The 10 Best Banks to Open an Account: Why They Are the Best
So you want to know which is the best bank to open an account.
Whether you are opening a checking account or savings account, money market account, or other account, we know you want to choose the best bank for you.
First of all, let's get in the right mindset. The bank is not doing you a favor by "allowing" you to open an account with them.
Banks make money by...
...lending out funds that come from customer deposits.
When you deposit your money with the bank, they now have even more funds to lend out.
Whether brick and mortar or online banks, many banks charge fees like foreign transaction fees, maintenance fees, ATM fees and other fees when you open a bank account.
Many banks have a minimum balance requirement, and if you do not meet that, the bank may charge a monthly fee if you do not maintain the required account balance.
A Bank is Lucky to Have Good Customers
The bank is lucky to have new customers. Do not let anyone treat you poorly or like you are the "lucky" one to be opening an account with them.
If you experience poor customer service at any bank, don't worry, there are plenty of other institutions where you can take your business ... and your deposits.
The right bank will treat you right!
What to Look For in a Bank
Finding the right bank can be a bit like dating. It is not one size fits all.
The bank that might be right for Sally, who is a frequent international traveler, may not be right for Susie, who just bought her second investment property and has multiple accounts and cash deposits to manage, as well as a 401(k) and other investments.
When it comes to finding the best bank, there are many factors to consider. Some people might prioritize low fees, others might focus on customer service or technology.
Whatever your priorities may be, we at FundsSavvy.com will help you find the best bank for you.
We have ranked the ten best banks based on a variety of factors, including lowest fees, customer service and technology. So whether you are looking for a new bank or just want to know what the best options are, read on!
#1 Ally Bank
The first bank on our list is Ally Bank.
This bank is FDIC insured.
Wait, What Does FDIC Insured Mean?
Not a dumb question. People go around all day saying "FDIC insured" and may not even know what that stands for.
The Federal Deposit Insurance Corporation is one of two agencies that supply deposit insurance to depositors in American depository institutions.
The other agency is the National Credit Union administration.
OK, back to the banks...
Ally Bank doesn't have physical locations. It is a full-service online bank.
There are no minimum balance requirements and no service fees.
If you want to save for many different things, this may be a good option for you because you can open as many savings accounts as you want without fees.
Ally has a great mobile app that makes it easy to manage your account on the go. Ally also has excellent customer service, although you cannot see a banker in person, as there are no brick and mortar locations.
#2 Charles Schwab
Next on our list is Charles Schwab. You may know good 'ol Charles Schwab primarily as an investing platform, but this institution also has online checking and savings accounts.
Charles Schwab's checking account pays interest. Charles Schwab is FDIC insured and will cover losses due to any unauthorized activity.
Do you travel often? Schwab will reimburse worldwide ATM fees and also does not charge foreign transaction fees.
Although Charles Schwab has many brick and mortar locations, those are mainly for investment services. You need to be comfortable with online banking if you are going to use Charles Schwab to open your bank account or bank accounts.
Schwab is known for its low fees and high-quality customer service. They also have a wide variety of investment products and services to choose from. If you are looking to bank and invest, Charles Schwab may be the ideal one stop shop in banking for you.
Third on our list is USAA. USAA is known for its low fees and great customer service, as well as its strong military affiliation. If you are a member of the military or related to someone who is, you are likely eligible to open a USAA account.
USAA has very limited access to brick and mortar locations. If you are the type of person who likes to go into brick and mortar banks and speak to a real person (imagine!) then this bank is not for you.
However, their online and phone customer service is excellent. Their app is sophisticated and easy to use.
USAA has no monthly maintenance fee and no minimum deposit required. There are free ATMS and USAA reimburses for ATM fees. USAA also has many other investing and insurance products available to members.
USAA has a low interest rate and if you like to go speak in person to a banker, that's not an easy ask with USAA.
#4 TD Bank
Fourth on our list is TD Bank. TD Bank is known for its low fees and friendly customer service. They also have a great mobile app that makes it easy to manage your account on the go.
If you like to go to the bank in person, this may be the place for you. TD Bank has more than 1200 US locations. TD operates throughout the United States, South America, Europe, and Asia. TD has long branch hours and free ATMs in Canada.
TD charges a $5.99 per month maintenance fee for its TD Simple Checking account.
With TD Bank's TD Convenience checking account, you can avoid a maintenance fee if you maintain a minimum balance of $100.
The app is strong: pretty basic and intuitive to use.
#5 Bank of America
Fifth on our list is Bank of America. Bank of America is one of the largest banks in the country, and they offer a wide variety of products and services.
Bank of America has more than 4200 branches and 16,000 free ATMS.
They do charge an overdraft fee of $35. This can be charged up to four times in a day.
#6 ChaseFifth on our list is Chase. Chase is the largest bank in the United States.
Chase has more than 4700 branches and 16,000 ATMs.
The checking account is solid, but Chase charges a $2.50 fee at non-Chase ATMS and has other fees that are higher than many other banks.
If you like access to brick and mortar banks and plan to keep a balance large enough to avoid fees, Chase may be a good match for you.
Chase also has a variety of other products such as mortgages, auto loans, and credit cards.
#7 Capital One
Seventh on our list is Capital One. Capital one has an excellent online presence. They also have brick and mortar locations, although there are only 325.
There are no overdraft fees. There is no minimum balance to open checking, savings, and CDs.
In addition to retail banking, Capital One has credit cards, loans, and other products.
Eighth on our list is Citi. Citi is a big bank with a vast ATM network.
Citi also offers many other financial products besides retail banking. Citi doesn't have as many locations as some of its big bank competitors, but this bank has more than 65,000 ATMs and 1700 overseas branches.
#9 Wells Fargo
Ninth on our list is Wells Fargo. Wells Fargo is a massive bank. Wells Fargo has more than 7200 locations and 13,000 ATMs.
Wells Fargo offers a wide variety of products and services, such as mortgages and investment products.
Wells Fargo does charge fees, but you can avoid them if you keep a minimum balance.
Tenth on our list is Upgrade bank.
Upgrade is a digital-only bank, so no chance to deposit cash or checks. Upgrade rewards checking account customers with cash back for debit card purchases.
There is no in-person customer service and if you need personal checks, cashier's checks, or wire transfers, this may not be the place for you.
Upgrade bank has no account fees, overdraft fees, annual fees, or transfer fees.
Could Upgrade be best for cash back? Upgrade is a great bank if you just want a checking account where you can earn cash back and you are not depositing cash or checks.
As you can see, different banks serve different needs. You may be OK with just one bank, or you may choose to open multiple accounts at different banks.
The bank where your friends or family bank may not be the best one for you.
Do your research, call banks, visit banks in person if they have brick and mortar locations, and choose the institution that works best for you.