Discover Bank is renowned for its top-notch rewards credit cards. But did you know that it also offers high-interest deposit accounts? Whether you’re looking to earn impressive interest rates or cash back rewards, Discover Bank has got you covered.
Who is Discover Bank for?
Discover Bank is an ideal choice for individuals seeking higher interest rates on their deposit accounts compared to traditional brick-and-mortar banks. Discover offers above-average interest rates on almost all account types. Its online savings account, in particular, stands out with high interest rates on all balances. Additionally, Discover provides an excellent checking account with cash back rewards, no fees, and no minimum balance requirements.
Review of Discover Products
Let’s take a closer look at what Discover Bank has to offer.
Discover Checking Account
Discover’s checking account comes with the Discover it Cash Back debit card. With this card, you can earn 1% cash back on up to $3,000 in monthly debit card purchases. That’s up to $30 per month or $360 per year! The account has no minimum initial deposit, no minimum balance, and no monthly service fees.
Discover Online Savings Account
Discover’s Online Savings Account offers an impressive 4.35% APY on all balances. There are no minimum balance requirements and practically no fees. Interest is compounded daily and credited monthly.
Discover Money Market Account
Discover’s Money Market Account provides a competitive interest rate for all balances. Balances under $100,000 earn 4.20% APY, while balances over $100,000 earn 4.25% APY. The account has no minimum balance requirements and comes with low fees.
Discover CDs
Discover’s CDs offer a wide range of terms, from three months to 10 years. Interest rates range from 2% to 5.20% APY. Discover CDs stand out because they offer higher rates on longer terms, including seven and 10-year certificates.
Other Discover Products
Discover also offers IRAs, credit cards, and various types of loans. Their IRA CDs have rates and terms comparable to their regular CDs. Discover’s credit cards are highly popular for their generous cash back rewards and no annual fees.
Review of Discover Features
Let’s explore some of Discover Bank’s notable features.
ATM Network
Discover participates in the Allpoint and MoneyPass networks, providing access to over 60,000 fee-free ATMs across the U.S.
Bank Fees
Discover Bank does not charge monthly service fees, NSF fees, or overdraft fees. The only fee incurred is $30 for outgoing wire transfers.
Security
Discover Bank prioritizes security with encryption technology, identity verification measures, and regular account monitoring for potential fraud. All deposit accounts are insured by the FDIC for up to $250,000 per depositor.
Customer Service
Discover Bank offers 24/7 customer service by toll-free phone.
UI/Technology
Discover offers online and mobile banking for both Android and iOS devices. Their mobile app allows you to conveniently manage your accounts, pay bills, transfer funds, and even make mobile check deposits.
More about Discover Bank
Discover Bank is owned by Discover Financial Services, a publicly traded company (NYSE: DFS). Discover Bank originated in 1985 as part of Sears, Roebuck, and Co. In 1993, Discover became an independent company under Dean Witter, Discover & Co. Discover Bank has earned an A+ rating from the Better Business Bureau and has a highly rated mobile app.
How does Discover Bank compare?
Discover Bank stands out among its competitors in all major deposit account types. Its checking account, offering 1% cash back on debit card purchases with no fees or minimum deposit, is particularly attractive. Discover also excels in savings accounts, money market accounts, and CDs.
TIME Stamp: Discover offers attractive deposit accounts and credit card offerings
If you’re in the market for a new deposit account, Discover Bank deserves serious consideration. Their checking account is one of the best available, and their savings accounts, money market accounts, and CDs offer competitive rates. Additionally, Discover is a major player in the credit card industry, offering cards with generous cash back rewards.
Frequently Asked Questions (FAQs)
How do you deposit cash into Discover Bank?
Discover Bank accepts deposits via mobile check deposit, cash and check deposits at fee-free ATMs, wire transfers, ACH transfers, and direct deposits. As an online bank, Discover does not have physical branches.
Where is Discover Bank located?
Discover Bank is headquartered in Riverwoods, Illinois. While it has regional operations centers throughout the country, it does not have physical branch locations.
Are there better rates than the Discover savings account?
Quontic offers slightly higher interest rates than Discover Bank’s savings account. CIT offers a higher rate of 5.05% APY, but only on balances of $5,000 or more. Balances below $5,000 earn 0.25%.