Bank of America is one of the oldest and largest banks in the United States. While it isn’t known for being especially competitive for consumers, they are a full service bank that has some specialities. It has a large brick and mortar footprint, which can be especially helpful for some consumers.And they have a Preferred Rewards program, partnerships with Merrill Edge for investing bonuses, and more – all of which could make them a compelling choice for you.Here’s what you need to know about Bank of America in our Bank of America Savings Review. See how Bank of America compares to other top high yield savings accounts.
As of June 2019, Bank of America is the second-largest bank in the U.S., just behind JPMorgan Chase Bank ($1.8 billion in AUM vs. $2.35 billion) according to mx.com.Bank of America is a full-service bank offering checking, savings, mortgages, HELOCs, loans, and more. It has branches and ATMs all across the U.S.
Bank of America’s savings product is called Bank of America Advantage Savings.Bank of America savings isn’t going to earn you any money. It’s a very low-interest-rate product and unable to compete with many of the other high-interest savings account services on the market. If this product isn’t really for those looking to earn money off of their savings, whom is it for?If you already have accounts at Bank of America and want to maintain a savings account for whatever reason, you are the ideal person to open a Bank of America savings account. There’s something to be said for ease of access and convenience when all of your accounts are connected and in one location. This goes double if you particularly like Bank of America.The Bank of America savings account requires a $100 deposit to open. A $500 daily balance must be maintained to avoid fees.If the balance drops below $500 during the day but goes back to $500 by the end of the day, the account will not be charged a fee. Students under 24 years of age and enrolled in high school, college, a university, or a vocational program may qualify for a fee waiver.There are two other ways to avoid the maintenance fee:The Bank of America savings product has a tiered structure. The more money in the account, the more interest those funds will earn — at least that is what Bank of America says. After you view the tiered structure, rates change based on the Preferred Rewards client tier rather than savings balance. Here’s a summary of the tiers:As you can see, it doesn’t really matter which tier you are in as your money isn’t really going to notice the difference.The Bank of America savings account includes the following services:Bank of America does offer several other savings products, including CDs, IRAs, and savings accounts for kids. If you’re thinking perhaps that Bank of America CDs offer better interest rates, you’d be right, but they are still far below what you can get on savings accounts at other banks.
Here are the current top yielding savings accounts right now:
Yes — there are quite a few fees. These include the following:
You can open an account online at https://www.bankofamerica.com or by visiting a Bank of America branch location.
Yes — like all U.S.-regulated banks, Bank of America is FDIC-insured.
As mentioned above, it is only worth it if you have other accounts at Bank of America and want the added convenience of easily transferring between your other Bank of America accounts and maintaining all of your finances at one bank.As a full-service top-tier national bank, Bank of America has a lot to offer. Additionally, the savings account can be linked to your checking for overdraft protection. Bank of America also has an excellent mobile app.However, if you are shopping for a high-interest savings account with minimal fees, you’ll want to keep shopping.Plus, the level of fees, “hoops” you have to jump through, combined with their low rates, make me want to place my savings elsewhere.