ApyGuy: Maximize Your Savings & Earnings

Lauren Graves

PenFed Credit Union CD Rates – Up to 1.05% APY


PenFed headquarters in Tysons, Virginia. Image credit: bizjournals.com

Pentagon Federal Credit Union,​ commonly referred to as “PenFed,” is the third largest credit union in the nation—and the second largest federal credit union—with 1.75 million members across the world and $25 billion in assets. PenFed, originally called the War Department Federal Credit Union by the group of ten civilian War Department employees that founded it in 1935, is headquartered in Virginia today but started out in the Munitions Building on the Mall in Washington, D.C.

Though technically a military credit union, you don’t actually have to be a military member or dependent to join. There are a number of ways to qualify for membership with PenFed outside of this, including becoming a member of the nonprofit National Military Family Association for $17 or Voices for America’s Troops if you don’t meet any of the other requirements. Once a member, you’ll have access to modest rates on multiple savings products from this NCUA-insured credit union.

PenFed CD Rates + Account Details

PenFed offers a slightly wider range of certificate products than most credit unions with term options ranging from six months to seven years. Its CDs, called money market ​certificates,​ provide modest returns. These accounts are federally insured up to $250,000, easy to open, and fairly competitive compared to national averages.

PenFed Money Market Certificate Rates (CD Rates)

CD TermAPY
6 month0.40%
12 month0.70%
15 month0.70%
18 month0.70%
2 year0.75%
3 year0.80%
4 year0.85%
5 year1.00%
7 year1.05%

Although PenFed’s CD rates still beat the current national average(s) for their respective terms by a significant margin, better CD rates can be found through online banks or with other credit unions.

To put their 12 month and 5 year CD in perspective, the current national average for those terms sit at just 0.24% APY and 0.59% APY, respectively.

You’ll need a minimum of $1,000 to open any money market certificate account with PenFed. Though this is a higher-than-average opening deposit, the good news for certificate holders is that dividends are compounded daily and paid monthly (except for the 6 month certificate, which earns only simple interest, paid at maturity, on the principal) whereas many credit unions both compound and payout interest monthly.

Partial withdrawals from a CD account are not permitted under any circumstances, but full withdrawals are (for a price, of course). For a 6 month certificate, you’ll have to pay 90 days’ interest; for any other certificate (from 12 months to seven years), you’ll pay 365 days’ interest if you withdraw ​within a​ year of issuance and 30% of the gross interest earned if you withdraw after a​ year of issuance but before maturity.

PenFed Money Market Rates + Account Details

A money market account with PenFed requires an opening deposit of just $25, however their rates are quite low and do not compete with other banks we’ve covered such as Vio Bank or Discover Bank.

PenFed Money Market Rates

BalanceAPY
$25 – $9,9990.05%
$10k – $99,9990.10%
$100k +0.15%

The national average for money market rates sits at just 0.06%, so unless you have more than $100,000 lying around, you can expect below average payouts, paid and compounded monthly.

A PenFed money market savings account does not come with a monthly service fee or balance requirement. You are allowed no more than six withdrawals per month and you will be charged a fee of $10 for every excessive transaction. You may withdraw funds from a non-PenFed ATM, but you’ll have to pay $1.50 per.

Other Savings Accounts Offered by PenFed

PenFed offers regular savings and premium online savings accounts.

For a $5 deposit, you become a member of PenFed, purchase a share in the credit union, and open a regular savings account all at once. But this savings account is called “regular” instead of “premium” for good reason: it pays a rate of just 0.05% on any balance. For comparison, that’s 0.02% below average.

Dividends are paid and compounded monthly and you do have the option of withdrawing funds from an ATM with this account type. There is no monthly maintenance fee for a PenFed regular or premium savings account, but there are other fees you’ll want to watch out for. You will be charged an insufficient funds fee of $30 every time you try to overdraft your account and there is no overdraft transfer service, so stay on top of your account balances if you plan to join PenFed.

PenFed Premium Savings Account – 1.00% APY

Minimum DepositAPY
$51.00%

PenFed’s “premium savings account” offers an excellent APY of 1.00%. Interest is compounded and credited monthly and the account requires just $5 to open. Keep in mind this savings account does not allow for ATM transactions, so you will not be able to conduct any regular banking activity out of the account.

About PenFed Credit Union + Eligibility

In its 2018 Annual Report, PenFed reported growing by 80,000 members and $170 million in net worth for that year. Today, PenFed has 1.75 million members across the world and over $25 billion in total assets. It has members in every U.S. state as well as the territories of Guam and Puerto Rico and the prefecture Okinawa.

There are only 50 PenFed branch locations in select cities and states, but over 60,000 ATMs nationwide. To find ATMs and/or branch locations start here. You are more than likely within a mile of several ​ATMs accepted by PenFed.​ Some of these surcharge-free ATMs are branded as PenFed Credit Union and some of them are not. However, like other large credit unions, PenFed DOES NOT participate in shared or co-op branching. Branches can be found in Washington, D.C., Florida, Hawaii, Maryland, New York, North Carolina, Oregon, Tennessee, Texas, and Virginia.

PenFed membership eligibility is inclusive to just about everyone regardless of military affiliation. You can qualify for membership in any of the following ways:

  1. You are an active-duty or retired military member
  2. You are employed at a qualifying organization (such as a veterans service organization)
  3. You belong to a qualifying association (such as the American Red Cross)
  4. You are a United States government employee
  5. You live or work in a qualifying location

For a complete list of qualifying organizations, associations, and locations, go ​here. If you are not eligible in any of these ways, you can access membership by joining either the ​National Military Family Association ​for $17 or Voices for America’s Troops ​for $14.

The goal of both of these organizations is to help military members feel seen and heard. The National Military Family Association supports military families by bringing pressing issues that service members and dependents face to the attention of Congress and other decision-making officials when it matters most. Voices for America’s Troops advocates for career incentives in order to make a life serving in the military a sustainable option for soldiers and their families.

PenFed banking can be done in-person at a branch, ​online, or through the ​PenFed mobile app.​

Final Thoughts

There are pretty clear pros and cons of PenFed membership when you look at the numbers alone. For a certificate or premium online savings accounts, PenFed has attractive rates. For a regular savings or money market savings account, PenFed is not appealing.

Outside of just rates though, there are no membership or maintenance fees and there are countless ​discounts through parter organizations, such as TurboTax and Sprint, that PenFed members can take advantage of.

PenFed is one of the most inclusive credit unions in the country opening their doors to nearly any US citizen or resident.

Northern Bank Direct Money Market: Now 1.00% APY + 0.65% APY CDs


image credit: northernbankdirect.com

Northern Bank Direct is the online subsidiary of Northern Bank, a Massachusetts-based bank founded in 1960.

While Northern Bank prides itself on being a community institution — the #1 Community Bank in New England, in fact, according to S&P Global Market Intelligence Rankings — Northern Bank Direct is nationally available to anyone with a few minutes to spare. 

Northern Bank Direct Money Market Account + Current Rates

All of Northern Bank Direct’s deposit accounts, whether it be variable rate money market accounts or fixed rate CDs, are owned by Northern Bank. They FDIC-insured up to $250,000 per depositor or $500,000 for joint accounts.

Northern Bank Direct offers a money market account that regularly features one of the top yields among its peers.

Northern Bank Direct Money Market Rates

Minimum DepositAPY
$5,000 +1.00%

With a minimum deposit of $5,000, you can open a Northern Bank Direct money market account and start earning 1.00% APY.

To put this yield perspective, the average yield on a savings account sits at just 0.07% APY and the average yield on a money market account earns just 0.06% APY nationally. That said, there are a handful of online banks that still provide better yields than this and with lower balance requirements.

The minimum deposit and balance requirements associated with this account are steep when compared to other online banks.

We should note that the $5,000 minimum deposit is just that – a minimum deposit. If your balance dips below the $5,000 mark that is OK. You’ll still earn the 1.00% APY on all sums.

You can fund an account electronically through direct deposit or ACH transfer, wire transfer, or mobile deposit. Or you can send checks to: Northern Bank Direct 275 Mishawum Road Woburn, MA 01801 [Do not send cash.]

There are no monthly maintenance fees to worry about but don’t let the $20 excessive transaction fee or $3 transfer fee get you.

You may make no more than six deposits into – or withdrawals from – this account in any given month or incur the $20 excessive transaction fee for each transaction after the sixth.

The $3 transfer fee will be applied each time you transfer money from a Northern Bank Direct money market into an external bank account. Interest is compounded and credited monthly.

Northern Bank Direct CD Rates + Account Details

Northern Bank Direct’s CD rates have taken a hit like all bank and credit unions certificates have, however they still top national averages for each term. Right now a 9 – 24 month CD will all provide just 1.0% APY.

Northern Bank Direct CD Rates

CD TermAPY
9 months0.40%
12 months0.50%
15 months0.55%
18 months0.60%
24 months0.65%

To give the offers above more context, the national average for 12 month CDs sits at roughly 0.26% APY currently.

What’s slightly unusual about Nothern Bank Direct’s certificate of deposit product suite is that they don’t offer any longer-term CDs—like a 36 month, 48 month, or 60 month term—that are standard for most institutions.

A minimum deposit of just $500 is required to open any certificate with Norther Bank Direct. Interest on these accounts are compounded and credited monthly. Early withdrawal penalties are as follows:

  • 12 months’ interest for terms of 12 to 35 months,
  • 24 months’ interest for terms of 36 to 47 months, and
  • 36 months’ interest for terms of 48 months or more.

Given their deposit terms only go up to 24 months at the moment, 12 months interest would be would be the penalty for any early withdrawals on any of their deposit products.

Banking Experience and Customer Satisfaction

Northern Bank Direct accounts can be opened and managed through the online portal or mobile apps. There are no membership restrictions—anyone is eligible to join.

You can visit Northern Bank branches to make transactions, but since all Northern Bank branch locations are in Massachusetts, mobile and online banking will be the most convenient option for most people. Northern Bank ATMs are also located exclusively in the New England area, but Northern Bank Direct doesn’t offer ATM or debit cards anyway.

When you look at the numbers alone, Northern Bank Direct’s customer satisfaction rating is about average. For the most part, the bank’s most winning product—its high-interest money market account—is how it gets its best reviews. But as a whole, Northern Bank Direct has your standard mix of 1- and 5-star ratings and somewhere around 3 stars overall. They don’t seem to do better or worse than the average online bank in terms of keeping their account holders happy.

The primary complaint of dissatisfied customers is the $5,000 daily ACH external transfer limit, which is a pretty inconvenient restriction for an online bank where larger transactions should be expected, especially soon after opening an account, and convenience is key. Transaction limits, in general, seem to be the source of most frustration. On the flip side, the primary praise of satisfied members of this bank is the customer service they consistently receive. For the online version of a bona fide community bank, this isn’t surprising but is significant nonetheless. 

The apps, on the other hand, score quite poorly. The NBTC mobile banking app for Apple devices has 2.1 stars and the NBTC mobile banking app for Android devices has a little less than 3.5 stars. The general consensus is that the app is functional enough in its design but crashes often, which is not so functional or helpful. When you’re dealing with an online bank, most people want to be able to rely on their phones to manage their accounts.

You can reach a customer service representative through email at nbdirect@nbtc.com or over the phone through (844) 348-8996. The phones are manned Monday through Friday from 9 AM to 6 PM, so try not to have a question or emergency over the weekend or in the evening.

Final Thoughts

While Northern Bank Direct has offered very compelling APYs in the past on both their fixed rate deposit products and their variable rate money market accounts, the APY provided today isn’t quite as competitive. While they do beat the national average handily, slightly more attractive yields can be found with other online-only institutions.

Aside from their (sometimes) attractive rates, the bank doesn’t have a solid ratio of satisfied customers. The lackluster mobile apps and low ACH transfer capabilities leave many frustrated.

Comenity Direct High Yield Savings – 1.10% APY + 1.10% APY CDs


image credit: direct.comenity.com

You may have heard of Comenity – the global credit card services provider with a product range featuring more than 145 retail-branded credit cards – but did you know they do FDIC-insured deposit accounts as well?

This corporation’s online banking services sector, Comenity Direct, offers online CDs and a high yield savings account featuring APYs well above the national average.

Comenity Direct scores high marks across many review platforms for its high-yield savings and certificate of deposit accounts – which require fairly low opening deposits, incur minimal fees and boast big rates.

That said, Comenity Direct isn’t perfect – customer experiences are mixed and other banks are going to have more options for accessing cash – but if high savings rates are what you’re after, the pros seem to outweigh the cons in a significant way.

Comenity Direct High Yield Savings Account APY + Details

Although FDIC insurance only covers you up to $250k, Comenity Direct’s high yield savings accounts earn interest up to $10 million.
BalanceAPY
$1001.10%

Recent Rate Drops on Comenity Direct’s High-Yield savings account:

  • dropped from 1.70% to 1.55% APY on May 18
  • and then from 1.55% APY to 1.45% on May 21,
  • and then again from 1.45% to 1.35% APY on May 29th,
  • and then from 1.35% to the current 1.10% APY on July 1, 2020

The national average, for context, has been hovering around 0.07% for several weeks and doesn’t seem likely to go up anytime soon. That said, remember that these online savings account rates are variable and can change at anytime without notice. Interest on the Comenity Direct High Yield Savings account is compounded daily and credited monthly back to the account. 

For such a strong rate of return, you might assume that these accounts require a high minimum opening deposit and balance, but this is not the case. As with many online savings account the minimum balance required to open and earn interest is quite low – at just $100. You’ll want to note that you wont earn interest if your balance drops below $100 and if it happens too frequently Comenity Direct may close your account.

There are few fees you should be aware of with the Comenity Direct High Yield Savings account:

  • $25 per outgoing wire transfer,
  • $15 per paper check, and
  • $5 per paper statement (in an effort to encourage fully paperless billing and banking).

As for monthly maintenance, incoming wire transfers, ACH transfers, and online statements, these are all free and there is, again, no low balance fee. In compliance with federal regulation D, you can make up to 6 transactions a month for free. An excessive withdrawal fee is not listed, so Comenity Direct may just prohibit transactions over this limit from going through.

To add funds when you open an account, link an external bank account and make a transfer or set up direct deposit. You cannot deposit cash.

Comenity Direct CD Rates + Account Details

Although FDIC insurance only covers you up to $250k, Comenity Direct’s certificates of deposit earn interest up to $10 million.

Like Comenity Direct’s savings account, their CD accounts are also miles ahead of the national average in terms of APY. You’ll also notice that rates still increase with the terms, which can’t be said for many institutions’ deposit products today.

CD TermAPY
1 year1.00%
2 year1.05%
3 year1.05%
4 year1.05%
5 year1.10%

To give these rates some context, the current national average for a 1 year CD is just 0.26% APY currently.

You can still lock in 12 month CDs above 1.00% APY through some credit unions but the pickings are slim.

These are all standard certificates. There aren’t any special, jumbo, or step-up CDs in their product suite at this time.

With a minimum deposit of $1,500, you can open a Comenity Direct certificate of deposit account under any term. The same fees apply for certificate accounts as with the savings account mentioned above with the only addition being early withdrawal fees.

Early Withdrawal Penalties

Early withdrawal policies with this bank are straightforward.

  • If your term is between 12 months and 3 years in length, you’ll owe 180 days’ interest for an early withdrawal.
  • If it’s greater than or equal to 4 years, you’ll owe 365 days’ interest.

Grace Period

The grace period is 10 days after maturity. You can let your account automatically renew after this period expires or cash out the full balance before the time is up. In other words, when your certificate matures, you’ll have 10 days to either add funds or withdraw funds and close the account.

Interest and Dividends

Interest compounds daily and is credited to your account monthly.

Dividends can be paid out via ACH transfer to a linked external account or to your Comenity Direct High-Yield savings account if you call customer service to make this request at least 3 days before the interest is applied. But unless you put in this request, your account will default to depositing credited interest back into the certificate.

Banking Reviews and Customer Sentiment

If you were to ask 10 different Comenity Direct customers how satisfied they were with their overall banking experience, you’d likely get 10 very different answers. This range is reflected in the thousands of online ratings left for the bank. 

If you go to DepositAccounts, for example, you’ll find a dead-average 2.5-star rating out of 22 reviews. If you go instead to ConsumerAffairs, you’ll see a single star. And over on WalletHub, 16,846 people have given the bank an average score of 3.8 stars. Keep in mind the sheer number of reviews on WalletHub versus the others likely make it the most accurate reading.

Taking customer feedback into account, Comenity Bank scores a little better than what’s normal for a respectable and trustworthy bank or credit union. And because Comenity Direct is an offshoot of Comenity Bank and offers only deposit and savings accounts through this company, these reviews are largely for Comenity Direct accounts.

Understand that many banks and credit unions are receiving harsh feedback from their users at this time amidst the panic of COVID-19 and all of the financial difficulty that has come with it.

The Comenity Direct app has just 2.5 stars on Google Play but 4.4 stars on the App Store. Do with this discrepancy what you will, but it seems like the mobile app performs better on Apple devices. Remember, you can also do your banking online if their apps are underperforming.

The Comenity Direct Customer Care Center is available to take your call from 7 AM to 11 PM (CT) Monday through Friday and from 9 AM to 5 PM on weekends and holidays. The number for this is 1-(833)-755-4354. You can also reach help online through the web banking platform. Unfortunately, there is no live chat feature at this time and no option for those that prefer sending an email or letter. 

There are no Comenity or Comenity Direct branches or ATMs, so ATM access is a no-go. But since there are also no ATM or debit cards offered with these deposit accounts, this shouldn’t be too surprising. This bank does not allow cash deposits, but you’ll be able to make and receive unlimited ACH transfers.

Final Thoughts

All in all, if you’re after respectable rates, there are many reasons to sign up for a Comenity Direct high yield savings or deposit account. What this online-only institution lacks in physical accessibility it makes up for in competitive rates. So as long as you are on board with the basic concept of online-only banking and see at-your-fingertips banking as a benefit of going digital rather than a hindrance, Comenity Direct is a strong choice.

Outside of attractive rates, Comenity Direct doesn’t charge many fees on its highly rewarding savings and deposit accounts. The accounts also compound interest daily and allow for unlimited ACH transfers.

Navy Federal Credit Union CD Rates – Still up to 3.50% APY!


Navy Federal Credit Union is the largest credit union in the nation by a wide margin and has been since the 1960s.

This massive financial cooperative was founded in 1933 by Navy Department employees as the Navy Department Employees’ Credit Union of the District of Columbia.

Dropping the unwieldy name and extending membership to all Navy employees worldwide (rather than just those in D.C.), the credit union became known as the Navy Federal Credit Union in 1954.

Fast forward to today, you no longer have to be affiliated with the Navy to become a member of Navy Federal, but you do need to have military or family ties to join.

Navy Federal is a global credit union with international locations and hundreds of branches, but you’ll want to consider factors beyond accessibility before applying for membership.

Acclaimed not for its savings accounts but for its loans and customer service, Navy Federal Credit Union could be a good option for you, but it depends on what you’re looking for. For information about Navy Federal’s suite of NCUA-insured deposit products, keep reading.

Navy Federal Credit Union CD Rates + Account Details

Navy Federal deposit accounts are federally insured by the NCUA up to $250,000 per depositor or $500,000 for joint accounts.

Navy Federal is unique in that it offers several different types of certificates, some standard and some variable-rate; some short-term and some requiring much longer investments.

Navy Federal Credit Union CD Rates

CD TermAPYAPY
deposit amount:$1,000 – $50k$100k +
3 month0.50%0.55%
6 or 9 month0.75%0.80%
12 month1.05%1.10%
18 or 24 month1.10%1.15%
3 and 4 years1.20%1.25%
5 – 7 years1.25%1.30%

Navy Federal standard certificate accounts require a minimum deposit of $1,000. To put these rates in perspective, the current national average for 12 month CDs sits at just 0.26% right now, so 1.23 – 1.30% for the same term is pretty good.

In a normal interest rate environment, Navy Federal certificate of deposit rates would vary by deposit amount, however in today’s market a minimum deposit of anywhere from $1,000 to $50,000 is going to have the same payoff in terms of APY.

Navy Federal also sells a 3 year variable rate certificate. This type of CD enables you to leverage upward market trends to earn more interest, but it also leaves you more vulnerable to downward market trends. 

Rates on these variable certificates adjust automatically at 12 and 24 months after issuance, at which point you can also add money if you choose, but will not decrease more than 0.50% of the original rate. The current APY on this type of account is 0.46%, which is exceptionally poor when compared to a standard Navy Federal 3 year CD, so you definitely don’t want to commit to one of these unless you’re almost certain rates are going to increase significantly within at least a year.

There are EasyStart and Special EasyStart certificates as well. See EasyStart rates below.

Navy Federal Credit Union Easy Start CD Rates

CD TermAPY
6 month0.60%
12 month0.90%
18 month0.95%
24 month0.95%

One benefit of an EasyStart certificate is that it only requires an opening deposit of $50, but these accounts earn slightly lower APYs than their standard counterparts, making this really only a decent option for those that don’t have at least $1,000 to deposit (and maintain) but still want to earn while they save. There is no maximum balance or account limit associated with these CDs.

image credit: navyfederal.org

The Special EasyStart certificate is a 12 month term with a $50 minimum deposit, $3,000 maximum balance, and a 3.50% APY.

A Special EasyStart certificate account is available only to Navy Federal customers that have checking and direct deposit accounts with Navy Federal. Money may be added to EasyStart certificates at any time. Customers are limited to one Special EasyStart account per member.

All certificate dividends are compounded daily and credited monthly. These will be deposited to the certificate account automatically unless a dividend distribution option is chosen when the account is opened. There is a generous 21 day grace period for Navy Federal certificates.

Early Withdrawal Fees

Early withdrawal from terms of

  • 12 months or less will be charged fees equal to whichever option costs less: 90 days’ interest or all dividends on the amount withdrawn since issuance/renewal.
  • Early withdrawal from terms greater than 12 months will cost either 180 days’ interest or all dividends on the amount withdrawn since issuance/renewal and from terms of five years or more will cost 365 days’ interest or all dividends.

Navy Federal Credit Union Money Market Rates + Account Details

Navy Federal money market savings accounts are fine, but you’ll see that they’re not particularly attractive.

Navy Federal Credit Union Money Market Rates

BalanceAPY
$0 – $9,9990.50%
$10k – $24,9990.55%
$25k – $49,9990.60%
$50k +0.65%

The current national average for money market accounts is just 0.08% APY to put these offers in perspective, however significantly better rates can be had through online institutions such as Vio Bank, Tab Bank, or Discover.

A $2,500 minimum average daily balance is required to earn interest, but you won’t be charged a fee if your balance drops below this. Dividends are compounded and credited monthly. For every transaction you make over the six transaction limit enforced under federal regulation D, you’ll be charged $10.

Other Savings Accounts Offered Through Navy Federal Credit Union

An initial share with Navy Federal costs $5 and gets you a Share Savings Account. This is also how much you’ll need to keep in your savings account. With an APY of 0.25%, this savings product isn’t ideal for growing your money, but it doesn’t come with many inconveniences such as monthly maintenance or low balance fees. It does come with a $3 quarterly inactivity fee if your account is inactive for 12 months during any given quarter. Dividends are compounded and credited monthly.

Navy Federal also offers a SaveFirst Account with an APY of 0.50%. With a slightly better rate of return but equal minimum deposit, this account is a better option for anyone wanting to put money away for designated purposes like weddings or vacations. Select a term between 3 months and 5 years and watch your deposit grow (a little). Dividends are compounded daily and credited monthly. This savings account is going to earn you more than a share savings account, but a money market account might be a better option.

About Navy Federal Credit Union + Eligibility

Navy Federal blows other credit unions out of the water with its asset and membership numbers. They hold more than $112 billion in total assets and over $86 billion in member savings and deposits, with just shy of 9 million total members.

Though the credit union is headquartered in Virginia, you don’t have to live anywhere near Virginia to access Navy Federal branches or ATMs. There are 343 branches worldwide, some on military bases and some overseas in 26 international locations. In the U.S., Navy Federal has branches in metro D.C., Virginia, California, and Florida. They do not participate in shared branching, but they are part of a network of over 30,000 co-op ATMs.

To be eligible to join Navy Federal, you must have ties to the Department of Defense, the armed forces, the National Guard, or have a family member that does. Navy, Marines, Army, Air Force, Space Force, and Coast Guard active duty and retired members all qualify for membership. This credit union is not open membership and you may not join if you do not meet the above membership criteria.

Final Thoughts

Navy Federal has come to be known for its commitment to its customers. It receives high marks on the loan side and has better than average APYs on the savings side.

It’s also the largest credit union in the country with far-reaching accessibility.

TAB Bank High Yield Savings – 0.90% APY + CDs up to 1.10% APY


TAB Bank [Transportation Alliance Bank]

TAB Bank is an online only financial institution based out of Ogden, Utah.

Known as the bank tailored to truckers, TAB Bank, or Transportation Alliance Bank, has a suite of online savings products that are generally quite competitive.

Their current rates are slightly lower than their peers, but TAB usually places near the top of the pack in terms of APY (annual percentage yield) for their high yield savings account.

Their certificate of deposit rates are on par with what you’d see at other online banks, and still beat the national average for their respective terms by a good margin.

Find out if TAB Bank’s savings products are right for you in our rundown below.

Keep in mind APYs across the board are trending downward as the FED aims to keep rates near zero through 2022.

TAB Bank High Yield Savings Account

TAB Bank’s high yield savings account can be opened online in minutes and is FDIC-insured up to $250,000 per depositor.

The account offers flexible terms and a low balance requirement to earn the advertised yield.

Here are the account details:

Daily BalanceAPY (Annual Percentage Yield)Min. Deposit to Open
$10.90%$0

Interest is compounded daily and paid out monthly.

To give the above rate some context, the current national average for savings account sits at just 0.07% APY.

A unique feature of this product is that TAB doesn’t put a cap on the amount of money you can keep in the account and earn interest. Although FDIC insurance will only cover you up to $250,000, this feature differentiates the product from others. In fact, some online banks put maximum balance caps on amounts well below the $250,000 mark (for example: Paramount Bank’s online savings account).

Tab Bank High Yield Savings Account Fee Schedule

Tab Bank’s high yield savings account comes with minimal fees. Below is the complete fee schedule.

TypeFee
Monthly Maintenance$0
eStatements$0
Paper Statements$5/each
Cashiers Check$15/each
Outgoing Wire$30/each
Stop Payment$30/each
Return Deposit Item$30/each
Paid Overdraft or Returned Item$30/each ($150 max per day)
Account Record$5
Account Research$20/hr. 1 hour min.

TAB Bank CD Rates

TAB Bank offers certificates of deposits with standard terms ranging from 6 months to 5 years.

Their CD rates are better than the current national average, but higher yields can be found through other online banking institutions as well as regional and national credit unions such as Patelco, PenFed, or Navy Federal Credit Union.

TAB Bank’s current CD rates:

CD TermAPY
6 months0.50%
9 months0.50%
12 months0.60%
18 months0.70%
24 months0.75%
36 months0.95%
48 months0.99%
60 months1.10%

All of TAB Bank’s CDs come with a minimum deposit requirement of $1,000.

How to Open a CD or Savings Account with TAB Bank?

As with most online only institutions the opening process of either a CD, online savings account or money market account is very simple and straight forward.

To start, navigate to the product page you are looking to open.

We are choosing a 12 month CD, so we’ll get started by going to the certificate of deposit page.

The certificate of deposit page requires us to further drill down to our specific product type. Since we’re looking to open a 12 month CD, our product selection page looks like this:

You’ll be able to select the CD term you’d like on the left. Once clicked you’ll see the selected product show up on the right. We chose a 12 month deposit.

From here you can click on the “open now” button once more and proceed to fill out your basic contact info. This information can be sucked in from other sources such as Facebook, or you can fill it out manually.

Other specific information the application will require are your name, address, date of birth, social security number, and potentially your tax ID.

If you’re looking to open an IRA to have your certificate of deposit placed in, then you’ll need to apply over the phone by calling (800) 215-7128.

How to Fund Your Tab Bank Account

There are 6 ways to fund your Tab Bank account:

  1. Direct Deposit. Contact Tab Bank to get their direct deposit notification form. You’ll then use this to notify your employer (or other source) to begin placing deposits in your new Tab Bank account automatically.
  2. Deposits via third party checks. ComCheck, T­Chek, EFS, or even Western Union®. These are considered guaranteed funds and are available within an hour. They can be done by calling their customer service department.
  3. Wire Transfer. You can send money from an external bank account by wire. You will have same-­day access to your funds.
  4. ACH transfer. You can request money from an external bank account by ACH transfer, which you must set up before hand. You will have access to funds within two business days. 90 days after opening your account you can apply for TAB Bank Express ACH, which gives you access to transferred funds within one business day.
  5. Gift Card. You can also buy a gift card at any Pilot Flying J and call our customer service department to deposit that money into your account.
  6. Mail in check with deposit slip.

ACH Transfer Limits

These are not listed in Tab’s website or in the fine print, so you’ll have to get in touch with a representative to find out what these will be for you.

According to customers, the incoming and outgoing transfer limit is or at least has been $10,000. Just know that you probably won’t find out exactly what limits are until you open an account.

Tab Bank Customer Support and Customer Sentiment

If you’re struggling with online and/or mobile banking, give the bank a call at 800-355-3063.

Hours of operation are from 6 AM to 7 PM Mountain Time Monday through Friday and from 9 AM to 3 PM on Saturday. You can also send a secure message through the bank’s online platform.

Reviews on Tab Bank’s customer support are wildly mixed, so it’s not clear what you can most likely expect from this service.

Tab Bank as a whole doesn’t do especially well on customer review sites such as DepositAccounts, where the bank earned just 2.5 stars. Many people come for the rates and it seems like the majority do stay for the rates, but a lot of users have shared that the online banking interface leaves a lot to be desired.

Final Thoughts

If you’re in the market for a high yield online savings account, then TAB Bank’s high yield savings product is a fantastic option.

The account is easy to open and has no minimum deposit or balance requirements.

If you’re looking to do more everyday type banking, then you’ll want another account to supplement this one. ATM fees alone could eat away at your interest.

TAB Bank’s CD rates while lucrative in the past are only so-so today (albeit above the current national average). More lucrative APYs can be had with other FDIC insured banks.

Aspiration Spend and Save Account – 1.0% APY + Up To 10% Cash Back on Purchases


image credit: aspiration.com

Aspiration is not a bank but rather a financial services company that has come up with quite the aspirational product – a hybrid checking/savings account with the goal of making the world a better place.

Aspiration has taken the best features of checking and savings accounts (ie cash back on debit purchases, unlimited ATM reimbursements and a solid APY on idle cash) and combined that with a streamlined way of investing in ethical companies.

The Aspiration Spend and Save account is a cash management account that was named one of the best on the market for 2020 by NerdWallet—it lets you invest sustainably and save while you do it.

If you’re in the market for a cash management account that is as personally fulfilling as it is financially rewarding, continue reading our review below.

Aspiration Spend and Save at a Glance

The Aspiration Spend and Save account is a cash management account that offers the following:

  • Cash back on your debit card spending,
  • Pays interest on idle cash in your account,
  • Extends FDIC insurance up to $2m by leveraging multiple banks
  • Lets you easily and conveniently make low-risk investments, and
  • Shows you how your purchases are making a difference in the world.

On top of that, your deposits into an Aspiration Spend and Save account will never be used to pay for fossil fuel exploration or production. This is in contrast to the four leading banks in the U.S. — Chase, Wells Fargo, Citi, and Bank of America — which are responsible for the most fossil fuel production by any banks in the world. 

Aspiration will give you major cash back for ethically responsible purchases and uses 10% of its own profits for charitable giving. And if you’re feeling charitable yourself, give easily through one of several vetted charities on their site.

Aspiration Spend and Save Rate (APY) + Details

Earn up to 1.00% APY with interest compounded daily and credited monthly on all idle cash in your Aspiration Spend and Save account.

A minimum opening balance of just $10 is required to open this cash management account.

Aspiration Spend and Save Rate

BalanceAPY
$10 – $10,0001.0%
$10,001 +0.25%

Important! If you are not an Aspiration Plus customer, your idle cash will not earn interest. A membership costs $3.99 per month or $44.99 per year, so remember to calculate this into your potential earnings. You must also meet the minimum monthly debit card transaction total of $1,000 to qualify for the advertised APYs.

To put these yields in perspective, the current national average for a savings account and an interest checking account are just 0.06% APY and 0.04% APY, respectively. 

Aspiration deposits are insured up to $2 million per depositor by the FDIC. This is possible through the use the FDIC Deposit Sweep Program, which allows cash managements accounts to offer this feature.

In a nut shell, the money you deposit into your Spend and Save account is transferred into participating partner banks at the end of each business day so that your money is protected under their FDIC coverage.

Operating as your custodian and agent, Aspiration will select these banks for you from a long list of at least 10 participating banks. They will post a Priority List of these selections for your viewing.

This list will tell you which banks your funds will be put into and what the priority will look like (ie which bank will get the first tranche, second tranche, third and so on until all your money is safely parked).

Your deposits may be in up to 8 different partner banks for FDIC coverage up to $2 million ($250,000 x 8 institutions = $2m in coverage).

If the $2m is exceeded, you will have an excess bank for this additional amount. Deposits in the Excess Bank will not be insured. Contact Aspiration at (800) 683-8529 if you are over this limit in one or more of the banks on this list or if you would like to alter your Priority List.

Though your money won’t be held at Aspiration, it can still be accessed as usual through Aspiration. A Spend and Save account is not technically a deposit account, so deposits into it need to be distributed into other deposit accounts in order to still receive insurance coverage.

Accessing Your Funds

Accessing your funds is simple and straight forward and on par with many online bank savings accounts and money market accounts. The following methods are allowed.

Depositing funds can be down via:

  1. ACH Transfer
  2. Wire transfer
  3. Mailed check
  4. Mobile-deposited check

Withdrawing funds can be down via:

  1. ACH transfer
  2. Wire transfer
  3. Request a mailed check
  4. ATM withdrawal
  5. Point-of-sale withdrawal

Account Fees

Aspiration’s “Pay What is Fair” fee is the certainly an interesting approach to fees. They simply state that you choose their fee.

They’re confident in their ability to bring you best in class digital financial products and in return they hope you will be kind enough to pay them something for the value you received. But you certainly don’t have to and the ball is entirely in your court. The fee you pay can be $0 for as long as you’re with them if you so choose.

Aspiration Spend and Save Fee Schedule

TypeFee
Monthly MaintenancePay what is fair
Minimum to Open$10
ATM Withdrawal$0
OverdraftNA. The account won’t allow it.
Stop Payment$0
Insufficient Funds$0
Domestic Wires (In and Out)$0.82 each
International Wire In$2.50
International Wire Out$15
Return Item Charges$1.15 per item under $5,000
$5.33 per item over $5,000
Foreign Item Collection$30 plus the foreign bank’s fees
Canadian Item Collection$5
Expedited Debit Card$35
Account ResearchFree

You may write checks with an Aspiration Spend and Save, but you will need to order paper checks. Aspiration tries to be as environmentally friendly as possible, so you’ll have to go out of your way to get paper.

Aspiration Spend and Save Account Perks and Rewards

There are many things that make this Aspiration account stand out from other cash management accounts other than the socially and environmentally conscious focus of the product.

Aspiration cash management accounts offer:

  1. Up to 10% cash back* on debit card purchases,
  2. Up to 1.00% APY on idle cash
  3. Identity theft protection,
  4. Free access to over 55,000 surcharge-free ATMs**
  5. One out-of-network ATM fee reimbursement per month
  6. Bill pay options,
  7. A digital debit card that can be used anywhere,
  8. A planet-friendly debit card made from recycled plastic (rather than the electronic debit card automatically given to you)
  9. Carbon offsets for gas purchases through Planet Protection

*Cash back up to 10% on purchases from mission-focused corporations such as Warby Parker, TOMS, and more (all purchases made with your debit card are eligible for cash back, but only certain purchases will earn 10%)

**With Aspiration, you’ll have access to a network of over 55,000 surcharge-free Allpoint ATMs across the country.

All customers will be able to see their spending impact in the form of an impact score which not only gives you spending bonuses but also shows you how the companies you’ve supported use their profits to do social and environmental good.

Aspiration Spend and Save Reviews + Customer Sentiment

Customer satisfaction with this financial firm is mixed and fairly average overall. This cash management product comes through for users with competitive rates, high FDIC-insurance and simplicity, but some users are frustrated with how often rewards, rates, and features change.

Customer service is said to be good and accessible and the online banking platform is generally thought to be more than sufficient—easy to use and complete.

To reach a customer support representative, call (800) 683-8529 during business hours of 6 AM – 6PM Pacific Time Monday through Friday and 8 AM – 4 PM Saturday and Sunday. You can also follow the corporation on Twitter, Facebook, and YouTube.

The mobile app for this firm is well-liked. The Aspiration app for Apple devices has a 4.8 star rating on the App Store and for Android devices has a 4.5 star rating on Google Play.

Final Thoughts

This account is a clear winner for anyone that wants to use their money to better the world.

The Spend and Save account (along with membership to Aspiration Plus) has everything a good cash management account should. They feature good rates of return, great perks, and the convenience of spending, saving, and investing all under the same umbrella.