In today’s digital era where convenience and speed are key, digital banking apps stand at the forefront of disruption. Many banks have apps that provide a full range of financial services that allow you to manage your money right at your fingertips. Without a brick and mortar presence, customers get to capitalize on lower fees and better rates.
There are a number of factors that come into play when choosing a mobile banking app. For instance, security plays an important role because you definitely don’t want to run the risk of compromising your personal information when using the app. Another important feature is the UX (user experience). The app needs to be easy to navigate while providing a clear snapshot of your finances. This should be in tandem with great customer service provided by the bank.
The top banking apps of 2020
A new wave of banking has taken the digital world by storm and we are here for it. Customers have a slew of banking apps to choose from- some have physical branches and others are limited to the digital realm. We’ve scoured the internet for the best banking apps of 2020, here are our top picks:
If you’re looking to earn some rewards on your purchases, the Discover Bank app provides the full range of services. The bank is well known for its credit cards and is a subsidiary of Discover Financial Services. Customers have a wide range of deposit accounts and deals to choose from.
Discover’s deposit accounts include a cashback debit account, a traditional savings account, a CD and a money market account. But what gives Discover bank its competitive edge is Discover Deals. The app has an online marketplace platform with deals and discounts on different brands. This is a major advantage for shopaholics. The app also lets you redeem credit card points at the market place.
Discover gives you access to 60,000 ATMs across the country and also offers loan and credit products, brokerage accounts and 24/7 live chat and email support.
Interest rates: 1.15% on savings, 0.99% on money market, 1.01% on a CD, 1% cash back on purchases up to $3,000 a month.
Fees: No fees
Huntington isn’t as popular as its banking app allies, but it is highly regarded for its service offering. The app itself is quite user-friendly and offers a broad snapshot of your finances on the front page. You can set up push notifications for every transaction made on the account and you don’t need to log in to see your account balance.
This app is great if you are looking for a bank that is tied to a robust network. As one of the largest banks in the Midwest, Huntington has 700 locations most of its branches in Michigan and Ohio.
Customers can choose between the Huntington 5 and Huntington 25 checking account that comes with different minimum balance requirements. However, both accounts provide interest on any balance. Cash withdrawals on ATM’s outside the bank’s network have no additional fee and any amount charged is reimbursed.
Interest rates: 0.05% on savings, 0.01% on CD
Fees: Huntington 25 has a $25 monthly fee unless you maintain a $25,000 minimum balance. Huntington 5 has a $5 monthly fee. The Huntington Savings account has a fee of $4 unless you maintain a daily balance of $300.
One app that consistently ranks among the top tier of banking apps is Capital One. The banking platform is known for its diverse functionality and provides users with a wide range of features. The savings account also comes with competitive interest rates. This is in addition to a slew of checking, CD and money market accounts offered by the bank.
The Capital One app allows you to access all your accounts in a single platform, including home and auto loans. You can also redeem credit card points on the app and repay yourself with statement credit. If you misplace your credit card, you can lock access via the app and also have the option to unlock it, should your card turn up a few days later.
Capital One is a digital-first banking app and allows you to access your account from an Apple watch as well.
Interest rates: 0.01% on checking, 1.15% on savings, 1.00% on a CD.
Fees: No fees
Simple is a digital-only banking app and is ideal for anyone who wants to kickstart their savings goals. While there isn’t too much diversity in terms of the accounts offered, the app is well-known for its features and functionality.
Simple comes with a single checking account but allows you to set up a savings transfer plan. The app revolves around the concept of saving and includes a goal-based checking accounts. You get to set milestones for savings and budgets for expenses. You will need to make a payment towards your payment and savings goals each month. This enables you to save money without trying.
The app also comes with a budget tracker where you get to categorize your spending and saving. There are no fees associated with the account on your app.
Interest rates: 2.02% on a minimum balance of $2,000
Fee: charged for out of network ATMs and international transactions
Chase is best known for its debit and credit cards but the bank’s online app is definitely worth a mention. The app has a versatile functionality and gives you access to all your accounts and investments on a single platform. You can also even reload your Chase Liquid card from the app.
The app is also an affiliate of Zelle and allows users to make payments and transfers to external accounts. The TransUnion function lets you check your credit score and Chase rewards card members can redeem their points on the app.
Chase is one of the biggest banks in the U.S with 4,900 branches and 16,000 ATMs across the country. If you prefer an online bank with a wide national presence, Chase should be your top choice.
Interest rates: 0.01% on savings
Fees: The checking account has a fee of $12 unless you maintain a $1,500 balance and the savings account has a $5 monthly fee unless you maintain a balance of $300.
One of the most popular online banks in the world is Ally Bank. The bank was once a part of General Motor’s financial arm but now stands as its own entity. Ally offers an extensive range of services from interest checking accounts, auto loans and credit cards. This is in addition to a high yield savings account that provides generous returns compared to other banks.
Ally Bank does not have a physical location but it does provide customers access to over 430,000 ATMs across the country. You can also use the app to identify locations that offer cash-back and get a reimbursement on your ATM fee.
The Ally Bank app is incredibly user friendly and provides a snapshot of your checking, savings, CD and deposit accounts. You can also catch up on the latest stock market news on the app and transfer money to external accounts through Zelle.
Interest rates: 0.10% on checking, 1.25% on savings, 1.25% on CD, 0.50% on money market accounts.
Fees: Overdraft fee $10 and $25 for excessive transactions.
Chime is a customer-friendly app that is ideal for first-time mobile banking users. The app offers a simple checking and savings account and doesn’t come with too many bells and whistles. The savings account allows users to set saving goals and place a hold on money that they don’t have an immediate use for. Your online account also includes a Chime debit card for purchases at brick and mortar stores
Chime also touts its ‘early payday’ feature. The bank deposits the money into your account two days earlier than other banks (Wednesday instead of Friday).
The banking app provides access to over 38,000 ATM locations and has an automatic savings feature. When you make a payment using the Chime debit card, the difference rounded to the nearest dollar goes into your savings account.
Interest rates: 0.06% on savings
Fees: One of Chime’s biggest benefits is its fees (or lack of it). There are no minimum or monthly fees and you will only be charged if you use an ATM outside the bank’s network.
Charles Schwab is a renowned financial services firm that manages $3.85 trillion in assets. They offer a wide range of loans and investment accounts and have 1.5 million open bank accounts. The firm’s reputation precedes this powerful banking app that allows you to monitor all your accounts at the tips of your fingers.
In addition to your checking and savings accounts, the app also allows you to trade stocks and ETFs on their platform. Users have full access to financial resources like videos and podcasts. Charles Schwab is popular among travelers for its worldwide ATM rebates.
Interest rates: 0.03% on checking, 0.05% on savings
Fees: No fees
Bank of America
Security is primal in any bank app and Bank of America’s online app delivers on this feature. If you are a frequent traveler, you can set up a travel notice that allows you to access your account while you are abroad. Additionally, the app is quick to flag any suspicious transactions and will send a notification. You will have 60 days to verify the transaction.
The app can also be linked to your brokerage accounts so you can view all the information on a single platform. Bank of America also has an AmeriDeals tab that offers rewards on purchases and cashback options.
Interest rates: starting at 0.01% on savings and savings, 0.05% on a CD,
Fees: $12 monthly fee unless you maintain a balance of $1,500 or have a direct deposit of $25. The overdraft fee is $35.
Varo is a simple banking platform that offers only a checking and savings account. Although the offering is quite minimal, the quality of the app is what draws users to Varo. The checking account does not come with a monthly fee and does not require a minimum balance. The savings account offers a high yield of 2.80% on balances up to $50,000.
App users can also benefit from an early payday that deposits your paycheck 2 days prior to other banks. There is also a no overdraft program that helps avoid any overdraft fees. You will need to make 5 purchases with your Varo Visa debit card and have total direct deposits of $1,000 in the same calendar month to qualify for the program.
Interest rates: 2.80% on savings
Fees: $2.50 for transactions in ATMs outside the network.
In an increasingly digital world, banks have realized the importance of improving their online presence. Each banking app is unique in its own way and does not provide a one size fits all solution for the user. You will need to prioritize the features you find the most appealing and pick the app that suits your needs best. Nevertheless, mobile banking is the perfect way to manage your money from anywhere.