Capital One 360 savings account review

The Capital One 360 Performance Savings account, generally known as Capital One 360 Financial savings, is a high-yield financial savings account with no month-to-month charges and no minimal stability required. Capital One makes it simple to get began, permitting you to open a brand new account on-line in about 5 minutes. And with the well-reviewed Capital One cell app, you’ll be able to simply handle your account on the go.

On this publish, we’ll cowl the small print of getting a Capital One 360 Financial savings account, together with the professionals and cons — and the way it compares to related accounts. Plus, we’ll enable you resolve if that is the precise account for you.

Capital One 360 Financial savings Account Quick Information

• Annual price: none
• Minimal stability: none
• Present APY: 1.50% (as of 30 April 2020)
• Professionals
  • Comparatively excessive yields
  • No month-to-month price
  • No minimums
  • Simple to get began
  • Cellular app entry
• Cons
  • No ATM playing cards
  • Comparatively few native branches

Capital One Financial savings Account Advantages

There are many advantages to having a Capital One financial savings account. Listed below are among the highlights:

Excessive Yields

A 1.50% APY is a decent rate of interest for a financial savings account. This rate of interest is much more engaging if you usually carry a reasonably low stability. In contrast to many accounts that provide tiered charges relying on how a lot cash you retain in your account, Capital One presents the identical 1.750% APY on all balances. So even when you solely have $90 in your account, you’ll nonetheless earn that 1.50% APY charge.

No Minimal Steadiness Necessities or Month-to-month Charges

With the Capital One 360 Financial savings account, you don’t have to fret about carrying a minimal stability. And also you gained’t be charged a month-to-month upkeep price to maintain your account open. This no-minimum, no-fee construction has turn out to be pretty commonplace within the aggressive world of on-line banking, however it’s nonetheless an enchancment over conventional financial institution accounts, a lot of which nonetheless cost month-to-month charges and/or require you to take care of a minimal stability.

Simple to Get Began

Capital One makes it simple to begin saving. You possibly can open your new account on-line in about 5 minutes. Should you occur to reside in one of many eight states with full-service branches, it’s also possible to go to one in all these branches in particular person to open your account.

Cellular App

The highly-rated Capital One cell app makes it simple to automate your financial savings plan, switch cash between accounts, make cell deposits, and observe your financial savings progress.

Capital One Financial savings Account Downsides

After all, no financial savings account is ideal. Listed below are a few potential draw back for the Capital One 360 financial savings account.

No ATM playing cards

Whereas some on-line financial savings accounts provide ATM playing cards so you’ll be able to simply entry your cash from any ATM, Capital One doesn’t. To entry your cash, you should switch your cash to a different account. When you have a Capital One checking account, your transferred funds shall be accessible instantly. However when you’re transferring funds to a checking account with one other financial institution, it could actually take a pair enterprise days.

Whereas this semi-restricted entry generally is a damaging, it may be a constructive. In any case, it is a financial savings account, not a checking account. And the more durable it’s to entry your financial savings, the much less doubtless you’re to spend that cash!

Comparatively few native branches

Whereas I like the progressive Capital One Cafes (with their free Wifi, full espresso and snack bars, and private help), there simply aren’t sufficient of them. Capital One at the moment has native branches in solely eight states, most of that are on the East Coast.

Having stated that, how typically would you go to the native financial institution department when Capital One makes it really easy to financial institution on-line?

How Does Capital One 360 Examine to Different Financial savings Accounts?

You have got a number of good choices when selecting a high-yield savings account. Many accounts make the identical no-fee, no-minimum provide because the Capital One 360 Financial savings account. Right here’s a fast take a look at among the most comparable on-line financial savings accounts (as of 30 April 2020):

How Does the Capital One 360 financial savings charge evaluate to different financial savings accounts?

When it comes to curiosity earned, the Capital One financial savings rate of interest compares favorably to different related financial savings accounts.

Different on-line financial savings accounts, like Ally and Uncover, are at the moment providing charges between 1.40% and 1.55%. These are near the Capital One 360 Financial savings charge of 1.50%.

Whereas CIT Financial institution proudly presents as much as 1.55% APY, it’s important to clear a hurdle to earn this charge. You could both preserve a stability of $25,000+ or make not less than one month-to-month deposit of $100 or extra. Should you fail to fulfill one in all these necessities, your financial savings charge will fall to 1.09%.

After all, if you evaluate the Capital One saving rate of interest to conventional financial institution accounts, Capital One comes out properly forward. Wells Fargo at the moment presents a most of 0.08%, and Bank of America rates max out at 0.06% (utilizing Los Angeles native charges for comparability).

Is the Capital One 360 Financial savings account best for you?

The Capital One 360 Financial savings account is a stable possibility for the typical particular person. It’s simple to open and use, presents uncomplicated phrases, and comes with top-of-the-line rates of interest accessible for a financial savings account with no month-to-month charges or minimal required balances.

Should you’re a classy investor, it would make extra sense so that you can maintain your financial savings account with the financial institution that handles your investments (Ally Invest, for instance) so you’ll be able to simply transfer cash between your funding accounts. However for many of us, the Capital One 360 Financial savings account is a superbly appropriate high-yield financial savings account.