Online banks Ally and Synchrony can earn you more interest than traditional banks can, partly because they don’t have to shell out millions of dollars to maintain branches.
But the two banks have differences that can matter: Synchrony has no checking accounts, but its savings rates are competitive enough to consider if you’re focused on accounts with high annual percentage yields.
|Ally Interest Checking||N/A|
|Ally Online Savings||Synchrony High Yield Savings
Certificates of deposit
|Ally High Yield CD interest rates ||Synchrony CD interest rates
Overdrafts, ATMs, customer service
Choose Ally if:
- You’re looking for an online bank with full product offerings, including checking accounts.
- You want competitive interest rates on your checking and savings accounts.
Choose Synchrony if:
- Your priority is getting a savings account with a high APY.
» Want to explore other options? Check out the best high-yield online savings accounts
Basic checking accounts
|Ally Interest Checking||Synchrony
|Minimum opening deposit||$0||N/A|
|Interest on balances||0.10% APY for deposits under $15,000||N/A|
|ATM network||Access to over 43,000 free Allpoint ATMs|
Reimburses customers up to $10 per month for out-of-network ATM fees
(See ATM network details for Synchrony savings account holders)
» Want to see more options? See the best online checking accounts
Basic savings accounts
|Ally Savings||Synchrony High Yield Savings
|Minimum opening deposit||$0||$0|
|Interest on balances||1.00% APY||1.05% APY|
|Automatic transfer from linked checking||Yes||Yes, from a different financial institution|
» Want to compare other accounts? See our best high-yield online savings accounts
Certificates of deposit
|Minimum opening deposit||$0||$2,000|
|APY on one-year term||Up to 1.00%||0.90%|
|APY on three-year term||Up to 1.05%||1.15%|
|APY on five-year term||Up to 1.15%||1.20%|
» Looking for higher rates? Browse the best CD rates
|Website||Clean look, uses plain, easy-to-understand language, good FAQ center||Helpful FAQ page.|
|Banking apps (ratings from app store users)||4.8 out of 5 stars for iOS; 4.4 out of 5 for Android||4.5 out of 5 stars for iOS; 3.6 out of 5 stars for Android|
|Customer service||Available by phone, chat, email and social media||Available by phone, chat, email and social media|
|Overdraft protection transfer fee||$0||N/A|
|Extended overdraft fee||$0||N/A|
Ally is hard to beat
Synchrony’s CD rates are on par with Ally’s, but it has a much higher minimum balance requirement. Synchrony’s overall game also doesn’t quite compete in terms of product offerings, since it doesn’t offer a checking account. However, Synchrony has a slightly higher APY on its savings account. If you’re looking to keep your checking and savings accounts under the same roof, you’ll be disappointed by Synchrony. Ally’s accounts and mobile tools, meanwhile, are among the best we’ve come across for any bank.
If the idea of joining an online bank appeals to you but you want more options, take a look at our list of the best online checking accounts.