Best Banks and Credit Unions
The right bank or credit union for your finances is more than just a holding spot for your money; it is a tool for simplifying your money management. You can have multiple accounts, take out loans, plan for retirement and more, all with the same institution.
The best banks and credit unions offer low fees and competitive rates and have easy-to-use interfaces. Banks with a wide variety of savings vehicles, such as high-yield savings accounts, certificates of deposit (CDs) and financing options like personal loans, credit cards and mortgages, will give you the most flexibility to reach your financial goals.
To narrow down our top three picks, we looked for banks and credit unions that would benefit the average person the most. We also considered which financial institutions have excellent online banking and mobile app options. Finally, we only considered banks or credit unions that are financially stable and backed by either the Federal Deposit Insurance Corporation or the National Credit Union Administration.
- Our pick for building credit: Merrick Bank
- Our pick for small businesses: Wells Fargo
- Our pick for no fees: Ally Bank
- Our recommendations are based on what reviewers say.
- 4,185,611 reviews on ConsumerAffairs are verified.
- We require contact information to ensure our reviewers are real.
- We use intelligent software that helps us maintain the integrity of reviews.
- Our moderators read all reviews to verify quality and helpfulness.
 Merrick Bank |  Wells Fargo |  Ally Bank | |
|---|---|---|---|
| Rating | 3.5 | 3.8 | 3.7 |
| # of reviews | 2,032 | 3,288 | 1,390 |
| Minimum deposit | Not available | Not available | Not available |
| Annual percentage yield | Not available | Not available | Not available |
| Accounts offered | Not available | Not available | Not available |
| Read Reviews | Read Reviews | Read Reviews |
Compare our top 3 choices for banks and credit unions
The right bank or credit union makes it easier to stay on top of your money without weighing you down with monthly fees and account minimums.
- Minimum deposit: $25,000
- APY: 3.20%-4.60%
- Accounts offered: CDs, secured credit cards and recreational and personal loans
For those looking to build or rebuild their credit, Merrick Bank is the best choice. While you will not find savings or checking accounts offered, you can get a low-annual percentage rate (APR) secured credit card through Merrick Bank. Select secured cards come with $0 fraud liability protection and the option to double your credit line after the first seven months.
Online tools such as goScore are free for Merrick Bank customers and will help you track your FICO score without impacting your credit. Customers are also able to manage their accounts at any time of the day.
Merrick Bank also offers certificates of deposit with decent interest rates but requires a high minimum deposit of $25,000. Terms range from three to 60 months. If you want to apply for a loan, you can do that as well. However, unlike other banks that allow you to apply for a loan online, Merrick Bank offers its recreational and personal loans through its dealer partners or by calling customer service.
- What we like
- Secured credit cards with low APRs
- Free FICO score monitoring
- Extensive financial education resources
- What to consider
- No physical branches
- No savings or checking accounts
- $25,000 CD minimum
- What reviewers say
- Many customers have had success with improving their credit scores after signing up for Merrick Bank’s secured cards. Customers also praised the bank for its personal and friendly customer service. “Overall I enjoy the card and use it over most of my other cards,” said one reviewer from Texas. “They always followed through with increases as mentioned when signing up or applying for (the) card."
Some customers had issues with the credit card, stating they didn’t like the yearly fee or that their request for a lower interest rate was never honored.
- Minimum deposit: $25
- APY: 0.15%-2%
- Accounts offered: Checking, savings, CDs, credit cards and personal, home and auto loans
Founded in 1852, Wells Fargo is a well-recognized name in the baking industry. It offers an extensive selection of financial products, from savings accounts to mortgage refinancing. Along with personal finance options, Wells Fargo has several accounts and tools just for small business owners.
Small business owners can finance their needs with the help of cash-back business cards or lines of credit. They can use Wells Fargo’s point of sale (POS) system to accept payments anywhere, with a connection right to a business checking account. Automatic payroll services are also available for businesses that want a faster way to pay their employees.
Finding a Wells Fargo bank or in-network ATM is easy, even when you travel. Personal savings account APYs are low, but fees can be waived if you meet flexible account requirements.
- What we like
- No monthly fees for customers ages 17 to 24
- Thousands of ATM and branch locations
- Online app and digital wallet
- What to consider
- Low savings APY
- Special rate CD requires $5,000 minimum deposit
- Overdraft fees up to three times per day
- What reviewers say
- Customers choose Wells Fargo because of the number of services available and for how easy it is to find a local branch or in-network ATM. “I have done business with Wells Fargo for many years, and most of the services they offer are done in a professional manner,” said one Florida customer. “Their rates are competitive and offer services for whatever stage of life you're in.”
Many complaints revolve around Wells Fargo’s fraud department. Some said that certain transactions were marked fraudulent due to a user error, and it affected the customer’s account. Others said that the bank wasn’t proactive in taking the customer’s side when the customer reported fraudulent activity.
- Minimum deposit: $0
- APY: 3.30%
- Accounts offered: Checking, savings, CDs, credit cards, retirement and investment accounts and personal, home and auto loans
Ally Bank has come a long way since it first started offering high-yield online savings accounts in 2009. Now the bank offers a wide range of financial products, including CDs and money market accounts, retirement and investment accounts, and loans to purchase or refinance a home.
There are no minimum deposit requirements for an Ally Bank online savings account and no monthly maintenance or overdraft fees. Its credit cards come with no over-the-limit fees or returned payment fees. If you want a No Penalty CD, you don’t need a minimum deposit and you won’t pay an early withdrawal fee once your account is a week old.
The online savings account comes with features to help you save even more, such as “surprise savings,” which analyzes your linked checking account for safe-to-save money to transfer. You can also have multiple buckets for savings, helping you save money toward specific goals.
While the online tools and customer service are beneficial, Ally Bank is a 100% online bank, which means you can’t deposit cash or visit an in-person branch.
- What we like
- No fees on several products
- Higher-than-average APY
- 24/7 customer support
- What to consider
- No cash deposits
- No physical branches
- Six account withdrawals and transfers per statement cycle
- What reviewers say
- Many reviewers are happy with Ally’s competitive rates and easy-to-access customer service. “Ally Bank is perfect for anyone who doesn't require a physical bank to satisfy their banking needs,” said a customer from California. “Their customer service is very good, and the web interface is easy to understand and fast. …They have plenty of ATM locations.”
Several of the negative reviews are about Ally’s auto loan financing. Individuals struggled to get in contact with Ally’s auto division for customer assistance and even had payments rejected through the app.
Compare Top Banks and Credit Unions | ||||||
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Specializes in credit building programs and loans. Invite-only credit card provider. Members receive complimentary FICO scores every month. Credit rehabilitation services for those with low credit scores. | | |||||
Line of credit provider that offers unsecured and secured credit cards. Works with less-than-perfect credit. Credit scores as low as 300 accepted. Cashback benefits available. Annual fees go up to $99. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Citibank offers several credit card options, including the new Double Cash Card, which gives customers one percent after a purchase and another one percent when they pay their balance. Cards are also compatible with Apple Pay. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Chase Bank offers a variety of financial services, including specialized business and personal credit cards. Their Slate card includes a free monthly FICO score, and the Freedom card earns one percent cash-back on all purchases. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Offers online banking, robo-advisor trading, portfolio management and various loans. Stocks, ETFs, bonds, mutual funds, margin accounts and securities lending available. No commission or advisory fees. | | Chat with a ConsumerAffairs decision guide Live agent | ||||
Comenity has over 34 million customers around the world, and boasts an A+ Better Business Bureau rating. They manage credit programs for top retailers in the US, helping them create the best options for their customers. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
PNC Bank offers banking, investing and borrowing options to individuals and businesses. Their Virtual Wallet tool lets users keep track of their financial situation more easily by giving you an instant snapshot of your accounts. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Bank of America offers banking options, mortgages loans, consumer loans and credit card services. Many of their cards have special features such as cash back rewards, travel rewards and zero percent introductory interest rates. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Offers online and in-person banking, loans, credit cards and retirement accounts. Easy to waive checking and savings account fees. Increased benefits as your account balance grows. Cash-back and airline mile credit cards. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Provides digital checking and savings, credit cards, home equity and mortgage loans. Free mobile banking app. No monthly checking fee with $100 minimum balance. Customers 60 or older can earn interest on checking. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
How to choose a bank
There are many banks and credit union options available, but not all of them will fit your financial goals. Before deciding on a bank or credit union, consider the following questions:
- What type of financial services do you want?
- In addition to opening a savings account or checking account, decide whether you are also interested in products like loans, mortgages or credit cards. Most banks offer a range of card options, from debit to secured credit and everything in between.
- Which tools will most benefit your financial goals?
- If savings is your primary focus, look for banks that offer automatic roundups or scheduled transfers from your checking to your savings account. If you struggle with budgeting, you might want to look for ones that offer budgeting advice or offer a budget tracker.
- How tech-savvy do you want your online banking experience to be?
- Most banks and credit unions offer some level of online and mobile banking, but more traditional banks can use technology that feels more cumbersome than helpful. See if the bank has its own app, and get a feel for how innovative its online banking features are from the bank’s website.
- How convenient are the ATM and branch locations?
- Even if you are using an online-only bank, you should choose one that has several in-network ATMs near you. You should also consider the out-of-network ATM fees and if there are any reimbursements or waivers offered for using out-of-network ATMs.
- What are the fees?
- Hidden bank fees can make for nasty surprises on a monthly statement. Some accounts require customers to maintain a minimum balance at all times to avoid a monthly surcharge. Others waive these fees for those with direct deposit or student accounts. Withdrawal fees can be another issue. Some types of accounts limit the number of free withdrawals. Once you meet that minimum, future transactions can carry a small fee.
- What is the interest rate?
- Bank interest rates vary widely. When opening a savings account, customers should review the interest rate structure in detail. Credit unions sometimes offer higher savings and lower lending rates.
What’s the difference between a credit union and a bank?
While credit unions and banks are similar in many aspects, there are a few key differences.
Credit unions are member-owned cooperatives. Credit unions typically have higher interest rates on savings accounts and lower interest rates on loans. Due to their local nature, they are also known for emphasizing customer service. For this reason, a credit union is an attractive option for many consumers.
Traditional banks are for-profit institutions and often have more branches throughout a region or an entire country, so they are easier to access. They can offer a more extensive array of financial services than credit unions do.
FAQ
Is it safer to use a bank or a credit union?
Federally insured banks and credit unions both offer protection of deposits up to $250,000 and are equally safe. Banks are insured by the FDIC, while credit unions have the backing of the NCUA.
Should I use a bank or a credit union?
The choice is up to you. Banks offer convenient locations and can sometimes have tech-savvy apps or websites to make managing your finances easier. Credit unions also come with unique perks. Each credit union is not-for-profit, returning profits to members via lower loan rates, higher savings rates and lower fees.
Do banks charge more fees than credit unions?
Some banks do charge more fees than credit unions, while others have no-fee services. Similarly, credit unions can range in how they charge fees. Most will not charge a monthly account maintenance fee, but you may incur fees for overdrafts.
Is it easier to get an account with a bank or a credit union?
Credit unions require all the members to be connected in some way. This might be having a certain employer, living in a certain area or being related to a member. Many credit unions make it possible for almost anyone to join. Banks do not have these types of membership requirements, and opening up a bank account is easy if you meet the minimum deposit requirements.
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Compare Top Banks and Credit Unions | ||||||
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Fifth Third Bank was founded in Cincinnati, Ohio in 1858, and it is a company focused on branch banking. The company also offers unique services like payment processing and title insurance, in addition to investment advice. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Huntington Bank was founded in 1866 in Columbus, Ohio. Today, it has over 750 branches and twice as many ATMs. Full-service branches are located across Ohio, Michigan, Pennsylvania, Indiana, West Virginia and Kentucky. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Wells Fargo offers many financial services that help make banking easier. Wells Fargo Conversations magazine helps users learn about investing and other financial topics. The company's credit cards include a variety of perks. | | Chat with a ConsumerAffairs decision guide Live agent | ||||
Based in Rhode Island, Citizen Bank is one of the country's biggest and most popular banks. With convenient locations in stores and retail locations, they offer a range of financial services to more than five million customers. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Located in New Hampshire and Vermont. Offers online and mobile app banking. Checking accounts, savings accounts and lending available. Accounts are FDIC-insured. Helps with financial planning and wealth management too. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Bank of America gift cards come in the form of prepaid Visa cards that customers can register online or by calling a toll-free number. Customers can use the cards at gas stations, restaurants and at other merchants. | | Chat with a ConsumerAffairs decision guide Live agent | ||||
Comerica Bank mainly serves the Detroit, Michigan and Dallas, Texas areas. Headquartered in Dallas, the bank is the biggest bank in Texas, and it specializes retail and commercial banking, as well as wealth management. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
BB&T, headquartered in Winston-Salem, North Carolina, offers products in six areas: community banking, residential mortgage banking, dealer financial services, specialized lending, insurance services and financial services. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Pentagon Federal Credit Union offers membership to military personnel, members of certain organizations, government employees and more. They offer numerous benefits to members, including insurance policies and real estate rewards. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Provides online banking services with bill payment and mobile deposit options. Offers checking accounts, savings accounts, traditional loans, investing options, credit cards, credit lines and home mortgages. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Arrowhead Credit Union serves San Bernardino and Riverside counties in California. Members enjoy discounts at national retailers, personalized service and the convenience of mobile apps and online banking. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Union Bank of California is a nationwide bank that allows customers to manage their accounts with text commands. Its youth banking program features options for various age groups with low minimum deposits and no monthly charges. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
HSBC services include checking and savings accounts, loans and mortgages, investment and retirement accounts and insurance options for individuals and families. They also offer business services to small and large companies. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
KeyBank is one of America's largest banks, and it is the only bank still headquartered in Cleveland. Nearly 200 years old, they provide personal banking, investment management, retail banking, commercial banking services and more. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Regions Bank offers traditional banking, and its Smart Option Student Loan program features repayment options such as deferred and fixed. Participants in the program get free quarterly credit score reports and 24/7 management. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Provides FDIC insured checking and savings accounts, credit cards, wealth management and other financial services for individuals and businesses. Award-winning mobile app. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
TCF Bank, headquartered in Wayzata, Minnesota, allows customers to start banking online as soon as their enrollment is complete. It has 380 locations in the Midwest and various personal banking and loan products. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Crescent Bank, formerly Crescent Bank & Trust, offers traditional banking and has a niche for automobile loans to high-risk customers in more than 12 states. The bank operates nationwide, but with a focus on Louisiana. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Offers both personal and business banking services, including checking accounts, savings accounts, loans and a variety of other options. Home equity lines of credit and mortgage loans offer competitive interest rates. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
State Farm Bank is a financial and insurance services company founded in 1922, and the company does not have its own branch locations. Customers can only bank with State Farm over the Internet or through the telephone. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Serves former and current members of the military as well as their families. Offers insurance services, investments and tax help for qualified customers in addition to banking, credit cards and mortgages. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
First Citizens Bank has been in business for over 100 years, offering customers a range of options from checking accounts, savings accounts, loans and more. Their services cover everything from everyday to long-term needs. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Royal Bank of Canada is one of the most popular banks chosen by Canadian customers. Headquartered in Toronto and Montreal, the company offers banking services such as checking, credit cards, mortgages, investments and advice. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
M&T Bank is a bank and financial services company that specializes in providing investment management and global wealth management. The company offers online and mobile banking services, as well as savings accounts and CDs. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Offers financial services to service members, veterans and Department of Defense civilians as well as their families. Find home loan programs to purchase and refinance. Auto loans are also available. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Bank of the West, headquartered in San Francisco, has a scan-to-pay feature; customers pay bills with the click of a camera button. The bank serves customers in all states and has more than 700 locations in the West and Midwest. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Associated Bank, founded in 1861, is headquartered in Green Bay, Wisconsin. The company is focused on banking for mid-size companies in the bank's regions. These includes Wisconsin, Illinois, Minnesota and the surrounding Midwest. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
First National Bank of Omaha is the largest privately held bank in the U.S. The company offers a range of financial services, such as checking and mobile banking. In addition, they have lending services and wealth management. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Armed Forces bank has been serving active and retired military members and families since 1907. The bank provides a range of services for military customers, including checking and savings accounts, loans, and financial education. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Founded in 1991 as a subsidiary of ING and established as a standalone company in 2013, Voya Financial is a New York-based financial, investment and retirement company. Voya manages over $500 billion in client assets. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Arvest offers a variety of financial services to individuals, businesses and investors. Sam Walton’s, the Walmart founder, heirs own a majority share of the bank. Arvest has locations in Arkansas, Missouri, Oklahoma and Kansas. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Presidents Choice Financial, headquartered in Scarborough, Canada, features mobile check deposit, telephone banking and online banking. Its bank machines facilitate bill payments, account transfers and MasterCard cash advances. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Provides information about and real-time rates from more than 12,000 banks and credit unions. Savings calculators and other financial help available. Free and easy-to-use tools and resources. |  | Chat with a ConsumerAffairs decision guide Live agent | ||||
Information in this guide is general in nature and is intended for informational purposes only; it is not legal, health, investment or tax advice. ConsumerAffairs.com makes no representation as to the accuracy of the information provided and assumes no liability for any damages or loss arising from its use.
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