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Banking

Second Chance Banking: 2020 List of Banks in 50 States for New Accounts

Second chance banking is available in all 50 states. It's a great option for people denied a bank account due to bad credit, Early Warning Services or ChexSystems.

According to the National Consumer Law Center, more than 80% of banks and credit unions use consumer reports from agencies such as ChexSystems or Early Warning Services to help them decide whether to approve bank account applicants.

Benefits of second chance banking 

If you're conducting financial transactions without a bank account, you can rebuild your banking history with second chance banking. Having a bank account can be taken for granted, until you don’t have one.

The hassle of a check cashing store, loading money onto a prepaid card, the fees; not to mention the lack of access to financial products like personal, mortgage or auto loans can impede you from making major purchases.

Nationwide second chance banking

BBVA

BBVA Online Checking available online in ALL states. This account is designed for customers on the go. Manage your account, make transfers, pay bills and deposit checks, view balances, and more — all directly from your smartphone, computer or tablet. Plus, as a perk, you have access to a team of remote bankers you can contact via text, email, or phone. Customers get FREE access to over 55,000 Allpoint ATMs nationwide where cash and checks can be deposited. Use your Visa debit card for everyday purchases to earn cash back.


BBVA Online Checking Features

  • Apply with only $25 opening deposit
  • No Monthly Service Fee
  • Complimentary Online Banking and Mobile Banking, Bill Pay and Online Statements
  • Mobile check deposits
  • Unlimited check writing
  • Send, request and receive money using email or mobile number with Popmoney
  • No ATM Fees at any BBVA or 55,000 Allpoint® ATMs nationwide
  • Cash back rewards checking
  • BBVA USA, Member FDIC

OneUnited Bank

U2 E-Checking available online in ALL States plus they have branches in CA, FL, MA. Minimum opening deposit is $100. Monthly service fee is $12.00. Customers enjoy second chance checking with free online & mobile banking, get cash surcharge free at over 30,000 ATMs nationwide, deposit checks through the mobile app.


U2-Checking Features

  • Open with a $100 deposit
  • Free Online Banking and Mobile Banking, Bill Pay and Online Statements
  • Mobile check deposits
  • Obtain Cash, Surcharge Free at Over 30,000 ATMs
  • Send, request and receive money using email or mobile number with Popmoney

Radius Bank

Essential Checking available online in all states. Minimum opening deposit is $10.00. Monthly service charge is $9.00. Online and mobile banking with direct deposit, free bill payment and customized alerts.

Wells Fargo

Opportunity Checking available in 39 states and Washington, D.C. Minimum opening deposit is $25. Monthly service fee of $10.00. There are three ways you can avoid the monthly fee: (1) Make 10 or more debit card purchases/payments, (2) Have direct deposits totaling $500 or more, or (3) Maintain a $1,500 minimum daily balance.

Memory Bank

Memory Bank Memory Builder Checking requires a $50 minimum deposit to open account. The $8.95 monthly service fee can be reduced to $6.95 if your account meets select criteria. There is an opportunity to upgrade the account after 12 months of responsible banking.

Bank of America

The Safe Balance Account at Bank of America is a type of Second chance banking account where customers are not allowed to write checks. The account comes with a debit card that can be used to make purchases, withdraw cash, pay bills or pay individuals. $25 is required to open the account and the monthly maintenance fee is $4.95.

Regional second chance banking

American Airlines Credit Union

Ascend Checking available in AZ, CA, FL, IL, MA, NC, NJ, NY, OK, PA, TN, TX, TN and DC. Monthly service fee of $9.75 with direct deposit and $12.75 without direct deposit.

Appalachian Community Federal Credit Union

Fresh Start Checking available in KY, TN, VA. Minimum opening deposit is $20. Monthly service fee of $10.

Bank of the Ozarks

Pathyway Checking available in AL, AR, CA, FL, GA, NC, NY, SC, TX. Minimum opening balance is $50. Monthly service fee of $10. The checking account is a non-interest bearing account.

Centennial Bank

Opportunity 100 Checking available in AL, AR, FL, NY. Minimum opening balance is $100.00. Monthly service fee with direct deposit $9.95 and $12.95 with no direct deposit.

City National Bank

Bounce Back Checking available in KY, OH, VA, WV. No minimum balance. Monthly service fee of $6.99 with direct deposit and $8.99 without direct deposit. First two non-sufficient funds fees waived.

CommonWealth One Federal Credit Union

Second chance banking available in DC, MD, VA. Must be opened in a branch office.

Corporate America Family Credit Union

Fresh Start Checking available in AZ, CA, CT, GA, IL, KS, NC, OH, PA, TX, VA. Keep a minimum balance of $100 in your Regular Share Account. Monthly service fee of $10.

Farmers and Merchants State Bank

Clean Start Checking available in IN, MI, OH. Ideal account for rebuilding or establishing credit. Minimum opening balance is $50.00. Monthly service fee of $7.95 with direct deposit and $9.95 without direct deposit.

Fifth Third Bank

Express Banking available in FL, GA, IL, IN, KY, MI, NC, OH, TN, WV. No credit score requirement. Discounted fees of up to 50% on select services based on account usage. No check writing or check deposits at ATMs.

GenFed Financial

Clean Start Checking available in IL, IN, OH. Must have 3 or fewer records with ChexSystem. Plus no outstanding items less than 1 year old. Outstanding balance total of less than $500.

HomeStreet Bank

Bank on Checking account available in AZ, CA, HI, ID, OR, UT, WA. Minimum opening deposit is $50. This is a free account with no minimum account balance required, no monthly service charges and no per check charges.

Hope Credit Union

Easy checking account available in AR, LA, MS, TN. Minimum opening deposit is $25. The monthly service fee of $9.95 can be waived with $200 minimum balance.

InTouch Credit Union

Fresh Start Checking is available in MI, NV, TN, TX, VA. Membership must be established with a $5 deposit into a savings account. Minimum opening deposit for checking account is $50 deposit.

Landmark Bank

Rebound Banking available in MO, OK, TX. Monthly service fee of $9.99. If you keep your checking account in good standing for a full year after opening, you’re eligible to switch to another checking account.

MainSource Bank

Fresh Start Checking available in IL, IN, KY, OH. Monthly service fee of $10.

Park Community Credit Union

Fresh Start Checking available in IN, KY. No minimum balance. Monthly service fee of $12 and a required direct deposit.

PNC Bank

Foundation Checking is not publically advertised but available in AL, DC, DE, FL, GA, IL, IN, KY, MD, MI, MO, NC, NJ, NY, OH, PA, SC, VA, WI, WV.

Premier Bank

Start Fresh Checking is available in DC, MD, VA, WV. Minimum opening balance is $50.00. Monthly service fee of $7.95 with direct deposit and $9.95 without direct deposit. After 18 months, customers in good standing may qualify for a more favorable checking account at Premier Bank.

Republic Bank

Checking Builder is available in FL, IN, KY, OH, TN. Minimum opening balance is $50. Monthly service fee of $12.95 will be reduced to $7.95 with direct deposit or, at least 20 monthly point-of-sale debit card transactions.

Staley Credit Union

Renew Checking is available in IL, IN, TN. Minimum opening balance is $50. Monthly maintenance fee of $7.00.

Union Financial Credit Union

Right Start Checking is available in AL, AR, AZ, CA, CO, IN, KY, MI, MS, NJ, NV, TN, TX, UT, VA, WV. Open with a $25 deposit and no minimum balance requirement. No monthly fees plus overdraft protection up to $250.

Webster Bank

Opportunity Checking is available in CT, NY, RI. Minimum opening balance is $50.00. Monthly service fee of $11.95 with direct deposit and $16.95 without direct deposit.

Woodforest National Bank

Second chance banking is available in AL, FL, GA, KY, IL, IN, LA, MD, MS, NC, NY, OH, PA, SC, TX, VA, WV. Minimum opening balance is $25.00. Monthly service fee of $9.95 with direct deposit and $11.95 without direct deposit. One-time account set up fee of $9.95.

Second chance banking options in 50 States

Alabama

Alabama Credit UnionOn-Track Checking
Avadian Credit Unione-Checking
Azalea City Credit UnionOpportunity Draft
Community Bank & TrustSecond Slice Checking
Family Security Credit UnionGive Me a Break Checking
First National BankCredit Builder
Guardian Credit UnionFresh Start Checking
Gulf Winds Federal Credit UnionMyOpportunity Checking
United BankGateway Checking
West Alabama BankFresh Start Checking

Alaska

True North Federal Credit UnionTrue Options Checking

Arizona

Alhambra Credit UnionBasic Checking
Bank of ArizonaOpportunity Banking
Banner Federal Credit UnionOpportunity Checking
Canyon State Credit UnionTry Again Checking
MariSol Federal Credit UnionBasic Checking
Pima Federal Credit UnionFresh Start Checking
Tucson Federal Credit UnionSecond Chance Checking
Tucson Old Pueblo Credit UnionMission Checking

Arkansas

Bank of ArkansasOpportunity Banking
Diamond BankEncore Checking
Focus BankFresh Start Checking
Red River Credit UnionFresh Start Checking
River Valley Community Federal Credit UnionFresh Start Checking

California

Alliance Federal Credit UnionFresh Start Checking
Alta Vista Credit UnionOpportunity Checking
American United Federal Credit UnionFreshStart Checking
Befit Financial Federal Credit UnionFresh Start Checking
E-Central Credit UnionE-Builder Checking
Foothill Credit UnionRebound Checking
Kern Federal Credit UnionFresh Start Checking
Los Angeles Federal Credit UnionSecond Chance Checking
North County Credit UnionFresh Start Checking
Premier America Credit UnionFresh Start Checking
Priority One Credit UnionNew Leaf Checking
University Credit UnionFresh Start Checking
Ventura County Credit Union: Second Chance Checking
OneUnited Bank: Second Chance Checking

Colorado

Colorado State Bank and TrustOpportunity Banking
Liberty Savings BankClean Slate Checking
NuVista Federal Credit UnionThe Last Chance Checking

Connecticut

Eastern Savings BankRestart Checking
Finex Credit UnionRe-Start Checking
Hartford Federal Credit Union2nd Chance Checking
Tobacco Valley Teachers Federal Credit UnionmyChance Checking

Delaware

WSFS Bank: Fresh Start Checking

District of Columbia

CommonWealth One Federal Credit UnionSecond Chance Checking

Florida

Alabama Credit UnionOn-Track Checking
Axiom BankOpportunity Checking
CenterState BankFresh Start Checking
Central Credit Union of FloridaFresh Start Checking
City County Employees Credit UnionFresh Start Checking
Community First Credit UnionFresh Start Checking
Compass Financial Federal Credit UnionRestart Checking
First American BankFresh Start Checking
First Florida Credit UnionSmart Track Checking
Gold Coast Federal Credit UnionFresh Start Checking
Gulf Winds Federal Credit UnionMyOpportunity Checking
Jax Federal Credit UnionFresh Start Checking
JetStream Federal Credit UnionSecond Chance Checking
Liberty Savings BankClean Slate Checking
McCoy Federal Credit UnionFresh Start Checking
Members First Credit Union of FloridaSecond Chance Checking
Okaloosa County Teachers Federal Credit UnionFresh Start Checking
One South BankOpportunity Checking
OneUnited Bank: Second Chance Checking
Priority Credit UnionRestart Checking
San Antonio Citizens Federal Credit UnionSecond Chance Checking
South Florida Federal Credit UnionAnother Chance Checking
United BankGateway Checking

Georgia

Community Bank & TrustSecond Slice Checking
Doco Credit UnionFresh Start Checking
Excel Federal Credit UnionFresh Start Checking
Georgia United Credit UnionRestart Checking
Georgia’s Own Credit UnionResolution Checking
Health Center Credit UnionFresh Start Checking
Members United Credit UnionAnother Chance Checking
Peach State Federal Credit UnionFresh Start Checking

Hawaii

There were no second chance banking accounts found in Hawaii, however, you can open an online second chance checking account at One United Bank. The U2 E-Checking requires a minimum opening deposit of $100. Another option is an online spending account that can be used as a second chance checking account at Chime.

Idaho

Latah Credit UnionSecond Chance Checking

Illinois

Catholic & Community Credit UnionRebound Checking
First American BankFresh Start Checking
First Eagle BankEagle Fresh Start Checking
First National Bank and Trust CompanyRenew Checking
Marquette BankReStart Checking
Prairieland Federal Credit UnionNot Your Normal Checking2

Indiana

Centra Credit UnionOpportunity Checking
Diamond Valley Federal Credit UnionFresh Start Checking
Evansville Teachers Federal Credit UnionOpportunity Checking
Farmers & Merchants State BankClean Start Checking
Heritage Federal Credit Union2nd Chance Checking
Horizon BankFresh Start Checking
Interra Credit UnionOpportunity Checking
One Vision Federal Credit UnionRising Star Checking
Park Community Credit UnionFresh Start Checking
Regional Federal Credit UnionFirst Step Checking

Iowa

Collins Community Credit UnionTake2 Checking
Federation BankFresh Start Checking
Greater Iowa Credit UnionFresh Start Checking
North Iowa Community Credit UnionFresh Start Debit

Kansas

Central National BankNew Opportunity Checking
United Consumers Credit UnionSecond Chance Checking

Kentucky

C-Plant Federal Credit Union: Second Chance Checking
The Cecilian BankChoice Opportunity Checking
Central BankClean Start Checking
Evansville Teachers Federal Credit UnionOpportunity Checking
First United Bank and Trust CompanyFresh Start Checking
FNB BankStart Again Checking
Heritage Federal Credit Union2nd Chance Checking
Home Federal BankSquare One Checking
Park Community Credit UnionFresh Start Checking

Louisiana

Neighbors Federal Credit UnionBasic Checking
Pelican State Credit UnionHorizon Checking
Southwest Louisiana Credit UnionFresh Start Checking

Maine

Five County Credit Union2nd Chance Checking

Maryland

Central Credit Union of MarylandRenew Checking
Clear Mountain BankStartFresh Checking
Market USA Federal Credit UnionFresh Start Checking
Security Plus Federal Credit UnionRevive Checking

Massachusetts

Alden Credit UnionNo Boundaries Checking
Athol Credit UnionFresh Start Checking
OneUnited Bank: Second Chance Checking
Washington Savings BankOnline Rewards Checking

Michigan

Credit Union OneBasic Checking
Horizon BankFresh Start Checking
Marshall Community Credit UnionFresh Start Checking
Members First Credit UnionFresh Start Checking
Michigan State University Federal Credit UnionRebuild Checking

Minnesota

Minnesota Valley Federal Credit UnionSecond Chance Checking
WESTconsin Credit UnionFoundations Checking

Mississippi

Citizens National BankClean Slate Checking
Gulf Coast Community Credit UnionNew Chance Checking
Magnolia Federal Credit UnionOpportunity Checking
MUNA Federal Credit UnionFresh Start Checking

Missouri

Alliance Credit UnionFreshStart Checking
The Bank of MissouriSelect 2 Checking
Columbia Credit UnionFresh Start Checking
Electro Savings Credit UnionFresh Start Checking
First State Community BankNew Opportunity Checking
Focus BankFresh Start Checking
Health Care Family Credit UnionFresh Start Checking
MobankOpportunity Banking
Montgomery BankMontgomery New Start Checking
St. Louis Community Credit UnionSecond Chance Checking
Town & Country BankOpportunity Checking
United Consumers Credit UnionSecond Chance Checking
United Credit UnionRestore Checking
Wood & Huston BankStartFresh Checking

Montana

Valley Federal Credit UnionOpportunity Checking

Nebraska

Central National BankNew Opportunity Checking
Western Heritage Credit UnionSimple & Free Checking

Nevada

Clark County Credit UnionCheckAgain Checking
WestStar Credit UnionFresh Start Checking

New Hampshire

There were no second chance banking accounts found in New Hampshire, however, you can open an online checking at BBVA or Chime.

New Jersey

Credit Union of New JerseyRight Turn Checking
Jersey Shore Federal Credit UnionFresh Start Checking
United Teletech Financial Federal Credit UnionFresh Start Checking

New Mexico

Bank of AlbuquerqueOpportunity Banking
Lea County State BankOpportunity Checking

New York

Alternatives Federal Credit UnionFresh Start Checking
Centra Credit UnionOpportunity Checking
Financial Trust Federal Credit Union2nd Chance Checking
Fulton Savings BankNew Opportunity Checking
Genesee Valley Federal Credit UnionFresh Start Checking

North Carolina

Alliance Federal Credit UnionFresh Start Checking
American Partners Federal Credit UnionEZ 4U Checking
Charlotte Metro Credit UnionFresh Start Checking

North Dakota

There were no second chance banking accounts found in North Dakota, however, you can open an online checking at BBVA and Chime.

Ohio

Buckeye State Credit UnionSecond Chance Checking
Eaton Family Credit Union, Inc.2nd Chance Checking
Farmers & Merchants State BankClean Start Checking
Hopewell Federal Credit UnionRebound Checking
Kemba Federal Credit UnionFresh Start Checking
Members Trust Federal Credit UnionTrust and Alternative Checking
Sun Federal Credit Union: Fresh Start Checking
Superior Credit UnionFresh Start Checking

Oklahoma

Allegiance Credit UnionFresh Start Checking
Bank of OklahomaOpportunity Banking
Citizens Bank of EdmondFresh Start Checking
Oklahoma Educators Credit UnionFresh Start Checking
TTCU Federal Credit UnionFresh Start Checking
Weokie (Credit Union)Fresh Start Checking
Western Sun Federal Credit UnionFresh Start Checking

Oregon

Point West Credit UnionFresh Start Checking

Pennsylvania

Allegent Community Federal Credit UnionFresh Start Checking
Sun Federal Credit Union: Fresh Start Checking
Utilities Employees Credit UnionSecond Chance Checking
West Branch Valley Federal Credit UnionBack on Track Checking
WSFS Bank: Fresh Start Checking

Rhode Island

There were no second chance banking accounts found in Rhode Island, however, you can open an online checking at BBVA or Chime.

South Carolina

Caro Smart Financial SolutionsRebound Checking
Carolina Trust Federal Credit UnionEncore Checking
HopeSouth Credit UnionFresh Start Checking
Market USA Federal Credit UnionFresh Start Checking
Peach State Federal Credit UnionFresh Start Checking
Vital Federal Credit UnionFresh Start Checking

South Dakota

There were no second chance banking accounts found in South Dakota, however, you can open an online checking at BBVA or Chime.

Tennessee

First National BankCredit Builder
Greater Eastern Credit UnionFresh Start Checking
Holston Methodist Federal Credit UnionSecond Chance Checking
Home Federal BankSquare One Checking
Select Seven Credit UnionSecond Chance Shardraft

Texas

Abilene Teachers Federal Credit UnionRestart Checking
Air Force Federal Credit UnionFresh Start Checking
Allied Federal Credit UnionFresh Start Checking
Associated Credit Union of Texas180 Checking
Bank of TexasOpportunity Banking
Baptist Credit UnionDraft Builder Checking
Chocolate Bayou Credit UnionClean Slate Checking
Diamond BankEncore Checking
First Service Credit UnionFresh Start Checking
Houston Metropolitan Federal Credit UnionFreedom-2nd Chance Checking
Kelly Community Federal Credit UnionSmart Choice Checking
Las Colinas Federal Credit Union2nd Chance Checking
MemberSource Credit UnionSelect Checking
Members Trust Federal Credit UnionSecond Chance Checking
Memorial Credit UnionNew Path Checking
Nascoga Federal Credit UnionFresh Start Checking
Neigborhood Credit UnionFresh Start Checking
North East Texas Credit UnionFresh Start Checking
Peoples BankSecond Chance Checking
Premier America Credit UnionFresh Start Checking
Prestige Community Credit UnionFresh Start Checking
Red River Credit UnionFresh Start Checking
Rio BankFresh Start Checking
Select Federal Credit UnionFresh Start Checking
Southside BankNext Checking
Tarrant County’s Credit UnionFresh Start Checking
United Heritage Credit UnionChoice Checking
Unity One Credit UnionClean Start Checking
Velocity Credit UnionAccess Checking

Utah

American United Federal Credit UnionFreshStart Checking
Cyprus Credit UnionFresh Start Checking

Vermont

There were no second chance banking accounts found in Vermont, however, you can open an online checking at BBVA or Chime.

Virginia

Central Virginia Federal Credit UnionFresh Start Checking
CommonWealth One Federal Credit UnionSecond Chance Checking
Healthcare Systems Federal Credit UnionRenew Checking
Member One Federal Credit UnionSmart Choice Checking
PortAlliance Federal Credit UnionSmart Choice Checking

Washington

MountainCrest Credit UnionFresh Start Checking

West Virginia

Clear Mountain BankStartFresh Checking
West Virginia Federal Credit UnionFresh Start Checking

Wisconsin

Brewery Credit UnionFresh Start Checking
Dane County Credit UnionRelationship Builder Checking
Educators Credit UnionFresh Start Checking
First National Bank and Trust CompanyRenew Checking
Schneider Community Credit UnionFresh Start Checking
Tomahawk Community BankFresh Start Checking
WESTconsin Credit UnionFoundations Checking

Wyoming

Greater Wyoming Federal Credit UnionFreshstart Checking
WyHy Federal Credit UnionSecond Chance Checking
WYO Central Federal Credit Union2nd Chance Checking
Valley Federal Credit UnionOpportunity Checking

Save time and money with second chance banking

The Center for Financial Services Innovation (CFSI) conducted a one-day simulation as to what unbanked people may encounter when trying to conduct basic financial transactions like cash a check, pay rent and utilities. The group included entrepreneurs, nonprofit employees, and banking executives.

They found that a huge chunk of time was utilized waiting in lines at check cashing stores to cash checks, load prepaid cards, purchase money orders and complete money transfers.

In one encounter, the group “ended up waiting for nearly half an hour while the check cashing store decided it couldn’t cash one of the checks.” In addition to the time consumed the group found that conducting financial transactions at check cashing stores and Western Union is costly. A $30 money transfer at Western Union cost $5.

Rebuild your banking history with second chance banking

ChexSystems maintains negative banking history for 5 years while EWS, Telecheck and credit bureaus keep negative information for 7 years. Mistakes happen.

You deserve a second chance banking to get a fresh start.

The banking industry varies when it comes to second chance banking accounts. Second chance banking accounts may come with more limitations than standard checking accounts. Second chance banking accounts are specifically designed for people who have struggled with a checking account in the past but want to get back into banking.

Some banks and credit unions offer second chance banking with limited or no check writing privileges while other financial institutions allow most features of a regular checking account but tack on a monthly fee.

Another option for people who have been denied a checking account is to find non ChexSystems banks that don't use ChexSystems to open checking accounts. Second chance banking might include pulling a ChexSystems report but the bank doesn't hold past mistakes against you.

Avoid negative banking habits

Once your new account is open, avoid habits that contribute to a negative banking history. With online banking tools, you can always pay attention to checking account balances, keep track of all transactions to avoid overdrafts, and monitor your bank accounts.

Participation in a financial management workshop, often online for 60-90 minutes, may be required by some banks and credit unions prior to opening a second chance banking account. These workshops offer good tips on managing a checking account and avoiding actions that can get you in trouble.

Run from second and third-party checks

NEVER, EVER deposit a third-party personal check via ATM or mobile deposit. A 3rd-party check is when a friend or family member endorses a check over to you to cash or deposit. Banks typically don't like 3rd party checks because of the risk associated. If a bank accepts 3rd party checks, they may require both you and the original payee to sign the check in the presence of a teller.

You may even want to be wary of a 2nd-party check from a friend or family member. A 2nd-party check is one written directly to you. Many consumers have innocently deposited a personal check from a friend or family member that ended up as a bounced check. Banks often see these type of transactions as fraud. And for a bank, fraud is similar to bank robbery. Being reported by a bank for fraud is one of the WORST notations on ChexSystems and Early Warning Services, even if it was unintended.

best-bank-for-savings-accounts
Savings Accounts

Best Bank for Savings Accounts: CIT Bank Review

When looking for the best bank for savings accounts you might run into a road block considering the national savings rate average currently hovers around 0.09 percent APY.

At that rate, if you deposit $1,000, after 12 months you’ll have collected 90 cents in interest.

Finding the best bank for savings accounts should include a bank that pays high interest and not charge you fees. But that may be easier said than done.

Here is what 5 of America's biggest banks offer:

  • Chase savings account – 0.01 percent APY
  • Bank of America savings account – 0.03 percent APY
  • Wells Fargo savings account – 0.01 percent APY
  • Citibank – 0.04 percent APY
  • US Bank – 0.01 percent APY

Compare that with CIT Bank's stellar savings product, the Savings Builder Account that pays 1.80 percent APY.

Whether you’re saving for a new car, a vacation or building up your emergency fund, a savings account is an excellent place to keep money safe and can help you meet financial goals – if you find the best bank for savings accounts.

CIT Bank – Best Bank for Savings Accounts – Earn 1.80% APY

CIT Bank is an FDIC-insured, online-only bank founded in 2009 and currently headquartered in Pasadena, CA. CIT stands for Commercial Investment Trust because it started as a bank that served only businesses but has since expanded to serve retail customers as well.

CIT is 42nd among the largest banks in the United States. June 2017 regulatory filings state the bank has equity of $5.36 billion on $41.18 billion in assets. According to Bankrate, CIT Bank exhibits a superior condition, earning a full 5 stars for safety and soundness.

CIT Bank stands out from the crowd, thanks to a high-interest savings account of 1.80% APY and no monthly fees.

  • Interest rate: 1.80 percent
  • Minimum balance: $100 to open
  • Monthly fee: None
  • Requirement to earn 1.80 percent: Make at least one single deposit of $100 or more every month.
  • FDIC-insured

The CIT Bank Savings Builder Account is available online to U.S. citizens and is one of the top banks for high rates in the nation. This account was designed to help you build up your savings by encouraging you to consistently deposit at least $100 into the account.

When you open this account with $100, you’ll automatically receive the high rate as an introductory offer. In order to continue earning the 1.80% APY you must deposit at least $100 every month. The requirement both encourages you to save more money and rewards you for doing so.

The CIT Bank Savings Builder Account helps build momentum. Once you see the account growing, you have positive reinforcement to continue your saving behavior. Watching your savings grow is enjoyable and you’re more likely to keep it up. Learn more about the Savings Builder Account.

CIT Bank – No-Penalty CD

If you’re worried about locking your money down with a long-term CD, check out CIT's 11-month No-Penalty CD. You can withdraw your funds at any time with no penalty including any interest earned. With an interest rate of 1.75%, it’s a great way to lock in a high rate account without the requirement of a monthly $100 deposit.

With the CIT Bank No-Penalty CD, lock in a guaranteed rate and get access to your funds when you need them.

  • Interest rate: 1.75 percent
  • Minimum balance: $1000 to open
  • Monthly fee: None
  • No penalty to access funds if needed before maturity
  • Daily compounding interest to maximize your earning potential
  • FDIC-insured

Whatever your financial goals, CIT Bank's No-Penalty CD offers a no-strings attached savings vehicle. Protect against job loss, medical issues or home repairs, and be prepared for the unexpected. No-Penalty CD accounts are also good to save for big purchases or a house downpayment.

Earn high interest, grow your money and keep it liquid with CIT's 11-Month No-Penalty CD. Learn more about the No-Penalty CD Account.

CIT Bank – Money Market Account

CIT Bank has a money market account that earns 1.85% APY. Typically, money market accounts are a hybrid between a savings and checking account where you can write checks. However, CIT Bank's money market account is a little different because you don’t have the ability to write paper checks.

CIT Bank uses People Pay to send money. Like Venmo and Zelle, you can use People Pay to send money for free to anyone with a U.S. bank account and either a cell phone number or an email address. You can transfer money directly from the money market account to another account. Funds can also be sent through PayPal. The most you can transfer per transaction with People Pay is $2,000, with a $4,000 daily limit.

CIT Money Market Account earns a 1.85% APY on all balances plus a few more features.

  • Minimum deposit of $100 to open
  • No monthly service fees
  • Daily compounding interest
  • Mobile banking with Bill Pay
  • Deposit checks remotely and make transfers with the CIT Bank mobile app
  • FDIC-insured

Currently, CIT's Money Market's rate is one of the highest money market rates you can find in all 50 states. Learn more about the 11-Month No Penalty CD.

All savings accounts are subject to Reg D

Whether it's CIT Bank or any other United States-based bank, savings accounts have a 6 withdrawal limit per month. Regulation D applies to all depository institutions, big banks or small credit unions. It also applies to all consumers.

The purpose of this regulation is to ensure the financial institution has the appropriate level of reserves and to keep savings accounts from being used in the same manner as checking accounts.

To get around Reg D and access cash from your savings account beyond the 6 withdrawal limitation, use one of the methods not limited by Reg D. That includes using ATMs, withdrawing money in person at a branch or having a check mailed to you.

Drawbacks of CIT Bank

With FDIC insurance and consistently great savings rates, CIT Bank savings products continue to grow in popularity. However, there are a few drawbacks to take into consideration:

No branches. As an online bank, there are no branches to visit, so there’s no way to do your banking in person. Consumers can fund and withdraw money from accounts by electronic transfer with another bank account, wire transfer or mail.

No checking accounts. If you need a bank account to use for daily spending CIT Bank may not work for you. CIT Bank does not currently offer checking accounts.

Customer support could be better. It's no secret customers enjoy CIT Bank's high-interest rates but there have been a few complaints about hold times when contacting customer service. However, slow customer service is no reason to miss out on the stellar high-interest rates afforded to customers.

Despite any small drawback, CIT Bank offers the highest savings rates among American banks. Savers have several options at CIT Bank to make their money grow faster. CIT Bank accounts are FDIC insured, meaning that customers don’t have to worry about losing their funds if the bank were to go out of business.

See how much interest you can earn with our savings calculator.

More ways to save money

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