Written by Laura Grace Tarpley, CEPF; reviewed by Evelyn He
2024-02-03T02:19:04Z
- Overall Rating
- Pros and Cons
- Savings
- Checking
- CD
- About Bank of America
- FAQ
- Methodology
- How Bank of America Compares
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Compare Bank of America accounts
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Bank of America Advantage Savings Account
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Bank of America Advantage Plus Checking Account
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Bank of America Fixed Term CD
Annual Percentage Yield (APY)
0.01% to 0.04%
Minimum deposit
$100
Annual Percentage Yield (APY)
None
Minimum deposit
$100
Annual Percentage Yield (APY)
0.03% to 4.00%
Minimum deposit
$1,000
Bank of America, Member FDIC
Bank of America, Member FDIC
Bank of America, Member FDIC
Bank of America Review: Overall Rating
| Feature | Personal Finance Insider rating (out of 5) |
| Savings | 3.25 |
| Checking | 3.75 |
| CD | 3.25 |
| Trustworthiness | 3 |
| Total: | 3.25 |
Bank of America Pros and Cons
| Pros | Cons |
|
|
Bank of America Advantage Savings Account Review
Bank of America Advantage Savings Account
Bank of America, Member FDIC
Insider’s Rating
3.25/5
Fees
$8 monthly service fee
Annual Percentage Yield (APY)
0.01% to 0.04%
Minimum Opening Deposit
$100
Bonus
None
Pros
- New accounts have monthly fee waived for the first 6 months
- Multiple ways to waive monthly fee after the first 6 months
- No excess withdrawal fee if your balance is at least $20,000, or if you're a Preferred Rewards customer
Cons
- Low APY
- Compounds interest monthly, not daily
- $100 opening deposit
- $8 monthly service fee
- $10 excess withdrawal fee
Insider’s Take
The Bank of America Advantage Savings Account rates are lower than the average savings account but similar to what other national banks pay. If you're searching for a high interest rate on a savings account, you'll earn more by opening one of the best high-yield savings accounts.
Product Details
- Access to over 3,900 branches and 15,000 ATMs
- Earn slightly higher rates by becoming a Preferred Rewards customer and qualifying for the Gold, Platinum, or Platinum Honors tier
- Earn cash back when you make a debit card or credit card purchase through the BankAmeriDeals® program; Cardholders will automatically be enrolled in the program when setting up online banking and a list of eligible offers and deals will be available through online banking
- Waive $8 monthly service fee by maintaining $500 balance, OR linking to your Bank of America Advantage Relationship Banking® account, OR by becoming a Preferred Rewards customer
- Waive monthly fee if you're a student under age 25
- Waive monthly fee if an account holder is under age 18
- Interest compounded monthly and paid monthly
- FDIC insured
Like most large brick-and-mortar banks, Bank of America savings rates are pretty low. On the bright side, you may have an easier time waiving the $8 monthly service feethan with some banks. Here are your options for waiving it:
- Be a student under age 25
- Have an account holder be under age 18
- Keep a $500 daily balance
- Sign up for the bank's Preferred Rewards program, a rewards group for people with higher balances
- Link to an Advantage Relationship Checking Account, which is best for customers with at least $10,000 in checking
The monthly fee is also waived for all account holders for the first six months.
Bank of America Advantage Plus Checking Account Review
Bank of America Advantage Plus Checking Account
Bank of America, Member FDIC
Insider’s Rating
3.75/5
Perks
Earn $200 bonus for eligible new customers who open a Bank of America Advantage SafeBalance Banking® account with qualifying activities (offer expires May 31, 2024)
Fees
$12 monthly service fee
Annual Percentage Yield (APY)
None
Minimum Opening Deposit
$100
Bonus
New Bank of America customers may receive a $200 bonus when you open a Bank of America Advantage Banking account with a Bank of America associate who enrolls you in offer, and set up direct deposit for $2,000 or more within the first 90 days of opening the account (offer expires May 31, 2024)
$200
Pros
- Multiple ways to waive monthly service fee
- Link to savings for free overdraft protection
Cons
- $100 minimum opening deposit
- $12 monthly service fee
- $10 overdraft fee
- $2.50 out-of-network ATM fee
Product Details
- New Bank of America customers may receive a $200 bonus when you open a Bank of America Advantage Banking account with a Bank of America associate who enrolls you in offer, and set up direct deposit for $2,000 or more within the first 90 days of opening the account (offer expires May 31, 2024)
- Access to over 3,900 branches and 15,000 ATMs
- Waive $12 monthly service fee by doing one of the following: receive $250/month in direct deposits, keep $1,500 minimum daily balance, enroll in Preferred Rewards, or be a student under age 25
- If you use Balance Connect and link your checking account to a backup account, there's a $0 overdraft protection transfer fee
- FDIC insured
You might like the Bank of America Advantage Plus Checking Account if you can waive the $12 monthly service fee by completing one of the following each month:
- Make at least one qualifying direct deposit of $250 or more
- Keep at least $1,500 in your account daily
- Be enrolled in the bank's Preferred Rewards
- Be a student under age 25
Bank of America has reduced overdraft fees from $35 to $10.
Bank of America Fixed Term CD Review
Bank of America Fixed Term CD
Bank of America, Member FDIC
Insider’s Rating
3.25/5
Annual Percentage Yield (APY)
0.03% to 4.00%
Minimum Opening Deposit
$1,000
Pros
- Terms from 28 days to 10 years
- Access to over 3,900 branches and 15,000 ATMs
Cons
- Low APY
- Interested is compounded monthly, not daily
- $1,000 opening deposit
- High early withdrawal penalties
Insider’s Take
Bank of America CD rates are low overall, with the exception of select short-term options. You'll still find the best CD rates at online financial institutions, though, regardless of which term you'd like to get.
Product Details
- Access to over 3,900 branches and 15,000 ATMs
- Terms ranging from 28 days to 10 years
- Early withdrawal penalties are as follows: the greater of all interest earned or 7 days interest on the amount withdrawn for terms under 90 days; 90 days interest for terms over 90 days and under 12 months; 180 days interest for terms of 12 months to under 60 months; 365 days interest on terms of 60 months or more
- Interest compounded monthly and paid monthly
- FDIC insured
The bank has more term options for than most institutions, with terms ranging from 28 days to 10 years. Bank of America CD rates are low on most terms, but it does pay relatively high rates for terms of 90 to 179 days. Still, you'll earn the best CD rates with online banks.
About Bank of America
Bank of America is one of the largest banks in the US. There are over 3,900 branches in 37 states and DC, and 15,000 free ATMs. You can use ATMs outside the Bank of America network, but you'll pay a $2.50 fee each time.
The Bank of America mobile app has 4.8 out of 5 stars in the Apple store, and 4.6 out of 5 stars in the Google Play store.
To speak with customer support about your bank accounts, call Monday through Friday from 8 a.m. to 11 p.m. ET. Or call weekends from 8 a.m. to 8 p.m. ET.
Your deposits are insured by the FDIC insured for up to $250,000, or $500,000 for joint accounts.
Is Bank of America Trustworthy?
The Better Business Bureau gives Bank of America an A- rating because of government action taken against the business. A strong BBB grade indicates a company responds to customer complaints effectively and is transparent about business practices.
Bank of America has been involved in the following recent controversies:
- Bank of America paid over $100 million to customers in a settlement when accused of repeatedly charging a $35 overdraft fee for the same transaction, withholding credit card rewards, and enrolling customers in credit card accounts without them knowing or authorizing it (2023).
- The Consumer Financial Protection Bureau fined Bank of America for freezing customers' accounts because its automatic fraud filter incorrectly detected fraud on accounts. The CFPB claimed that the bank made it difficult for customers to un-freeze their accounts (2022).
If these issues bother you, you may prefer to use a different bank.
Bank of America FAQs
Is Bank of America a good bank to use?
Bank of America could be a good fit if you want an in-person bank with branches and ATMs around the US. It also makes it relatively easy to waive monthly fees on accounts.
What are the disadvantages of Bank of America?
Compared to the best online banks, Bank of America pays low savings rates. You'll also be stuck paying a monthly fee if you don't qualify to waive it, while many other banks forego monthly fees all together.
What is the Bank of America routing number?
A routing number is a nine-digit number you may need to provide in a financial transaction. Your Bank of America routing number depends on which state you live in and the type of transaction you're making (there's one routing number for most digital and paper payments, and another for wire transfers). To find the number you need, visit Bank of America's routing number page. Look under the section "Do you have a list of routing numbers I can review?" and scroll down, then select "Change state." Your routing numbers will appear.
Methodology: How we Reviewed Bank of America
To review Bank of America, we rated accounts and services using Personal Finance Insider's bank account methodology.
In general, we look at ethics, customer support, and mobile apps when rating an account. Other factors we consider depend on which type of account we're reviewing. For example, we look at overdraft protection for checking accounts, and early withdrawal penalties for CDs.
How Bank of America Compares
Bank of America vs. Chase
Bank of America and Chase charge similar monthly fees, but Bank of America makes it a little easier to waive the charges. You might prefer Chase for a checking account, though, because Chase Total Checking® pays a $300 bonus when you open an account and make direct deposits totaling $500 or more within 90 days of coupon enrollment (offer expires on 07/24/2024).
Chase has branches in more states than Bank of America, so it may be the more convenient option depending on where you live.
Read Personal Finance Insider's review of Chase vs. Bank of America>>
Bank of America vs. Wells Fargo
You may prefer Bank of America for CDs. It has more term options than Wells Fargo, and the minimum opening deposit is lower. For checking accounts, Bank of America's overdraft fee is significantly lower.
But the Wells Fargo Way2Save® Savings Account includes an ATM card, which is unusual for savings accounts. This makes it easy to access your savings quickly at an ATM.
Read Personal Finance Insider's review of Bank of America vs. Wells Fargo>>
Laura Grace Tarpley, CEPF
Personal Finance Reviews Editor
Laura Grace Tarpley (she/her) is a senior editor at Personal Finance Insider. She oversees coverage about mortgage rates, refinance rates, lenders, bank accounts, and borrowing and savings tips for Personal Finance Insider. She was a writer and editor for Business Insider's "The Road to Home" series, which won a Silver award from the National Associate of Real Estate Editors. She is also a Certified Educator in Personal Finance (CEPF).She has written about personal finance for over seven years. Before joining the Business Insider team, she was a freelance finance writer for companies like SoFi and The Penny Hoarder, as well as an editor at FluentU. You can reach Laura Grace at ltarpley@businessinsider.com.Learn more about how Personal Finance Insider chooses, rates, and covers financial products and services »
Evelyn He
Compliance and Operations Associate
Evelyn He is a compliance and operations associate at Business Insider who supports the Personal Finance Insider team. Personal Finance Insider is Business Insider's personal finance section that incorporates affiliate and commerce partnerships into the news, insights, and advice about money that Business Insider readers already know and love.The compliance team's mission is to provide readers with stories that are fact-checked and current, so they can make informed financial decisions. The team also works to minimize risk for partners by making sure language is clear, precise, and fully compliant with regulatory and partner marketing guidelines that align with the editorial team.Before joining Business Insider, she served in various legal and compliance roles in different industries, including the legal and pharmaceutical industries.Evelyn obtained her M.S. degree in Marketing at Boston University in 2022. Prior to combining and consolidating her knowledge of law and business, she spent one year finishing 1L courses at Suffolk University Law School to further her legal knowledge. She has also completed MBA business law courses while working on her Bachelor of Business Administration in Management at the University of Massachusetts, Amherst.Outside of work, she enjoys spending time with her 15-year-old Shih Tzu named Money, and her 5-year-old Bichon named Tibber.
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