They’re legally required to pay 90% of their revenues in dividends to their shareholders. Over the years, returns have been generous.

REITs are publicly traded funds that you can buy and sell anytime.

There is some risk of losing invested capital with REITs, so make sure you’re aware of this fact and fully prepared to invest for the long term. But it’s a way of earning high dividend yields without being so dependent upon price fluctuations of the underlying investment.

What If You Want a Savings Account but Cannot Open One?

When you’re denied a bank account, the first step is to find out why. Under the Fair Credit Reporting Act, banks must explain why they deny accounts.

The most likely reason to be denied an account is that you’ve got an outstanding debt with a bank – often because of unpaid bank fees. But you may also be denied because of a history of frequent overdrafts. Just ask the bank that has denied you exactly what the issue is.

Your next step is likely to check out your ChexSystems report, which you can access at ConsumerDebit.com. Like your credit reports, you can get one free copy of your ChexSystems report every twelve months. The report will show which bank or banks have reported you and why.

If you owe bank money according to your ChexSystems report, you’ll need to either negotiate with the bank you owe to pay off the debt or dispute the report as inaccurate.

If you pay off your debt with a bank, they’ll have to report the account as paid to ChexSystems, which may help your case next time you apply for an account. You can talk to the reporting bank if the report is wrong. If they refuse to deal with the matter, dispute the information with ChexSystems, who is required by law to investigate the claim.

It can take months—or even years—to clean up your ChexSystems report. In the meantime, you may need to take advantage of other bank account options to pay your mortgage on time and avoid hefty transfers or cashier’s check fees.

Using a Tiered Savings Strategy to Get High Yields with Low Risk

If you’re unhappy with the returns you’re getting on your savings, consider setting up a tiered savings plan that looks something like this:

• An emergency fund in a second-chance checking account with a strong APY.
• Excess amounts are invested in high-yield, low-risk investments, like US treasury notes, bond funds, and high-dividend stocks.
• A smaller amount is invested in either REITs or P2P lending platforms to increase your overall savings yield.

That kind of savings portfolio will keep your money relatively safe and allow you to earn much more than a traditional bank account.

A Final Thought on Savings Alternatives to Traditional Bank Accounts

Owning a traditional savings and checking account is critical for managing a successful financial portfolio. In today’s atmosphere, many online savings accounts offer high interest rates with no risk, so if you cannot open one, figure out what you need to do to fix the problem.

In the interim, and in addition to owning a traditional bank account, utilize some or all of the alternatives above to maximize your returns on low-risk investments. The worst thing you can do when rates and inflation are high is park your cash somewhere while earning no rate of return.

The post 7 Savings Alternatives to Traditional Bank Accounts appeared first on Doughroller.

Our list of highest interest rates for savings, CDs, and checking accounts focuses on financial institutions that have low fees, and high rates and are typically available anywhere in the U.S. While we update this page monthly, rates change often so you’ll want to confirm rates with the bank or credit union.

Best Interest Rates for April 2024

Savings Accounts

The rates listed in the table below represent some of the highest rates on a nationally available savings account. We’ve included a variety of options from small to large banks. Online banks offer the highest rates on savings accounts so you’ll find they make up the majority of our list. Not only are these savings rates high, but we also included these accounts because they have little to no minimum opening deposit requirements.

Check out our full list of Best Savings Accounts Rates here.

CD Rates

Our list of best CD rates includes a variety of terms from banks and credit unions. The credit unions we include offer easy membership for everyone to join. Keep in mind that penalties may apply if you close the CD before the end of the term unless it’s a no-penalty CD.

See our lists of CD rates by term here.

Checking Accounts

Most checking accounts don’t pay interest. For online banks, however, you’ll find plenty of options where you can earn some interest on your funds. There are a couple of things to keep in mind:

• Some banks offer higher interest rates only if you keep a lot of money in your checking account or reach specific spending requirements.
• The rates for checking accounts are lower than many savings accounts or CDs.

Some top-paying accounts include:

Fierce

Right now, everyone who opens a Fierce checking account will earn a yield of % on their cash. There is no minimum deposit requirement, no monthly fees and your money is FDIC insured up to the maximum.

All Fierce checking account holders will receive a Mastercard debit card where they can withdraw funds from more than 55,000 ATMs at no charge. Should you be looking for a larger return, you can always use the Fierce App to trade stocks as well (even fractional shares).

Wealthfront Cash Account

Wealthfront is not a bank but they do partner with banks to offer FDIC-insured accounts. You can earn % APY with a Wealthfront Cash Account. There’s no minimum balance to earn that rate and no monthly account fees.

Consumers Credit Union Rewards Checking

If you use a debit card often, you might consider opening a checking account with Consumers Credit Union. When you make at least 12 qualifying debit card purchases every month, enroll in e-statements, and receive a minimum direct deposit of $500 a month, you can earn a rate of 3.00% APY. If you reach the monthly spending requirements, you can earn an even higher APY, up to 5.00%. Membership is easy to get by paying a one-time $5 fee to the Consumers Cooperative Association.

Ally Bank Spending Account

For those with at least $15,000, you can earn % APY from Ally Bank. Balances less than $15k can earn 0.10% APY. Ally Bank is a popular online bank and we also like that there are no monthly maintenance fees for this account.

Bonus: I also keep a running list of popular checking account promotions you can check out.

Credit Cards

When you’re looking for a credit card with the best interest rate, you want to look for one that offers 0% APR. The longest 0% introductory period stands at 21 months for purchases and balance transfers. You can find a current list of the best 0% credit card offers here.

How To Get the Best Interest Rates

The easiest way to get the best interest rates is to have good or great credit. If you’re getting a credit card, for example, it’s one of the primary determining factors in your interest rate. If your credit is less than great, you can work on improving your rating.

Read More: 11 Simple Ways to Improve Your Credit Score Today

Another factor is your current debt level. If you have a lot of debt, you may not get preferred interest rates on things like credit cards since you’re considered a higher risk. Higher debt levels also negatively impact your credit, so it’s best to pay your debt off as quickly as possible to get the best rates.

Related: 23 Powerful Tips and Tools to Eliminate Debt

Finally, how much money you have to “put down” can make a difference. In the case of a mortgage, having a sizable down payment (of at least 20%) can help to ensure you get the best rates possible. And with some CDs or high-yield savings accounts, having more money to put into those can typically get you a better interest rate.

How Do Interest Rates Work?

Interest rates are determined, at least in part, by the federal funds rate set by the Federal Reserve. The federal funds rate is the rate banks charge each other for lending money overnight. Most recently, as mentioned before, the Fed raised its interest rate in July 2023 to a range of 5.25% – 5.50%.

As this rate goes up or down, so do the rates you’re charged for borrowing money and the rates you get for loaning or depositing money. When the economy is strong, the Fed will tend to raise the federal funds rate. Because of that, banks can usually offer a higher interest rate on products like CDs and savings accounts.

Things To Consider When Choosing an Interest-Bearing Account

The main thing to consider when choosing an interest-bearing account is that your rate may fluctuate depending on the product. When you choose a CD, for example, your rate is locked for that term.

That’s why it makes a lot of sense to lock in a good CD rate when you can find one. Alternatively, it might make sense to find somewhere else to put your money when CD rates are low since your money will be locked into that rate.

When choosing a high-yield savings account, it’s good to be mindful of rates fluctuating. For instance, before COVID-19, rates were generally pretty high. Then suddenly, they started dropping like flies, and what was once a good APY on a savings account suddenly became almost nothing.

That’s to be expected. Rates will fluctuate with savings accounts, so be prepared for that if and when it happens.

Are There Any Risks?

There aren’t many risks with interest rates, except that you might miss out on better ones. For example, if you lock in a new rate on a mortgage, you might miss out if rates drop even further. Or, if you lock in your money with a CD, you might miss out on rates going upward.

The risks are minimal unless, of course, there were a major upward swing in interest rates on something like a mortgage. If you have an adjustable-rate mortgage (ARM), you’ll be subject to whatever the new rates are, which will impact your payment.

Overall, the best thing to do is keep a pulse on the economy and how the federal funds rate is trending. I also find it useful to listen to the meeting minutes and any significant quotes that come out of the Fed meetings. This way, you can get a sense of how they’re feeling about the economy.

Frequently Asked Questions (FAQ)

Final Words

Finding the best interest rates is a combination of timing, good credit, and having money available. You can’t control the first one, but the latter two you can. Regardless of where you stand today, it’s always smart to work on improving your credit and paying down your debt. Then when the time is right, you’ll be in the best position possible to get the best interest rates available.

The post The Highest Interest Rates for April 2024 appeared first on Doughroller.

After running through the various options in my head, I remembered something about my parents’ portfolio. My extremely risk-averse parents continue to keep nearly all of their money in a local savings account that earns a robust 0.05% APY. The most reasonable answer was, “Dad, roll your pension over to an IRA CD.”

What is an IRA CD?

An IRA CD is a certificate of deposit that is inside an IRA. A CD works like a savings account except that the money in the CD is locked up for the term of the CD in exchange for a higher interest rate. If you withdraw the money early you may pay a penalty that equals a predetermined amount of interest. For example, on a one-year CD, you typically pay three months of interest for withdrawing funds before the year is up.

You can buy CDs inside your IRA, which makes them IRA CDs. For CDs outside an IRA, here are the best rates.

The drawback of CDs is the penalty for early withdrawal. Since you’ll be buying them in your IRA, you likely have a much better idea of when you’ll need the money than, say, if you were using CDs in your emergency fund. With current interest rates, you can earn 5% or more guaranteed on your money. That’s not too bad.

The Best IRA CD Rates

What follows are some of the best IRA CD rates we could find. Keep in mind that the APY on a CD can change frequently, so be sure to confirm the rate with the bank before investing your money.

We’ll begin the list with a big-name bank, Discover, followed by popular online banks, Ally and Synchrony. From there, you’ll find the highest rates available as of April 1, 2024.

Discover® Bank

Discover Bank is the most recognizable name on our list and for many people that’s important. Choosing a bank that’s been around for decades can help people trust that their money is safe. The IRA CD rates here may not be the highest but they are certainly competitive. CDs are FDIC-insured.

Here’s a list of notable IRA CD rates from Discover:

• 9-month CD – % APY
• 12-month CD – % APY
• 18-month CD – % APY
• 24-month CD – % APY
• 30-month CD – % APY
• 3-year CD – % APY
• 4-year CD – % APY
• 5-year CD – % APY

Ally Bank

Ally is a well-known online bank offering high-yield savings products including competitive rates on IRA CDs. CD terms range from 3 months to 5 years and there’s no minimum deposit to open an account. Accounts are FDIC-insured. Here are the highest IRA CD rates at Ally:

• 9-month CD – % APY
• 12-month CD – % APY
• 18-month CD – % APY
• 3-year CD – % APY
• 5-year CD – % APY

Synchrony Bank

Synchrony Bank is an online bank offering several IRA CD terms from 3 months to 60 months. There’s no minimum deposit needed to open an account. However, you can’t open an account online, instead, you’ll need to call Synchrony. You can find the number to call on Synchrony’s website. Accounts are FDIC-insured. Here’s a peek at some of the highest IRA CD rates from Synchrony:

• 6-month – % APY
• 9-month – % APY
• 12-month – % APY
• 15-month – % APY
• 24-month – % APY

Bellco Credit Union

Bellco Credit Union offers easy membership for anyone. You can join the Bellco Foundation with a minimum donation of $10. From there, you can access IRA CDs and other financial products including checking, savings accounts, and credit cards. Bellco offers a great rate for a 12-month CD at % APY. The minimum deposit is $500. CDs are NCUA-insured.

USAlliance Financial

USAlliance Financial is a credit union offering an easy way to join. You can become a member of the American Consumer Council with an $8 donation and then join USAlliance. You’ll find the best rate for a 12-month CD at USAlliance at % APY. You’ll also find the best rate for an 18-month CD here at % APY. The minimum deposit for both CDs is $500. CDs are NCIA-insured.

Department of Commerce FCU

The Department of Commerce Federal Credit Union also offers easy membership through the American Consumer Council with an $8 donation. The Department of Commerce FCU provides the best rate for a 12-month to 23-month IRA CD at 5.02% APY. The minimum deposit is $500 and accounts are NCUA-insured.

United States Senate FCU

The United States Senate Federal Credit Union also offers membership through the American Consumer Council. You can even use a promo code found here to waive the $8 ACC membership fee. The United States Senate FCU offers the best rate for a 3-year CD at 4.08% APY with a $1,000 minimum deposit. Accounts are NCUA-insured.

GTE Financial

Membership to GTE Financial is open to anyone who joins their CU Savers educational financial club with a $10 membership fee. You’ll find their best rate is for a 12-month CD at 5.12% APY at GTE Financial. The minimum deposit is $500 and accounts are NCUA-insured.

Northwest FCU

Northwest Federal Credit Union offers easy membership through one of many community organizations. When you sign up online you can choose an organization to join, for example, The Humane Society of the United States. Northwest FCU offers the highest rate on a 5-year CD at 4.85% APY. The minimum deposit is $1,000 and accounts are NCUA-insured.

Pros and Cons of an IRA CD

Pros

• Guaranteed interest
• No risk of market losses

Cons

• May earn less than the stock market, especially over long periods.
• Funds are tied up for the full CD term
• Early withdrawal penalties

How to Open an IRA CD

To open an IRA CD you will first have to open an IRA at the bank or credit union where you will be buying the CD. For example, let’s say you are going to buy a CD from USAlliance Financial. First, you would open an IRA at USAlliance (either traditional or Roth) and fund that IRA account.

You could fund it with the cash you have on hand (up to annual contribution limits) or roll over some money from an existing IRA. Note that there may be tax consequences if you move money from a Roth to a traditional IRA and vice versa.

Once your money is in an IRA at your desired bank you can use it to purchase a CD. Not all banks allow CD purchases inside an IRA so if you aren’t using a bank from this list be sure to ask before moving your money.

Read the terms carefully before you commit to a CD. Remember your funds will be held for the entire CD term. Choose a term you are comfortable with and know the early withdrawal penalty.

Is an IRA CD Tax Deductible?

A Roth IRA is not tax deductible. Any money you contribute is taxed when it’s earned but then grows tax-free. You do not pay taxes when you withdraw from a Roth IRA in retirement.

A traditional IRA works differently. With a traditional IRA, the money you contribute is tax deductible and it grows tax deferred. When you withdraw from a traditional IRA in retirement you’ll pay taxes on that amount. There are income limits for the deductibility and limitations on the contributions to IRAs of either type.

Are IRA CDs FDIC Insured?

All the banks and credit unions on this list provide FDIC or NCUA insurance. If the bank or credit union goes bankrupt the insurance will give you your money back. It is protected up to $250,000 per depositor at the institution.

Keep in mind, that if you have more than one account at the institution, the maximum amount you’re covered for is $250,000, even if your accounts total more than that. However, if you have IRA CDs at two different institutions that provide FDIC or NCUA insurance, you’ll be covered up to $250,000 at each institution.

The Bottom Line

If you are looking for a safe investment with a guaranteed rate of return, CDs might be just the thing. They earn competitive interest rates compared to regular savings accounts and, like a savings account, are insured.

While your long-term savings should likely be invested in the stock market, CDs provide a safe place to store some money that you will want access to over the shorter term.

The post Best IRA CD Rates for April 2024 appeared first on Doughroller.

In college it’s a different ballgame: 23 percent of full-time undergraduate students work 20 or more hours a week, and most college students work at least a few hours a week. Rather than blowing your hard-earned cash, you may need to save some of it for tuition, books, and other college-related expenses.

The best way to do that is to make sure you choose the banking solution that’s right for you. That’s exactly what my wife and I are helping our daughter do as she prepares to attend college this fall.

Based on our research, here are the main banking options for college students, along with some of the good and bad things about them.

How to Pick the Best Bank Option for College Students

Before a close friend’s daughter went off to college for the first time, it dawned on him that she needed to set up a checking account. She hadn’t needed it through high school because she didn’t have a job. She used my friend’s bank account to cash checks, and she kept her cash in her room.

Rather than trying to make sense of the many banking options that she could have used, my friend started with a simple list of requirements that narrowed the field:

• On-campus ATMs so that she can get cash any time she needs it.
• No fees for ATM use.
• Debit card so she doesn’t need lots of cash.
• Not a credit card, so she can’t get in trouble for overspending.
• Online banking to access the account.
• Electronic fund transfer so I can send her money with little fuss.

This is a sound list to consider as you choose the right student banking option.

College Student Banking Options

The banking options are endless. Nearly all large banks offer student-specific solutions alongside their more traditional options. Here’s a quick breakdown of the main options available to students:

Capital One 360 MONEY Account

I’ll start with the option our daughter will be using this fall as she goes off to college. Described as a teen checking account, the Capital One MONEY account is ideal for college students. Both of our children have used the MONEY account since Capital One 360 bought out ING Direct, and it has been an excellent tool to teach them financial responsibility.

Pros and Cons of Capital One 360 MONEY Account

*The one negative listed above requires some explanation. Capital One bought out ING Direct to form Capital One 360. Capital One and Capital One 360, however, are technically two separate banks. I think the time will come when checks can be deposited at Capital One branches, but I know from personal experience that it’s not possible at the moment. The good news is that you can deposit checks with your smartphone, which is what we do. You can also set up direct deposit.

School Bank Card

Many colleges and universities in the U.S. have debit card relationships with banks and other financial institutions. Sometimes these debit cards look like regular debit cards, and they may include your school’s logo. Or your school may turn your student ID into a debit card.

While these debit cards are convenient — you can often load your student loan disbursements directly onto them — they aren’t usually the best option. Many of these cards charge hidden fees, such as a $36 per overdraft fee.

So don’t just accept your school’s debit card arrangement. Instead, read the fine print and shop around before using one of these cards.

Pros and Cons of School Bank Card

Traditional Checking Account (National Bank)

Many large banks, like Citi and Wells Fargo, offer checking account options made just for college students. These accounts may offer lower fees than traditional banking accounts through these same banks.

Wells Fargo has a similar option, which waives the typical $3 per month service fee to students who link the account to a Wells Fargo Campus ATM, maintain a daily balance of at least $500, or post direct deposits of at least $25.

Such affordable options are great for college students, who need to make the most of every dollar. Still, large for-profit banks may charge higher fees on other things, such as overdrawing a checking account or getting money out of a different ATM.

Nevertheless, this is the option we’ll choose for our daughter. She already has the MONEY account from Capital One 360, which as noted above is an ideal choice for college students.

Here are some other options to consider:

• TD Bank Convenience Checking
• USAA Classic Checking
• BOA Student Checking
• Wells Fargo Clear Access Banking℠

Pros and Cons of Traditional Checking Account at a National Bank

Traditional Checking Account (Local Credit Union)

Smaller local credit unions often offer accounts similar to the large banks and may have student checking options. The difference is that credit unions often come with lower fees for everything from ATM withdrawals to overdrafts.

Also, credit unions are often known for their more personable feel. Because they’re smaller institutions, they may cut you some slack if you have financial troubles.

Plus, building a relationship with a credit union now could help you later if you need a loan. Credit union lending requirements tend to be less restrictive, so you may be able to get a loan even without stellar credit.

On the flip side, credit unions are harder to access because they don’t have as many branches or ATMs (though many reimburse or don’t charge ATM fees). However, more credit unions are offering online banking to help negate this issue.

Pros and Cons of Traditional Checking Accounts at Local Credit Union

Prepaid Card

Prepaid cards can be a way to bank without a bank. These cards, which look and spend like credit or debit cards, allow you to load cash and spend it as needed. Most allow for direct deposit of your paychecks, which can make them more convenient.

Prepaid cards can be quite convenient for college students. In fact, some colleges’ student IDs double as prepaid cards (rather than debit cards). These cards can also be a good way to force yourself to stick to a budget because you can’t spend more than is available on the card.

Prepaid cards, unlike credit cards, don’t charge interest (because you’re not going into debt) and don’t require a credit check.

On the other hand, prepaid cards can come with some pretty high fees. Some have high opening fees, monthly maintenance fees, and fees for loading the card. So you must do your research to find the best prepaid card options before you decide which card to use.

Also, if your parents are giving you some spending money for school, prepaid cards can be helpful. Some offer the option for parents to load money onto the card for the student to spend.

Pros and Cons of Prepaid Card

Credit Card

While you don’t want to run up a bunch of credit card debt, when used wisely credit cards can be a decent option for college students. New credit card rules mean that some cards come with longer zero-percent APR promotional periods and better rewards.

If you don’t have much of a credit history, you may need to apply for a specialized student credit card. Since cards like this are designed for students, they don’t require a high credit score to get.

Credit cards can help you build your credit history, as long as you use them well. Some give you free access to your monthly credit score so that you can track your score.

Pros and Cons of Credit Card

Using Parents’ Account

If you can’t get an account on your own — or if you mostly rely on your parents to fund your school-related costs, anyway — you may become an add-on to your parents’ accounts. In fact, if you’re applying for any sort of credit, you may need to have your parents apply as co-signors so that you can leverage their credit history.

It’s usually easy to get a credit card issued to you from your parent’s account, but you will need to be careful of your spending. After all, your parents will ultimately be responsible for your spending, and you don’t want to take advantage of them.

You may also be able to use your parents’ checking account, or a secondary checking account set up with your name on it, for your banking needs. This can be helpful if your parents want to transfer a set amount of money to you each month, especially if they can link the secondary account to a savings or primary checking account.

Bottom Line – Which Is Best for You?

Now that we’ve laid out the basic banking options for college students, it’s up to you to decide which is best for you. If you’re like many students, your best bet is probably a combination.

For instance, if you want to develop good spending habits but also need to save money, consider a checking account and a prepaid card. Deposit your checks into the checking account, and then transfer a small, set amount of cash to your prepaid card to spend.

As long as you don’t otherwise touch your checking account, you won’t overspend, and you’ll have some money stashed away for larger school expenses.

One thing to note: if you have any money to save, open a savings account. Set aside money to pay down student loans, buy your first home, or just for an emergency. You’ll be glad you did.

The post Best Student Checking Accounts and Banking Options appeared first on Doughroller.

For those that pay interest, online banks can generally beat traditional financial institutions big or small with higher rates because of lower costs. Online banks don’t need to maintain an expensive network of branches, and they can pass those savings on to consumers in the form of higher interest rates and lower fees.

To give you an idea of what’s available, I’ve put together this list of free and low-cost online checking accounts. I’ll be adding to the list as interesting offers become available. What I like about these options, however, is the diversity of what is offered.

Note that all of the online checking accounts listed below are FDIC-insured up to $250,000 per depositor / per account.

Best Free Checking Accounts

1. Wealthfront Cash Account

The Wealthfront Cash Account is an online checking account that offers a robust % APY on all balances. There are zero account fees to worry about and you can make unlimited transfers and withdrawals. Account owners that set up direct deposit will get paid up to 2 days faster than at traditional banks.

Wealthfront also offers up to $5MM in FDIC insurance through partner banks and charges just $10 for any wire transfers out of the account. You’ll receive a Wealthfront Cash Account debit card after approval and ATM withdrawals at more than 19,000 locations are free of charge (out-of-network ATMs will incur a fee).

And if you’re interested in investing, Wealthfront is best known for their robo advisor which offers a $50 bonus after you fund your account and a very low management fee.

2. BMO Smart Advantage Checking

Largely known for its presence in the mid-west, BMO Harris has a suite of online checking products that are quite attractive. Their best is the BMO Smart Advantage Checking account which offers a $ bonus after you’ve made $4,000 in direct deposits within the first 90 days.

There is no minimum balance to open an account and there are no monthly maintenance fees. ATM withdrawals are free when you’re in network ($3 when you’re out of network) and while there’s a $15 overdraft charge, overdraft protection is available at no additional cost.

The BMO Smart Advantage Checking account is one of three accounts the brand offers; the other two are equally appealing:

• BMO Smart Money Checking – Same $ bonus w/ same direct deposit terms but no overdraft fees. There is a monthly maintenance fee if you’re over the age of 25.
• BMO Relationship Checking – $ cash bonus when you make more than $7,500 in direct deposits within the first 90 days. They offer Silver, Gold, Platinum, and Premier accounts with different perks and different fee structures.

The BMO bonuses expire .

3. TD Bank Beyond Checking

TD Bank is the first of the old-school brick-and-mortar banks to make our best free checking accounts list. The TD Bank Beyond Checking account currently offers a $ bonus after setting up $2,500 worth of qualifying direct deposits within the first 60 days of account opening. The bonus expires .

There is a rather unpleasant monthly maintenance fee of $25 that can be waived if one of the three following conditions are met:

1. $5,000 or more in monthly direct deposits
2. $2,500 average daily balance
3. $25,000 or more combined in all eligible TD accounts.

ATM fees are waived for all TD Bank Beyond Checking accountholders and overdraft fees are automatically refunded up to two times a year. Owning this account will also allow you to waive monthly maintenance fees on any linked TD personal savings account.

4. Betterment Cash Reserve

Wait – what? Betterment is a robo-advisor, right? Yep. They are. But they’re not JUST a robo-advisor. Betterment can serve all of your financial needs with the Betterment Cash Reserve account which currently offers a % APY. The regular rate is 5.00% APY but as a bonus, all new customers will earn a 0.50% APY boost for the first three months bringing the APY to %.

Betterment Cash Reserve is a mobile-first checking account that gives you a sleek, blue debit card with tap-to-pay capability (meaning, it’s contactless wherever merchants accept that payment form). Also, the account is FDIC-insured for up to $2MM and there are no fees. Betterment reimburses ATM fees and foreign transaction fees, and there’s no account minimum and you’ll never pay an overdraft fee.

Plus, the mobile app is really nice — it’s clean and easy to use, and you can easily deposit paper checks by snapping a picture, too. While it may be unconventional for your broker to give you a checking account, this one hits the mark on a lot of fronts and we highly recommend it.

5. Chase Total Checking®

Chase Total Checking® offers new account holders a $ bonus. To receive the $ checking bonus you need to open a new account and set up a direct deposit within 90 days.

There is a $12 monthly service fee associated with the account, but the fee can easily be waived if you meet one of the three following criteria:

• Make direct deposits of $500 or more each month.
• Maintaining a daily balance of $1,500 or more.
• Keep a balance of $5,000 or more when you link other qualifying Chase balances (like other checking or savings products).

Chase is one of just two brick-and-mortar brands that made our list of best free checking accounts which means you’ll have access to your cash and in-person support almost anywhere in the county. The $ upfront bonus w/ simple qualifying activities makes it a strong choice. The bonus expires .

Read our Chase Total Checking® Review

6. Discover Cashback Debit Account

The Discover® Cashback Debit Account is different from anything we’ve seen from the company in the past. Known as Cashback Debit, Discover provides you with a debit card that lets you earn 1% cashback for your spending. It works in the same way as a credit card, with the only difference being that purchases are deducted from your checking account.

With no balance requirements or monthly fees, there’s no stress associated with a Discover Cashback Debit bank account. Say goodbye to ATM fees (free withdrawals at more than 60,000 ATMs), insufficient funds fees, and online bill pay fees among others.

The amount of cashback you can earn is capped at $30 per month / $360 per year.

Read our Discover Cashback Debit Account Review

7. Fifth Third Momentum Checking

Fifth Third Momentum Checking offers new customers a $325 bonus after making $ in direct deposits within the first 90 days of account opening. The bonus expires . Fifth Third allows fee-free ATM withdrawals at more than 40,000 ATMs nationwide and charges no monthly service fee.

Fifth Third offers a service called “Extra Time” that allows you to cover any overdraft before a fee is assessed to the account and they also allow you a cash advance on your next direct deposit using “MyAdvance”. There is no minimum balance to open an account and the Fifth Third Momentum Checking account offers unlimited check writing and receipt of your direct deposit up to 2 days faster.

8. mph.Bank Free Checking

With an mph.Bank Free Checking account, you’ll have access to a contactless debit card that has access to more than 55,000 AllPoint ATMs, fee-free. This account does not charge a monthly fee, overdraft fee, non-sufficient funds fee, or really any kind of fee.

mph.Bank Free Checking has a 1.00% APY and requires a $500 direct deposit each month. The app offers a personalized dashboard that can quickly show you how to set up round-ups to start saving and how to make P2P payments using Zelle. When you set up your direct deposit, you’ll be paid up to 2 days early.

9. Upgrade Rewards Checking Plus

Upgrade Rewards Checking Plus is one of a few dozen financial products Upgrade offers and it has a pretty strong set of perks and features. Active accounts will earn 2% cash back on common everyday expenses when $1,000 in direct deposits hits the account every month and 1% cash back is earned on all other purchases.

The account comes with no monthly fees and no overdraft fees and you’ll be reimbursed for ATM fees so long as the account is active. Like a few other accounts on our list, customers who set up direct deposit can get paid up to two days early.

Upgrade also offers personal loans, credit cards, and a savings account with a particularly juicy APY of % (balances of $1,000 or more). All of these products are connected through the Upgrade app which offers contactless payments for in-store purchases.

10. Chime Checking Account

The Chime Checking Account is not your ordinary online checking account. Through its award-winning financial app and debit card, it provides a broad range of services including a Spending Account, a Credit Builder Account, and a Savings Account.

When you receive your Chime Visa® Debit Card, purchases you make with the card can be rounded up using their “Round Up” feature and the money will go right into your savings. And right now, Chime is paying a % APY on its savings product.

The Chime Checking Account has no monthly account minimums and no maintenance fees. There are no membership fees and no ATM fees so long as the ATM is in-network. Out-of-network ATMs will be assessed a fee.

• There is no minimum deposit to open an account.
• No overdraft fees and get paid up to 2 days early with direct deposit.
• Physical checks are OK. In fact, Chime has something called the “Chime Checkbook” where they will mail a physical check to whomever you desire, free of charge.

Read our Chime® Review

11. Capital One MONEY Teen Checking

The Capital One TEEN Money Checking Account is perfect to get your kids prepared for financial independence. Parents can control spending limits, deposit funds (like allowances), and track activity while teens will have the freedom to use their funds anywhere.

There are no monthly maintenance fees and every account will receive a debit card. Parents do not need to have their own Capital One account to deposit money as external accounts can be set up. Teens can even gain experience writing checks. And if you want to get a head start, the age minimum for signing up is just eight years old.

After your teen has a firm grasp on spending, Capital One has a wide variety of credit cards and deposit accounts available to earn rewards and high APYs.

Complete List of Checking Accounts

Citibank
Citi Priority Account

Monthly Fee
$30

APY
0.10%

Min. Dep.
$0

Bonus
$2500

Details

Expires: 07/08/2024

Requirements: Open a Citi Priority Checking Account from 1/10/24 through 07/08/2024 and earn a cash bonus of $500, $1,500 or $2,500 when you complete required activities. To unlock your bonus, deposit qualifying funds within 20 days of account opening and maintain your balance for an additional 60 days starting at the 21st day. Only new checking customers can take advantage of this offer.

Bonus Tiers

• $500: Minimum Deposit of $30,000
• $1,500: Minimum Deposit of $200,000
• $2,500: Minimum Deposit of $300,000

How to Waive Monthly Fee: $30 or $0 when you maintain a combined average monthly balance of $30,000+ in eligible linked deposit, retirement and investment accounts.

Bank of America
Advantage Relationship Checking

Monthly Fee
$25

APY
%

Min. Dep.
$100

Bonus
$200

Details

Expires: 05/31/2024

Requirements: To enroll in this offer, open a new Bank of America personal checking account through this offer page by 05/31/2024. Set up and receive Qualifying Direct Deposits totaling $2,000 or more into that account within 90 days of account opening. This offer is limited to new Bank of America personal checking account customers only. Use offer code TWT200CIS when opening your new account to enroll in this offer.

How to Waive Monthly Fee: You can avoid the Monthly Maintenance Fee if you maintain a minimum daily balance of $20,000 or more in your Advantage Relationship Banking account during each statement cycle.

PNC Bank
Virtual Wallet with Performance Select

Monthly Fee
$25

APY
%

Min. Dep.
$25

Bonus
$400

Details

Expires: 07/01/2024

Requirements: To qualify for the reward, the new Virtual Wallet product must be opened online via the application links on this page from 09/01/2023 through 07/01/2024, and a qualifying Direct deposit(s) must be received within the first 60 days. Your Virtual Wallet product must remain open in order for you to receive the reward, which will be credited to the eligible account within 60–90 days after all conditions have been met and will be identified as Credits Check Reward on your monthly statement.

How to Waive Monthly Fee: $0 monthly fee with $5,000+ in direct deposits to your Spend or a combined balance between checking accounts.

TD Bank
TD Beyond Checking

Monthly Fee
$25

APY
%

Min. Dep.
$0

Bonus
$300

Details

Expires: 07/31/2024

Requirements: To receive the $300 Checking bonus, you must: 1) Open a new TD Beyond Checking account; AND 2) Have your direct deposits totaling $2,500 or more made into this account within 60 calendar days of the account opening date.

How to Waive Monthly Fee:

• Set up direct deposits of $5,000 or more within a statement cycle, or
• Maintain a $2,500 minimum daily balance, or
• Have a $25,000 combined balance across eligible TD accounts.

 

BMO
Relationship Checking Account

Monthly Fee
$25

APY
%

Min. Dep.
$0

Bonus
$400

Details

Expires: 05/03/2024

Requirements: Get a $400 cash bonus when you have a total of at least $7,500 in qualifying direct deposits within the first 90 days.

How to Waive Monthly Fee: Waive the $25 monthly maintenance fee if you meet any of the following requirements:

• The minimum daily Ledger Balance in your account is $10,000 or more for the previous calendar month.
• You have a Monthly Combined Balance of $25,000 for the previous calendar month.
• You’re a client of our employee benefits program, Best of BMO U.S., and have requested the waiver from your BMO Banker.

Huntington Bank
Platinum Perks Checking

Monthly Fee
$25

APY
0.03%

Min. Dep.
-

Bonus
$600

Details

Expires: 10/07/2024

Requirements: Earn $600 when you make minimum deposits of $25,000 into the new Platinum Perks checking account within 90 days of coupon enrollment and keep account open for 90 days.

How to Waive Monthly Fee: No monthly maintenance fee with $25,000 in total relationship balances, otherwise $25 a month.

 

PNC Bank
Virtual Wallet with Performance Spend

Monthly Fee
$15

APY
%

Min. Dep.
$25

Bonus
$200

Details

Expires: 07/01/2024

Requirements: To qualify for the reward, the new Virtual Wallet product must be opened online via the application links on this page from 09/01/2023 through 07/01/2024, and a qualifying Direct deposit(s) must be received within the first 60 days. Your Virtual Wallet product must remain open in order for you to receive the reward, which will be credited to the eligible account within 60–90 days after all conditions have been met and will be identified as Credits Check Reward on your monthly statement.

How to Waive Monthly Fee: $0 monthly fee with $2,000+ in direct deposits to your Spend or a combined balance between checking accounts.

TD Bank
TD Complete Checking

Monthly Fee
$15

APY
%

Min. Dep.
-

Bonus
$200

Details

Expires: 07/31/2024

Requirements: To receive the $200 Checking bonus, you must: 1) Open a new TD Complete Checking account; AND 2) Have your direct deposits totaling $500 or more made into this account within 60 calendar days of the account opening date.

How to Waive Monthly Fee:

1. Have $500 or more in direct deposits within a statement cycle, OR
2. Maintain a minimum daily balance of $500, OR
3. Have a $5,000 minimum daily combined balance across eligible TD accounts that you choose to link

Bank of America
Advantage Plus Checking

Monthly Fee
$12

APY
%

Min. Dep.
$100

Bonus
$200

Details

Expires: 05/31/2024

Requirements: To enroll in this offer, open a new Bank of America personal checking account through this offer page by 05/31/2024. Set up and receive Qualifying Direct Deposits totaling $2,000 or more into that account within 90 days of account opening. This offer is limited to new Bank of America personal checking account customers only. Use offer code TWT200CIS when opening your new account to enroll in this offer.

How to Waive Monthly Fee: No monthly maintenance fee for each statement cycle that you:

• Have at least one qualifying direct deposit of $250.
• Or, maintain a minimum daily balance of $1,500 or more.
• Preferred Rewards clients get this fee waived (waiver applies to first 4 checking accounts).

Truist
One Checking

Monthly Fee
$12

APY
%

Min. Dep.
$0

Bonus
$400

Details

Expires: 10/30/2024

Requirements: As a new personal checking customer, open a new Truist One Checking account online from February 28, 2024 through 10/30/2024 using promo code TRUIST400AFL24. Receive at least one qualifying Direct Deposit of $500 or more AND complete at least 15 qualifying debit card purchases within 90 days of account opening. All debit purchases must be posted to your account to qualify.

How to Waive the Monthly Fee: There are five ways to waive the fee listed below.

• Making $500 or more in total qualifying Direct Deposits per statement cycle.
• Maintaining a total combined ledger balance of $500 or more in any Truist related accounts across personal deposits and all investments as reflected on the business day before your statement cycle end date.
• Having a personal Truist credit card, mortgage or consumer loan, excluding LightStream®.
• Having a linked Small Business Checking Account.
• Maintenance fees waived for students under the age of 25.

JPMorgan Chase Bank, N.A.
Total Checking

Monthly Fee
$12

APY
%

Min. Dep.
$0

Bonus
$300

Details

Expires: 07/24/2024

Requirements:

1. Open a new Chase Total Checking account, which is subject to approval
2. And have your direct deposit of $500 or more made to this account within 90 days of coupon enrollment. Your direct deposit needs to be an electronic deposit of your paycheck, pension or government benefits (such as Social Security) from your employer or the government.

How to Waive Monthly Fee: $12 Monthly Service Fee OR $0 with one of the following, each monthly statement period:

• Electronic deposits made into this account totaling $500 or more, such as payments from payroll providers or government benefit providers, by using (i) the ACH network, (ii) the Real Time Payment network, or (iii) third party services that facilitate payments to your debit card using the Visa^® or Mastercard^® network,
• OR a balance at the beginning of each day of $1,500 or more in this account,
• OR an average beginning day balance of $5,000 or more in any combination of this account and linked qualifying Chase checking, savings, and other balances

FitnessBank
Elite Checking Account

Monthly Fee
$10

APY
6.00%

Min. Dep.
$100

Bonus
-

Details

Wells Fargo
Everyday Checking

Monthly Fee
$10

APY
%

Min. Dep.
$25

Bonus
$300

Details

Expires: 09/25/2024

Requirements:

1. Open a new Everyday Checking account with a minimum opening deposit of $25, by 09/25/2024. Or open a new eligible checking account at a Wells Fargo branch with a minimum opening deposit of $25 by 09/25/2024. You must provide the bonus offer code to the banker at the time of account opening.
2. Receive a total of $1,000 or more in qualifying electronic deposits to your new checking account within 90 calendar days of account opening (the qualification period).
3. Once the 90-day qualification period has elapsed, we will determine if you have met the offer requirements and will deposit any earned bonus into your new checking account within 30 days.

How to Waive Monthly Fee:

The monthly service fee can be avoided with one of the following each fee period:

• $500 minimum daily balance
• $500 or more in total qualifying direct deposits
• A linked Wells Fargo Campus ATM or Campus Debit Card
• Primary account owner is 17–24 years old.

First Internet Bank
Interest Checking

Monthly Fee
$10

APY
0.50%

Min. Dep.
$100

Bonus
-

Details

Huntington Bank
Perks Checking

Monthly Fee
$10

APY
0.02%

Min. Dep.
-

Bonus
$400

Details

Expires: 10/07/2024

Requirements: Earn $400 when you open a Perks Checking account and set up and receive a qualifying direct deposit within 90 days of coupon enrollment and keep account open for 90 days.

How to Waive Monthly Fee: No monthly maintenance fee with $1,000 in total monthly deposits, or $5,000 in total relationship balances, otherwise $10 a month.

mph.bank
Fresh account

Monthly Fee
$9

APY
%

Min. Dep.
$0

Bonus
-

Details

mph.bank
Friends account

Monthly Fee
$9

APY
%

Min. Dep.
$0

Bonus
-

Details

PNC Bank
Virtual Wallet

Monthly Fee
$7

APY
%

Min. Dep.
$25

Bonus
$100

Details

Expires: 07/01/2024

Requirements: To qualify for the reward, the new Virtual Wallet product must be opened online via the application links on this page from 09/01/2023 through 07/01/2024, and a qualifying Direct deposit(s) must be received within the first 60 days. Your Virtual Wallet product must remain open in order for you to receive the reward, which will be credited to the eligible account within 60–90 days after all conditions have been met and will be identified as Credits Check Reward on your monthly statement.

How to Waive Monthly Fee: $0 monthly fee with $500 in direct deposits to your Spend or a combined balance between checking accounts.

U.S. Bank
Checking Account

Monthly Fee
$6.95

APY
%

Min. Dep.
$25

Bonus
-

Details

JPMorgan Chase Bank, N.A.
College Checking

Monthly Fee
$6

APY
%

Min. Dep.
$0

Bonus
$100

Details

Expires: 10/16/2024

To receive the bonus:

1. Open a new Chase College CheckingSM account online or with your coupon at a local branch.
2. Complete 10 qualifying transactions within 60 days of coupon enrollment.

How to Waive Monthly Fee: There is no Monthly Service Fee until after the student’s expected graduation date (up to five years). The Monthly Service Fee after the expected graduation date is $6 or $0 when you do at least one of the following each statement period:

• Have an electronic deposit made into this account, such as a payment from payroll providers or government benefit providers, by using (i) the ACH network, (ii) the Real Time Payment network, or (iii) third party services that facilitate payment to your debit card using the Visa^® or Mastercard^® network
• OR, Keep an average ending day balance of $5,000 or more in your checking account

BMO
Smart Money Account

Monthly Fee
$5

APY
%

Min. Dep.
$25

Bonus
$250

Details

Expires: 05/03/2024

Requirements: Get a $250 cash bonus when you have a total of at least $4,000 in qualifying direct deposits within the first 90 days.

How to Waive Monthly Fee: No monthly maintenance fee if you’re under 25 years old.

JPMorgan Chase Bank, N.A.
Secure Banking

Monthly Fee
$4.95

APY
%

Min. Dep.
$0

Bonus
$100

Details

Expires: 10/16/2024

Requirements:

1. Open a new Chase Secure Banking^SM account online or enter your email address to get your coupon and bring it to a Chase branch to open an account. It’s a $4.95 Monthly Service Fee.
2. Complete 10 qualifying transactions within 60 days of coupon enrollment. Qualifying transactions include debit card purchases, Zelle^®, ACH credits, Chase Quick Deposit^SM or online bill payments. Your bonus will appear in your account within 15 days after completing the qualifying transactions.

Bank of America
Advantage SafeBalance Banking

Monthly Fee
$4.95

APY
%

Min. Dep.
$0

Bonus
$200

Details

Expires: 05/31/2024

Requirements: To enroll in this offer, open a new Bank of America personal checking account through this offer page by 05/31/2024. Set up and receive Qualifying Direct Deposits totaling $2,000 or more into that account within 90 days of account opening. This offer is limited to new Bank of America personal checking account customers only. Use offer code TWT200CIS when opening your new account to enroll in this offer.

How to Waive Monthly Fee: No monthly maintenance fee for:

• Students under age 25* enrolled in school or an educational or vocational program.
• An owner of this account under the age of 18.
• Preferred Rewards clients get this fee waived (waiver applies to first 4 checking accounts).

Physician Bank (a subsidiary of Heritage Bank)
eCentive® checking

Monthly Fee
$4

APY
2.02%

Min. Dep.
$100

Bonus
-

Details

BMO
Smart Advantage Account

Monthly Fee
$0

APY
%

Min. Dep.
$25

Bonus
$250

Details

Expires: 05/03/2024

Requirements: Get a $250 cash bonus when you have a total of at least $4,000 in qualifying direct deposits within the first 90 days.

How to Waive Monthly Fee: There’s no monthly maintenance fee for the Smart Advantage account as long as you opt for paperless statements.

American Express Bank
Rewards Checking

Monthly Fee
$0

APY
1.00%

Min. Dep.
-

Bonus
-

Details

Quontic Bank
High Interest Checking

Monthly Fee
$0

APY
1.10%

Min. Dep.
$0

Bonus
-

Details

Earn 1.10% APY on the portion of the daily balances up to $150,000 when you make at least 10 qualifying debit card point of sale transactions of $10 or more per statement cycle.

SoFi Bank, N.A
Checking and Savings

Monthly Fee
$0

APY
0.50%

Min. Dep.
-

Bonus
$300

Details

Requires direct deposit, otherwise the APY is 0.70%.

Expires: 12/31/2024

Requirements: In order to qualify for eligibility for a bonus, SoFi must receive at least one Qualifying Direct Deposit from an Eligible Participant during the Promotion Period. Qualifying Direct Deposits are defined as deposits from an enrolled member’s employer, payroll, or benefits provider via ACH deposit. Deposits that are not from an employer (such as check deposits; P2P transfers such as from PayPal or Venmo, etc.; merchant transactions such as from PayPal, Stripe, Square, etc.; and bank ACH transfers not from employers) do not qualify for this promotion. The amount of the bonus, if any, is described below. No bonuses shall be paid for Qualifying Direct Deposits of less than $1,000 during the Evaluation Period.

Bonus Tiers:

Total Qualifying Direct Deposit amount in 25-day Evaluation Period	Cash Bonus
$1,000 – $4,999	$50
$5,000 or more	$300

 

Consumers Credit Union
Rewards Checking

Monthly Fee
$0

APY
5.00%

Min. Dep.
$5

Bonus
-

Details

Redneck Bank
Rewards® Checkin' Account

Monthly Fee
$0

APY
5.00%

Min. Dep.
-

Bonus
-

Details

Huntington Bank
Asterisk-Free Checking

Monthly Fee
$0

APY
-

Min. Dep.
-

Bonus
-

Details

Ally Bank
Interest Checking

Monthly Fee
$0

APY
0.25%

Min. Dep.
-

Bonus
-

Details

mph.bank
Free account

Monthly Fee
$0

APY
%

Min. Dep.
$0

Bonus
-

Details

Citibank
Citigold Checking Account

Monthly Fee
$0

APY
%

Min. Dep.
$0

Bonus
$1500

Details

Expires: 10/08/2024

Requirements: New checking customers may earn a cash bonus of $500 or $1,500 after opening an eligible checking account from 7/9/24 to 10/08/2024 and completing required activities:

1. Open a new eligible checking account and enroll in the bonus offer the same day.
2. Deposit New-to-Citibank funds into your checking account within 45 calendar days from account opening. The balance on your 45th day will determine your maximum eligible cash bonus.
3. Maintain the required minimum balance in your eligible account for an additional 45 days from the 46th day. Only new checking customers can take advantage of this offer.

Bonus Tiers

• $500: Minimum Deposit of $30,000
• $1,500: Minimum Deposit of $200,000

Monthly Fees:  None. But if you do not maintain a minimum combined average monthly balance of $200,000+ in eligible linked deposit, retirement and investment accounts, your Citigold Account Package will be converted to the Citi Priority Account Package and your accounts will be subject to the terms and conditions then in effect for that package.

Rising Bank
Rising Checking

Monthly Fee
$0

APY
0.30%

Min. Dep.
$1,000

Bonus
-

Details

First Internet Bank
Free Checking

Monthly Fee
$0

APY
-

Min. Dep.
$25

Bonus
-

Details

Axos Bank
Rewards Checking

Monthly Fee
$0

APY
3.30%

Min. Dep.
$50

Bonus
$500

Details

Requires qualifying banking activities. See Axos website for details.

Expires: 07/31/2024

Requirements: Get up to a $500 bonus on a Rewards Checking account when you use promo code RC500.To be eligible to earn all or a portion of the cash incentive as part of the promotional offer “RC500,” an application for a Rewards Checking account must be submitted between 06/20/2024 at 12:00 am PT and 07/31/2024 at 11:59 pm PT.

You must be approved for your new Rewards Checking account and fund it within 60 days of account opening. An incentive of up to $500 can be earned during the first six statement cycles, starting in the statement cycle 30 days after the account is opened. A statement cycle is a calendar month consisting of at least one day your account was open during that month. You can earn a maximum of five payouts during the six statement cycles, and the incentive will be deposited into the qualifying account within 15 business days following the end of the statement cycle in which the requirements were met.

$100 will be earned for each statement cycle, up to $500, when you meet two requirements during that statement cycle: 1) your Rewards Checking account receives qualifying direct deposits at least $1,500.00 in total, and 2) the average daily balance in your Rewards Checking account is at least $3,000.

mph.bank
First account

Monthly Fee
$0

APY
%

Min. Dep.
$0

Bonus
-

Details

Frequently Asked Questions (FAQ)

Finally, if a bonus is important to you, check out our list of the best bank bonuses.

The post 11 Best Free Checking Accounts appeared first on Doughroller.

A 2019 study shows less than half of college students save money from their paychecks. But that can’t be from a lack of places to save cash. We found eight of the best savings accounts for college students with no monthly fees, great savings rates, and mobile access.

Best Savings Accounts for College Students

1. SoFi Savings and Checking

Savings Account

Member FDIC

APY

%

Min. balance for APY

$0

Our Rating: 4.7

★★★★★☆

Apply Now

Details

SoFi Savings and Checking knocks it out of the park with a high-yield savings account and up to $300 bonus. SoFi debit card ATM withdrawals are fee-free within the Allpoint network.

Pros

---

• Up to $250 bonus
• High APY
• No monthly fee

Cons

---

• JP Morgan Chase majority ownership
• No branches

Monthly Fee

$0.00

FDIC Insurance

Up to $250,000

Min. Opening Balance

$0

Why it made our list

For college students, SoFi provides everything you need and more. No monthly fees, no overdraft fees, a sign-up bonus, high APY, and a full financial suite if you need more than a savings account.

What could be better

There’s very little not to like about SoFi Savings and Checking but the $300 bonus for signing up requires a $5,000 deposit. That can be high for students.

2. Ally Savings

Savings Account

Member FDIC

APY

%

Min. balance for APY

$0

Our Rating: 4.5

★★★★★☆

Apply Now

Details

Ally Bank savings account includes a debit card and competitive APY that all college students can take advantage of. No monthly fees, no minimum deposit requirement, and a full suite of other financial products.

Pros

---

• $10/mo in ATM rebates
• No monthly fees
• No overdraft fees

Cons

---

• No cash deposits
• 10 withdrawal limit

Monthly Fee

$0.00

FDIC Insurance

Up to $250,000

Min. Opening Balance

$0

Why it made our list

One of the original online-only brands, Ally keeps fees out of the equation while offering a strong APY with amazing features. The Ally app is one I’ve used a lot and it’s intuitive for teens and young adults.

What could be better

The biggest downer to Ally Savings is that cash has to be deposited into a third-party account and then transferred to your Ally Savings account.

3. Cap One 360 Performance Savings

Savings Account

Member FDIC

APY

%

Min. balance for APY

$0

Our Rating: 4.4

★★★★★☆

Apply Now

Details

Cap One Performance Savings includes a cash bonus opening offer with a strong APY and no monthly fees or costs. College students rejoice, find an in-person cafe location to ask any questions about your Performance Savings account.

Pros

---

• Cash bonus opportunity
• No monthly fees
• Cafe access

Cons

---

• No ATM debit card
• $30 outbound wire

Monthly Fee

$0.00

FDIC Insurance

Up to $250,000

Min. Opening Balance

$0

Why it made our list

With Cap One 360 Performance Savings, you’ll have the bonus opportunity, the APY, and the rare ability to speak with a banker in person. No monthly fees and no maintenance fees are an added plus.

What could be better

If you want access to ATM withdrawals, you’ll have to open a tandem checking account.

4. Varo Savings

Savings Account

Member FDIC

APY

%

Min. balance for APY

$0

Our Rating: 4.4

★★★★★☆

Apply Now

Details

Varo is a no-fee savings account with a high APY, automatic roundups, and the ability to open additional accounts to help you get through college without worrying about your finances.

Pros

---

• Excellent APY
• No monthly fees
• No minimum balance

Cons

---

• Tiered APY on high deposits
• Direct deposit is required for APY

Monthly Fee

$0.00

FDIC Insurance

Up to $250,000

Min. Opening Balance

$0

Why it made our list

Varo savings requires no minimum deposit and charges no monthly fee, NSF fee, or overdraft fees. The high APY is great for new savers who have a regular source of income.

What could be better

Varo is the first on our list to require a direct deposit to earn the % APY. Also, the first to cap the balance for high-interest.

5. Chime

Savings Account

Member FDIC

APY

%

Min. balance for APY

$0

Our Rating: 4.3

★★★★★☆

Apply Now

Details

Chime is a fintech company that offers savings accounts without any monthly maintenance fees or unexpected costs. It includes a Visa debit card with free in-network ATM withdrawals

Pros

---

• Roundup savings
• No monthly fees
• Mobile app

Cons

---

• Low APY compared to other banks
• No branches

Monthly Fee

$0.00

FDIC Insurance

Up to $250,000

Min. Opening Balance

$0

Why it made our list

Chime stands out because of its fee-free banking experience. No NSF fees, no monthly fees, no overdraft fees, and the ability to automate savings with the Chime Roundup feature.

What could be better

The biggest negative to Chime is its current savings APY. In a high-rate environment, Chime’s interest rate could be better.

6. Discover® Bank Online Savings

Savings Account

Member FDIC

APY

%

Min. balance for APY

$0

Our Rating: 4.3

★★★★★☆

Apply Now

Details

Discover Online Savings has no monthly fees, no bank check fees, no NSF fees, and no payment returned fee. Young students who are prone to making a mistake here or there won’t have to worry about getting charged for one with Discover.

Pros

---

• No NSF fees
• No monthly fees
• 24/7 US-based customer service

Cons

---

• No ATM card
• No branches

Monthly Fee

$0.00

FDIC Insurance

Up to $250,000

Min. Opening Balance

$0

Why it made our list

In addition to a no-fee platform, the best feature of Discover Online savings is that it offers 100% US-based customer service, available all day every day.

What could be better

Even though Discover does not offer an ATM card, you can open a Discover Cashback Debit account and receive one.

7. Barclays Online Savings

Savings Account

Member FDIC

APY

%

Min. balance for APY

$0

Our Rating: 4.2

★★★★★☆

Apply Now

Details

Barclays Online Savings offers a solid % APY with no monthly fees. It’s easy to set up direct deposit and make P2P transfers if you need to reimburse a friend or classmate.

Pros

---

• Competitive APY
• No monthly fees
• Savings assistant

Cons

---

• No bonus opportunity
• No branches

Monthly Fee

$0.00

FDIC Insurance

Up to $250,000

Min. Opening Balance

$0

Why it made our list

Every feature of Barclays Online Savings is solid, including the APY and fee structure. Customer service is available via a toll-free number and students have access to a savings assistant to help create savings goals.

What could be better

Barclays Online Savings does everything well but it does not dazzle with a standout feature.

8. Marcus Online Savings Account

Savings Account

Member FDIC

APY

%

Min. balance for APY

$0

Our Rating: 4.2

★★★★★☆

Apply Now

Details

Marcus Online Savings by Goldman Sachs is a high-yield account with no fees. Marcus also offers investment opportunities and personal loans if you require more than just a savings vessel.

Pros

---

• No minimum balance
• Free wires
• Marcus Insight assistant

Cons

---

• No mobile check deposit
• No ATM network

Monthly Fee

$0.00

FDIC Insurance

Up to $250,000

Min. Opening Balance

$0

Why it made our list

While unusual for a college student, Marcus is the only bank on our list to offer free incoming and outgoing wire transfers. This paired with a high savings APY makes it a uniquely attractive savings account.

What could be better

There’s no ATM network with Marcus, so your savings account will need a third-party account to receive cash and make cash deposits.

How to Monitor Your Savings Account

The easiest way to keep tabs on your savings account is by using the mobile app, which all of the options we’ve shown you today have. Savings accounts don’t necessarily require a lot of activity on your part, especially if you set up direct deposits or roundups. It can also be helpful to set up automated alerts for your savings account, which will send you a text, email, or push notification when certain things happen to your account. For example, you can get alerts when you get a direct deposit, or when your balance drops below a certain amount. 

Paper or electronic statements can help you monitor the transactions on your account, which can help you analyze your saving habits; however, for convenience, you will probably want to opt for the mobile app. 

Why College Students Should Open a Savings Account

Even if you’re not working, it’s a good idea to open a savings account as a student for several reasons. First, it can be beneficial in the future to have a longstanding relationship with a bank or a credit union, which you establish by having open accounts over several years. A lengthy relationship with a bank may help you access capital or other financial products in the future. 

Second, even contributing a little bit can make a big difference in your financial future, largely due to a tool called compound interest, which is the interest you earn on a principal balance in addition to your interest earned. It means the more you save, the more you earn. Because of this snowball effect, starting your savings early, even if it’s not much, can make thousands of dollars of difference. 

Say, for example, at age twenty, you begin saving with an initial investment of $100. Throughout school and the rest of your career, you are able to contribute $25 per month to your savings account with an APY of 0.11% (the national average a the time of this writing). By the time you are sixty years old, you will have saved nearly $13,000. Conversely, if you save the same amount starting at age thirty, by the age of sixty, you’ll have less than $10,000. These are conservative numbers – a small initial investment and a manageable monthly contribution. But those ten years make a few thousand dollars worth of difference. No one expects college students to put away hundreds of dollars every month, but building small habits makes more of a difference than you may think.

What To Look For in a Savings Account

There are a few features to look for in a savings account, most of which are featured in all of our recommendations above. No fees are a huge plus, especially as a student when you may not have a steady and consistent stream of money coming in. You don’t want to be charged for using or accessing your own money. For the same reasons, you don’t want an account that requires you to have a high minimum deposit or maintain a high minimum balance. For obvious reasons, you want to look for the highest APY you can find – the higher the APY, the more interest you earn on your money, and the faster your interest compounds. 

Lastly, consider accessibility and ease. While you shouldn’t be aiming to make a lot of withdrawals or transactions from your savings account, you don’t want to have to jump through hoops to access your own money. Look for well-rated mobile apps and accounts that give you access to a good amount of convenient ATMs. It’s also not a bad idea to open a savings account where you hold your checking account to help you keep things organized. 

What Do You Need to Open a Savings Account?

To open a savings account on your own, you need to be at least eighteen years old, though your parent or guardian can help you open an account when you’re younger, and you may be grandfathered in when you turn eighteen.

You also need some form of identification, such as a driver’s license or state ID, birth certificate, social security card, or passport. You will also need to show proof of your address in the form of a driver’s license or state ID, lease agreement, utility bill, credit card, or bank statement (if you already have another bank account). If you are a student and opening a student account, you will likely need proof of acceptance at your school or a school ID. 

None of the accounts we have discussed above require a minimum deposit to open; however, it’s a good idea to open an account when you have at least a few dollars to put in. You’ll at least be earning some interest, and some accounts will require you to eventually deposit to prevent your account from closing. 

Final Thoughts 

Starting to save, even in college, is not impossible, and it’s a good move if you can do it. The 5-10 years you may gain from starting in your early twenties can make thousands of dollars worth of difference by the time you are ready to retire.

It can seem intimidating at first and feel pointless if you’re not able to contribute hundreds every month, but putting away what you can will help you build habits for when you do have a little more money. Start your research with our recommendations, but ultimately, make the decision that’s best for you. 

The post The 8 Best Savings Accounts for College Students in 2024 appeared first on Doughroller.

Below you will find the best 3-month CDs and we’ve also included a couple that have 4-month terms. If you’re considering a CD ladder, using a few of the unusual term lengths will help your liquidity so they’re highly recommended.

Editor’s Pick

The Rest of the Best 3-Month CD Rates

1. Western Alliance Bank

Certificate of Deposit

Member FDIC

APY

%

Term

3 Months

Min. Deposit

$1

Our Rating: 4.7

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• $1 minimum deposit

Cons

---

• Early withdrawal penalty

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$1

Why it made our list

Western Alliance offers a 3-month CD with only a $1 minimum deposit requirement and a very high-interest rate. When laddering, you’ll also find a 6-month CD from Western Alliance that does even better on interest.

What could be better

Western Alliance is another bank that will penalize you for all of the interest earned if you decide to close your 3-month CD early.

2. Dow Credit Union

Certificate of Deposit

Member NCUA

APY

%

Term

3 Months

Min. Deposit

$500

Our Rating: 4.5

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate

Cons

---

• Early withdrawal penalty
• $500 minimum deposit

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$500

Why it made our list

Dow Credit Union comes in with one of the highest APYs we could find and while it has a small barrier of a $500 minimum deposit, the interest rate is just too strong to ignore.

What could be better

Closing your Dow CU 3-month CD early means losing up to 90 days of simple interest.

3. Mission Valley Bank via Raisin (No Penalty)

Certificate of Deposit

Member FDIC

APY

%

Term

3 Months

Min. Deposit

$1

Our Rating: 4.6

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• $1 minimum deposit
• No early withdrawal penalty

Cons

---

Early Withdrawal Penalty

No Penalty

Min. Opening Balance

$1

Why it made our list

Our first no-penalty CD to make the list, Mission Valley offers a high interest rate with just a $1 minimum deposit. The best feature is that if you have to close your CD early, you will not incur an interest penalty.

What could be better

Compared to others on this list, the rate could be a touch higher but hard to complain when there is no interest penalty.

4. The State Exchange Bank via Raisin

Certificate of Deposit

Member FDIC

APY

%

Term

4 Months

Min. Deposit

$1

Our Rating: 4.8

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• $1 minimum deposit

Cons

---

• Early withdrawal penalty

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$1

Why it made our list

State Exchange Bank includes one of the best 3-month CD rates available with only a $1 minimum deposit amount. They also offer a variety of other CD terms with competitive interest rates.

What could be better

If you close your CD before it matures, you will give up every penny of interest earned.

5. Banesco

Certificate of Deposit

Member FDIC

APY

%

Term

3 Months

Min. Deposit

$1,500

Our Rating: 4.7

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate

Cons

---

• Early withdrawal penalty
• $1,500 minimum deposit

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$1,500

Why it made our list

Banesco offers a terrific rate on its 3-month CD. A few other terms are available but the 3-month term offers the highest APY.

What could be better

To open a CD, a $1,500 minimum deposit is required.

Highest 3-Month CD Rates by APY

After reviewing more than 100 short-term CD rates, these were the 25 highest rates on 3-month CDs we could find, ordered by APY.

82 Results

TotalDirectBank
3-month CD

APY
5.51%

Min
$25,000

Max
-

---

America First Credit Union
3-5 months CD

APY
5.25%

Min
$500

Max
-

---

Banesco USA
3-Month CD

APY
5.25%

Min
$1,500

Max
-

---

Dow Credit Union
3-month CD

APY
5.20%

Min
$500

Max
-

---

Mission Valley Bank
3-month No-Penalty CD via Raisin

APY
5.18%

Min
$1

Max
-

---

Ponce Bank
3-month High Yield CD via Raisin

APY
5.10%

Min
$1

Max
-

---

America First Credit Union
3-5 months Bump-Rate CD

APY
5.10%

Min
$500

Max
-

---

Western Alliance Bank
3-month CD via Raisin

APY
5.05%

Min
$1

Max
-

---

Popular Direct
3-month CD

APY
5.05%

Min
$10,000

Max
-

---

American Bank
90-day CD

APY
5.00%

Min
$500

Max
-

---

American Bank
90-day Business CD

APY
5.00%

Min
$500

Max
-

---

NexBank
3-month Online CD

APY
4.54%

Min
$25,000

Max
$100k

---

UNIFY Financial Credit Union
3-month CD

APY
4.50%

Min
$100

Max
$54k

---

UNIFY Financial Credit Union
3-month CD

APY
4.50%

Min
$40,000

Max
$54k

---

UNIFY Financial Credit Union
3-month Jumbo CD

APY
4.50%

Min
$100,000

Max
-

---

NexBank
3-month Standard CD

APY
4.49%

Min
$10,000

Max
$25k

---

Luana Savings Bank
3-month Jumbo CD

APY
4.42%

Min
$100,000

Max
-

---

Interior Federal Credit Union
3-month CD

APY
4.40%

Min
$500

Max
-

---

Luana Savings Bank
3-Month CD

APY
4.27%

Min
$2,000

Max
$100k

---

Alliant Credit Union
3-month CD

APY
4.25%

Min
$1,000

Max
-

---

Alliant Credit Union
3-month Jumbo CD

APY
4.25%

Min
$75,000

Max
-

---

Thrivent Credit Union
3-month CD

APY
4.25%

Min
$1,000

Max
-

---

All In Credit Union
3-month CD

APY
4.18%

Min
$1,000

Max
-

---

First Internet Bank
3-months High Yield CD

APY
4.14%

Min
$1,000

Max
-

---

Bayer Heritage Federal Credit Union
3-month CD

APY
4.08%

Min
$100

Max
-

---

How We Chose the Best 3-Month CDs

When looking at banks and credit unions that offer 3-month CDs, there were two primary factors taken into account to determine which ones made our list, and which ones did not.

1. Interest Rate (APY) – The biggest selling point of a short-term CD is the interest rate. You’ll find all of the rates on our list in the top 5% of all 3-month CDs nationwide including the absolute best rates we could find regardless of any other CD features.
2. Minimum Deposit Requirement – When looking at the best interest rates, some banks require jumbo-size deposits in order to secure the best APY. We’ve avoided any bank that requires a large deposit barrier.

We would also normally consider the early withdrawal penalty when looking for the best CDs, however, because the term is so short, the penalty is nearly the same for every CD listed. Every bank above is also FDIC insured up to the $250,000 per depositor maximum.

Banks we included in our review are as follows: Affirm, Alaska USA Federal Credit Union, All America Bank, Alliant Credit Union, Ally Bank, Amalgamated Bank, America First Credit Union, American Express National Bank, Andrews Federal Credit Union, Associated Bank, Axos Bank, Bank of America, Bank of the West, Bank5 Connect, Bank7, Barclays, Bask Bank, Bethpage Federal Credit Union, BMO, BMO Alto, Boeing Employees Credit Union, Bread Savings, Capital One, Carver Federal Savings Bank, Charles Schwab Bank, Chase, Chime, CIBC U.S., CIT Bank, Citibank, Citizens, Citizens Bank, City First Bank, Climate First Bank, Commerce Bank, Community First Credit Union of Florida, ConnectOne Bank, Connexus Credit Union, Consumers Credit Union, Credit Human Federal Credit Union, Current, Delta Community Credit Union, Discover Bank, E*TRADE, EverBank (formerly TIAA Bank), Fifth Third Bank, First Foundation, First National Bank, First Tech Federal Credit Union, Flagstar Bank, FNBO Direct, GO2bank, GreenState Credit Union, Golden 1 Credit Union, Greenwood, Hope Credit Union, Huntington Bank, Industrial Bank, Ivy Bank, KeyBank, Lake Michigan Credit Union, LendingClub Bank, Liberty Bank, Live Oak Bank, M&T Bank, Marcus by Goldman Sachs, mph.Bank, Nationwide (by Axos), Navy Federal Credit Union, NBKC, One, OneUnited Bank, Pentagon Federal Credit Union, PNC, Ponce Bank, Popular Direct, Quontic Bank, Regions Bank, Revolut, Salem Five Direct, Sallie Mae Bank, Santander Bank, SchoolsFirst Federal Credit Union, Security Service Federal Credit Union, Securityplus Federal Credit Union, Self-Help Credit Union, Service Credit Union, Signature Federal Credit Union, SoFi, State Employees’ Credit Union of North Carolina, State Exchange Bank, Suncoast Credit Union, Synchrony Bank, TAB Bank, TD Bank, Teachers Federal Credit Union, Truist Bank, U.S. Bank, UFB Direct, Union Bank, Upgrade, USAA Bank, Varo, Vio Bank, Wells Fargo, Western Alliance Bank and Zynlo Bank.

When Should I Open A 3-Month CD?

The best three-month CD rates are usually a little bit higher than the best savings account interest rates you can find. The difference isn’t very large but it can mean hundreds of dollars in interest if you have a lot of cash to deposit into a CD.

When choosing between a short-term CD and a savings account, it really boils down to whether or not you know the CD will reach maturity. Two points to consider:

1. Liquidity – It’s only a term of three months but your money will be locked up for the entire time. If you’re opening a three-month CD knowing there’s a chance you may have to close it early, a savings account would be a wiser option. The early withdrawal penalty on a short-term CD is almost always all of the interest making a savings account wiser.
2. Interest Rates – The higher the rate, the greater the return, and the best three-month CDs on our list above have stronger APYs than savings accounts. 50-100 basis points, even in the short term can mean the difference in hundreds of dollars in interest earned.

Frequently Asked Questions (FAQ)

Final Thought on the Best 3-Month CDs

When you’re looking at the interest rates available on a 3-month CD, you’ll notice their all pretty similar. If you’re looking to deposit $10,000 (for example), the difference between a 5.55% rate and a 5.35% rate is only $5 in interest over three months.

Don’t let the choices paralyze you for a difference of a couple of bucks. After you know a 3-month CD is right for you, all of the options on our list will suit you well.

Editor’s Note: Make sure to check your local banks for the best 3-month CD rates as well. Sometimes the national brands can’t match what your bank down the street can provide.

The post The Best 3-Month CD Rates (April 2024) appeared first on Doughroller.

The best 6-month CDs will be the ones with an excellent interest rate, reasonable early withdrawal penalties, and low deposit minimums. Our list below includes the best 6-month CDs as well as a few 5-month CDs.

Editor’s Pick

Technology Credit Union offers a 5-month no-penalty CD with a rate of %. The rate is one the best available in the 6-month range and if you need your cash to be liquid, this CD won’t charge you a penny for closing it early. all Technology Credit Union CDs are NCUA insured up to the $250,000 maximum.

• Current APY – %
• Minimum Deposit Requirement – $1
• Early Withdrawal Penalty – None

The Rest of the Best 6-Month CD Rates

1. Western Alliance Bank

Certificate of Deposit

Member FDIC

APY

%

Term

6 Months

Min. Deposit

$1

Our Rating: 4.8

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• $1 minimum deposit

Cons

---

• Early withdrawal penalty

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$1

Why it made our list

One of the best rates available accompanies the Western Alliance Bank 6-month CD. Western Alliance also has a full suite of other CD terms available, all with just a $1 deposit requirement.

What could be better

When breaking the terms of the CD and withdrawing early, a 90-day interest penalty is given.

2. SkyOne Federal Credit Union

Certificate of Deposit

Member NCUA

APY

%

Term

5 Months

Min. Deposit

$1

Our Rating: 4.4

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• $1 minimum deposit

Cons

---

• Early withdrawal penalty

Early Withdrawal Penalty

180 days of simple interest

Min. Opening Balance

$1

Why it made our list

SkyOne Federal Credit Union is headquartered in California and is available nationally. Their 5-month CD provides a top APY and requires only a $1 minimum deposit.

What could be better

When closing your SkyOne 56-month CD early, you’ll forfeit any interest earned.

3. BMO Alto

Certificate of Deposit

Member FDIC

APY

%

Term

6 Months

Min. Deposit

$0

Our Rating: 4.4

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• No minimum deposit

Cons

---

• Early withdrawal penalty

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$0

Why it made our list

BMO Alto offers a straightforward 6-month CD with a strong interest rate and no minimum deposit to get started.

What could be better

The early withdrawal penalty with the 6-month BMO CD is 90 days of simple interest.

4. Bask Bank

Certificate of Deposit

Member FDIC

APY

%

Term

6 Months

Min. Deposit

$1,000

Our Rating: 4.5

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate

Cons

---

• Early withdrawal penalty
• $1,000 minimum deposit

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$1,000

Why it made our list

Bask Bank offers a wide variety of CDs and deposit products. One of their best products is the 6-month CD with an excellent APY.

What could be better

In addition to the early withdrawal penalty of 90 days simple interest, all Bask Bank CDs require a minimum deposit of $1,000.

5. Quontic Bank

Certificate of Deposit

Member FDIC

APY

%

Term

6 Months

Min. Deposit

$500

Our Rating: 4.3

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate

Cons

---

• Early withdrawal penalty
• $500 minimum deposit

Early Withdrawal Penalty

180 days of simple interest

Min. Opening Balance

$500

Why it made our list

Quontic Bank offers a high-yield six-month CD with a $500 minimum deposit required. Quontic has revamped its user interface to make it one of the nicest I’ve used.

What could be better

180 days of simple interest is forfeited if you close your Quontic Bank CD early.

Highest 6-Month CD Rates by APY

We scoured the internet looking for the best 6-month CD rates we could find. After reviewing almost 150 total banks, here are the top 25 6-month CDs with the highest APY.

101 Results

TotalDirectBank
6-month CD

APY
5.51%

Min
$25,000

Max
-

---

Rising Bank
6-Month CD

APY
5.25%

Min
$1,000

Max
$1,000k

---

America First Credit Union
6-11 months CD

APY
5.25%

Min
$500

Max
-

---

Prime Alliance Bank
6-month CD

APY
5.25%

Min
$500

Max
-

---

Banesco USA
BaneSmart 6-Month CD

APY
5.20%

Min
$1,500

Max
-

---

Colorado Federal Savings Bank
6-month CD

APY
5.15%

Min
$5,000

Max
-

---

America First Credit Union
6-11 months Bump-Rate CD

APY
5.10%

Min
$500

Max
-

---

Marcus by Goldman Sachs
6-month CD

APY
5.10%

Min
$500

Max
$1,000k

---

Bask Bank
6-month CD

APY
5.10%

Min
$1,000

Max
-

---

Dow Credit Union
6-month CD

APY
5.10%

Min
$500

Max
-

---

Quontic Bank
6-Month CD

APY
5.05%

Min
$500

Max
-

---

Newtek Bank
6-month CD

APY
5.05%

Min
$2,500

Max
$250k

---

First Internet Bank
6-month High Yield CD

APY
5.03%

Min
$1,000

Max
-

---

Ally Bank
6-Month High Yield CD

APY
5.00%

Min
$1

Max
-

---

American Bank
182-day CD

APY
5.00%

Min
$500

Max
-

---

American Bank
182-day Business CD

APY
5.00%

Min
$500

Max
-

---

Popular Direct
6-month CD

APY
5.00%

Min
$10,000

Max
-

---

LendingClub Bank, N.A.
6-month CD

APY
5.00%

Min
$2,500

Max
$250k

---

Ally Bank
6-month IRA CD

APY
5.00%

Min
-

Max
-

---

NexBank
6-month Online CD

APY
4.96%

Min
$25,000

Max
$100k

---

Western Alliance Bank
6-month CD via Raisin

APY
4.95%

Min
$1

Max
-

---

Luana Savings Bank
6-month Jumbo CD

APY
4.91%

Min
$100,000

Max
-

---

Credit Human Federal Credit Union
6-11 month Share Certificate

APY
4.90%

Min
$500

Max
-

---

NexBank
6-month Standard CD

APY
4.86%

Min
$10,000

Max
$25k

---

NASA Federal Credit Union
6-month CD

APY
4.85%

Min
$1,000

Max
-

---

How We Chose the Best 6-Month CDs

Six-month CDs are short-term, risk-free investments and our list of the best six-month CDs was carefully chosen based on a set of three criteria.

1. Interest Rate (APY) – The most important feature of a short-term CD is the interest rate and our list showcases the best rates available today.
2. Minimum Deposit Requirement – If you have a lot of money available to open a CD, then the minimum requirement probably does not matter to you but for those with less than $10,000 available, it’s important to make sure the highest rate is available when the deposit size is as small as $1.
3. Early Withdrawal Penalty – Even though no one goes into the purchase of a CD thinking they will have to withdraw early, it’s important to consider the penalty for doing so. Most CDs of this length have a full-term penalty but we were able to find a few six-month CDs that will still pay interest if you have to withdraw early.

Every bank above is also FDIC insured up to the $250,000 per depositor maximum.

Banks we included in our review are as follows: Affirm, Alaska USA Federal Credit Union, All America Bank, All In Credit Union, Alliant Credit Union, Ally Bank, Amalgamated Bank, America First Credit Union, American Express National Bank, Andrews Federal Credit Union, Associated Bank, Axos Bank, Bank of America, Bank of the West, Bank5 Connect, Bank7, Barclays, Bask Bank, Bayer Heritage FCU, Bethpage Federal Credit Union, BMO, BMO Alto, Boeing Employees Credit Union, Bread Savings, Capital One, Carver Federal Savings Bank, Charles Schwab Bank, Chase, Chime, CIBC U.S., CIT Bank, Citibank, Citizens, Citizens Bank, City First Bank, Climate First Bank, Commerce Bank, Community First Credit Union of Florida, ConnectOne Bank, Connexus Credit Union, Consumers Credit Union, Credit Human Federal Credit Union, Current, Delta Community Credit Union, Discover Bank, E*TRADE, EverBank (formerly TIAA Bank), Fifth Third Bank, First Foundation, First National Bank, First Tech Federal Credit Union, Flagstar Bank, FNBO Direct, GO2bank, GreenState Credit Union, Golden 1 Credit Union, Greenwood, Hope Credit Union, Huntington Bank, Industrial Bank, Interior FCU, Ivy Bank, KeyBank, Lake Michigan Credit Union, LendingClub Bank, Liberty Bank, Live Oak Bank, M&T Bank, Marcus by Goldman Sachs, mph.Bank, Nationwide (by Axos), Navy Federal Credit Union, NBKC, One, OneUnited Bank, Pentagon Federal Credit Union, PNC, Ponce Bank, Popular Direct, Quontic Bank, Regions Bank, Revolut, Salem Five Direct, Sallie Mae Bank, Santander Bank, SchoolsFirst Federal Credit Union, Security Service Federal Credit Union, Securityplus Federal Credit Union, Self-Help Credit Union, Service Credit Union, Signature Federal Credit Union, SkyOne Federal Credit Union, SoFi, State Employees’ Credit Union of North Carolina, State Exchange Bank, Suncoast Credit Union, Synchrony Bank, TAB Bank, TD Bank, Teachers Federal Credit Union, Technology Credit Union, Truist Bank, U.S. Bank, UFB Direct, Union Bank, Upgrade, USAA Bank, Varo, Vio Bank, Wells Fargo, Western Alliance Bank and Zynlo Bank.

When Should I Open A 6-Month CD?

Six-month CDs are short-term investment options perfect for those looking for risk-free diversification. The interest rate is almost always the most important thing to consider but there are a few other things to look at before opening a six-month CD.

You’ll want to ensure that you have enough cash available elsewhere before opening a CD because the early withdrawal penalty could wipe away every penny you’ve earned in interest. It’s also important to take note of the rollover structure of the bank you’ve chosen because you may have a very short window to withdraw your funds after maturity before it’s locked in again.

To answer the question of “when” should you open a six-month CD; it’s always best to do so now rather than later. Interest rates are high and every day you’re not guaranteed a rate of return is a day’s worth of interest that slips through your fingers. All CDs here are FDIC insured up to the $250,000 maximum so as long as your deposit stays under this amount, it’s a risk-free rate of return.

Frequently Asked Questions (FAQ)

Final Thought on the Best 6-Month CDs

When comparing six-month CDs to other terms, you’re unlikely to find a big variation in interest rates. They’re similar to others and the important difference is the length of term, not the APY.

If you can, when opening a six-month CD you should also look to open other short-term CDs so that every couple of months, your ladder has a maturing CD that offers you cash if you need it.

Editor’s Note: Make sure to check your local banks for the best 6-month CD rates as well. Sometimes the national brands can’t match what your bank down the street can provide.

The post The Best 6-Month CD Rates (April 2024) appeared first on Doughroller.

Editor’s Pick

Discover® Bank, Member FDIC offers a 12-month CD with a current APY of %. Discover remains one of the world’s most trusted financial brands and offers every other deposit product you need, including savings, checking, and IRAs. All deposits are FDIC insured up to the $250,000 maximum.

• Current APY – %
• Minimum Deposit Requirement – $2,500
• Early Withdrawal Penalty – 6 months of simple interest

The Rest of the Best 12-Month CD Rates

1. GreenState Credit Union via Raisin

Certificate of Deposit

Member NCUA

APY

%

Term

10 Months

Min. Deposit

$1

Our Rating: 4.7

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• $1 minimum deposit

Cons

---

• Early withdrawal penalty

Early Withdrawal Penalty

6 months of simple interest

Min. Opening Balance

$1

Why it made our list

GreenState Credit Union is not a well-known bank but it has a terrific rate for a slightly shorter term 10-month CD. With no minimum deposit required, you can start saving with any amount.

What could be better

The penalty for early withdrawal is 180 days of simple interest, which means on a short 10-month term, you’re going to give back all (or almost all) of your earned interest if you have to close early.

2. BrioDirect

Certificate of Deposit

Member FDIC

APY

%

Term

12 Months

Min. Deposit

$500

Our Rating: 4.6

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate

Cons

---

• Requires $500 min. deposit
• Early withdrawal penalty

Early Withdrawal Penalty

3 months of simple interest

Min. Opening Balance

$500

Why it made our list

BrioDirect has a variety of CD terms available, none better than the 12-month promotional CD above. There are no fees to open this CD but it does require a $500 minimum deposit.

What could be better

A CD of this term with BrioDirect includes a simple interest penalty of 3 months if you close your CD early.

3. BMO Alto

Certificate of Deposit

Member FDIC

APY

%

Term

12 Months

Min. Deposit

$0

Our Rating: 4.8

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• No minimum deposit

Cons

---

• Early withdrawal penalty

Early Withdrawal Penalty

6 months of simple interest

Min. Opening Balance

$0

Why it made our list

BMO offers one of the highest APYs available for a 12-month CD. Without a deposit requirement or a minimum balance, deposits can be any size, up to the $250,000 FDIC-insured maximum.

What could be better

Make sure your deposit is liquid enough so you don’t have to close your CD early. Doing so incurs a 6-month simple interest penalty, which will wipe out most of your gains.

4. Capital One 360

Certificate of Deposit

Member FDIC

APY

%

Term

12 Months

Min. Deposit

$0

Our Rating: 4.5

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• No minimum deposit

Cons

---

• Early withdrawal penalty

Early Withdrawal Penalty

3 months of simple interest

Min. Opening Balance

$0

Why it made our list

Capital One 360 does everything well with its 12-month CD. There’s no minimum deposit requirement and the interest penalty is just 3 months (best on our list, but hopefully one you never activate).

What could be better

This APY isn’t as high as other CDs in this list but Capital One is a well-known bank. For some people name recognition is more important than getting the highest rates.

5. Ally Bank

Certificate of Deposit

Member FDIC

APY

%

Term

12 Months

Min. Deposit

$1

Our Rating: 4.5

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• $1 minimum deposit

Cons

---

• Early withdrawal penalty

Early Withdrawal Penalty

60 days of simple interest

Min. Opening Balance

$1

Why it made our list

60 days of simple interest is a low penalty to be charged for closing your CD early. With All Bank and the 12-month CD, you’ll lose less interest than with any other CD here.

What could be better

With the Ally Bank 12-month CD, you’ll find the best features, but it has the lowest interest rate on our list.

Highest 12-Month CD Rates by APY

If the only thing you’re after is the highest possible rate, here are the 25 best 12-month CD rates we could find out of more than 100 reviewed.

142 Results

TotalDirectBank
12-month CD

APY
5.35%

Min
$25,000

Max
-

---

Navy Federal Credit Union
Special EasyStart Certificate12-month CD

APY
5.30%

Min
$50

Max
$3k

---

Prime Alliance Bank
12-month CD

APY
5.25%

Min
$500

Max
-

---

USALLIANCE Financial
12-month CD

APY
5.20%

Min
$500

Max
-

---

Rising Bank
1-Year Term CD

APY
5.20%

Min
$1,000

Max
-

---

Colorado Federal Savings Bank
12-month CD

APY
5.20%

Min
$5,000

Max
-

---

USALLIANCE Financial
12-month IRA CD

APY
5.20%

Min
$500

Max
-

---

MainStreet Bank
1-Year CD

APY
5.15%

Min
$500

Max
-

---

First Internet Bank
12-month High Yield CD

APY
5.15%

Min
$1,000

Max
-

---

Bread Bank
1-year CD

APY
5.15%

Min
$1,500

Max
$1,000k

---

All In Credit Union
12-month Smart Start CD

APY
5.12%

Min
$25

Max
-

---

Finworth
12-months CD

APY
5.10%

Min
$50,000

Max
$240k

---

Banesco USA
BaneSmart 12-Month CD

APY
5.10%

Min
$1,500

Max
-

---

Magnifi Financial
12-month Jumbo CD

APY
5.10%

Min
$100,000

Max
$150k

---

Magnifi Financial
12-month Jumbo CD

APY
5.10%

Min
$150,000

Max
-

---

America First Credit Union
12-17 months CD

APY
5.10%

Min
$500

Max
-

---

Fort Liberty Federal Credit Union
12-months Jumbo Share Certificate

APY
5.10%

Min
$25,000

Max
-

---

NexBank
12-month Online CD

APY
5.09%

Min
$25,000

Max
$100k

---

TAB Bank
12-month CD

APY
5.02%

Min
$1,000

Max
-

---

TAB Bank
12-month Business CD

APY
5.02%

Min
$1,000

Max
-

---

American Bank
12-month CD

APY
5.00%

Min
-

Max
-

---

American Bank
12-month Business CD

APY
5.00%

Min
$500

Max
-

---

Seattle Bank
12-month CD

APY
5.00%

Min
$1,000

Max
$220k

---

BrioDirect
12-month Promotional High Yield CD

APY
5.00%

Min
$500

Max
-

---

Chevron Federal Credit Union
12-months Share Certificate

APY
5.00%

Min
$100,000

Max
-

---

12-Month CD vs High Yield Savings Account

When you look at the interest rates on this page, you may be asking “Why not just keep my money in an online savings account?” High-yield savings accounts have almost identical interest rates to 12-month CD rates. Is there a benefit to locking your money away for one year vs. earning the same interest in a liquid account?

The primary benefit of the one-year CD is in fact, locking your money away. Interest rates are not guaranteed with an online savings account. The money you have saved can be earning 1.30% APY today, and 1.15% APY tomorrow. Locking in a rate means for one full year, you know exactly what you’re getting. For the same reason I pre-pay for my heating oil every year, I also tuck away money in CDs.

How We Chose the Best 12-Month CDs

There were three primary factors that went into rating the best 12-month CDs we could find.

1. Interest Rate (APY) – The most important factor in finding a good CD is the interest rate. The difference of just one percent can be thousands of dollars if you’re able to deposit the FIDC-insured maximum.
2. Minimum Deposit Requirement – The best CDs are the ones that do not require a lot of money to open. The highest deposit minimum on our list is $2,500, which is still quite reasonable.
3. Early Withdrawal Penalty – No one opens a CD with the intent of pulling the money out before it matures, but life happens. Some 12-month CDs will include a 12-month interest penalty, and none of those CDs were included here.

Banks we included in our review are as follows: Affirm, Alaska USA Federal Credit Union, All America Bank, Alliant Credit Union, Ally Bank, Amalgamated Bank, America First Credit Union, American Express National Bank, Andrews Federal Credit Union, Associated Bank, Axos Bank, Bank of America, Bank of the West, Bank5 Connect, Bank7, Barclays, Bask Bank, Bethpage Federal Credit Union, BMO, BMO Alto, Boeing Employees Credit Union, Bread Savings, Capital One, Carver Federal Savings Bank, Charles Schwab Bank, Chase, Chime, CIBC U.S., CIT Bank, Citibank, Citizens, Citizens Bank, City First Bank, Climate First Bank, Commerce Bank, Community First Credit Union of Florida, ConnectOne Bank, Connexus Credit Union, Consumers Credit Union, Credit Human Federal Credit Union, Current, Delta Community Credit Union, Discover Bank, E*TRADE, EverBank (formerly TIAA Bank), Fifth Third Bank, First Foundation, First National Bank, First Tech Federal Credit Union, Flagstar Bank, FNBO Direct, GO2bank, GreenState Credit Union, Golden 1 Credit Union, Greenwood, Hope Credit Union, Huntington Bank, Industrial Bank, Ivy Bank, KeyBank, Lake Michigan Credit Union, LendingClub Bank, Liberty Bank, Live Oak Bank, M&T Bank, Marcus by Goldman Sachs, mph.Bank, Nationwide (by Axos), Navy Federal Credit Union, NBKC, One, OneUnited Bank, Pentagon Federal Credit Union, PNC, Ponce Bank, Popular Direct, Quontic Bank, Regions Bank, Revolut, Salem Five Direct, Sallie Mae Bank, Santander Bank, SchoolsFirst Federal Credit Union, Security Service Federal Credit Union, Securityplus Federal Credit Union, Self-Help Credit Union, Service Credit Union, SoFi, State Employees’ Credit Union of North Carolina, Suncoast Credit Union, Synchrony Bank, TAB Bank, TD Bank, Truist Bank, U.S. Bank, UFB Direct, Union Bank, Upgrade, USAA Bank, Varo, Vio Bank, Wells Fargo, Western Alliance Bank and Zynlo Bank.

Frequently Asked Questions (FAQ)

Final Thought on the Best 12-Month CDs

Opening a 12-month CD in a high-rate environment (like the one we’re in now) is always a smart financial decision. Even smarter is creating a CD ladder to ensure that if you need liquidity, you’ll have it in a short amount of time.

All of the best 12-month CDs found above are 100% risk-free when you stay under the $250,000 FDIC-insured maximum so if you’re someone with more than that amount to deposit, make sure you do so by utilizing multiple institutions.

Editor’s Note: Make sure to check your local banks for the best 12-month CD rates as well. Sometimes the national brands can’t match what your bank down the street can provide.

The post The Best 12-Month CD Rates (April 2024) appeared first on Doughroller.

Note that you may find better rates with alternative account types. For example, online savings accounts or no-penalty CDs may offer higher yields.

Editor’s Pick

While it doesn’t have a full two-year term, the Discover® Bank, Member FDIC 18-Month CD offers a strong APY of %. Discover Bank requires a $2,500 minimum deposit (which is reasonable) and also offers other deposit products with competitive interest rates.

• Current APY – %
• Minimum Deposit Requirement – $2,500
• Early Withdrawal Penalty – 6 months of simple interest

The Rest of the Best 2-Year CD Rates

1. Credit Human

Certificate of Deposit

Member NCUA

APY

%

Term

18-23 Months

Min. Deposit

$500

Our Rating: 4.6

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate

Cons

---

• Requires $500 min. deposit
• Early withdrawal penalty

Early Withdrawal Penalty

270 days of simple interest

Min. Opening Balance

$500

Why it made our list

Credit Human is pretty unique in the way they offer CDs. For this CD you can choose a term anywhere between 18 and 23 months and the rate you see applies to any term within that range. This gives you excellent flexibility to build a CD ladder month-to-month with an excellent APY.

What could be better

Credit Human charges a high early withdrawal penalty of 270 days simple interest.

2. Skyla Credit Union

Certificate of Deposit

Member NCUA

APY

%

Term

24 Months

Min. Deposit

$500

Our Rating: 4.5

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate

Cons

---

• Early withdrawal penalty
• $500 deposit requirement

Early Withdrawal Penalty

2% of principal

Min. Opening Balance

$500

Why it made our list

The 2-year CD from Skyla Credit Union offers a high interest rate and low deposit requirement. If you have at least $50,000 to deposit, you can open a jumbo CD for an even higher rate.

What could be better

When you close your CD early, Skyla charges a 2% of principal withdrawal fee. This means you could leave the bank with less money than you started. Bottom line, try to avoid closing your CD early.

3. American First Credit Union via Raisin

Certificate of Deposit

Member NCUA

APY

%

Term

24 Months

Min. Deposit

$1

Our Rating: 4.6

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate
• $1 minimum deposit

Cons

---

• Early withdrawal penalty

Early Withdrawal Penalty

365 days of simple interest

Min. Opening Balance

$1

Why it made our list

American First Credit Union offers a terrific APY on their 2-year CD via Raisin. The minimum deposit is only $1.

What could be better

365 days of simple interest is a big early withdrawal penalty. Make sure when you open a 2-year CD with American First Credit Union, emergency cash is available if needed.

4. Prime Alliance Bank

Certificate of Deposit

Member FDIC

APY

%

Term

24 Months

Min. Deposit

$500

Our Rating: 4.7

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate

Cons

---

• Requires $500 min. deposit
• Early withdrawal penalty

Early Withdrawal Penalty

90 days of simple interest

Min. Opening Balance

$500

Why it made our list

Prime Alliance Bank ranks very high because it’s strong in all three important categories. High interest rate, low required deposit and best of all, only a 90-day simple interest penalty for early withdrawals.

What could be better

The 2-year CD is pretty excellent and it’s hard to find a flaw with Prime Alliance here.

5. Marcus by Goldman Sachs

Certificate of Deposit

Member FDIC

APY

%

Term

24 Months

Min. Deposit

$500

Our Rating: 4.5

★★★★★☆

Apply Now

Details

Pros

---

• No fees
• Excellent rate

Cons

---

• Early withdrawal penalty
• $500 deposit requirement

Early Withdrawal Penalty

180 days of simple interest

Min. Opening Balance

$500

Why it made our list

Marcus by Goldman Sachs is a terrific online bank and it offers a strong interest rate with just about every other deposit and loan product you can imagine.

What could be better

Marcus by Goldman Sachs charges an early withdrawal penalty of 180 days simple interest. Close your CD in the first six months and you’ll walk away with principal only.

Highest 2-Year CD Rates by APY

In addition to the CDs we’ve highlighted above, we also track more than 100 other 2-year CD rates. Below you will find them listed in order of highest to lowest.

121 Results

USALLIANCE Financial
24-month CD

APY
5.00%

Min
$500

Max
-

---

NexBank
24-month Standard CD

APY
4.80%

Min
$10,000

Max
$25k

---

Luana Savings Bank
24-month Jumbo CD

APY
4.76%

Min
$100,000

Max
-

---

Bask Bank
24-month CD

APY
4.75%

Min
$1,000

Max
-

---

Credit Human Federal Credit Union
24-35 month Share Certificate

APY
4.70%

Min
$500

Max
-

---

TAB Bank
24-month CD

APY
4.65%

Min
$1,000

Max
-

---

TAB Bank
24-month Business CD

APY
4.65%

Min
$1,000

Max
-

---

First Internet Bank
24-months High Yield CD

APY
4.61%

Min
$1,000

Max
-

---

Bread Bank
2-Year CD

APY
4.60%

Min
$1,500

Max
$1,000k

---

La Capitol Federal Credit Union
2-Year Super Saver Share Certificate

APY
4.60%

Min
$100,000

Max
-

---

Luana Savings Bank
24-month CD

APY
4.60%

Min
$2,000

Max
$100k

---

Connexus Credit Union
24-month Jumbo Certificate

APY
4.58%

Min
$100,000

Max
-

---

Colorado Federal Savings Bank
24-month CD

APY
4.55%

Min
$5,000

Max
-

---

La Capitol Federal Credit Union
2-Year Mega Saver With One-Time Bump

APY
4.55%

Min
$100,000

Max
-

---

Connexus Credit Union
24-month Certificate

APY
4.53%

Min
$5,000

Max
-

---

Quontic Bank
24-Month CD

APY
4.50%

Min
$500

Max
-

---

MainStreet Bank
2-Year CD

APY
4.50%

Min
$500

Max
-

---

La Capitol Federal Credit Union
2-Year Thrifty Saver Share Certificate

APY
4.50%

Min
$1,000

Max
-

---

American First Credit Union
24-month CD via Raisin

APY
4.50%

Min
$1

Max
-

---

America First Credit Union
24-29 months CD

APY
4.50%

Min
$500

Max
-

---

LendingClub Bank, N.A.
2-year CD

APY
4.50%

Min
$2,500

Max
$250k

---

Bayer Heritage Federal Credit Union
24-month CD

APY
4.50%

Min
$100

Max
-

---

Prime Alliance Bank
24-month CD

APY
4.50%

Min
$500

Max
-

---

Northern Bank Direct
24-month CD

APY
4.50%

Min
$500

Max
$250k

---

Seattle Bank
24-month CD

APY
4.40%

Min
$1,000

Max
$220k

---

Fort Liberty Federal Credit Union
24-months Jumbo Share Certificate

APY
4.40%

Min
$25,000

Max
-

---

Nelnet Bank
24-month CD via Raisin

APY
4.39%

Min
$1

Max
-

---

America First Credit Union
24-29 months Bump-Rate CD

APY
4.35%

Min
$500

Max
-

---

TotalDirectBank
24-month CD

APY
4.34%

Min
$25,000

Max
-

---

Ponce Bank
24-month High Yield CD

APY
4.30%

Min
$1,000

Max
-

---

Chevron Federal Credit Union
24-months Share Certificate

APY
4.30%

Min
$100,000

Max
-

---

Chevron Federal Credit Union
24-months Share Certificate

APY
4.30%

Min
$250,000

Max
-

---

Spectrum Credit Union
24-months Share Certificate

APY
4.30%

Min
$100,000

Max
-

---

Spectrum Credit Union
24-months Share Certificate

APY
4.30%

Min
$250,000

Max
-

---

Alliant Credit Union
24-month Jumbo CD

APY
4.30%

Min
$75,000

Max
-

---

Popular Direct
24-month CD

APY
4.30%

Min
$10,000

Max
-

---

Rising Bank
2-Year Jumbo CD

APY
4.30%

Min
$100,000

Max
-

---

Fort Liberty Federal Credit Union
24-months Share Certificate

APY
4.30%

Min
$500

Max
-

---

NASA Federal Credit Union
24-month CD

APY
4.30%

Min
$1,000

Max
-

---

Langley Federal Credit Union
24-month CD

APY
4.25%

Min
$500

Max
-

---

Rising Bank
2-Year CD

APY
4.25%

Min
$1,000

Max
-

---

Crescent Bank
24-month CD

APY
4.25%

Min
$1,000

Max
-

---

XCEL Federal Credit Union
24-months CD

APY
4.20%

Min
$500

Max
-

---

Alliant Credit Union
24-month CD

APY
4.20%

Min
$1,000

Max
-

---

Newtek Bank
24-month CD

APY
4.20%

Min
$2,500

Max
$250k

---

Chevron Federal Credit Union
24-months Share Certificate

APY
4.20%

Min
$50,000

Max
-

---

Spectrum Credit Union
24-months Share Certificate

APY
4.20%

Min
$50,000

Max
-

---

Marcus by Goldman Sachs
2-Year CD

APY
4.20%

Min
$500

Max
$1,000k

---

Synchrony Bank
24-month CD

APY
4.20%

Min
$1

Max
-

---

NASA Federal Credit Union
24-month Bump Rate CD

APY
4.20%

Min
$1,000

Max
-

---

Synchrony Bank
24-month IRA CD

APY
4.20%

Min
-

Max
-

---

All In Credit Union
24-month CD

APY
4.18%

Min
$1,000

Max
-

---

Idabel National Bank
24-Month CD via Raisin

APY
4.15%

Min
$1

Max
-

---

Chevron Federal Credit Union
24-months Share Certificate

APY
4.10%

Min
$500

Max
-

---

Spectrum Credit Union
24-months Share Certificate

APY
4.10%

Min
$500

Max
-

---

Dow Credit Union
24-month CD

APY
4.09%

Min
$500

Max
-

---

American Bank
24-month CD

APY
4.00%

Min
$500

Max
-

---

American Bank
24-month Business CD

APY
4.00%

Min
$500

Max
-

---

Discover® Bank
24-month High Yield CD

APY
4.00%

Min
$2,500

Max
-

---

Discover® Bank
24-month IRA CD

APY
4.00%

Min
$2,500

Max
-

---

EverBank
2-Year CD

APY
4.00%

Min
$1,000

Max
-

---

American Express Bank
24-Month CD

APY
4.00%

Min
$1

Max
-

---

Citizens Access
2-Year Online High Yield CD

APY
4.00%

Min
$5,000

Max
-

---

Signature Federal Credit Union
24-month CD

APY
4.00%

Min
$500

Max
-

---

Capital One Bank
360 24-month CD

APY
4.00%

Min
$1

Max
-

---

BMO
24-month Standard CD*

APY
4.00%

Min
$1,000

Max
-

---

BMO Alto
24-month Online CD

APY
4.00%

Min
-

Max
-

---

Skyla Credit Union
24-month Jumbo CD

APY
3.90%

Min
$50,000

Max
-

---

Seattle Bank
24-month Bump-Up CD

APY
3.85%

Min
$1,000

Max
$220k

---

United States Senate Federal Credit Union
24-months Plus Jumbo CD

APY
3.82%

Min
$200,000

Max
-

---

United States Senate Federal Credit Union
24-months Plus Jumbo Business CD

APY
3.82%

Min
$200,000

Max
-

---

EverBank
2.5 Year CD

APY
3.80%

Min
$1,000

Max
-

---

Skyla Credit Union
24-month CD

APY
3.80%

Min
$500

Max
-

---

United States Senate Federal Credit Union
24-months Jumbo CD

APY
3.77%

Min
$100,000

Max
$200k

---

United States Senate Federal Credit Union
24-months Jumbo Business CD

APY
3.77%

Min
$100,000

Max
$200k

---

Ally Bank
2-Year Raise Your Rate CD

APY
3.75%

Min
$1

Max
-

---

Forbright
24-month Online CD

APY
3.75%

Min
$1,000

Max
-

---

Teachers Federal Credit Union
24-month CD

APY
3.75%

Min
$1,000

Max
$100k

---

Affinity Plus Federal Credit Union
24-month CD

APY
3.75%

Min
$500

Max
-

---

United States Senate Federal Credit Union
24-months CD

APY
3.72%

Min
$1,000

Max
$100k

---

United States Senate Federal Credit Union
24-months Business CD

APY
3.72%

Min
$1,000

Max
$100k

---

Synchrony Bank
24-month Bump-Up CD

APY
3.60%

Min
$1

Max
-

---

Interior Federal Credit Union
24-months

APY
3.56%

Min
$500

Max
-

---

Credit Union of the Rockies
24-month CD

APY
3.50%

Min
$500

Max
-

---

Credit Union of the Rockies
24-month Baby-Jumbo CD

APY
3.50%

Min
$50,000

Max
-

---

MainStreet Bank
2-Year Business CD

APY
3.50%

Min
$500

Max
-

---

HSBC
24-months Online CD

APY
3.50%

Min
$1,000

Max
$2,000k

---

Magnifi Financial
24 month Boom! CD Youth Account

APY
3.30%

Min
$250

Max
$8k

---

Magnifi Financial
24-month Jumbo CD

APY
3.25%

Min
$150,000

Max
-

---

Finworth
2-Year CD

APY
3.20%

Min
$50,000

Max
$240k

---

Magnifi Financial
24-month Jumbo CD

APY
3.15%

Min
$100,000

Max
$150k

---

Magnifi Financial
24-month CD

APY
3.10%

Min
$50,000

Max
$100k

---

NuVision Credit Union
2-Year Jumbo CD

APY
3.05%

Min
$100,000

Max
-

---

Magnifi Financial
24-month CD

APY
3.05%

Min
$25,000

Max
$50k

---

Liberty Federal Credit Union
2-Year CD

APY
3.00%

Min
$1,000

Max
-

---

NuVision Credit Union
2-Year CD

APY
3.00%

Min
$50,000

Max
-

---

Magnifi Financial
24-month CD

APY
3.00%

Min
$500

Max
$25k

---

Barclays Bank
24-month CD

APY
3.00%

Min
-

Max
-

---

NuVision Credit Union
2-Year CD

APY
2.95%

Min
$25,000

Max
-

---

NuVision Credit Union
2-Year CD

APY
2.90%

Min
$1,000

Max
-

---

Thrivent Credit Union
24-month CD

APY
2.80%

Min
$1,000

Max
-

---

UNIFY Financial Credit Union
24-month Jumbo CD

APY
2.70%

Min
$100,000

Max
-

---

UNIFY Financial Credit Union
24-month CD

APY
2.55%

Min
$40,000

Max
$54k

---

Bank Financial
2-Year CD

APY
2.50%

Min
$1,000

Max
-

---

Bank Financial
Goal Setter 2-Year CD

APY
2.50%

Min
$1,000

Max
-

---

UNIFY Financial Credit Union
24-month CD

APY
2.40%

Min
$100

Max
$54k

---

BrioDirect
24-month High Yield CD

APY
2.30%

Min
$500

Max
-

---

EverBank
2-Year Business CD

APY
2.20%

Min
$1,500

Max
-

---

Zeal Credit Union
24-months Jumbo CD

APY
2.10%

Min
$100,000

Max
-

---

Live Oak Bank
2-Year CD

APY
2.00%

Min
$2,500

Max
$250k

---

Live Oak Bank
2-Year Business CD

APY
2.00%

Min
$2,500

Max
$250k

---

Zeal Credit Union
24-months CD

APY
2.00%

Min
$25,000

Max
$100k

---

Citibank
2-Year Fixed Rate CD

APY
2.00%

Min
$500

Max
-

---

Zeal Credit Union
24-months CD

APY
1.90%

Min
$1,000

Max
$25k

---

Third Federal Savings & Loan
24-months CD

APY
1.50%

Min
$50

Max
-

---

American First Credit Union
24-month CD

APY
1.20%

Min
$1,000

Max
-

---

Continental Bank
2-Year High Yield CD

APY
0.85%

Min
$25,000

Max
-

---

Bank Financial
Goal Setter 2-Year CD

APY
0.75%

Min
$25

Max
$1k

---

ConnectOne Bank
24-month CD

APY
0.50%

Min
$500

Max
-

---

CIT Bank
2-Year Term CD

APY
0.40%

Min
$1,000

Max
-

---

CIT Bank
2-Year Jumbo CD

APY
0.40%

Min
$100,000

Max
-

---