Industrial Bank Review: Checking, Savings and CDs

Industrial Bank is a community bank with rewards checking and savings, but the accounts have some strings attached.
Mar 24, 2022

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Overall bank rating

Industrial Bank
  • Checking

  • Savings

  • CD rates

  • Banking experience

  • Overdraft fees

3.5

NerdWallet rating 

The bottom line:

Industrial Bank is a Black-owned bank with a strong community focus. Founded in 1934, this certified community financial development institution reinvests over 60% of its assets annually back into its target communities in the Washington, D.C., area and parts of New York and New Jersey. It has fewer than a dozen branches, but provides a nationwide fee-free ATM network and relatively robust mobile apps for digitally inclined customers.

Pros

  • Rewards checking rate and refunds on ATM fees, if some requirements are met.
  • No monthly fee on certain checking or savings accounts.
  • Free access to more than 50,000 Allpoint ATMs.

Cons

  • Expensive overdraft fee of $35.
  • Low CD rates.

Full review

Industrial Bank Kasasa Cash® Checking
Industrial Bank Kasasa Cash® Checking

Checking

Member FDIC

4.5

/5
 NerdWallet rating 
Monthly fee
$0
APY
1.47%
With $100 min. balance for APY

This checking account has three big draws: no monthly fees, up to $25 in refunds on ATM fees monthly and a 1.47% APY on balances up to $15,000. Balances over that receive a far lower rate. But you only get the refunds and rate if you meet three requirements: Make at least 12 debit card purchases monthly, log into online banking each month and receive electronic statements. Otherwise, the rate is 0.01% and there are no ATM fee refunds. There is no monthly fee for the account, which stands out since the bank’s other checking accounts tend to require a minimum balance to avoid a fee. You must meet these Kasasa Cash requirements to earn the high rate on the Kasasa Saver account.

Industrial Bank also participates in the fee-free, nationwide Allpoint ATM network of more than 50,000 ATMs.

Industrial Bank Kasasa Saver®
Industrial Bank Kasasa Saver®

Savings

Member FDIC

4.0

/5
 NerdWallet rating 
APY
0.50%
With $50 min. balance for APY

The Kasasa-branded savings account has an attractive rate, 0.50% APY on up to $25,000, but a far lower rate on any amount above that and there’s a big catch on being able to have this account: You must have a Kasasa Cash or Kasasa Cash Back checking account as well. And to earn the high rate, you have to fulfill the requirements of the connected checking account (including making 12 debit card transactions per month). Otherwise, the Kasasa Saver only earns 0.01% APY. Despite the drawbacks of the requirements, the account has a few strong points: There is no monthly fee or minimum balance requirement and the minimum deposit to open is fairly low at just $50.

If managing the Kasasa checking account isn’t for you, Industrial Bank offers other savings accounts that require either one monthly deposit or a minimum balance to avoid a monthly fee.

Industrial Bank CD
Industrial Bank CD

CD

Member FDIC

1.5

/5
 NerdWallet rating 
1-year APY
0.02%
3-year APY
0.10%
Minimum deposit
$1,000

The bank offers a somewhat low opening minimum of $1,000, but its rates aren’t competitive. In addition, the range of terms is from one month to four years, while many banks offer a five-year term as well.

Banking experience

3.5

NerdWallet rating 

The bank’s branch network is limited to only a few locations around Washington, D.C., New York and New Jersey, but it does provide a digital experience via a website and mobile apps. The website is reasonably transparent about account rates and fees. Customer support has some phone hours on Saturday in addition to weekdays, but there is no Twitter or public-facing live chat on its website like some banks have.

Although Industrial Bank has multiple checking and savings options, the ones with no monthly fees are powered by Kasasa. This national marketing company provides rewards checking and savings accounts to community banks in the U.S. To get the most out of these accounts, you have to meet many requirements. The bank’s other accounts have monthly maintenance fees and don’t offer the same perks (though the fees are possible to avoid.)

Overdraft fees

2.0

NerdWallet rating 

There’s an overdraft fee of $35 for transactions, including checks, that would overdraw your account and a $25 fee for balances that stay overdrawn for seven consecutive business days. The bank provides a program for linked transfers from savings to checking accounts in the event of an overdraft, with a fee of $10. And the bank offers an overdraft line of credit, but the rate isn’t competitive. Overall, these overdraft-related fees are on the expensive side.

Industrial Bank Kasasa Cash® Checking
Industrial Bank Kasasa Cash® Checking

Checking

Member FDIC

4.5

/5
 NerdWallet rating 
Monthly fee
$0
APY
1.47%
With $100 min. balance for APY

This checking account has three big draws: no monthly fees, up to $25 in refunds on ATM fees monthly and a 1.47% APY on balances up to $15,000. Balances over that receive a far lower rate. But you only get the refunds and rate if you meet three requirements: Make at least 12 debit card purchases monthly, log into online banking each month and receive electronic statements. Otherwise, the rate is 0.01% and there are no ATM fee refunds. There is no monthly fee for the account, which stands out since the bank’s other checking accounts tend to require a minimum balance to avoid a fee. You must meet these Kasasa Cash requirements to earn the high rate on the Kasasa Saver account.

Industrial Bank also participates in the fee-free, nationwide Allpoint ATM network of more than 50,000 ATMs.

How does Industrial Bank compare?

NerdWallet rating 
NerdWallet rating 
NerdWallet rating 
APY

0.70%

With $0 min. balance for APY

APY

0.60%

With $1 min. balance for APY

APY

0.60%

With $0 min. balance for APY

Bonus

N/A

Bonus

N/A

Bonus

N/A

Methodology

NerdWallet’s overall ratings for banks and credit unions are weighted averages of several categories: checking, savings, certificates of deposit or credit union share certificates, banking experience and overdraft fees. Factors we consider, depending on the category, include rates and fees, ATM and branch access, account features and limits, user-facing technology, customer service and innovation. The stars represent ratings from poor (one star) to excellent (five stars). Ratings are rounded to the nearest half-star.