Best Neobanks of 2025
Written by
Rudri Patel
Edited by
Elizabeth Constantineau
Neobanks, also known as challenger banks, are digital companies that offer banking services entirely online through apps and websites. They’ve gained traction with tech-minded customers by offering lower fees and higher interest rates than traditional banks. Here’s a look at the best neobanks in the U.S. and how to decide which one fits your needs.
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TOP WINNERS
Bank/Institution
Ratings
Savings APY
Key Highlights
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GOLD WINNER
Best for High-Yield Savings Accounts
Investment Options
Low Monthly Fees
SILVER WINNER
Best for Low Monthly Fees
Up to
Best in High-Yield Savings Accounts
Investment Options
More About the Best Neobanks Winners
GOLD WINNER
Best For
No Overdraft Fees
Neobanks
Over 55,000 ATMs
Automated Investing With Round-Ups
Free ATM Access
Acorns Bank offers a chance to save and invest in one platform. One of the key features is its Emergency Fund account, a high-yield savings account which has a APY. Acorns is rated 4.7 out of 5 stars on the Apple Store and Google Play.
Fees
No overdraft fees and minimal fees on subscriptions, ranging from $3 to $12
Emergency Fund APY
Products Offered
Checking and savings accounts, individual non-retirement accounts, Roth, traditional SEP IRAs, stocks, bonds, investment account for kids, bitcoin-linked ETFs
Pros
- Checking account offers a APY
- Savings account offers a APY
- Everyday banking and investing in one place
- Financial library with informative articles
- Automated savings tool
Cons
- No access to financial advisorsÂ
- No tax strategy available
Why We Like Acorns
This neobank offers minimal fee everyday banking with the opportunity to invest in ETFs, IRAs and stocks.
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SILVER WINNER
Best For
No Monthly Maintenance Fees
Neobanks
Competitive Savings APY
International Transaction Fee Reimbursements
Generous Fee-Free Structure
Betterment excels as a fee-free, mobile-first banking option that not only offers checking and savings accounts but also robo-advisors for investing. Betterment offers multiple portfolio options and access to live certified planners.
Mobile App Rating
4.8 on the Apple App Store and 4.7 on Google Play
Savings APY
Up to
Products Offered
Checking accounts, savings accounts, crypto investing, IRAS, 401(k)s
Pros
- Fee-free structure
- Competitive APY for savings account
- Automated and crypto investing
Cons
- Need a $100,000 minimum to access a live financial planner
- Tax strategy limitations
- Limited investment options
Why We Like Betterment
This Neo bank offers fee-free banking domestically and internationally, with a high-yield savings account offering APY.
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BRONZE WINNER
Best For
No Monthly Fees
Neobanks
No Overdraft Fees
Nationwide ATMs
Min. Balance to Earn APY $0
Varo excels as a fee-free, mobile-first banking option, offering a top-rated app experience. You can earn up to APY on a high-yield savings account.
Mobile App Rating
4.9 on the Apple App Store and 4.7 on Google Play
Savings APY
Up to
Products Offered
Checking account, savings account, line of credit, Varo Believe Credit Builder Card
Pros
- Competitive APY for high-yield savings accounts
- No monthly minimum deposits or monthly maintenance fees
- Early direct deposit
Cons
- No physical locationsÂ
- Must meet qualifications of savings accounts to qualify for high APY
- Limited product offerings
Why We Like Varo
This neobank offers fee-free banking with user-friendly apps, high APYs on savings accounts and a large ATM network.
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Best For
Hands-off Investing
Neobanks
Portfolio Line of Credit
High-Yield Cash Savings
High-Yield Cash Savings at APY
Weatherfront makes investing accessible with automation and information on tax strategies. It also has a cash savings account with a APY and higher FDIC insurance for funds.
Mobile App Rating
4.8 on the Apple App Store and 4.9 on Google Play
Savings APY
Products Offered
Individual and joint accounts and trusts, traditional and Roth IRAs, automated financial planning, taxable brokerage accounts, high-yield cash accounts, stock and bond ETFs
Pros
- Diverse investment options
- Extensive planning tools
- Daily tax-loss harvesting
Cons
- No physical locations
- $500 minimum for automated investment accounts
- Lack of human advisors
Why We Like Wealthfront
This neobank makes investing accessible with automated tools and offers a cash account with a APY.
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Best For
Early Direct Deposit
Neobanks
Credit Building Tools
Free Wire Transfers
Overdraft Protection Up to $300
GO2bank offers a high-yield savings account, which offers a APY on balances up to $5,000, making it one of the more competitive options for savers. The secured credit card with no credit check is another standout feature, helping users build or improve their credit without an annual fee.
Fees
Monthly maintenance fee of $5 on checking account that is waivable, out-of-network fee is $3, cash deposit fee is $4.95 per transaction, an international transaction fee of 3% of the total amount
APY
on savings accounts up to $5,000
Products Offered
Checking account, savings account, debit card, credit card
Pros
- High-yield on savings accounts up to $5,000
- Early direct deposit
- Overdraft protection up to $300
- Credit-building tools
Cons
- Monthly maintenance fee of $5, unless you can waive with direct deposit
- Cash deposit of $4.95 per transaction
- Limited interest on higher balances
Why We Like GO2bank
GO2bank offers a high-yield savings account with APY on balances up to $5,000, early direct deposit for faster access to funds and overdraft protection up to $300.
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Best For
Competitive APYs
Neobanks
Side Hustle Job Board
Budgeting Tools
Fee-Free Cash Advance up to $500
Dave offers competitive APYs on savings and checking accounts and allows customers to secure a fee-free cash advance of up to $500 between paychecks. Dave also has a job board with side hustles and budgeting tools.
Mobile App Rating
4.8 on the Apple App Store and 4.4 on Google Play
Savings APY
Products Offered
Checking account, savings account, fee-free extra cash for up to $500, side hustle opportunities, financial planning tools
Pros
- High-yield checking account with a APY
- High-yield savings account with a APY
- Budgeting tools
Cons
- Membership fee to access certain features of the app
- Limited overdraft coverage
Why We Like Dave
Dave offers a high-yield savings and checking account with a APY, a chance to secure a fee-free cash advance of up to $500 and a job board that allows customers to secure a side hustle.
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Research Methodology
Neobanks are fintech firms that offer apps, software and other technologies to streamline mobile and online banking. These fintechs generally specialize in particular financial products, such as checking and savings accounts. To determine rankings for the Best Neobanks of 2025, GOBankingRates analyzed the following factors: (1) monthly checking fee ratio (percent the minimum to avoid fee compared to the monthly fee itself); (2) minimum needed to earn APY; (3) savings APY; (4) products/services offered (credit cards and investment services); (5) the average mobile app rating between the Google Play (Android) and Apple stores; and (6) number of extra benefits and perks unique to neobanks. All factors were then scored and combined, with the lowest score being the best. Factors (1) and (2) were weighed 0.5 times, and factors (3) and (6) were weighed 2 times. All products and offerings had to be available as of Nov. 1, 2024, to be considered. Rates are subject to change; unless otherwise noted, rates are updated periodically. All other information on accounts is accurate as of Aug. 18, 2025.
What To Know About Neobanks
A neobank is a tech firm that offers online-only financial services. Typical services include checking and high-yield savings accounts, debit cards, ATM access and budgeting tools. Some neobanks also offer tools like early paycheck access, automatic savings features and spending insights.
Even with all these advantages, keep in mind, neobanks do not have physical branches and not all are FDIC-insured. 
Neobanks vs. Traditional Banks
Unlike traditional banks, neobanks are tech companies or fintech firms that provide services exclusively online. Here are additional differences between the two: 
| Feature | Neobanks | Traditional Banks |
|---|---|---|
| Physical branches | No | Yes |
| Interest rates | Usually lower | Usually higher |
| Services offered | -Limited -Only core services like checking, savings, ATM access and debit cards are offered. | -Comprehensive -Traditional banks offer basic accounts, loans, investment tools and mortgages |
| FDIC-insured  | Indirectly — partnered with charter and traditional banks to cover insurance on customers | Insured directly by the FDIC |
| Technology | Tech-forward with user-friendly apps and customer service via chats and email | Not all traditional banks have modern interfaces to support tech-savvy banking  |
How To Choose a Neobank
Neobanks are online replicas of traditional banks and credit unions. Convenience is one of the greatest benefits of a neobank, as customers may set up their accounts within minutes and begin financial transactions. 
Some of the most popular services available from neobanks include mobile money transfers, online check deposits, and checking and savings account services. Once you know what features are most important to your finances, you can choose the best neobank account for you. 
Here are some steps you can take:
Step 1. Decide if a Neobank Is Right for You
- Neobanks are ideal for those who are tech-savvy.
- They appeal to individuals who are comfortable with online banking.
- Neobanks may not be the best option for people who have complex banking needs.
Step 2. Compare Neobanks and Traditional Banks
- Neobanks do not have physical branches.
- They usually offer lower fees and higher interest rates.
- Their offerings are less comprehensive than those of traditional banks.
- Neobanks are designed to be tech-forward.
Step 3.  Compare Neobanks to Other Online Banking Options
- Neobanks are not the same as online banks.
- It’s important to check the FDIC protections of a neobank.
- Not all neobanks are FDIC-insured.
Step 4. Weigh the Pros and Cons of Neobanks
There are advantages and disadvantages that come with using neobanks. Here’s a look at the pros and cons:
Pros
- Easy account setup with no credit checks 
- Competitive rates and low fees 
- Modern, user-friendly banking apps
Cons
- No physical branches 
- Less regulated — some are fintechs, not banks 
- Complex issues may be harder to resolve without in-person support
Best for: People who are comfortable banking entirely online and want lower fees and simple tools.
Best Neobanks FAQ
Although the basic idea behind a neobank can be simple to understand, many common questions still surround them. Here are the answers to some of the most frequently asked questions regarding neobanks and what this type of bank offers.- What are the disadvantages of neobanks?
- Neobanks are less regulated, lack brick-and-mortar locations and have fewer financial services than traditional banks.
- What are the advantages of neobanks?
- Neobanks are tech-forward, have low or no fees, and have higher interest rates on deposits.
- Are neobanks FDIC-insured?
- Not all neobanks are FDIC-insured directly. However, most partner with an FDIC-insured bank so your deposits are protected up to $250,000. Always check this before opening an account.
- Are neobanks suitable for small businesses?
- Some neobanks offer business accounts with low fees. However, if you have complex transactions and want to chat in person about your transactions, a traditional bank is likely more suitable.
- Is a neobank a fintech?
- Yes, a neobank is a type of fintech focused on digital-first services.
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Heather Taylor and Caitlyn Moorhead contributed to the reporting for this article.
