Bank of Internet lays claim to the title “America’s Oldest Internet Bank.” Being oldest doesn’t necessarily make a company best, but Bank of Internet makes a case for such a claim.
BofI Holding Inc., Bank of Internet’s parent company, was recognized by S&P Global Market Intelligence as the top public thrift for 2016, a distinction it has held for five consecutive years. GOBankingRates named Bank of Internet one of its 10 Best Online Banks of 2017.
Bank of Internet offers many of the same products and services you’ll find at traditional banks, including checking, savings, IRAs, CDs, mortgages, home equity products and personal loans. If you’re thinking of opening an account, make sure it’s with one of the best online banks.
Bank of Internet Savings Accounts
You’ll find different types of savings accounts at Bank of Internet. Its offerings include:
- High-yield savings account
- Money market savings account
- Certificate of deposit
Each type of savings account offers distinct features, so do some research to determine which is the best online savings account for you. Make sure your choice aligns with your overall financial goals.
Related: 10 Best Savings Accounts of 2017
Bank of Internet’s High-Yield Savings Account
A basic savings account, Bank of Internet’s high-yield savings account features interest that’s compounded daily, no maintenance fees and no minimum balance requirement. In addition, as of Sept. 11, 2017, the Smart Savings Account offers a 1.05% APY. Account holders can request a free ATM card so you can access funds easily.
Bank of Internet’s Money Market Savings Account
The money market account expands on the features of the savings account by providing limited check-writing privileges, a free Bank of Internet Visa debit card and a higher interest rate. The money market savings account, as of Sept. 11, 2017, came with a 1.05% APY.
Bank of Internet’s Certificate of Deposit
The CD account provides the highest interest rates of the bank’s savings options — just make sure you can leave your funds on deposit until the CD matures. Rates on a Bank of Internet CD vary from 0.55% APY for a three-month term up to 2.25% APY for a 60-month CD.
A CD might be a good option for you if you don’t like risky investments and prefer and a stable, predictable return on your money. You won’t pay any maintenance fees for a CD, but unlike the high-yield savings and money market accounts, a CD requires at least $1,000 deposit to open.
All three of Bank of Internet’s savings accounts come with access to the FinanceWorks suite of online money management tools. Designed to help you to see what you’re spending, you can streamline savings and view multiple accounts from a single location, it can be a good way to keep your financials on track.
Bank of Internet and the FDIC
Online banking is a convenient way to conduct your financial affairs 24/7. But before you open a savings account online, the FDIC advises you to do your homework. Many banks operating online are not FDIC-insured, including banks that are chartered overseas, according to the FDIC.
When in doubt, visit the FDIC’s BankFind website. All deposit accounts at Bank of Internet, including its online savings accounts, are FDIC-insured through BofI Federal Bank.
Decide If Bank of Internet Works for You
If you like the convenience an online bank offers, the safety of FDIC insurance and competitive interest rates on savings accounts, consider Bank of Internet. One bonus: It’s among the internet banks that have consistently achieved high marks from independent, industry-tracking organizations.