What is the best online-only bank?
I know many don't charge the usual fees that brick and mortars do, but is that the only benefit?
I would not hesitate to join USAA if you meet the requirements.
The coolest feature of USAA, and one that is unique as far as I know, is 'deposit at mobile'. They have had 'deposit at home' for a while which lets you scan in a check on your computer and have it deposited instantly to your account, but now that they have 2 great apps for Android or the iPhone, you can deposit a check by taking its picture with your phone -- through the app! I have used this multiple times and it works wonders.
Ok, so that's the wow factor but what about the banking? USAA has no minimum checking, ATM fee reimbursement and a full-fledged broker who my finance-savvy friend swears is the best deal out there (I personally don't know how it compares to Schwab but I trust him).
More importantly, the user interface is great, and transfers happen instantly, rather than being delayed a few days like at some other banks. I can transfer between accounts or to other non-USAA accounts (if I've pre-verified them) easily in a few seconds. I love their bill-pay interface as well -- I don't get any paper bills and I can view and pay everything from my phone, anywhere in the world, in a few seconds.
Customer support at USAA is top of the line. I think this is because it originally serviced US armed forces. In any case, they are reachable at all hours of the day and night, and they take care of your problems quickly. This has saved me multiple times when travelling in remote parts of the world.
Originally, you had to be a US serviceman to join USAA. This is one of the reasons why they specialize in online and phone interaction -- servicemen are all over the world. Today, the requirements are a little less strict, but you must have a living relative who served in the armed forces or is a USAA member - this means that once you're in, you and your descendants are in. They also provide consistently top-rated home/renters/auto insurance once you're a member. (consumer reports)
So, see if you qualify for USAA and if so, give it a try. Top notch support, comprehensive services, low fees and a commitment to emerging technology. If not, there's always Schwab.
(also, I don't work for USAA)
11 Answers
I've used them for about 3.5 years. They have good CD rates, good savings rates, good checking rates. None of them are the best, but they are better than most brick & mortar banks, and comparable to other internet banks. The ease of use is what really sold me. I have a CD ladder with them, and I basically close one, and open a new one every month and add some additional principle. The bill pay is extremely easy to use and recurring payments are easy to set up as well. They also allow integration with e-bills with some credit companies and utilities so the actual pdf bill is sent to your account and you can pay it in 2 clicks.
Schwab.com
I used to use a bunch of different financial institutions but have moved everything to Schwab, not just for convenience, but because they offer the best rates and benefits in all different aspects of finance and banking.
Credit Card: 2% back on everything - in CASH, not B/S points that you can use on crap you don't want
Checking: High Interest Checking with very competitive rates. It's easy to make deposits and all your ATM fees are reimbursed. No account minimums.
Trading: They just lowered their fee for trades and offer a ton of different stuff to invest in for no commission. Great research tools.
Savings: High Interest Savings, higher interest rates than ING and HSBC. Easy to transfer money between your checking and savings.
Roth IRA: The best way to save for retirement if you're expecting to be in a higher tax bracket at retirement. No fees.
Those are just some of the accounts I have with them. Check them out, I swear I don't work there, but I was a finance major and love doing my banking with them. I encourage all my friends to do their banking there. They're definitely the best.
I would not hesitate to join USAA if you meet the requirements.
The coolest feature of USAA, and one that is unique as far as I know, is 'deposit at mobile'. They have had 'deposit at home' for a while which lets you scan in a check on your computer and have it deposited instantly to your account, but now that they have 2 great apps for Android or the iPhone, you can deposit a check by taking its picture with your phone -- through the app! I have used this multiple times and it works wonders.
Ok, so that's the wow factor but what about the banking? USAA has no minimum checking, ATM fee reimbursement and a full-fledged broker who my finance-savvy friend swears is the best deal out there (I personally don't know how it compares to Schwab but I trust him).
More importantly, the user interface is great, and transfers happen instantly, rather than being delayed a few days like at some other banks. I can transfer between accounts or to other non-USAA accounts (if I've pre-verified them) easily in a few seconds. I love their bill-pay interface as well -- I don't get any paper bills and I can view and pay everything from my phone, anywhere in the world, in a few seconds.
Customer support at USAA is top of the line. I think this is because it originally serviced US armed forces. In any case, they are reachable at all hours of the day and night, and they take care of your problems quickly. This has saved me multiple times when travelling in remote parts of the world.
Originally, you had to be a US serviceman to join USAA. This is one of the reasons why they specialize in online and phone interaction -- servicemen are all over the world. Today, the requirements are a little less strict, but you must have a living relative who served in the armed forces or is a USAA member - this means that once you're in, you and your descendants are in. They also provide consistently top-rated home/renters/auto insurance once you're a member. (consumer reports)
So, see if you qualify for USAA and if so, give it a try. Top notch support, comprehensive services, low fees and a commitment to emerging technology. If not, there's always Schwab.
(also, I don't work for USAA)
I love USAA. I've been using them for 10+ years. I have everything with them- bank, credit card, stocks, home owner's insurance, car insurance. They're great.
Once, I hit something in the road in my car. I went to the body shop and got an estimate. I called USAA, told them the estimate and they deposited the money in my account on the spot. The body shop was amazed, as this seemed to be pretty uncommon in the industry.
Schwab checking is interest bearing and they will refund all your domestic AND foreign bank ATM fees. Also, no minimum or other fees. Kiplinger's has voted it the best checking account deal for the past two years.
I agree with Robert - Charles Schwab checking is excellent. Their website is a little clunky, but the interest rate, atm fee rebate, and customer service are top notch. It also comes with an investment account, and they offer a credit card (which I use) that does 2% cashback directly into said investment account.
Two come to mind:
HSBC Direct
ING Orange
I have one of each and typically the HSBC will perform better.