Capital One Bank Review: Big-Bank Convenience With Solid Financial Services

GOBankingRates Score

Capital One
4.7
SCORE
GOBankingRates Best Banks 2023 scores and rankings are objectively determined by our research/editorial team. Our scoring formula weighs several factors that differ from category to category depending on what consumers want from varying products and banks.
Quick Take: You may be familiar with Capital One's popular cash-back and travel rewards credit cards. However, Capital One has also taken advantage of its strong financial position to offer online checking, savings and CD accounts with no monthly service charges or minimum balance requirements to worry about. Capital One Bank proves it is so much more than the cards in your wallet.
  • Checking Account
    4.9
  • Savings Accounts
    4.4
  • CD Accounts
    4.9
  • Money Market Accounts
    4.4
  • Banking Experience
    4.8
How did we calculate this?

Pros

  • Competitive interest rates
  • No monthly fees
  • No minimum balance requirements

Cons

  • Limited account variety
  • Branches only available in limited states

Capital One Bank Overview

Capital One Bank is a fairly young bank. Despite its relatively recent addition, the bank is one of the largest for consumer deposits. Established in 1994 as the banking offshoot of the card issuer Capital One Financial Corp., the banking division aims to offer a full-service financial experience complete with physical branches, a strong digital presence and services that go beyond basic bank accounts.

GOBankingRates has ranked it among the Best Banks in several categories including Best CD Accounts, Best Checking Accounts and Best National Banks of 2024.

Capital One: Key Features

Besides the Capital One 360 Checking or higher-yield savings account featured in this review, you can access such products and services as car loans, credit cards and business banking. Capital One Bank is primarily an online bank. It has branches and Capital One Cafés nationwide but not as many branches as some of the other big banks.

It has been named one of the Best National Banks of 2024 and here are some of the key features this ranking was based on for current or new account holders to consider:

Checking Accounts

There are two Capital One checking accounts to choose from: MONEY checking for kids and teens ages 8 and up and 360 Checking for adults. Here are some key takeaways from the latter:

  • Was ranked among the Best Checking Accounts of 2024 by GOBankingRates.
  • Earns APY
  • The account has enough features to provide a flexible banking experience — you can schedule online bill payments or write checks. 
  • Use the mobile app to deposit checks; or, if you’re located near an ATM or branch, you can do in-person banking to deposit cash.
  • No monthly maintenance fees or service fees
  • No account minimum account balance requirements
  • No overdraft fees
  • The first 50 checks ordered are free
  • Over 70,000 surcharge-free ATMs available

Savings Accounts

As with the checking account, Capital One offers two online savings accounts — one for adults, known as 360 Performance Savings, and one for kids. The Capital One 360 Performance Savings account, though not necessarily a high-yield savings account does have competitive interest rates, no monthly fees and no minimum deposit requirements. If considering this account here are some features:

  • There are no tiers required to access the higher yield of APY.
  • The biggest challenge with a Capital One savings account is making withdrawals, as a debit card is not available. 
  • You can always transfer funds to an existing Capital One account or another bank. Making a withdrawal at a branch or Café is also possible, as long as you keep in mind that there is a limit of six withdrawals or transfers per month due to federal regulations.

CD Accounts

If you have a balance you don’t need for some time, a certificate of deposit from Capital One guarantees a higher interest rate for the term you choose. It’s one of the Best CD Accounts listed by GOBankingRates in 2024 with some of the best CD rates. There are several term commitments to choose from, between six and 60 months.

Here are some things to keep in mind with CDs:

  • A CD will lock your funds in for the term.
  • Withdrawing part or all of the balance comes with penalties.
  • Capital One’s CDs are most lucrative if you can commit to term lengths of at least 12 months or more.

Money Market Account

Capital One Bank does offer the 360 Money Market account option. Here are some features of this account should you choose to open one:

  • No minimum deposit is required to open
  • No minimum balance requirement to earn the APY
  • Interest rates and APY are variable and may change at any time
  • Interest on the account is compounded monthly
  • You may be charged $30 for domestic wire transfers
  • Unlimited amount of transfers and withdrawals

Banking Experience

Capital One is primarily an online bank with the perk of branches in select areas. To get the most out of the bank, it’s important to get familiar with the digital side of banking and complement it by accessing the 70,000 free ATMs available. Here are some takeaways:

  • Customer Service: Besides the available branches and Cafés, you can reach customer service seven days a week between 8 a.m. and 11 p.m. EST at 877-514-2265.
  • Mobile Banking: The Capital One app is one of the most functional mobile banking apps around. Mobile check deposits, goal setting, account management, bill payments and more are possible. The app has a rating of 4.6 out of 5 stars from Google Play users and iOS users give the app a 4.8 out of 5 in the App Store showing overall customer satisfaction.

You can also handle your banking needs and financial decisions by using the online platform. It’s user-friendly and provides plenty of tutorials and resources to help you learn more about personal finance.

How Does Capital One Compare?

It’s always good to research several banks before you choose one. Here is how Capital One compares to similar financial institutions.

Capital One vs. Chase

Capital One’s interest rates on deposits are significantly higher than Chase’s which currently go up to . However, if you make regular cash deposits or need a bank with a local presence, Chase Bank has more than 4,700 branches nationwide for a wider personal reach.

Capital One vs. Ally

Although both banks have an online focus and provide high yields, Ally Bank has more options for a truly full-service experience. You can have your pick of checking, savings, money market and CD accounts, as well as retirement accounts, loans and home mortgages with Ally.

Is Capital One Right For You?

Capital One is best for you if are interested in getting started with banking or need a robust checking account with many features. For example, the 360 Checking account is the best in class. You’ll earn interest and avoid fees that can eat away at your balance. In-network ATM withdrawals, overdrafts and monthly service are all free.

Final Take

Capital One is a great alternative to the brick-and-mortar bank. The mostly online institution provides interest-bearing accounts with no fees or minimum requirements. The mobile app is extremely user-friendly, making it possible to handle most of your needs online. 

Overall, Capital One Bank is best for people who are looking for minimal fees and good rates and who are also comfortable conducting their banking business online because physical branches are limited. This is why GOBankingRates ranked it among the Best National Banks, Best CD Accounts and Best Checking Accounts of 2024.

More on Capital One Bank

Compare To Other Institutions

Capital One FAQ

Here are the answers to some commonly asked questions about Capital One.
  • How do you open a Capital One account?
    • To open an account, choose the account type and click on the open an account box. You'll need two forms of ID, such as a driver's license and Social Security number, and proof of address. To fund the account, provide an existing account and routing number. The process should take about five minutes to complete.
  • What's the difference between Capital One and Capital One 360?
    • Capital One is the corporate name and can refer to the banking or credit card division. Capital One 360 is the bank's brand name for its accounts.
  • Can I withdraw money from my Capital One 360 Performance Savings?
    • Capital One's savings account does not come with a debit card. You can transfer the funds to a Capital One checking account or to another bank and withdraw the funds.
  • How long does it take for a check to clear at Capital One?
    • Checks deposited into a 360 Checking account are usually available the next business day. Deposits into a savings account are held for as long as four business days before they're available.
  • Is Capital One a good bank?
    • Capital One is a good bank if you are comfortable conducting your banking business online because physical branches are limited.
  • Is it safe to bank with Capital One?
    • Yes, Capital One Bank is a member of the Federal Deposit Insurance Corp. That guarantees insurance up to $250,000 for each account held.
  • What are the cons of Capital One?
    • Capital One might not have all of the account options, loans and services you desire. For instance, it has limited account types and only a couple of choices in each category. Additionally, if you prefer to bank in person, there might not be a Capital One branch near you.
  • Which bank is best -- Capital One or Chase?
    • If you want to bank in person, it will be much easier if you bank at Chase, which has over 4,700 locations. If you want higher interest rates, Capital One is the better bank.
  • Is Capital One a good bank according to reviews?
    • Yes, The app has a rating of 4.6 out of 5 stars from Google Play users and iOS users give the app a 4.8 out of 5 in the App Store showing overall customer satisfaction.
  • When is my direct deposit available in my Capital One account?
    • Capital One's Early Paycheck program means you'll get your direct deposit up to two days earlier into your 360 Checking account.

Cynthia Bowman contributed to the reporting for this article.

Any savings on interest will vary depending on account usage and payment behavior.

Rates are subject to change; unless otherwise noted, rates are updated periodically. All other information on accounts is accurate as of Dec. 28, 2023.

Editorial Note: This content is not provided by any entity covered in this article. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by any entity named in this article.

To determine rankings for the Best Checking Accounts, GOBankingRates looked at the following factors from all banks (excluding neobanks): (1) total assets as sourced from the FDIC; (2) number of branch locations as sourced from the FDIC; (3) minimum deposit to open an account; (4) monthly checking fee ratio (percentage based on the minimum to avoid the fee compared to the monthly fee itself); (5) APY on the checking account; (6) overdraft fee amount; (7) the average mobile app rating between the Google Play (Android) and Apple app stores. All factors were then scored and combined, with the lowest score being the best. Factors (1), (2) and (5) were weighted 0.5 times, and factor (4) was weighted 1.5 times.

To determine rankings for the Best CD Accounts, GOBankingRates looked at the following factors from all banks (excluding neobanks): (1) total assets as sourced from the FDIC; (2) number of branch locations as sourced from the FDIC; (3) minimum deposit to open an account; (4) 12-month CD APY; (5) 60-month CD APY; and (6) the average mobile app rating between the Google Play (Android) and Apple app stores. All factors were then scored and combined, with the lowest score being the best. Factors (1) and (2) were weighted 0.5 times, factor (3) was weighted 2 times, and factors (4) and (5) were weighted 4 times.

To discover the Best National Banks, GOBankingRates looked at the top national institutions (excluding online banks and neobanks) that have branches in 25-plus states and/or over $400 billion in total assets. To determine rankings, GOBankingRates looked at the following factors: (1) total assets as sourced from the FDIC; (2) checking product minimum deposit; (3) monthly checking fee ratio (percentage based on the minimum to avoid the fee compared to the monthly fee itself); (4) savings product minimum deposit; (5) savings product APY; (6) Bauer rating (out of 5 stars); (7) products/services offered (auto loans, mortgage loans, credit cards, investment services and insurance); and (8) the average mobile app rating between the Google Play (Android) and Apple app stores. All factors were then scored and combined, with the lowest score being the best. Factors (1), (2) and (4) were weighted 0.5 times; factor (5) was weighted 2.5 times; and factor (7) was weighted 1.5 times.

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