Capital One 360 review: Earn competitive interest rates with no opening deposits

Table of Contents: Masthead Sticky

Overall bank ratings

Pros and cons

Savings

Capital One 360 Performance Savings™

Capital One doesn't require an initial deposit or minimum account balance, and it doesn't charge a monthly service fee.

The Capital One 360 Performance Savings account pays one of the top rates in the industry. You can find a higher rate at a couple other big-name banks, but it's definitely one of the best out there. Your child can earn 0.40% APY with a kids savings account, and the rate will jump up to the regular APY once they turn 18.

Capital One 360 Performance Savings makes it easy to save for various goals. Set a savings goal and your target amount, then schedule recurring transfers from your Capital One 360 Checking account until you've saved the full amount.

Checking

Capital One 360 Checking®Related Article Module: Here are the best checking accounts available right now

Capital One doesn't charge foreign transaction fees, making it a great option for regular travelers. There are no monthly fees, and the bank provides several overdraft protection options. The account also has an early direct deposit feature so you can receive paychecks up to two days early.

CD

Capital One 360 CD

Capital One 360 CDs come with term lengths ranging from six months to five years. Capital One 360 CDs pay competitive rates, but you can find higher at other institutions. Capital One does set itself apart by not requiring an initial deposit to open a CD – most banks ask for at least $500.

Capital One doesn't offer as many types of CDs as some banks do. For example, you can't open a no-penalty CD or jumbo CD with Capital One. Your only option is a regular term CD.

How Capital One 360 works

Capital One has hundreds of branch locations across eight states (Connecticut, Delaware, Louisiana, Maryland, New Jersey, New York, Texas, Virginia), as well as Washington DC. It also has dozens of Capital One Cafés, where you can grab Peet's Coffee®, speak with a money coach, and open a bank account.

Capital One 360 is Capital One's online operation. You can have a hybrid in-person/online banking experience if you live near a branch or Café, or you can bank completely online with Capital One 360.

Capital One's website is easy to navigate, and its mobile app has received 4.8 out of 5 stars in the Apple store and 4.6 out of 5 stars in the Google Play store.

Once you set up an online account, you can chat 24/7 with a live customer service representative. If you want to speak with an agent on the phone, you can call between 8:00 a.m. and 11:00 p.m. ET.

Capital One 360 offers checking accounts, savings accounts, and CDs. You have the option to open a separate checking and banking account for your child under age 18. A minor will earn 0.10% on their checking account balance, just like you do, and 0.40% APY on their savings account balance.

Between Capital One ATMs and partner ATMs, you have access to over 70,000 ATMs nationwide. The bank doesn't charge a fee if you use an out-of-network ATM, but it doesn't reimburse any out-of-network fees charged by an ATM provider.

Your Capital One bank account is FDIC insured for up to $250,000, or up to $500,000 for a joint account.

Is Capital One 360 trustworthy?

The Better Business Bureau gives Capital One 360 an A in trustworthiness. A good BBB rating signifies a company responds effectively to customer complaints, has honest advertising practices, and is transparent in how it handles business.

The best score a bank can receive from the BBB is an A+. Capital One 360 may have received an A because it's marked a little less than half of its online complaints as "closed."

Capital One 360 hasn't had any public scandals in recent years, so you may decide you feel comfortable keeping your money with the bank.

How Capital One 360 compares to similar banks

We've compared Capital One to two other online banks that pay high rates: Ally and Discover.

Savings APY 0.50% APY	Savings APY 0.60% APY	Savings APY 0.60% APY
CD APY 0.20% to 0.60% APY	CD APY 0.20% to 1.00% APY	CD APY 0.25% to 0.70% APY
Minimum deposits $0	Minimum deposits $0	Minimum deposits $2,500 for CD and money market account
Capital One Capital One 360 Performance Savings™	Ally Ally High Yield Savings Account	Discover Discover Online Savings Account

Capital One 360 review vs. Ally review

You can open a high-yield savings account, checking account, or CD with Ally or Capital One. Ally offers money market accounts and a wider range of CD types than Capital One, but Capital One provides checking and savings accounts specifically for minors.

Neither bank requires initial deposits for any accounts, and neither charges monthly fees. Both have an ATM network, but unlike Capital One, Ally reimburses up to $10 per month for out-of-network ATM fees.

If you want access to physical branch locations, Capital One could be the better choice – provided you live near a branch. Ally is an online-only bank, so there are no branch locations.

Ally also charges a 1% foreign transaction fee, so if you're a frequent international traveler, you may prefer Capital One.

Capital One 360 review vs. Discover review

You might prefer Discover over Capital One for CDs. Discover's rates tend to be higher, and its terms go up to 10 years. However, Discover requires a $2,500 minimum deposit for CDs. If you don't have that much money on hand, then Capital One is the clear choice.

You also might like Discover if you're looking for a rewards checking account. With the Discover Cashback Debit Account, you'll earn 1% cash back on up to $3,000 of debit card purchases each month.

Laura Grace Tarpley is an editor at Personal Finance Insider, covering mortgages, refinancing, bank accounts, and bank reviews. She is also a Certified Educator in Personal Finance (CEPF). Over her four years of covering personal finance, she has written extensively about ways to save, invest, and navigate loans.

• Related Content Module: More Savings Coverage