Updated March 2026

The 5 Best Online Banks

We banked with 25+ online-only institutions for months. These five earned our money and kept it.

DP
David Park
Senior Banking Analyst
Fact-checked by our editorial team

Online banks save money by skipping the marble lobbies and passing those savings to you as higher rates and zero fees. We opened accounts at 25+ online banks, tested their apps, called customer service at odd hours, and tracked rate changes over months. These five consistently delivered.

Zogby is an independent, advertising-supported comparison service. We may receive compensation from the companies whose products appear on this site. This compensation may impact how, where, and in what order products appear. Zogby does not include every financial company or every product available in the marketplace.

Bottom Line

  • 1 Online banks pay 10-12x higher savings APYs than traditional banks. That is not marketing spin -- it is the math of not paying for thousands of branch leases.
  • 2 The best online banks now offer everything a traditional bank does: checking, savings, CDs, money markets, and investment accounts. Just without the building.
  • 3 Every bank on this list is FDIC-insured up to $250,000 and charges $0 monthly fees on core accounts. There is no safety trade-off for the higher rates.
  • 4 App quality matters more at an online bank because the app IS the bank. Our top picks have apps rated 4.7+ stars with mobile deposit, budgeting, and real-time notifications.
  • 5 No branches is the trade-off. But 40,000-70,000 fee-free ATMs plus 24/7 phone support handle 99% of what you would walk into a branch for.

Our Top Picks for Online Banks

Best Overall
Ally Bank logo

1. Ally Bank

4.9
Editor's Rating

Monthly Fees

$0

Savings APY

4.20% Savings APY

Min Deposit

$0

Ally is the online bank other online banks are measured against. Checking, savings, CDs, money market, and investing -- all under one roof, all fee-free. They have been doing this since 2009 (originally GMAC, founded 1919) and now hold $182+ billion in assets. The savings account pays 4.20% APY. CDs include no-penalty and raise-your-rate options. The money market comes with checks and a debit card. Ally Invest handles self-directed and managed portfolios. The app is legitimately good -- Savings Buckets, Surprise Savings (automatically finds safe amounts to save), round-up transfers, and 4.7+ stars from millions of reviews. The 43,000 Allpoint ATMs cover most areas, and $10/month in out-of-network reimbursements fill the gaps. We have used Ally as our primary bank for over a year. It does everything we need without ever charging us for the privilege.

Pros

  • Widest product suite among online banks
  • Excellent mobile app with smart savings and budgeting tools
  • 24/7 customer support with 43,000+ fee-free ATMs

Cons

  • No physical branches or cash deposit options
  • Savings APY slightly below some single-product competitors
Best for High APY
SoFi Bank logo

2. SoFi Bank

4.8
Editor's Rating

Monthly Fees

$0

Savings APY

4.60% Savings APY

Min Deposit

$0

SoFi went from Stanford dorm project in 2011 to full-charter national bank in 2022, which tells you something about execution. Their savings rate of 4.60% APY (with direct deposit) is the highest among full-service online banks right now. The checking side pays 0.50% -- not earth-shattering, but better than the 0.01% at your current bank. Where SoFi really differentiates is the ecosystem: personal loans, student loan refi, mortgages, investing, credit cards, and insurance all live in one app. Members get exclusive loan rates, free financial planning sessions, and career coaching. The Relay credit monitoring tool is actually useful, not just a marketing checkbox. With 13.7+ million members and $3.6 billion in annual revenue, SoFi has scale. The only real gap: no physical locations and the best rate requires qualifying direct deposit.

Pros

  • Market-topping 4.60% savings APY with direct deposit
  • All-in-one financial platform spanning banking, investing, and lending
  • Member perks including financial planning and career coaching

Cons

  • Top APY requires qualifying direct deposit
  • No physical branch locations for in-person service
Best for Customer Service
Discover Bank logo

3. Discover Bank

4.7
Editor's Rating

Monthly Fees

$0

Savings APY

4.25% Savings APY

Min Deposit

$0

Discover's calling card is customer service, and it is not close. 100% U.S.-based support, available 24/7, with multiple J.D. Power awards to prove it. When you bank entirely online, knowing you can reach a competent human at 2am on a Saturday matters. The product lineup is solid: savings at 4.25% APY, a cashback debit account paying 1% on purchases (unique in the market), CDs in 12 term lengths from 3 months to 10 years, and a money market account. Zero fees across every product. The 60,000+ fee-free ATMs through three networks mean cash access is rarely an issue. Now operating under Capital One after the May 2025 acquisition, but the Discover banking experience has remained unchanged. If exceptional service is your priority and you are willing to accept slightly lower savings rates for it, Discover wins.

Pros

  • Award-winning 24/7 U.S.-based customer support
  • Unique cashback debit account earning 1% on purchases
  • 60,000+ fee-free ATMs with absolutely zero account fees

Cons

  • Savings APY slightly below top online competitors
  • Product lineup narrower than Ally or SoFi
Best for Savers
Marcus by Goldman Sachs logo

4. Marcus by Goldman Sachs

4.7
Editor's Rating

Monthly Fees

$0

Savings APY

4.40% Savings APY

Min Deposit

$0

Marcus does one thing -- help you save money -- and does it exceptionally well. No checking account, no debit card, no budgeting tools. Just a 4.40% APY savings account, no-penalty CDs you can exit after 14 days, standard CDs up to 6 years, and personal loans up to $40,000 with no origination fees. The Goldman Sachs name is not just prestige; it means rate consistency. While other banks slashed APYs during rate-cut cycles, Marcus has historically held steady longer. They have pulled in $100+ billion in deposits from 3+ million customers since launching in 2016, making them one of the fastest-growing deposit platforms ever. The interface is minimalist by design -- open it, check your balance, move money, close it. If you want an online bank that handles everything, look at Ally. If you want the best savings-focused platform backed by one of the world's most powerful financial institutions, Marcus is the choice.

Pros

  • Backed by Goldman Sachs with $100B+ in consumer deposits
  • Consistently competitive savings APY with rate stability
  • No-penalty CD option and no-fee personal loans

Cons

  • No checking account or debit card offering
  • Limited product ecosystem compared to full-service online banks
Best for Full Service
Capital One logo

5. Capital One 360

4.6
Editor's Rating

Monthly Fees

$0

Savings APY

4.25% Savings APY

Min Deposit

$0

Capital One 360 is the answer to "I want online bank rates but I still want to walk into a building sometimes." The 360 Performance Savings pays 4.25% APY with no minimums or fees. Checking is fee-free with early direct deposit. CDs run from 6 months to 5 years. Those rates compete with any pure online bank. But Capital One also has 280+ Cafe locations where you can bank in person, drink free coffee, and talk to a human about your accounts. The 70,000+ fee-free ATM network is the largest on this list. With $480+ billion in assets, Capital One is a top-10 national bank, not a startup hoping to get acquired. The CreditWise tool monitors your credit for free, and you can manage Capital One credit cards and auto loans in the same app. For people who want 90% online banking with a 10% option to walk into a real location, this is the only choice that actually delivers both.

Pros

  • Unique hybrid model with 280+ Cafe locations plus digital banking
  • 70,000+ fee-free ATMs and no monthly fees across all accounts
  • One of America's largest banks at $480B+ in assets

Cons

  • Savings APY sometimes trails pure online bank competitors
  • Cafe locations concentrated in major metro areas

How to Choose the Best Online Bank

Start with what you need. If you want checking, savings, CDs, and investing in one place, Ally or Capital One 360 cover the full spectrum. If you only care about the highest savings rate, SoFi or Marcus will give you more APY than a full-service competitor. Do not pick a bank for features you will never use.

APY gets all the attention, but test the app before committing your paycheck. Download it, navigate around, try depositing a check. An extra 0.15% APY means nothing if the app crashes every time you try to transfer money. ATM network size and customer service hours matter too -- call their support line at 9pm on a Sunday and see what happens.

Security is identical across reputable online banks: 256-bit encryption, multi-factor authentication, FDIC insurance. The real question is whether you ever need to walk into a building. If you handle cash regularly or want a safe deposit box, keep a free local account and use the online bank for everything else.

Important Tip

Use two banks. Keep a free local checking account for cash deposits and the occasional in-person need, then park your savings, CDs, and money market at an online bank earning 4%+ APY. This two-bank strategy costs nothing and captures the best of both worlds. Most people who try it never go back to single-bank setups.

How They Stack Up

Provider Monthly Fees Savings APY Min Deposit Rating
Ally Bank logo
Ally Bank
Top Pick
$0 4.20% Savings APY $0
4.9
SoFi Bank logo
SoFi Bank
$0 4.60% Savings APY $0
4.8
Discover Bank logo
Discover Bank
$0 4.25% Savings APY $0
4.7
Marcus by Goldman Sachs logo
Marcus by Goldman Sachs
$0 4.40% Savings APY $0
4.7
Capital One logo
Capital One 360
$0 4.25% Savings APY $0
4.6

How We Tested

We opened accounts, deposited money, tested apps, and called support lines at 25+ online banks. Here is what carried the most weight in our evaluation.

25+
Banks Evaluated
100+
Hours of Research
40+
Criteria Assessed

APY & Rate Competitiveness

30%

We tracked rates across savings, checking, CDs, and money markets at each bank over multiple months. Banks that offer a great teaser rate then quietly drop it did not score well.

Fees & Account Terms

25%

Monthly fees, minimum balances, overdraft charges, wire fees, and ATM surcharges all got scrutinized. An online bank charging fees is defeating its own value proposition.

Digital Experience & Features

25%

We installed every app, deposited checks, set up alerts, tested budgeting tools, and measured load times. At an online bank, the app IS the branch -- it has to be excellent.

Product Breadth & Support

20%

We evaluated how many products each bank offers, customer service availability and quality, ATM network coverage, and overall financial stability.

Frequently Asked Questions

If they are FDIC-insured, your money has the exact same federal protection as it would at Chase, Wells Fargo, or any brick-and-mortar bank -- $250,000 per depositor, per institution. Every bank on this list is FDIC-insured. Beyond that, they use 256-bit encryption, multi-factor authentication, and real-time fraud monitoring. Your money at Ally or SoFi is not less safe than your money at a traditional bank. It is the same federal guarantee.

This is the one genuine limitation. Your options: deposit cash at a partner retailer (Green Dot locations at CVS, Walgreens, etc.), use a cash-accepting ATM (Capital One 360 has these), buy a money order and mobile-deposit it, or maintain a free local bank account and transfer the cash digitally. If you receive cash regularly from tips, side work, or selling items, the two-bank approach is the cleanest solution. Deposit cash locally, transfer it to your online bank in 1-2 days.

Operating a single bank branch costs $500,000 to $1 million per year in rent, staffing, security, and utilities. A big traditional bank runs thousands of branches. Online banks skip all of that and funnel the savings into higher APYs and fewer fees. It is not a gimmick or a loss leader -- it is a structural cost advantage. That is why online savings rates are 10-12x the national average and have been for years. The model works.

Yes, and millions of people already do. Between mobile check deposit, direct deposit, bill pay, Zelle, and 40,000-70,000 fee-free ATMs, the vast majority of banking tasks are fully covered. The only things you cannot do: deposit physical cash and access a safe deposit box. If neither of those applies to your life, an online bank handles everything a branch does. If they do, keep a free local checking account as a bridge.

Same-bank transfers are instant. External ACH transfers to other banks take 1-3 business days, though some banks offer expedited options for a small fee. Wire transfers land same-day but cost $15-$30. Zelle payments between enrolled users are instant. The biggest perk: most online banks release direct deposits 1-2 days early, so your Friday paycheck might hit on Wednesday. Plan around the 1-3 day ACH window for external moves and you will never be caught off guard.
DP

David Park

Senior Banking Analyst

David Park is a senior banking analyst at Zogby with over 10 years of experience covering digital banking, fintech platforms, and online savings products. He holds an MBA from the University of Michigan and has been featured in Bankrate, NerdWallet, and The New York Times. David specializes in evaluating online banks that deliver exceptional value through technology and low-cost structures.

MBA, University of Michigan 10+ Years Experience Former Banking Executive

Economic Snapshot

Updated Mar 22, 2026

Source: Federal Reserve Economic Data (FRED). Indicators refresh daily.

Financial News & Regulation

Mar 22, 2026

Headlines sourced from government agencies and legal publications. Updated every 12 hours.

Did You Know?

CD rates topped 5% in early 2025 for the first time since 2007, offering a low-risk savings option.

Identity theft affected 1 in 15 Americans in 2024, with losses exceeding $10 billion.

The Consumer Financial Protection Bureau (CFPB) has returned over $20 billion to consumers since its founding.

Fintech lending now accounts for nearly 50% of all unsecured personal loans in the United States.

Important Online Banking Disclaimers

  • APYs (Annual Percentage Yields) shown are accurate as of the date of publication and are subject to change at any time without notice. APYs may vary by region. Contact the bank directly for the most current rates.
  • Deposits at FDIC-insured banks are insured up to $250,000 per depositor, per insured bank, for each account ownership category. Credit union deposits are insured by the NCUA up to the same limits.
  • Online banking requires internet access and a compatible device. Service availability may be affected by outages or maintenance.
  • Product offerings, terms, and features may change without notice. Visit each bank's website for the most current information.
  • Zogby is not a bank. We are an independent comparison service. We do not offer banking products or hold deposits on your behalf.

The information provided on this page is for general informational and educational purposes only. It is not intended as, and should not be construed as, financial, legal, tax, or investment advice. Always consult with a qualified professional before making any financial decisions.

Editorial Independence

We make money from some companies on this page. That doesn't change our rankings -- the editorial team scores every product independently, and the business side has no say in what we recommend.

Last Updated
March 7, 2026
Fact-Checked
March 5, 2026