Due to their decreased administrative expenses, online banking sometimes charges lower fees and provides greater interest rates than traditional brick-and-mortar financial institutions. The banking sector has not been exempt from technology. In fact, it is being deeply changed by online banking technology at every stage, from the front to the back. Digitalization involves things like smartphone applications, online payments for bills, and more. This online banking is made possible by a technology called artificial intelligence (AI). Customers are also very interested in banking services that have gone digital. At least three out of every four Americans have used a bank’s mobile app to do their regular banking.
Online banking has little to no physical branches, compared to certain banks that have branches in certain locations and have online portals. They only have an online presence, and their apps and websites let you do mobile banking and online banking, respectively. The top 15 online banking in the US are listed below. This article will also answer some of the most common questions people have about online banking.
Top 15 Online Banking in US 2022 – TechCreative
It might be challenging to determine which bank (some of them are among our partners) may be ideal for you and your needs because the number of institutions offering online banking has increased along with its popularity. TechCreative looked at about thirty online banks based on the following criteria to help you make your choice:
- overall assets
- The annual fee for a checking account
- 12-month APY for savings accounts
Products for customer service offered by CD APY - Bauer’s Rank
- Products and services are provided.
- The average rating for mobile apps
These are the Top Online Banking of 2022, as determined by TechCreative’s study.
How to Choosing an Online Banking
Any sort of bank you choose should suit your financial demands. This is a personal choice. However, there are a few universal traits that you ought to search for in every bank. Here are some recommendations to help you find the ideal online bank.
Examine the fees
Online Banks may vociferously advertise their accounts with no monthly fees but peek behind the scenes to see whether there are hidden costs for services you’re likely to use, like check writing or ATM withdrawals.
Study the Small Print
Read the fine print to avoid unpleasant surprises; certain rates or fees can be promotional in nature.
Verify the APY
Online banking typically lists its highest APYs on its front pages, but this does not imply that they provide high APYs across the board for all of its products. Always be sure the APY is applicable to the goods you are currently interested in or may become interested in in the future.
View the website and mobile app
Great rates and minimal fees are vital, but since there are no in-branch choices, you might not like using an online banking in the long term if you can’t grasp or don’t like the user interface. Before you deposit large sums of money with an online bank, test out the website and mobile app.
FDIC Protection
All of the online banking on this list have FDIC protection, as do the majority of banks. Even though they appear to be banks, several fintech institutions lack their own FDIC protection. Even though the FDIC protects the partner banks with which they work, your deposits are not technically safe until they reach those banks. Always double-check that you comprehend the FDIC insurance policies of your banking institution.
1. Ally Bank
Ally Bank’s services, such as IRA CDs, savings accounts, no-fee checking accounts, and savings accounts, all have rates that are reasonable. If you wish to handle all of your online banking requirements in one location, it also offers a wide range of additional financial products. For example, Ally offers mortgage loans in most states, and you can fill out the whole application online. Online banking also offers personal loans for certain purposes, like house repairs or medical care, and they are disbursed directly to the service provider. Other features include tools to manage your accounts and analyze your spending to help you save more, as well as self-directed and Robo-investing. These are things you won’t find at most major brick-and-mortar banks.
Pros
- rates on savings and CD IRA alternatives that are competitive.
- without a monthly checking charge.
- No fines for overdrafts
Cons
- Several other online banks may offer rates that are higher.
2. Discover Bank
Discover Bank offers a wide range of services to its customers, such as CDs and credit cards, and there is no monthly fee for checking accounts. There are no minimum balance requirements, monthly service fees, overdraft fees, or penalties for not having enough cash in the account. In addition to providing competitive rates on savings accounts and CDs, Discover pays 1% cash back on up to $3,000 in debit card transactions each month.
Pros:
- without a monthly checking charge.
- Cash-back incentives
- A variety of products are offered.
Cons:
- There are other places to find more affordable prices.
3. TIAA, FSB
Because of its affordable rates and lack of a monthly checking charge, TIAA-FSB remains competitive with the other banks on this list and is well worth considering. The APY on TIAA Bank’s Yield Pledge Money Market account is 1.20%, even though much online banking doesn’t offer money market accounts right now.TIAA also offers a bump-up CD, which enables a one-time rate increase. Through TIAA, you’ll also have access to more than 80,000 fee-free ATMs.
Pros:
- competitive savings and CD rates.
- Bump-up available CD
- without a monthly checking charge.
Cons
- Several other online banks may offer rates that are higher.
- substantial opening deposits.
4. Axos Bank
Axos Bank may be a fantastic location to keep your money if you’re hoping to grow it, thanks to its high-yield savings account and rewards checking account, both of which provide highly competitive APYs. With up to 1.25% APY for large balances and 1% cash back for regular transactions made with a signature debit card, respectively, the rewards and cashback checking accounts are definite standouts. Additionally, Axos does not impose lender fees on home loans.
Pros:
- without a monthly checking charge.
- APY on checking accounts with perks and savings
- Mortgage loans are free of lender costs.
Cons:
- less appealing APY on a one-year CD
5. First Internet Bank
When compared to other online banks, its 1-year CD offers a competitive APY. Because there are no monthly checking fees, you don’t lose any money using this method. However, the bank excels in providing excellent client service. Relationship bankers at First Internet online banking are available by phone and email from 7 a.m. to 9 p.m. Monday through Friday, and from 9 a.m. to 3 p.m. on Saturdays.
Pros:
- A checking account has no monthly fees.
- The APY on a 1-year CD is high.
- Relationship bankers are reachable.
Cons:
The APY on Marcus by Goldman Sachs savings accounts has decreased.
6. Marcus by Goldman Sachs
In the great scheme of things, online banks are relatively new, but Marcus is the product of 150 years of financial expertise from Goldman Sachs. That could ease the minds of people who like the low rates and extra benefits that online banks offer but are afraid to switch from traditional online banking. In addition to having a reputable reputation in finance, Marcus by Goldman Sachs offers relatively reasonable rates on its savings and 1-year CD accounts.
Pros:
- A reputable name in finance.
- Competitive rates on savings and 1-year CDs
- A variety of products are offered.
Cons:
- With no checking account.
7. Synchrony Bank
If building wealth by saving and investing is at the top of your list of financial priorities, Synchrony Bank offers competitive rates on its savings and 1-year CD accounts. The 1.10% APY on 15-month CDs is really one of the highest rates available. There is no minimum balance requirement, and interest rates can reach 3.25 percent. With Synchrony, you don’t have to keep a certain amount in your account, and the money market rate of 1.10 percent is competitive.
Pros
- competitive rates on savings and CDs.
- For money market accounts and CDs, there are no minimum balance restrictions.
Cons
- with no checking account.
8. Quontic Bank
On its 12-month CDs, Quontic online banking provides a competitive 1.76% APY, and on its 60-month CDs, an exceptional 2.20%. The no-fee checking account offered by Quontic, which offers 1.10% APY on balances up to $150,000 with qualifying account activity, is another feature that sets it apart.
Pros
- high-interest checking account without fees
- Competitive rates on savings and 1-year CDs
Cons
- Reduced rates compared to certain other banks’
9. Sallie Mae Bank
Sallie Mae focuses on assisting families and students with their college expenses and savings targets. Sallie Mae offers private student loans as well as a search engine for scholarships and a way for students to submit their FAFSA online in less than 10 minutes. The bank also has a no-fee, no-minimum-balance high-yield savings account with an APY of 1.65%. Credit cards are among the additional goods that may be used to establish credit and pay off loans more quickly.
Pros:
- extremely robust savings account. APY’s area of expertise is online banking products for students and their families.
Cons:
- with no checking account.
10. Bread Savings
With regard to its CDs and high-yield savings accounts, Bread Savings provides competitive rates. CDs have an APY of up to 2.85% and begin collecting interest right away. There are no fees for the high-yield savings account.
Pros
- Comparable prices
Cons
- with no checking account.
11. TAB Bank
A variety of checking and savings accounts with no monthly fees are available from TAB Bank. With the introduction of the TAB Flow account, TAB clients will soon be able to earn up to 1% fractional stock rewards on debit card purchases. TAB Flow will provide further benefits, including subscription tracking, spending analytics, and no minimum balance requirements.
Pros
- without a monthly checking charge.
- A variety of products are offered.
- Coming soon are stock rewards.
Cons
- Other places provide better prices.
12. LendingClub Bank
Historically renowned for its personal loans, LendingClub is now a full-service bank as well. LendingClub has solutions for a wide range of consumer needs, such as online banking options for both personal and business use.
High-yield savings accounts, CDs, checking accounts, and rewards or CashBack debit cards are all available for personal banking.
Pros
- without a monthly checking charge.
- competitive savings account interest rate
Cons
- lower savings rates and 1-year CD rates.
13. CIT Bank
Why it stands out: Unlike many online banking, CIT Bank, which is now a part of First Citizens Bank, provides users with checking and savings accounts, CDs, and home loans. On the first day, the account is launched, the Savings Builder account gives a starting rate of 0.80%. By keeping a balance of $25,000 or making at least $100 a month in deposits, you can keep earning 0.80%.
The CIT accounts have no monthly fees.
Pros
- A good APY is offered on checking and savings accounts.
- Accounts are completely free.
- a variety of product options.
Cons
- less appealing APY on a one-year CD
14. American Express National Bank
American Express National Bank, Member FDIC only offers savings accounts, checking accounts, certificates of deposit, individual retirement accounts, and personal loans, but it does a great job at what it does. The American Express high-yield savings account permits up to nine withdrawals every statement period, which is more than typical savings accounts, which only permit six.
Pros
- Comparable prices
- Allowable monthly savings withdrawals: nine
- Any amount is sufficient to open a CD.
Cons
- Only qualifying members can get a 1-year CD checking account with a less attractive APY.
15. iGObanking.com
Why it stands out: In addition to a respectable APY on its 12-month CD, iGObanking.com provides a broad range of fundamental online banking products. The checking account does not have an overdraft fee, and neither does the savings account. You will receive a unique gift from IGOBanking’s GiftsforBanking program when you deposit $25,000 into a two-, three-, or five-year CD.
Pros
- A checking account has no monthly fees.
- available bonus rate for savings accounts.
- GiftsforBanking Reward
Cons
- lower rates than those offered by other banks