The goal of a checking account should be to find an FDIC-insured bank with few or no fees. Unfortunately, millions of Americans are banking with enormous brick-and-mortar banks that charge monthly maintenance fees, as well as a host of punitive fees such $30 or more for overdrafts. Some of those friendly financial institutions are raking in nearly $1 million per branch in fees alone.
Thankfully, the Internet is good for something other than supplying us with funny cat videos and quizzes to tell you which type of fast food your personality is like. The Web is now a safe haven for consumers looking for low-cost banking options that still offer all the safety the comes from being backed by the Federal Deposit Insurance Corp.
Internet-only banks are able skip those ugly fees and still offer higher interest rates than their traditional peers because they don’t have to deal with the costs of maintaining neighborhood branches.
“Most customers today don’t go into a retail branch, so we never built them,” says Kyle Kolsky, senior vice president of consumer deposits for Bank of Internet USA. “We operate from one large headquartered office and give those savings back to our customers in superior products.”
Some Internet-only banks are associated with well-known players like Charles Schwab and Capital One. The institutions on the list below are the underdogs looking to revolutionize banking — and help you keep more money in your pockets.
Find out which 8 banks can help your bottom line over on DailyFinance.