A digital bank runs through an app and a website instead of branches. The good ones charge no monthly fees, pay real interest on your cash and give you a big ATM network. Below are the 9 best digital banks, what each one pays and charges, and who it fits.
The short version: Ally is the easy all-around pick. Axos ONE pays the highest savings rate on this page if you can send it a direct deposit. nbkc pays 1.75% APY on one simple account with no monthly activity rules. Varo and Current are built for getting paid early and covering a short gap before payday.
One thing to check before you sign up anywhere: is the company a bank, or an app that keeps your money at a partner bank? We spell that out for every pick.
- Get instant access to up to $750 with no credit check and no interest
- $75 bonus with code WELCOME75 and $1,500 or more in direct deposits
- No monthly fees, no overdrafts, and no hidden charges
The 9 Best Digital Banks
Here is how the nine compare. Each rate comes from the bank’s own site, and rates can change at any time.
| Digital bank | Who it fits | Top rate | Where your money sits |
|---|---|---|---|
| Ally Bank | All-around banking with no monthly fees | 3.10% APY savings | Ally Bank, Member FDIC |
| Axos Bank | Top savings rate if you use direct deposit | 4.21% APY savings | Axos Bank, FDIC insured |
| Bluevine | Small business checking | 1.3% to 3.0% APY, by plan | Coastal Community Bank, Member FDIC, and program banks. Bluevine is not a bank. |
| Current | Early pay and paycheck advances | Up to 4.00% bonus on Savings Pods | Choice Financial Group or Cross River Bank, Members FDIC. Current is not a bank. |
| nbkc bank | One account that earns interest | 1.75% APY | nbkc bank, Member FDIC |
| Quontic Bank | Savings at a mission-driven bank | 3.20% APY savings | Quontic Bank, Member FDIC |
| SoFi | Checking and savings in one app | See SoFi’s site | SoFi Bank, N.A., Member FDIC |
| UFB Direct | Savings with no minimum deposit | 3.26% APY savings | Axos Bank, FDIC insured (UFB Direct is an Axos brand) |
| Varo Bank | A first account and small balances | 3.75% APY on up to $5,000 | Varo Bank, N.A., Member FDIC |
Want a sign-up bonus but can’t move your paycheck? See our list of bank promotions without direct deposit requirements.
1. Ally Bank
Who it fits: anyone who wants all-around banking with no monthly fees.
Ally Bank launched in 2009, when GMAC Bank was renamed, and the parent company dates back to 1919. You can open checking, savings, money market accounts and CDs. Ally advertises CD rates of 2.80% to 3.00% APY, so compare them with the best CD rates before you lock money up.
The savings account pays 3.10% APY with no minimum deposit. You can split it into up to 30 buckets for different goals and still earn interest on the whole balance. The checking account, which Ally calls a Spending Account, pays 0.10% APY on balances under $15,000 and 0.25% APY on $15,000 or more.
There are no monthly maintenance fees, no overdraft fees and no minimum balance. You get a debit card, 75,000+ no-fee ATMs through Allpoint and MoneyPass, and up to $10 back per statement cycle for fees other ATMs charge. Direct deposit can land up to two days early, you deposit checks with your phone, and support is open 24/7. Ally Invest is there if you also want to invest.
Ally Bank is a Member FDIC bank, so the insurance comes from Ally itself.
2. Axos Bank
Who it fits: savers who can send in a direct deposit and want the top savings rate on this page.
Axos Bank is an FDIC-insured bank in its own right, not an app sitting on top of someone else’s bank. Its lineup has changed. The main product is now Axos ONE, a checking and savings pair with no monthly maintenance fees and no minimum balance. The older Essential Checking and Rewards Checking accounts no longer appear on its checking page.
- Axos ONE Savings: 4.21% APY on balances up to $249,999.99 (3.50% APY above that) in months you qualify. You qualify by receiving $1,500 in qualifying direct deposits and keeping a $1,500 average daily balance, or by receiving $5,000 in qualifying deposits and keeping a $5,000 average daily balance. Miss both and the base rate is up to 1.00% APY.
- Axos ONE Checking: 0.51% APY in months you qualify and 0.00% APY otherwise.
- Axos Checking: a standalone account that pays 1.00% APY in any month you receive a qualifying direct deposit, with unlimited domestic ATM fee reimbursements and no monthly maintenance or overdraft fees.
Qualifying Axos ONE accounts opened from October 1 through October 31, 2026 also get a new-customer boost to 5.00% APY on the first $49,999.99 in savings for six statement cycles. Both checking accounts can release your paycheck up to two days early. If you would rather not tie your rate to direct deposit, Summit Savings is a plain savings account with no minimum deposit and no monthly maintenance fees.
Related: Axos Bank Promotions and Promo Codes
3. Bluevine
Who it fits: small business owners who want free checking.
Bluevine is not a bank. Your business checking account is FDIC insured for up to $3 million per depositor through Coastal Community Bank, Member FDIC, and Bluevine’s program banks.
If you’re looking for free business checking, the Standard plan has no monthly fee, no overdraft fees, no minimum balance and unlimited transactions, which makes it an easy way to avoid the usual bank fees. Standard pays 1.3% APY on balances up to $250,000 in months when you spend $500 on the Bluevine debit card or receive or deposit $2,500 in customer payments.
Two paid plans pay more with no activity test. Plus pays 1.75% APY on balances up to $250,000 and costs $30 a month. Premier pays 3.0% APY on all balances and costs $95 a month. Bluevine says both monthly charges can be waived, so read its plan page for the requirements.
Cash withdrawals are free at 37,000+ MoneyPass ATMs and cost $2.50 anywhere else. Bluevine also offers a line of credit of up to $250,000. To apply you need $10,000 in monthly revenue, a 625+ personal FICO score and at least 12 months in business as a corporation or LLC. You can also compare it with our best online business checking accounts.
4. Current
Who it fits: people who want early pay and a small cushion before payday.
Current is a financial technology company, not a bank. Banking services come from Choice Financial Group and Cross River Bank, both Members FDIC. FDIC insurance only covers the failure of an insured bank, so coverage of up to $250,000 passes through those partner banks when certain conditions are met.
Current is a mobile banking app with a Visa debit card. Direct deposit can arrive up to two days early. Receive $200 or more in eligible direct deposits over 35 days and you can qualify for fee-free overdraft, with a limit that may start at $25 and climb to $200.
You get 40,000+ fee-free Allpoint ATMs (out-of-network ATMs cost $2.50), instant removal of gas station holds and spending insights for budgeting. The Build Card can earn 1x points per dollar on eligible purchases, and you redeem them for cash back.
Open a Current Account or set up Teen Banking for your kids. Savings Pods pay a bonus of up to 4.00% a year on up to $2,000 per pod ($6,000 in total) once you receive an eligible payroll deposit of $200 or more over 35 days. Without that deposit the bonus rate is 0.25%.
Paycheck Advance goes up to $750 with no credit check. It is free if you can wait up to three days, or instant for a charge shown in the app.
- Get instant access to up to $750 with no credit check and no interest
- $75 bonus with code WELCOME75 and $1,500 or more in direct deposits
- No monthly fees, no overdrafts, and no hidden charges
5. nbkc
Who it fits: anyone who wants one simple account that earns interest.
nbkc bank is an online bank based in Kansas City that started in 1999 as Horizon National Bank. Its Everything Account works as checking and savings in one. It pays 1.75% APY on any balance of a penny or more, with no monthly activity rules to meet.
There are no monthly fees, no minimum deposit and no overdraft fees. You get 90,000+ ATMs, up to $12 a month back for out-of-network ATM fees, direct deposit up to two days early, and an app with mobile check deposit and savings goals that earn the same rate. nbkc bank is a Member FDIC bank.
6. Quontic
Who it fits: savers who like the idea of a mission-driven bank.
Quontic Bank has been a certified Community Development Financial Institution (CDFI) since 2015, and says its mission is helping low-income families, immigrants and small business owners become homeowners. It operates as a digital bank and is a Member FDIC.
Quontic’s High Yield Savings Account pays 3.20% APY with no monthly service fees and a $100 minimum to open. That is far above the 0.37% national average the FDIC reports for savings accounts, though a few banks on this page pay more. In the app you can deposit checks, pay bills, move money between accounts and pay your contacts. Savings customers can request an ATM card (Zelle is not available on this account), and Quontic lists over 90,000 fee-free ATM locations. If you want a debit card, that comes with its checking and money market accounts.
- Earn a competitive 3.20% APY with no monthly fees
- Only $100 minimum to open an account
- 24/7 online and mobile access from a digital-first bank
7. SoFi
Who it fits: people who want checking and savings in one app.
SoFi Bank, N.A. is a Member FDIC bank. One application opens checking and savings together, with no monthly maintenance fees and no minimum balance. With direct deposit set up, savings balances earn 3.30% APY and checking balances earn 0.50% APY. You get more than 55,000 free Allpoint ATMs, plus bonus cash when you set up direct deposit.
Direct deposit can also arrive up to two days early, and you can compare more banks with early direct deposit. Even without direct deposit, savings still earn 0.80% APY. If you already borrow or invest with SoFi, SoFi loans and SoFi Invest sit in the same app. SoFi changes its rates and new-member offers often, so check the current numbers on SoFi’s own site before you open the account.
- Earn $50 or $400 with eligible direct deposit
- No account fees, no overdraft fees, ever
- 0.90% APY boost on savings for up to 6 months
Related: SoFi Promotions and Sign Up Bonus Offers
8. UFB Direct
Who it fits: savers who want a solid rate with no minimum deposit.
UFB Direct is a brand of Axos Bank, and its accounts are FDIC insured through Axos Bank. That matters if you use both: Axos says deposits held under its brands are combined and insured under the same FDIC certificate, so money at UFB Direct and Axos counts toward one limit.
- UFB Portfolio Savings pays 3.26% APY on every balance, with no minimum deposit, no maintenance fees and a complimentary ATM card.
- UFB Portfolio Money Market also pays 3.26% APY and adds check writing. It costs $10 a month unless you keep a $5,000 balance.
- Freedom Checking pays 2.00% APY with no monthly maintenance fees, a debit card and over 90,000 fee-free ATMs. Pair it with Portfolio Savings and the savings rate can reach 3.46% APY when you hit the direct deposit, balance and debit card targets.
You can open a checking account at UFB Direct as well, then set up an automatic transfer from checking to savings so the saving happens without you.
9. Varo Bank
Who it fits: people opening a first account or keeping a small balance.
Varo was founded in 2015 and later became the first fintech company to receive a national bank charter in the United States. Varo Bank, N.A. is a Member FDIC, so your money is insured directly with Varo.
The savings account starts at 1.00% APY. You earn 3.75% APY on your balance up to $5,000 after a month in which you receive $1,000 or more in direct deposits and end with a positive balance in all your Varo accounts. Anything above $5,000 earns 1.00% APY.
There are no monthly fees and no minimum balance. Allpoint ATMs are free (over 40,000 of them), other ATMs cost $3.50, and you can deposit cash without a charge at over 7,500 CVS stores. Direct deposit can arrive up to two days early, and cashback from select retailers is paid into your account as you earn it.
Need a little breathing room before payday? Varo Advance starts at $20 to $250 and can grow to $700 over time with qualifying direct deposits. Each advance has one flat fee, starting at $1.60, with no interest, and you pick a repayment date 15 to 30 days out.
What is a Digital Bank
A digital bank offers its services online and through a mobile app instead of through branches. You open the account, deposit checks, pay bills and move money from your phone. Most offer checking and savings accounts, and many add loans, credit cards or investing.
Not every digital bank is actually a bank. Ally, Axos, nbkc, Quontic, SoFi and Varo are FDIC-insured banks themselves, and UFB Direct is a brand of Axos Bank. Bluevine and Current are technology companies that place your money at partner banks. The FDIC is blunt about the difference: nonbank companies are never FDIC-insured themselves, and deposit insurance does not protect you if the nonbank company fails. Your coverage depends on the money actually sitting at an insured bank.
Our list of the best online banks compares more of them side by side.
Common Benefits of a Digital Bank Account
Plenty of people still like walking into a branch. Here is what you get in return for giving that up, and how to tell whether an online-only bank is a safe place for your money:
- Convenience: You can reach your account from anywhere with an internet connection, so there is no trip to a branch to deposit a check or move money.
- Online banking tools: Mobile check deposit, bill pay, savings buckets and spending insights are built into the apps on this page. Pair them with one of the best money-saving apps if you want more automation.
- Competitive interest rates: The FDIC puts the national average savings rate at 0.37%. Every savings rate in the table above is several times that.
- Lower fees: Most of the accounts on this page have no monthly fee and no minimum balance. Read the fee list anyway, because out-of-network ATMs, cash deposits and instant transfers are where the charges show up.
- Security: Look for FDIC insurance first, then the app basics: fingerprint or face login and real-time alerts.
- Customer service: Support comes by phone, chat or email instead of across a counter. Ally, for one, answers 24/7.
Digital Banking FAQs
Yes, as long as your money sits at an FDIC-insured bank. FDIC insurance covers $250,000 per depositor, per insured bank, for each account ownership category, and federally insured credit unions carry at least $250,000 of coverage through the NCUA. The catch is that some digital banks are apps, not banks. A nonbank company is never FDIC-insured itself, so with an app your coverage depends on the partner bank that holds your funds. Check which one you are dealing with before you deposit.
Often, but not everywhere, and it can cost you. Varo takes cash deposits at over 7,500 CVS stores without a charge. Bluevine takes them at 120,000+ Green Dot and Allpoint+ locations. Current lists a $3.50 charge per cash deposit. If you handle a lot of cash, check the deposit options before you open the account.
Mostly. The banks on this page cover checking, savings, CDs, money market accounts, loans and investing between them. What you give up is anything that needs you there in person, like walking up to a teller or handing over cash at a branch.
Which Digital Bank Should You Pick?
If you want one bank for everything, start with Ally or nbkc. If you want the highest savings rate here and can route a paycheck, look at Axos ONE. If you run a small business, Bluevine is the one built for you. If you need early pay or a small advance while you get ahead, look at Varo or Current.
Whichever you choose, confirm the current rate and terms on the bank’s own site before you move money, and check whose name is on the FDIC insurance.
