Digital banking, also called Internet or online banking, is here to stay. The Capital One 360 account is one of the most beloved online savings accounts in the country. This checking and savings account also offers access to tech tools, an easy-to-use mobile app, and array of other functional, free, and useful products. This Capital One 360 online savings account review recaps the products offered by the firm, including the Capital One 360 online checking account, online savings account, investment accounts, certificates of deposit (CDs), money market accounts, and mortgages.
Capital One is best known by financial consumers as a credit card issuer. With the acquisition of ING Direct (a U.S. division of ING Groep NV) in 2012 for USD 9 billion, Capital One also acquired a seven million-strong investor customer base with USD 80 billion in deposits. The firm now ranks within the top 10 lenders according to deposits. After the acquisition was finalized, Capital One made substantial investments in infrastructure and technology with the goal of making it simple for customers to log-in and access account details and tools.
If you’re interested in a Capital One 360 online savings account, you’re probably interested in learning about the basic terms, rates, and limits along with technology, customer service, and physical locations for ATM access, etc.
Capital One 360 Online Bank Account Basics
Your deposits at Capital One are insured by the FDIC up to USD 250,000/depositor:
If you want a checking account along with your online savings account, your money earns an annual percentage yield (APY) on balances. You’ll earn a higher APY if you keep more than USD 50,000 in the account. Accounts with balances above USD 100,000 earn the highest rates. There’s no minimum balance requirement.
Online bill-pay and CheckMate mobile banking (including mobile deposits and a spending tracker) put you in charge. You won’t need to rush to the bank to make a deposit. With 24/7 online and mobile access, you can make purchases, deposit checks, withdraw money, or transfer funds between checking and savings.
- Fee Structure: No monthly maintenance/account fees, foreign transaction fees, or ATM fees. No overdraft fees: you’re charged an annual percentage rate (APR) on the overdrawn balance.
- Mobile banking: You can deposit up to USD 10,000 per month and up to USD 5,000 per day into your Capital One 360 checking account with your computer or smartphone device.
- Physical deposits: In addition to more than 2,000 dedicated Capital One ATM locations, you may use more than 38,000 AllPoint® network ATMs. Capital One branch offices are available in eight states (CT, DE, LA, MD, NJ, NY, TX, and VA) plus the District of Columbia.
- Capital One 360 cafes (free coffee and Wi-Fi) are available in seven greater metropolitan areas, including Boston/Brookline, MA (five locations), Chicago, IL, Los Angeles/Westwood, CA, Midtown New York, NY, Philadelphia, PA, San Francisco, CA, and St. Cloud, MN. These locations provide account holders with the option to make physical check deposits. If you prefer, make deposits by mail.
- Direct deposit: You can arrange direct deposit to your Capital One 360 account by providing your employer’s payroll department with the Capital One routing number and your account information.
Capital One 360 Online Savings Account Technology Pros and Cons
Online banking customers want access to their money and the Capital One 360 account provides straightforward access. For instance:
- It’s possible to designate up to 25 sub-savings accounts to earmark funds for different purposes.
- Set up automated savings in your Capital One 360 online savings account, move money from checking to savings online, or bank by telephone.
- Capital One’s budgeting tool allows users to track expenses and budget money. The tracking tool makes it simple to see how well you’re doing.
- Overall, the mobile banking app gets a thumbs-up from most users. A small percentage of customers report some challenges with making mobile check deposits.
Customers say that Capital One’s APY isn’t the highest high-yield savings account in the land but advocates say that ease of access and great customer service (phone, email, and Twitter customer contact available) are the reasons to bank here.
Capital One 360 Money Market Accounts
Money market instruments typically pay more than traditional savings products, so an investment in Capital One’s money market accounts may offer a higher rate. Although you won’t have as much access to funds in a money market account vs. a checking account, you may still write checks, transfer money, and use ATMs”
- In most cases, you may write up to six checks on your Capital One money market account each month.
- You may be required to keep a minimum balance in the account. If you fall below the minimum balance limit or you make more transactions than the bank allows, penalties may be assessed to your account.
Opening a Capital One money market account may be an ideal solution if you want to earn higher rates on all or part of your liquid funds. Because the Capital One 360 account offers a range of savings and deposit products, it’s simple to consolidate your accounts.
Capital One 360 Online Savings Account Certificates of Deposit
If you have money that you don’t need for a period of time and you want to earn a higher interest rate on the money, a certificate of deposit (CD) may be the right option for you:
- Capital One 360 CD terms (nine term options) and interest rates vary according to market conditions. Generally speaking, you’ll earn less interest on shorter-term CD maturities.
- You decide when your CD interest is paid: each month, at the end of the year, or when your CD matures.
- Capital One notifies you approximately 35 days before your CD matures. You must tell the bank what to do with the proceeds if you don’t want proceeds rolled into a new CD of the same term length.
- Like most CD investments, penalties for early withdrawal apply
Capital One 360 Savings Account Advantages
Capital One offers online banking customers with a range of choices. For your liquid funds, choose checking and/or savings or certificates of deposit. It’s easy to move your money from the account interface. CheckMate, the mobile application, and Capital One Wallet provides customers with flexibility and data. You’ll receive detailed info about every transaction. If you’re trying to save more money, you want to keep tabs on spending.
Although Capital One 360 isn’t the only account that offers sub-savings accounts, Capital One does so without fees and fuss. Creating individual savings buckets can help to reduce the temptation to spend money in your savings account.
The federal government restricts how often you may withdraw money from your Capital One 360 online savings account. If you’ve made four or five withdrawals this month, Capital One will send an email reminder.
Reasons to Open a Capital One 360 Online Savings Account
This Capital One 360 online savings account review reflects many reasons to open your online savings account with Capital One.
However, Capital One 360 tends to rank in the nation’s top 10 high yield savings accounts. If you’re looking for the highest savings rate in the nation and 10 basis points is meaningful to you, you probably won’t choose the Capital One 360 account.
Capital One 360 is an account for everyman or everywoman. If you want access to your liquid funds, and you want to earn a competitive APY on your money instead of close to zero percent at your big bank branch, the Capital One 360 account is a good choice.