Barclays Bank may be an unfamiliar name if you’re searching for an online savings account. Unlike other purely virtual banks without physical brick and mortar offices, Barclays has more than 7,000 branches in more than 50 countries around the world. With more than 325 years of experience, 140,000 plus employees, and 48 million clients, Barclays Bank can make your feel like a private bank customer even if you’re not. This Barclays Bank online savings account review will recap the account types, financial products, and benefits enjoyed by clients of the firm.
Barclays Bank Delaware, Barclays’ retail bank in the U.S., has only one physical retail bank branch (in Delaware). Almost all of Barclays’ U.S. clients virtually interact with the bank. Barclays isn’t trying to attract clients who need a checking and savings option. Barclays’ strategy in the Americas is to attract clients in search of highly competitive rates, including Barclays’ standard online savings account and the Dream Account. In addition, Barclays offers certificates of deposit (CDs) to online savings account customers in search of higher rates. Barclays Bank online savings accounts are FDIC insured up to a maximum of USD 250,000 per depositor. Let’s review the basics of what Barclays Bank has to offer.
Barclays Bank Online Banking and Savings Accounts
Barclays’ client portal is populated with videos that explain how to open a savings account, transfer money, and make deposits. Although it’s possible to make a remote deposit by smartphone or computer any time, your remote deposit made after three p.m. isn’t processed until the next business day.
Customer service is provided by telephone. You can reach Barclays online savings account customer service representatives between 8 am to 8 pm ET:
- Online communications with customer service isn’t encouraged. For instance, you probably won’t receive a reply to an email sent to the bank over the weekend.
- If you need in-person bank customer service access from time to time, you probably won’t like Barclays Bank’s online savings account unless you live in Delaware.
Keep in mind that Barclays doesn’t offer an online checking account so, if you’re a serious saver whose goals include making more deposits than withdrawals, you might not need to visit the bank.
Barclays basic savings account has lots of engaging tools and calculators for your use. These tools can help you to establish financial goals and decide how much money you need to save to reach them.
Barclays Bank Online Savings Account Basics
Barclays Bank’s online savings account offers a highly competitive APY. The bank’s online savings account customer portal is straightforward. You can transfer funds from your online savings account at Barclays to the other banks you use or transfer funds from these accounts to your Barclays Bank online savings account. You can also arrange direct deposits to your Barclays online savings account.
The reasons to open an online savings account at Barclays include:
- Competitive interest rate (APY)
- Zero monthly account or maintenance fees
- No minimum balance is required to open a Barclays Bank online savings account
- No monthly limits on deposits
Barclays’ regular online savings account pays less than the Barclays Dream Account (which pays motivating bonuses and perks to savers).
Barclays Bank Dream Account Online Savings Account
Barclays’ Dream account is consistently ranked as one of the highest APY savings rates in the U.S. The Dream Account actually encourages you to save. For instance, if you make six deposits over six months, you currently receive 2.5 percent as a bonus on the past six months’ earned interest:
- If you know there’s no need to access your savings for the next six months, the Dream Account can help you earn a very competitive savings rate.
- If you don’t need to withdraw money from your Barclays Dream Account for at least six successive months, you earn 2.5 percent on the prior six months’ earned interest.
The Barclays Dream Account can help you establish an emergency fund and earn a much higher APY than you’ll receive in a traditional bank savings account.
Like Barclays’ standard online savings account, it’s possible to link other accounts you own to transfer money to and from the Barclays Dream Account. It’s worthwhile to note the following about the Barclays Dream Account before you make a decision to apply:
- There are no account or maintenance fees to have a Barclays Dream Account.
- There’s no minimum balance required.
- You may open three Dream Accounts.
Your initial deposit per account can’t be more than USD 1,000 and your monthly deposits can’t exceed USD 1,000 for each account (USD 3,000 if you own three Barclays Dream Accounts).
If you’re looking for even more ways to save, Barclays offers certificates of deposit (CDs) to online savings account customers. You can choose from nine term lengths of three months – five years. In general, short CD terms pay the lowest APY.
Several compelling reasons to consider Barclays Bank for your CD investments include:
- No minimum balance required or deposit is required. There are no fees or costs associated with a Barclays Bank online CD account.
- Barclays provides you with an email approximately one month before the certificate of deposit mature.
At present, Barclays offers only fixed-term CDs so your APY interest rate and term don’t fluctuate if rates rise.
Barclays Bank Online Savings Account Review
This Barclays Bank online savings account review is generally positive. If you want to save more money, and you want to be rewarded for saving it, Barclays Bank has several good options for you. Of course, if you’re in the market for a combined online savings account and interest-bearing checking account, Barclays isn’t for you.
Dipping into your Barclays Dream account is less likely because you’re rewarded a hefty 2.5 percent to keep the money in place for six successive months. If you succeed in leaving the money in your online savings account for six months, chances are good that you can succeed in growing your savings account over a longer period.