USAA Bank Review: Competitive Loan Rates for Military and Family

Here's what USAA Bank offers its military-affiliated members.

USAA Bank serves as the banking division of United Services Automobile Association and provides a range of financial services and products to its customers. USAA auto insurance might be the company’s most well-known product, but banking at USAA means access to savings accounts, CDs, loans and more. Keep reading this review to see if USAA is the best bank for you.

What You Need to Know About USAA Bank

The biggest thing to know about USAA Bank is you must be active duty military, former military, an eligible family member, a cadet or midshipman in order to join.

USAA Bank at a Glance
Products OfferedSavings and checking accounts, credit cards, auto loans, CDs, mortgages, personal loans and more
Pros
  • Can purchase various types of insurance while banking
  • Variable credit card options
  • Low APR for car loans
Cons
  • Low APY on its savings account
  • Higher CD rates elsewhere
  • Must be military-affiliated to join
Information accurate as of Oct. 22, 2018.

Banking with USAA offers some nifty advantages, but members can only access them through military service or associates.

Find Out: 10 Best Military Banks and Credit Unions of 2018

Best Features of USAA Bank

USAA Bank Accounts

USAA offers both checking and savings accounts. Its checking account includes:

  • No monthly service fee
  • No ATM fee for first 10 withdrawals ($2 afterward, plus up to $15 in reimbursement for out-of-network ATM fees)
  • Mobile banking app

The savings account only offers 0.09% APY — increasing to 0.15% APY at deposits of $10,000 or more — but requires no minimum balance or monthly fees.

Related: Here’s Your USAA Routing Number

USAA Credit Cards

USAA Bank offers nine credit card options to its customers. One of its more attractive options is the USAA Rate Advantage Visa Platinum Card, which comes with an APR as low as 8.65 percent. Other cards come with rewards or cash back options. The USAA Rewards American Express Card, for example, earns you triple the points when you use it to dine out.

USAA Auto Loan

Bankers financing their auto loan through USAA can set a term of up to 84 months for new car loans. You can also lock in your loan rate for up to 45 days. Its new car loans carry an APR as low as 2.99 percent, and used car loans run for 3.79 percent.

USAA CDs

USAA offers tiered CDs whose APY depends on the deposit amount. Its terms are also a bit more flexible than other options, as they go up to seven years.

TermAPY
270 Days0.66%
1 Year0.71%
18 Months0.76%
2 Years1.51%
30 Months1.54%
3 Years1.71%
4 Years1.87%
5 Years2.12%
7 Years2.17%
Information accurate as of Oct. 22, 2018.

Please note this table does not show all CD terms.

USAA Mortgage Rates

USAA offers several different loan options, among them:

  • VA Loan – 5.072% APR: Good for active duty or former service members and retirees.
  • Conventional Loan – 5.117% APR: Best for buyers planning on putting a down payment on the property.
  • Adjustable-Rate Mortgage – 4.742% APR: After a set period of time, the APR changes based on the market.

USAA Personal Loan

Before taking out a personal loan with USAA, check out the bank’s payment calculator to plan your payments. Most of its rates are 8.99 percent, including terms up to 60 months. However, the rate depends on the term length and the amount borrowed.

Should You Sign Up With USAA Bank?

If you qualify for USAA membership through your military affiliation, this bank might be worth looking into. Its banking accounts are mostly fee-free, but don’t expect your nest egg to grow significantly with its savings account. Likewise, the CD rates are competitive, but you can shop around for higher options. On the other hand, if you’re in the neighborhood for a new car or home, USAA offers agreeable APR depending on your creditworthiness. Before selecting any bank, make sure what it offers suits your financial needs and goals.

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