The Best Online Banks

We’ve been banking online since January 2004 when I first opened an account with ING Direct. In the years since then, we’ve had a wide variety of online checking and savings accounts. Some of these are now defunct. Others fell by the wayside for one reason or another. But the rest are alive, kicking, and better than ever.

What follows is a rundown of some of the best online banking options available. All offer competitive rates, user-friendly interfaces, and excellent customer service.

Capital One 360 Checking & Savings

Capital One 360

Formerly known as ING Direct, Capital One 360 represents our first foray into the wonderful world of online banking.

We started out with an online savings account and ultimately added a checking account. Though there’s been a change of ownership, very little has changed (that’s a good thing).

To this day, Capital One 360 serves as the hub of our financial world, complete with links to all of our other bank and investing accounts.

Discover Bank Online Savings

Discover Bank

Discover Bank offers highly competitive interest rates, paying over 5x the national average.

We originally opened our Discover Bank account to take advantage of their highly competitive CD rates and have maintained an account with them ever since.

There’s a $500 minimum deposit to open an account, but there’s no ongoing minimum balance requirement and no monthly fees.

Everbank Money Market, Checking, & CDs


If you’re looking for competitive rates, look no further than Everbank. Thanks to their pledge to remain in the top 5% of banks in terms of yield, you shouldn’t have to rate chase.

In addition to their highly competitive money market rates, they also offer a high-yield checking account that pays more than savings accounts at most banks.

Yes, they have a $1500 minimum deposit to open an account, but there’s no minimum balance requirement once your account is open.

Oh, and in case you have exotic tastes, they also offer foreign currency CDs.

The Lending Club Marketplace

Lending Club

If you’re looking for a better return than you can get with a plain old savings account, you might consider opening a peer lending account with Lending Club.

No, it’s not a bank. And no, it’s not FDIC insured. But with annual returns averaging better than 9.5%, it’s definitely worth a look. And you can start with as little as $25.

For more details, check our my Lending Club review, or click here to get started.

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