The idea of banking started a long time ago. This could be dated up to 2000 BC where non-monetary banking was used. Banking was in its simplest. Merchants would lend grains to farmers during the planting season. This process evolved slowly until the first formation of the bank of England which issued banknotes. The banking evolution didn’t stop there. Today there are ATMs, debit and credit cards and digital banks.
Speaking of digital banks, they are one of the latest developments in the banking sector. Stanford Credit Union was the first to offer Internet banking to all its customers in 1994 and ever since then, many banks have followed through. In fact, there are digital only banks. In this article, we are going to give you some of the best digital banks that you should consider. Ally Bank This is the best digital-only bank you can get. It offers literally everything you can do with the traditional banks except depositing of money. This bank was launched in 2010 and in 2012 Money magazine named it as the best digital bank. Its headquarters is in the US. Unlike most companies, Ally’s checking account offers 0.10% interest on any remaining deposit. It has a saving plan that has no restrictions on the maximum or minimum deposits and earns an interest of 1%. It doesn’t stop there. It doesn’t have maintenance fee and one is allowed to have six free transactions after which each transaction will cost $10. Withdrawing cash using its ATM is free and in case you are charged by any bank, Ally will reimburse you. Chime This company was started in the year 2013 and has its headquarters in the US. There are some of the advantages that you will enjoy if you have a bank account. This includes no maintenance cost, no restrictions on the minimum amount required, and no overdraft fees. This bank makes things very easy for you. It also offers a checking account. Discover Bank Most of you have heard of the discover card. Yes, this card is linked to this bank. This bank is well known for its cashback checking. To put things simple you are rewarded if you make any transaction. This makes it one of the banks to consider. Unlike the ones we discussed above, there is a restriction on the minimum deposit one can make.
Another benefit of the Discover online bank is the lack of monthly fees. You need not worry about ATMs, you can access over 60,000 free ATMs. Though popular there is one downside of using the aforementioned discover card andquot; its inferior to MasterCard’s and visa cards.
As the name suggests it intends to make things simpler for you in banking activities. It was launched in 2009 but in 2014 it was bought by BBVA. This bank is not similar to most banks. It does not charge you anything for using your debit card and there is no stuff like monthly costs. This applies if you are located in the United States. Simple has gone a step further to make things simple for you to an extent you don’t have to worry about planning your budget. It has an online budget tool that helps you to plan your money. Truly, it has lived to its name and expectations. First Internet Bank of Indiana This is the first Internet bank started in 1999. This bank offers nearly everything for its customers to enjoy online banking. You should note that it has no monthly fees. It has a checking account which is free if you meet the minimum threshold of $25. It also has an interest checking account. This account will require an initial fee of $100. If you want to avoid the maintenance fee you have to ensure that the daily balance remains above $500.
So what makes this bank appear in this list? It offers credit cards which are regarded as one of the best in the market. Also, it’s possible to obtain a mortgage loan.
Charles Schwab is one of the best Brokerage firms in the USA and has a bank. It wise to consider this bank if you want to use Charles Schwab brokerage. It’s also ideal for people who travel a lot. This bank has some amazing features that make it a good bank for personal finance savings. For instance, its ATM can be used internationally for free and if you are charged they can easily reimburse you. From this article one thing stands out clearly. Digital banks are cheaper to use and at your own convenience. It’s the reason why you should consider this bank and they offer everything of what the traditional banks would offer.