American Express National Bank Review 2021

American Express National Bank is a strong contender for customers in search of high-yield savings options and — for those able to handle a little less liquidity — impressive certificate of deposit (CD) options.

Known largely for the Amex credit card, American Express Bank is an FDIC-insured online bank that offers a savings account and a high-yield certificate of deposit. In addition, you can utilize American Express for personal loans, individual retirement accounts (IRAs) and a business checking account. Notably absent, however, is a personal checking option, as well as options for money market accounts.

That means an account with American Express National Bank cannot be funded through mobile check deposit or ATM deposit. Because it’s an online savings account, you can’t deposit funds in person either. Instead, you will need to link any external bank accounts to transfer money into your Amex savings account.

Why would you open a savings account at a bank without checking offered along with it? The high-yield APY (0.40% at time of publishing) for the savings may far surpass that of the savings account of your current bank, but you may still enjoy that bank’s checking features. The savings account is also ideal for those banking with newer bank alternatives, like Chime, which have great spending (checking) accounts but don’t have ideal savings features.

The lack of monthly fees, lack of minimum deposit and lack of ongoing minimum balance requirements also make American Express National Bank an attractive option, but the absence of a mobile app doesn’t do it any favors.

In our American Express National Bank review, we’ll specifically explore two Amex bank accounts (the savings account and certificate of deposit), analyze additional features and then weigh the pros and cons of a bank account with Amex before helping you determine if an account with Amex is right for you.

American Express Bank High Yield Savings

Best for Savvy Savers
3.5 out of 5 Overall
Key Features
  • 0.40% APY
  • Up to 9 withdrawals per month
  • No monthly fees
The High Yield Savings Account from Amex is, at its core, about high-yield earnings. The 0.40% APY is enticing enough, but the allowance for up to nine withdrawals per month (instead of six) and the lack of monthly fees are also favorable features. The absence of a connected checking account, plus the lack of a mobile app, are the major pitfalls of this account.
American Express Bank High Yield Savings
APY
0.40%
Monthly fees
$0
Minimum balance requirement
$0
ATM access
n/a
Monthly withdrawals allowed
Up to 9

The High Yield Savings Account from American Express National Bank is the main appeal of a bank account at American Express, especially for those who already have an American Express credit card. The account lives up to its name; at 0.40% APY, the account truly is high yield.

Beyond the high interest rate, the American Express savings account is unique in that it allows up to nine transfers and/or withdrawals per month. Until last year, Federal Reserve Board regulations limited savings transfers to six a year; many other banks have still capped theirs at six, but American Express now allows nine a month.

You’ll find no monthly service fees for the High Yield Savings Account, and there’s no minimum deposit to open nor a monthly minimum account balance to maintain. Because it’s a savings account with no debit card, you won’t have to worry about foreign transaction fees or overdraft fees.

There’s no mobile app to manage your savings, but Amex does have an easy-to-use online platform with around-the-clock customer service, as needed.

Access to funds is limited. You can’t withdraw money via an ATM or physical bank, nor can you deposit that way either. Instead, you will need to have an external bank account (checking or savings) with another financial institution to and from which you can transfer money as needed.

American Express Bank CD

Best for Long-Term Savers
4 out of 5 Overall
Key Features
  • Up to 0.55% APY
  • Terms ranging from 6 to 60 months
  • No monthly fees
As far as CDs go, American Express has some of the best on offer. If you can handle being hands off from a chunk of your funds for up to 60 months, you can expect to earn up to 0.55% APY, compounded daily and paying monthly. And the best part? No account minimums and no monthly fees.
American Express Bank CD
APY
Up to 0.55%
Monthly fees
$0
Minimum balance requirement
$0
Terms ranging from
6 to 60 months

If you have some funds you are willing to put aside for a set number of months in order to grow interest faster, consider a certificate of deposit with Amex.

Like the High Yield Savings Account from American Express Bank, the CDs have no account minimums and no monthly fees. You can choose certificate of deposit terms ranging from six months to five years. The longer you keep the money in the CD, the more you’ll earn.

Here’s the breakdown of current terms and interest rates for American Express National Bank Certificates of Deposit:

Terms and Interest for CDs

Term APY

6 months

0.10%

12 months

0.20%

18 months

0.30%

24 months

0.40%

36 months

0.45%

48 months

0.50%

60 months

0.55%

Here, you can see that anything under two years actually earns at an APY lower than the current High Yield Savings Account interest rate. CDs, however, lock in your interest rate when you deposit funds, meaning it cannot fluctuate regardless of the market. APYs on personal savings accounts can change on a dime, as we saw with COVID-19 when they dropped to historic lows.

However, interest rates for savings accounts are on the rise. While no one can be certain, we expect Amex to continue to offer at least 0.40% APY on its savings account, if not more. If you are a gambler (or just need more liquid cash), go with the High Yield Savings option from American Express instead of the CD, unless you plan to invest for the long haul; that 0.55% APY for the five-year deposit is mighty attractive.

A note on CDs: Though somewhat riskier, you stand to earn considerably more when you set aside funds for a diversified portfolio of stocks and bonds instead of a CD. On average, you can expect a 10% return, though this fluctuates by day.

American Express National Bank Review: Key Features

The personal savings account and CDs are the main draw of banking with Amex (outside of the credit cards), and while our review of American Express National Bank is focused on these accounts, we are sharing the full scope of account offerings below, as well as commentary on fees, ATM access, mobile banking and customer service.

American Express: What Else They Offer

You likely know Amex as a major credit card company. At the time of writing, Amex is offering 18 credit cards, including the American Express Gold Card, the Platinum Card, the Blue Cash Preferred Card, and the Cash Magnet Card. Amex also offers credit cards via Delta Airlines.

You can also take out personal loans via American Express if you are a card member. Loans range from $3,500 to $40,000.

You can also apply for a business loan and  business checking (the only form of checking offered through American Express Bank).

Finally, American Express offers an IRA savings plan (either Traditional or Roth) with funds deposited in either an IRA High Yield Savings or IRA Certificate of Deposit account. These retirement bank accounts are tax advantaged and are backed by FDIC (Federal Deposit Insurance Corporation) insurance.

American Express Fees

While Amex credit cards can carry hefty fees, we’re taking a look at just the banking fees. The headline here: no monthly service fees for banking with Amex. That includes no foreign transaction fees, no overdraft fees and no ATM surcharge fees.

But the main reason for its lack of fees? A lack of checking accounts with which you can rack up fees.

We do appreciate that the online savings account is offered fee-free (even if you want paper statements) and has no monthly balance requirements.

American Express ATM Access

A bank account with American Express does not come with a debit card, which means you cannot use an ATM for this account.

American Express Mobile App

At the time of writing, Amex does not offer a mobile app for banking features. This is a major letdown for the account and likely makes it a non-starter for many of our digital-first readers. However, the online bank platform is easy to use, and if you have an app for checking through a different bank, that’s the one you’ll be able to use to initiate transfers into and out of your savings account.

Note: American Express does have a mobile credit card app, which has earned top marks in customer satisfaction in J.D. Power studies in recent years, including recognition for speed.

American Express Customer Service

A hallmark of American Express is its true 24/7 customer service. Many other online banks claim around-the-clock customer service, but your chances of speaking with a real human outside traditional business hours are far more limited.

But with Amex, you can call or chat anytime, any day, and expect to speak with a human.

American Express National Bank Contact Information

Customer Service Phone Number:

1-800-446-6307

Address:

American Express National Bank; P.O. Box 30384; Salt Lake City, Utah 84130

Pros and Cons of American Express National Bank

Still deciding whether American Express is the right place for you to build your savings? We’ve compared the pros and cons of an account with Amex.


Pros
  • The High Yield Savings is competitive at 0.40% APY.
  • Amex has one of the better deals for long-term CDs.
  • Customer service is always reachable and very helpful.
  • Amex offers a large selection of credit cards with unique benefits and an industry-leading credit card mobile app.
  • There are no monthly service fees or account minimum balances to worry about. There is also no minimum deposit to open an account.

Cons
  • American Express does not offer a checking account, which makes funding and withdrawing money more challenging.
  • The high-yield savings option from Amex does not come with a debit card, meaning you cannot use ATMs.
  • There are no physical branches, so if you need help with your account, you’ll have to call or chat online.
  • Personal loan options are reserved for Amex card holders only; having a savings account does not qualify you.
  • There is no mobile app for the savings account or CD; online banking is limited to browser access or transfers initiated in an external bank’s app.

Frequently Asked Questions (FAQs) About American Express National Bank

Still have questions about opening a savings account and/or CD with American Express Bank? We’ve rounded up the answers to the questions our readers are most commonly asking about banking with Amex.

Is American Express National Bank Good?
American Express National Bank is a solid choice for credit cards and high-yield savings, but a full-suite bank it is not. If you want a checking option with the same bank at which you open your savings, look elsewhere. But if you already have a checking account you’re happy with, consider moving your savings over to Amex to take advantage of the 0.40% APY.
Is American Express National Bank Safe?
American Express Bank is insured up to $250,000 per depositor through the FDIC. Worried about the security of online savings accounts? Amex utilizes multi-factor authentication, constantly monitors for fraud, and employs Secure Socket Layer (SSL) encryption for safe online banking.
Is American Express National Bank the same as American Express?
American Express National Bank is owned by the same parent company as the Amex credit card. However, the accounts are separate; you’ll log in on separate websites using unique login credentials.
Which bank owns American Express?
In 2008, financial company American Express received the green light from the Federal Reserve to operate as a bank holding company. In the following year, American Express launched American Express Bank, which is headquartered in Salt Lake City, Utah.
Which states does American Express National Bank operate in?
The American Express Bank headquarters is in Salt Lake City, Utah, but the bank operates as an online bank only with no physical locations in Utah or any other state. To open an account, you must simply be a U.S. resident.
Do the American Express Savings Accounts Come with a Debit Card?
American Express does not offer a debit card with its High Yield Savings feature.
Does American Express National Bank have a checking account?
You cannot open personal checking with American Express National Bank, just a high-interest savings account and competitive CDs. Amex National Bank does, however, offer a business checking option.

Is American Express National Bank Right for You?

American Express National Bank is a great choice for your personal savings account, but with the lack of a checking option, it isn’t right for everyone. An account with American Express National Bank might be right for you if …

  • You’re interested in high-interest savings accounts without a linked checking account at the same bank.
  • You’re happy with your current checking account but are exploring other banks’ saving accounts to earn more.
  • You want a high-interest CD.
  • You want a bank with no fees, no minimum balance requirements and/or no minimum deposit to open an account.
  • You don’t need ATM access for your savings.
  • Having a mobile account for managing your savings isn’t that important to you.

Timothy Moore covers bank accounts for The Penny Hoarder from his home base in Cincinnati. He has worked in editing and graphic design for a marketing agency, a global research firm and a major print publication. He covers a variety of other topics, including insurance, taxes, retirement and budgeting and has worked in the field since 2012 with publications such as The Penny Hoarder, Debt.com, Ladders, WDW Magazine, Glassdoor and The News Wheel.

This was originally published on The Penny Hoarder, which helps millions of readers worldwide earn and save money by sharing unique job opportunities, personal stories, freebies and more. The Inc. 5000 ranked The Penny Hoarder as the fastest-growing private media company in the U.S. in 2017.

Capital One Eliminates Overdraft Fees: Who’s Next?

Capital One has eliminated overdraft fees and non-sufficient fund fees for all of its consumer banking customers, making it the first major U.S. bank to do so.

It joins a list of seven other smaller financial institutions that have already ditched overdraft fees and the question is now, will more big banks follow suit?

No More Overdraft Fees at Capital One

Capital One is not the first bank or credit union to eliminate overdraft fees, a penalty that disproportionately affects people who can’t afford them.

Earlier this year, online banking giant Ally Bank made headlines for eliminating its overdraft fees, and Alliant Credit Union, another major financial institution, followed shortly after.

Capital One is different from Ally and Alliant, however, because of its sheer size. Capital One is the nation’s sixth largest retail bank and, as of now, the only one in the top 10 to eliminate overdraft and non-sufficient funds fees.

Three of those top 10 banks, according to the Consumer Financial Protection Bureau, were responsible for 44% of the $15.47 billion in overdraft revenue collected in 2019. Those three banks are JPMorgan Chase, Wells Fargo and Bank of America.

Why the Change?

“This is an important mission moment at Capital One. We are making this choice to help our customers succeed. And along the way we are changing banking for good,” wrote Richard Fairbank, Capital One’s Founder and CEO, in a memo sent on Dec. 1 to “All Capital One Associates. The memo was provided to The Penny Hoarder by Capital One’s public relations department.

Capital One reports that this will cost the bank more than $150 million in annual revenue.

“Over the years we have taken our own path,” Fairbank wrote to employees. “We have capped fees, waived fees, and introduced grace periods for consumers to turn their balances positive before fees are assessed. Our fee levels are at the far low end of the industry. But we aren’t done yet. We are going to zero.”

And though Capital One is losing serious revenue by trending toward no fees, some experts think it makes financial sense.

“Their array of financial services skews heavily towards credit cards, which are a great source of revenue in the form of interest rates and fees,” said Ann Martin, Director of Operations at CreditDonkey. “By eliminating overdraft fees for their banking products, they will be able to bring in more consumers, many of whom can then be set up with Capital One credit cards, replacing any lost revenue from overdraft fees.”

Overdraft Protection Still Offered

Capital One customers can still opt in to overdraft protection. This will prevent their debit cards from being declined or their checks bouncing if they spend more than they have in their checking accounts.

The difference now is that this service is free of fees. If you are a Capital One customer, make sure you have opted into this fee-free service to protect against important bills (like rent or utilities) not getting paid because of insufficient funds.

That said, Capital One customers will have to demonstrate that they can manage recurring deposits before being eligible for the program.

Banks and Credit Unions That Don’t Charge Overdraft Fees

These eight financial institutions — banks, credit unions and cash management services — do not levy overdraft fees:

  • Ally
  • Alliant Credit Union
  • Capital One
  • Betterment *
  • Axos
  • Discover
  • Fidelity*
  • KeyBank**

*Fidelity’s account is a cash management account, which is slightly different from a traditional checking account and is built for those using Fidelity to invest. Betterment is also a cash management service which offers investing programs and a mobile-first checking account. 

**KeyBank’s overdraft protection for its Hassle-Free Account results in a declined transaction. No fees, but also declined payments for things like rent and utilities can still result in late fees for those struggling with finances.

Some large banks, including Wells Fargo, Chase and Bank of America, do offer specific accounts without overdraft fees, but the accounts are lackluster in terms of offerings and charge monthly maintenance fees.

Looking for a new checking account? We’ve got recommendations for the best checking accounts at banks and credit unions.

The Future of Overdraft Fees

In recent years, rather than eliminate overdraft fees outright, some banks have introduced policies and safeguards that make it more difficult for customers to overdraft and/or a lot easier to waive the fees if they do.

For example, PNC now has a Low Cash Mode while online bank Chime offers fee-free overdraft with SpotMe, up to $200. Features like 24-hour grace periods are becoming the norm across the board.

But are these tactics enough, especially when other banks are doing away with these fees entirely? Now that Capital One has taken this leap, will other banks follow?

Caleb Red, founder of TheDollarBudget (and Capital One QuickSilver Cash Rewards credit card holder), said he thinks they will.

“To stay competitive and attract new customers, many big banks are likely to follow Capital One and drop overdraft fees,” he told The Penny Hoarder.

Brad Cummis, owner and principal agent at Insurance Geek, agreed “Other big banks are likely to follow Capital One’s example due to competitive pressure rather than social reasons. Customers are likely to transfer their accounts to banks that offer lower interest rates and no fees on transactions such as overdrafts.”

And it doesn’t hurt that the Consumer Financial Protection Bureau has vowed increased scrutiny for banks that depend on overdraft fees for revenue. The threat of government regulations may motivate other banks to drop overdraft fees or at least make it easier for customers to avoid them.

Timothy Moore covers bank accounts for The Penny Hoarder from his home base in Cincinnati. He has worked in editing and graphic design for a marketing agency, a global research firm and a major print publication. He covers a variety of other topics, including insurance, taxes, retirement and budgeting and has worked in the field since 2012.

This was originally published on The Penny Hoarder, which helps millions of readers worldwide earn and save money by sharing unique job opportunities, personal stories, freebies and more. The Inc. 5000 ranked The Penny Hoarder as the fastest-growing private media company in the U.S. in 2017.

Capital One Bank Review

Capital One made a splash in the nineties with unprecedented mass advertising for credit cards — so we’re sure you’ve heard of the company.

You might not know, though, that it’s jumped on the online banking bandwagon over the past few years and has come out strong with digital-first banking services that rival competitors in traditional banks. It’s also continuing to improve its advantages. In early December, it became the first of the nation’s biggest banks to eliminate all overdraft fees and give up $150 million in annual revenue.

The Capital One 360 suite of bank accounts offers mobile-friendly, fee-free banking, with the added convenience of a smattering of physical locations around the country.

In our Capital One bank review, we’ll explore account options, fees, interest rates and other perks and drawbacks of the bank to help you determine whether it’s the right place for your money.

Capital One Checking Accounts

Account Best For Monthly Fees APY

360 Checking

Mobile banking

None

0.10%

MONEY Teen Checking

Teens and kids 8+

None

0.10%

Capital One 360 Checking Account

Best for Mobile Banking
5 out of 5 Overall
Key Features
  • Make deposits at CVS stores
  • 70,000 fee-free ATMs
  • Peer-to-peer payment with Zelle
Capital One’s signature checking account is popular with folks who want the convenience of online banking with the familiarity of an established institution. Pay no fees, except for rare needs like stop payment and replacement debit cards. Deposit cash at CVS stores and access a network of fee-free ATMs. The account offers overdraft protection options, pays up to two days early and pays 0.10% APY.
Capital One 360 Checking Account
Fees
None
APY
0.10%
ATM access
70,000 fee-free Allpoint and MoneyPass ATMs
Prime perk
Early paycheck access

The biggest selling point for a Capital One 360 Checking account is the lack of fees. That’s common for an online account but rare for traditional institutions — two worlds Capital One straddles comfortably. You pay no monthly maintenance fee and face no minimum balance requirements, and you get access to a network of 70,000 fee-free Allpoint and MoneyPass ATMs.

As a Capital One customer you get additional perks that are common for online banks: Get your paycheck up to two days early if you’re paid by direct deposit and earn 0.10% annual percentage yield (APY) on your balance.

A couple of features you miss out on with other online-only accounts: You can deposit cash over the counter at CVS locations, up to $4,995 per month, and you can transfer money to friends with any bank account that works with Zelle.

A 360 account gives you options for overdraft protection, including:

  • Auto-Decline: No overdraft protection and no fees. Transactions are declined.
  • Next Day Grace: The transaction goes through, and you get a full business day to replace the overdrawn amount in your account for free.
  • Free Savings Transfer: Connect your 360 Savings account to automatically pull the overdrawn amount from your savings into your checking account with no fee.

Capital One MONEY Teen Checking

Best for Kids and Teens Ages 8+
5 out of 5 Overall
Key Features
  • No fees
  • Link external accounts
  • Parental controls and visibility
Capital One’s MONEY account for kids and teens offers many of the same perks and convenience as the 360 Checking account, with the added feature of shared parental control. Kids get a card and account in their name, with autonomous access to mobile banking. Parents or guardians get visibility and can send money, and lock or unlock the debit card.
Capital One MONEY Teen Checking
Fees
None
APY
0.10%
ATM access
70,000 fee-free Allpoint and MoneyPass ATMs
Prime perk
Account in minor’s name

The MONEY Checking account is designed for teenagers and kids ages 8 and older. It works much like a joint checking account, except that adults don’t get a debit card. Instead, you get access to the account as a joint account holder, so you can see transactions, get alerts, lock and unlock the debit card, and connect external accounts to add and remove money.

The mobile app lets you help your kids manage money by setting up savings goals and offering rewards. You can also set a recurring allowance or just add money to their account any time from a connected Capital One or other bank account.

Kids get a debit card in their name and get full access and control on the account. Through the app, they can check their balance, set goals, allocate money for spending or saving, deposit checks, set up direct deposit and receive text alerts.

Capital One Savings Accounts

Capital One offers two online savings accounts: the 360 Performance Savings for adults and the Kids Savings Account for kids and teens.

Capital One Savings Accounts

Account Best For Monthly Fees APY

360 Performance Savings

High-yield savings

None

0.40%

Kids Savings Account

Savers under 18

None

0.30%

Capital One 360 Performance Savings

Best for High-Yield Savings
4 out of 5 Overall
Key Features
  • No monthly fee
  • No minimum deposit or balance
  • 0.40% APY
The 360 Performance Savings account is a standard free checking account that earns you 0.40% APY on your balance. Connect to your Capital One or external checking account to set up automatic transfers, and use the account as overdraft protection for your Capital One 360 Checking account.
Capital One 360 Performance Savings
Fees
No monthly fees
APY
0.40%
Saving withdrawal limit
Yes, six per month
Prime perk
Sign up to use account for checking overdraft protection

Capital One’s signature online savings account is pretty straightforward: no fees, no minimum balance or deposit, and a higher-than-average interest rate.

Earn 0.40% APY on all account balances, automate your savings with regular transfers from your Capital One 360 Checking or external checking account, and opt into Free Savings Transfer to use the savings account as free overdraft protection for a 360 Checking account.

Like most standard accounts, you’re limited to six “convenient” withdrawals per month, based on a now-defunct federal regulation. So use this account for medium- to long-term savings, like an emergency fund.

Note that, while Capital One still technically has a savings withdrawal limit, a customer service rep told The Penny Hoarder in November 2021 the institution is “temporarily pausing closures for … accounts that have exceeded their transfer or withdrawal limit.”

Capital One Kids Savings Account

Best for Kids Under 18
3 out of 5 Overall
Key Features
  • No fees or minimum balance
  • Parental approval required for withdrawal
  • 0.30% APY
The Kids Savings Account is for children under age 18. Kids can see their balance through the Capital One app, but they can’t make transfers without adults’ help. It’s your job to set up automatic savings plans — transfers from a Capital One or external checking account — and deposit or withdraw money.
Capital One Kids Savings Account
Fees
None
APY
0.30%
Age restriction
Children under 18
Prime perk
Can set up automatic transfers from a parent’s account

Capital One Credit Cards

Its credit card selection is broad, with 30 cards available. Cards offer travel, cash back and other rewards, low or no intro APR, no annual fee, and options for all credit score levels. Some popular cards include:

  • Venture Rewards: Earn airline miles for flights, rental cars and travels booked through Capital One Travel for a $95 annual fee.
  • Quicksilver Rewards: Earn 1.5% cash back on every purchase, with a 0% intro APR for the first 15 months and no annual fee.
  • Savor: Earn 4% cash back for eating out and entertainment, plus other cash back rewards, with Savor Rewards for a $95 annual fee; or earn 3% cash back on dining and other rewards for no annual fee with SavorOne.

360 CDs

As a savings account alternative (or add-on), Capital One sells Certificates of Deposit (CDs) it calls the 360 CD. There’s no minimum deposit to open a CD account, and CDs come with a guaranteed rate of return.

You can buy a CD for a term between six months and five years, and the APY goes up the longer the term.

Capital One 360 CDs

CD Term APY

Six months

0.10%

Nine months

0.10%

12 months

0.20%

18 months

0.25%

Two years

0.70%

30 months

0.70%

Three years

0.75%

Four years

0.80%

Five years

1.00%

You can receive interest payments from your CD at the end of the term (which would have the greatest yield) or monthly or yearly.

Loans

Capital One also offers auto loans, plus business banking and lending, but no home loans or personal loans.

Capital One Bank Fees

Capital One bank accounts are all mostly fee-free. You pay no monthly fees (with no minimum balance requirement) and no fees at Allpoint or MoneyPass ATMs for any checking or savings accounts. You have flexible options to avoid or eliminate overdraft fees, and you pay no foreign transaction fees and get your first book of 50 checks for free.

The accounts charge typical fees for some extras, including:

  • Cashier’s check: $10 in person, $20 online with expedited delivery.
  • Overnight delivery for a replacement debit card: $25.
  • Stop payment: $25.
  • Send a physical check via courier: $20.
  • Domestic wire transfer: $30.

Capital One Bank Customer Experience

The Capital One bank customer experience is increasingly an online banking experience as the company continues to close branches and focus on its online and mobile products.

Physical Locations

The company has tons of physical branches around New York City, and Capital One Cafes are scattered around major cities around the country. Other than that, your access to your account and customer service are limited to the app, website, ATMs and over-the-counter deposits at CVS.

Capital One Mobile

As a mostly online bank, Capital One offers an app that’s more robust and user friendly than what you’d expect from most legacy financial institutions. It feels much more like a challenger bank than a traditional one.

You can manage all your Capital One bank accounts, loans and credit cards through the Capital One Mobile app for Android and iOS.

The app lets you see your bank balances, credit and debit card transactions and credit score (through CreditWise), plus send and receive money through Zelle and set up bill pay.

Through the app, you also get help keeping an eye on your money with Capital One’s virtual “financial assistant,” Eno.

Eno sends alerts of potentially suspicious spending on your account to help you spot and stop fraud, tracks your spending, and alerts you to ending free trials and recurring charges. And it’s a friendly chat bot you can use to ask basic questions about your account.

Customer Service

If you live near a Capital One bank branch or Cafe, you can stop in during business hours to speak with a customer service rep called an “Ambassador” to get answers to questions about your account.

If you’re not near a physical location (or just prefer to do your banking from your couch), you can find answers through the Support Center (i.e. FAQs) or by chatting with Eno through the app. Or you can get in touch with Capital One customer service online, via Twitter, over the phone or… by mail.

Capital One Pros and Cons

Evaluate Capital One pros and cons to determine whether banking with the company is right for you.


Pros
  • Fee-free checking and savings accounts.
  • High-yield savings account and CDs.
  • Cash deposit options and free ATMs.
  • Flexible overdraft protection options.
  • Banking for kids and teens with parental oversight.
  • Manage checking, savings, credit cards and auto loans in one place.
  • Business banking and lending options.
  • User-friendly mobile experience.

Cons
  • Mostly online-only account access.
  • Physical locations only in major cities.
  • No home loans or personal loans.
  • No investment accounts.
  • No money market accounts.

Frequently Asked Questions (FAQs) About Capital One

Here are our answers to some frequently asked questions about banking with Capital One.

Is Capital One a Good Bank?
What makes a good bank is different for everyone, depending on financial situation, goals and values. Capital One 360 accounts are well-liked because they’re fee-free and convenient to open and use through a mobile app, and interest rates are well above average. With a track record of ethical business and community support, Capital One falls in line with most big banks for lack of focus on philanthropy and sustainability, though the company is ranked among many lists of “best workplaces.”
Is Capital One 360 a Real Checking account?
Yes, Capital One Bank is a member of the FDIC, and it manages Capital One 360 checking and savings accounts, as well as Kids Savings accounts and MONEY Teen Checking accounts.
What is the Difference Between Capital One and Capital One 360?
Capital One Financial Corporation is a bank holding company that owns Capital One Bank and other subsidiaries that manage banking, loans and credit cards for customers in the U.S., Canada and the U.K. Capital One 360 is the company’s line of banking products that include checking and savings accounts for adults and kids. If you have a Capital One 360 bank account and Capital One credit cards or loans, you can manage them all in one place under your account in the Capital One Mobile app.
Is it Safe to Bank With Capital One?
Capital One bank accounts come with the same protections you get from any other online or brick-and-mortar banks. Your money is FDIC-insured up to $250,000, and the company uses encryption technology and data security features to protect your personal and financial information online. The company announced a security breach in 2019 and offered free credit monitoring to anyone affected, and all customers have access to transaction monitoring and fraud alerts.
Does Capital One charge Fees?
For banking, Capital One charges almost no fees. Neither checking nor savings accounts come with monthly fees or minimums, you can opt out of overdraft protection fees and you have access to a broad network of fee-free ATMs. Some Capital One rewards credit cards come with annual fees, so do the math before signing up to determine whether they’re worth it for you.
What is the Interest on Capital One 360?
As of November 2021, Capital One’s 360 Checking account pays 0.10% APY, and the 360 Performance Savings account pays 0.40% APY. 360 CDs pay between 0.10% and 1.00% APY, depending on their term.

Dana Sitar is a Certified Educator in Personal Finance and has been writing and editing for online audiences since 2011, covering personal finance, careers and digital media. She is a former staffer at The Penny Hoarder. Her work has appeared in the New York Times, CNBC, The Motley Fool, Inc. and more.

This was originally published on The Penny Hoarder, which helps millions of readers worldwide earn and save money by sharing unique job opportunities, personal stories, freebies and more. The Inc. 5000 ranked The Penny Hoarder as the fastest-growing private media company in the U.S. in 2017.

Ally Invest Review 2021: How It Works, Pros & Cons

Ally Invest offers a myriad of investing options, from more active trading to handing your cash off to their robo-advisor. It prides itself on offering low to no fees, commission-free ETFs, and robust trading tools.

With their Robo Portfolios offering (that’s Ally Invest’s robo-advisor product), it’s a great overall company to invest with.

What Is Ally Invest and How Does it Work?

Ally Invest is the brokerage arm of Ally Bank and stands out in its offerings due to its low investing minimum amounts, low fees, and a decent trading platform. This brokerage offers something for most investors, whether you’re looking to DIY your investment strategy or use Ally’s robo-advisor offering.

Most stocks and ETFs have no commission fees, and options trades are $0.50 per contract. When opening an account, you’ll find that even if there is a minimum opening balance, it’s much lower compared to other brokerages — their robo-advisor, for instance, only requires $100 to get started.

More advanced traders will be able to log into their accounts and use tools many other brokerages offer, but you’ll find there are specialized options analysis tools such as dynamic profitability graphs.

Ally Invest

Best for Engaged Traders
3.5 out of 5 Overall
Key Features
  • No commissions for self-directed trading
  • Robo Portfolios have no advisory fees
  • Transfer cash between Ally Bank and Ally Invest
Ally Invest offers a DIY option where you select your own securities for your portfolio, including ETFs, mutual funds, Forex, stocks, bonds, and options. Their robo-advisor manages your portfolio based on your investment goals, such as your risk tolerance. The brokerage also offers other features such as commission-free ETFs, and a robust platform for traders.
Ally Invest
Minimum opening deposit
$0
Fees
None (though some securities charge commissions)
Accounts offered
Taxable (individual and joint) and four IRAs
Prime perk
Variety of research tools

Ally Invest at a Glance

Feature Details More Detail

Types of Accounts

Individual/Joint Taxable

Four IRAs

Research Tools

Variety of calculators

REcognia and Maxit

Life Trading Platform

Web-based and mobile

Ally Forex brokerage app

Commissions and Fees

No advisory fee

Commissions: $0.50-$9.95

Account Minimum

$0: Self-direct trading

$100: Robo Portfolios

Securities Offerings

ETFs, mutuals, Forex

Stocks and bonds

Robo Portfolios

Diversified mix

Lower risk, high yield

Customer Support

24/7 access

Phone, email, live chat

Research Tools

There are plenty of tools for traders who are looking for more advanced research tools. Ally Invest offers some that are pretty robust, especially for a discount brokerage.

If you’re a technical trader, you can use tools such as a profit and loss calculator, probability calculator, and ones powered by Recognia. There’s also the Maxit Tax Manager, where you can look at what the potential tax implications are if you make a certain trading decision. Plus it helps you create 1099 forms on demand.

Options traders will like the range of tools available, such as an options pricing calculator (compare current bid/ask prices), strategy builder (spots and executes option strategies based on set criteria.

Even if you’re that far yet into your investing journey, Ally Invest has an ETF screener which can make it easier for you to find one that’ll fit your investing goals.

As for real-time life streaming quotes, you can get it for free with the Ally Invest LIVE feature, but Level II advanced quotes from Quotestream are only available to those who conducted more than 10 monthly trades.

Live Trading Platform

Investors can take advantage of Ally Invest’s browser-based live trading platform. Features include broker tools, customizable dashboard, quick tradition capabilities, and real-time streaming quotes. For those who trade at home or on the go can use this platform without needing to download any programs.

Trades can also use Ally Invest’s mobile apps — Ally Forex which is only for Forex trading or Ally Mobile, for all other types of available trades.

Commissions and Fees

Ally Invest doesn’t charge any advisory fees for their Robo Portfolios, and plenty of commission-free ETF, options, and US stocks. Their other fees are competitive, at $0.50 per options contract and $9.95 per transaction for no-load mutual funds. Even though it’s lower compared to competitors, you’ll be charged a $50 fee for a full or partial transfer.

Account Minimum

There is a $0 minimum to open an Ally Invest account and a $100 minimum for Ally’s Robo Portfolios.

Securities Offerings

Ally Invest offers many securities — stocks, bonds, options, ETFs, mutual funds, crypto, forex, and even penny stocks. Meaning, all types of investors will find something that suits their trading goals, whether it’s investing in more passive ETFs, hands-off with a robo-advisor, or more active reading with penny stocks.

Robo Portfolios

Robo Portfolios (formerly called Managed Portfolios) is Ally Invest’s robo-advisor offering. While the portfolio management process is automated, the brokers use human investing experts to create their managed portfolios. Like other robo-advisors, you won’t be able to access a human advisor.

Unlike their self-directed trading where you decide how to allocate your portfolio among various securities offerings, Ally Invest’s Robo Portfolios helps you invest based on goals. As in, they’re specifically designed to be geared towards the reasons you want to invest.

Investors can choose from four types of portfolios:

  • Core: This option divides your money across a diversified mix of US, international, and fixed-income assets. Those who have the Core portfolio are probably those who want to be hands-off. Managed Portfolios will tailor your portfolio based on your risk tolerance.
  • Income: These portfolios are for those who want to receive higher dividend yield and a lower risk profile at the same time.
  • Tax optimized: You’ll be able to be as tax efficient as possible with this portfolio option. Ally Invest invests in low-cost ETFs.
  • Social Responsible: Those interested in putting their money towards that do good will be happy to know these types of portfolios focus on companies that are ESG-friendly. In other words, these companies encompass values that promote environmentally friendliness, sustainability, and energy efficiency.

Customer Support

Ally Invest offers some of the best customer service, with 24/7 access via phone, email, and live chat.

Is Ally Invest Right for You?

Ally Invest offers low pricing, a useful trading platform and tools for novice and advanced traders alike. It’s a great fit for those who don’t have a lot of money to invest — $100 for their Robo Portfolios is one of the lowest minimum requirements we’ve seen. More active investors will love the commission-free trades and low options contract fee.

One big downside is you won’t find tax loss harvesting with Ally Invest’s Robo Portfolios, a major downside if you want to ensure your investments are tax-optimized automatically, However, Ally Invest offers a tax optimized option, which invests in asset classes such as municipal bonds and low-cost ETFs which offer tax advantages. So if you’re investing in other types of managed portfolios, you’re out of luck.

Still, Ally Invest has something for almost everyone. Those looking to invest with a robo-advisor will find the brokerage’s no-frills features appealing, and active traders will appreciate the various research tools. However, if you want futures and fractional shares, you won’t find that here.

Pros and Cons of Ally Invest

Ally Invest may be a good fit depending on what features are important to you. These pros and cons should help you decide.


Pros
  • Low costs and fees
  • Forex trading available
  • Ability to consolidate between banking and investing accounts
  • Can earn interest on cash balances

Cons
  • Trading tools not available on all platforms
  • No crypto or futures trading
  • Lack of no-transaction-fee mutual funds
  • No tax loss harvesting

Frequently Asked Questions (FAQs) About Ally Invest

We’ve rounded up the answers to several common questions about Ally Invest.

What Research Tools Does Ally Invest Offer?
Ally Invest offers a variety of research tools for different types of investors, among them:
Stock Screener: Allows investors to look at information such as fundamentals, exchanges, price performance, sectors, and valuation.
ETF and mutual fund screener: Sift through criteria such as each fund's profile, performance, portfolio, Lipper ratings, and risk analysis.
Trading Idea Generator: Use backtesting strategies including quality stock at a reasonable price.
Can I Do Day Trading on Ally Invest?
Although Ally Invest doesn't explicitly promote or encourage investors to do day trading on their platform, there are plenty of features that will support this type of investing — the company has a wide range of research and technical analysis tools.
What Are Margin Rates?
When you trade on margin, you're essentially borrowing money from a brokerage firm to invest in additional securities or other short-term lending needs. The funds you borrow is typically based on the value of securities in your portfolio — you'll need to pay this back with interest, or the margin rate.
Are There Socially Responsible Investments at Ally Invest?
Portfolios.This offering invests in companies that are proven to engage in sustainability, energy efficiency, and other types of green initiatives.

Contributor Sarah Li-Cain is a personal finance writer based in Jacksonville, Florida, specializing in real estate, insurance, banking, loans and credit. She is the host of the Buzzsprout and Beyond the Dollar podcasts.

This was originally published on The Penny Hoarder, which helps millions of readers worldwide earn and save money by sharing unique job opportunities, personal stories, freebies and more. The Inc. 5000 ranked The Penny Hoarder as the fastest-growing private media company in the U.S. in 2017.

Do You Qualify for Any of December’s Class-Action Settlements?

Could you use some extra cash?

Several class action lawsuit settlements have claim deadlines before the end of the year. See if you qualify but act fast if you want to file a claim against TULA Life skin care because that deadline is Dec. 10. The rest are Dec. 13 through Dec. 31.

Best Buy Data Breach Class Action Settlement

Consumers who made purchases from Best Buy and were affected by a 2017 data breach may be entitled to compensation of up to $2,060.

The Class includes everyone who received a mailed or emailed notice about the 2017 Best Buy data incident. These Class Members either lost money, needed to replace financial cards, felt they had to pay for credit monitoring, or spent time dealing with the results of the attack.

The plaintiffs claim their private financial information was obtained by hackers during the data breach.

Class Members submitting documentation of unreimbursed bank fees, card re-issuance fees, overdraft fees, telephone charges, charges from banks or credit card companies, interest, credit report costs, or fraud resolution services costs will be eligible for up to $2,000 in compensation.

In addition, those who can provide documentation regarding time spent dealing with the data breach can claim up to $20 per hour for up to three hours of lost time.

File your claim by Dec. 22, 2021.

Ferrara Candy Class Action Settlement

Consumers in the U.S. can claim up to $8 without providing proof of purchase as part of a class action settlement resolving claims Ferrara Candy Co. underfilled its cardboard candy boxes.

The Class is made up of U.S. residents who purchased one or more cardboard boxes of Raisinets, Buncha Crunch, Butterfinger Bites, Toll House Semi-Sweet Chocolate Morsels, Rainbow Nerds, SweeTarts, Spree, Sno-Caps, Runts, or Gobstoppers between Feb. 9, 2013, and Sep. 23, 2021.

Plaintiffs claim Ferrara Candy and Nestle USA both intentionally underfilled their candy boxes in order to deceive consumers into thinking there was more product in the boxes than there actually was.

Eligible Class Members may receive $0.50 per unit for up to 16 units covered product, for a potential payment of $8.

Claims must be submitted by Dec. 27, 2021.

Two women apply face masks while drinking their morning coffee.

TULA Life Skincare Products $5M Class Action Settlement

Anyone who purchased TULA Life products may be able to claim part of a $5 million class action settlement.

The Class is made up of anyone in the United States, its territories, and districts who purchased TULA Life skincare products between Jan. 1, 2013, and Aug. 30, 2021.

Plaintiffs in a class action lawsuit alleged they had been led to falsely believe that certain TULA products advertised as containing probiotics contain live cultures.

Class Members who submit proof of purchase with their claim form will be eligible to receive a refund of the greater of 10 percent of the amounts they paid for the covered TULA products, or $4, up to a maximum of $25 per household.

Class Members who do not include proof of purchase with their claim will be eligible for a cash payment of $4.

The company also has agreed to certain labeling changes.

Claim forms must be submitted by Dec. 10, 2021.

Equifax Public Record Class Action Settlement

Certain consumers may be eligible to benefit from a class action settlement resolving claims Equifax provided inaccurate information about tax liens and civil judgments on credit reports.

Consumers who had Equifax credit reports issued to a third party and the report contained an inaccurate or incorrect tax lien or civil judgment between June 28, 2015, and May 14, 2019.

Nearly 20 class actions claimed Equifax violated the Fair Credit Reporting Act by reporting inaccurate public records information to third parties pulling consumers’ credit reports.

Claimants may be eligible to claim up to $1,500.

Claims forms are due by Dec. 31, 2021.

CalPERS LTC Policy $2.7B Class Action Settlement

California residents who purchased long-term care policies from the California Public Employees’ Retirement System — or CalPERS — may be eligible to benefit from a $2.7 billion settlement.

The Class is made up of citizens living in California in 2013 who purchased an LTC policy from CalPERS between 1995 and 2004 that included automatic inflation protection benefits, and who were subjected to the 85 percent increase in premiums announced by CalPERS in 2013.

According to a class action lawsuit, CalPERS improperly imposed an 85 percent premium increase.

Class Members will fall into one of several categories established under the terms of the settlement, and the amount of compensation they can expect will depend on which category they belong to.

Claims are due by Dec. 13, 2021.

Smitty’s/CAM2 303 Tractor Hydraulic Fluid Retailers $7.2M Class Action Settlement

Individuals who purchased certain types of Smitty’s and CAM2 303 tractor hydraulic fluid and may have experienced equipment damage may be eligible to claim some cash.

The Retailer Settlement Class is made up of any person or entity who purchased Super S Supertrac 303 Tractor Hydraulic Fluid, Super S 303 Tractor Hydraulic Fluid, Cam2 ProMax 303 Tractor Hydraulic Oil, and/or Cam2 303 Tractor Hydraulic Oil from Tractor Supply Co. — including Del’s Feed & Farm Supply locations — Orscheln Farm and Home LLC, Rural King, or Atwood stores between Dec. 1, 2013, to June 23, 2021.

Those who solely purchased Super S Super Trac 303 Tractor Hydraulic Fluid in Missouri are excluded.

A class action lawsuit alleged the retailers violated the law and claimed they knew or should have known the products were made with certain waste products that were not appropriate for use in the products and, as a result, did not meet current specifications.

Each Class Member will receive a payment based on the value of their general equipment damage claim and their repairs/parts/specific equipment damage claim.

File your claim by Dec. 29, 2021.

Pembina 1964/1980 Judgment $40M Class Action Settlement

If you are a beneficiary of the 1964 or 1980 Pembina Judgment fund, you may be eligible for compensation thanks to a $40 million settlement.

The Class is made up of anyone who is an original individual beneficiary of the 1964 and/or 1980 Pembina Judgment Fund, a legal representative of a Class Member, or an eligible heir to a deceased original individual beneficiary is automatically part of the Class.

The federal government was accused of failing to properly manage the Pembina funds, which were the result of two legal claims brought in the Indian Claims Commission that sought additional compensation for lands the Pembina Band of Chippewa Indians ceded to the United States.

Class Members can expect to receive between an estimated $50 and $1,440.

The claim deadline has been extended to Dec. 19, 2021.

A luxury house is photographed from the outside.

Freedom Mortgage Fees Class Action Settlement

U.S. consumers who received mortgages through Freedom Mortgage Corp. and paid property inspection fees may be eligible to receive a payment.

The Class is made up of U.S. citizens who held mortgages through Freedom Mortgage Corp. and paid fees on property inspections after defaulting or being delinquent on their mortgage payments between March 5, 2013, and Dec. 31, 2020.

Plaintiffs had alleged Freedom Mortgage improperly and unnecessarily charged borrowers fees on mortgage loans.

Class Members who submit a claim can receive a one-time payment equal to 35 percent of the amount of the first property inspection fee they paid to the company.

They will receive another payment of 50 percent of the amount of all inspection fees paid to Freedom Mortgage.

The claim deadline is Dec. 16, 2021.

Hyatt Employee Fingerprint Scan Class Action Settlement

Employees of certain Hyatt properties who scanned their finger to use the company time clocks may be able to claim a cash payment.

The Class is made up of current or former Hyatt employees who scanned their fingerprint using the company’s timekeeping system as a requirement for employment at the following locations during the respective time periods and who were not subject to a collective bargaining agreement:

  • Hyatt Lodge: Oct. 30, 2012, to Feb. 16, 2018
  • Regency McCormick Place: Oct. 30, 2012, to Dec. 12, 2018
  • Park Hyatt Chicago: Oct. 30, 2012, to Dec. 116, 2018
  • Hyatt Regency O’Hare: Oct. 30, 2012, to Dec. 31, 2017
  • Hyatt Regency Chicago: Oct. 30, 2012, to Dec. 3, 2018

Plaintiffs in a class action lawsuit claimed the company’s use of the fingerprint technology violated the Illinois Biometric Information Privacy Act (BIPA), which prohibits companies from capturing, obtaining, storing, transferring, or using biometric information for any purpose without providing certain written disclosures and obtaining prior written consent.

The exact amount of each Class Member’s payment is not known at this time.

The claim deadline is Dec. 24, 2021.

Partners Healthcare System Data Privacy $18.4M Class Action Settlement

If you received medical care in Massachusetts and visited certain informational websites, you may be able to take part in a $18.4 million Partners Healthcare System settlement.

Settlement Class Members include all Massachusetts residents and U.S. residents who received medical care at Partners Healthcare System — now Mass General Brigham — in Massachusetts who visited the following informational websites between May 23, 2016, and July 31, 2021: massgeneralbrigham.org, massgeneral.org, brighamandwomens.org, and dana-farber.org.

According to the plaintiffs in a class action lawsuit, these websites — unbeknownst to users — implemented specific third-party analytics tools cookies and pixels that disclosed information about the consumer’s internet usage.

Class Members will be eligible for a payment of up to $100, depending on the number of valid claims filed.

File your claim by Dec. 15, 2021.

This was originally published on The Penny Hoarder, which helps millions of readers worldwide earn and save money by sharing unique job opportunities, personal stories, freebies and more. The Inc. 5000 ranked The Penny Hoarder as the fastest-growing private media company in the U.S. in 2017.

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