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On Discover Bank’s site. Discover Bank, FDIC Insured
Overall Discover Bank Rating
Discover Bank Pros and Cons
Discover Bank Savings Rates
Discover Online Savings Account
Annual Percentage Yield (APY)
3.60% (as of 03/17/23)
Minimum Deposit Amount
$0
Discover Online Savings Account
Annual Percentage Yield (APY)
3.60% (as of 03/17/23)
Minimum Deposit Amount
$0
On Discover’s site. Member FDIC.
Discover Online Savings Account
On Discover’s site. Member FDIC.
Details
Annual Percentage Yield (APY)
3.60% (as of 03/17/23)
Minimum Deposit Amount
$0
Pros & Cons
Competitive APY
No monthly service fee
No opening deposit
No insufficient funds fee
No excess withdrawal fee
Only 1 branch location
No debit card unless you open a checking account
Highlights
No monthly balance requirements
100% US-based customer service available 24/7
No hidden fees
Interest compounded daily, paid monthly
FDIC insured
Additional Reading
Read our review
The Discover Online Savings Account is a worthwhile option for a no-fee savings account. There’s no monthly service charge and no insufficient funds charge. Discover pays a competitive rate on your savings account balance, and it doesn’t require an initial deposit to open the account.
Note: Discover currently is not accepting new applications for the Discover Cashback Checking Account. However, you can sign up to receive an email notification on when you can apply for a new account.
Discover Cashback Debit Account
Annual Percentage Yield (APY)
None
Minimum Deposit Amount
$0
Discover Cashback Debit Account
Annual Percentage Yield (APY)
None
Minimum Deposit Amount
$0
Discover Cashback Debit Account
Details
Annual Percentage Yield (APY)
None
Minimum Deposit Amount
$0
Pros & Cons
Earn up to 1% cash back on up to $3,000 in purchases per month
No monthly service fee
Over 60,000 ATMs
Early direct deposit
Enroll in free overdraft protection
Debit card can only be used in the US, Canada, Mexico, and the Caribbean
Only 1 branch location
Highlights
Earn 1% cash back on up on up to $3,000 per month in eligible debit card purchases
100% US-based customer service available 24/7
No opening deposit or minimum account balance
No monthly maintenance fees
Over 60,000 ATMs
FDIC insured
Additional Reading
Read our review
It isn’t very common to find a debit card that offers cash back rewards, but Discover lets you earn 1% cash back on up to $3,000 of purchases per month. There are also no monthly service fees with Discover. However, if you enroll in overdraft protection that links your checking to another Discover account, this can be a great low-cost checking account.
You have access to 60,000 ATM locations with Discover, but the bank doesn’t reimburse any out-of-network ATM fees charged by ATM providers.
Discover CD Rates
Discover CDs offer a wider range of terms than many competitors — most offer terms up to 5 years, but Discover also has 7-year and 10-year terms. However, it doesn’t offer any unique types of CDs, like no-penalty CDs.
Discover pays competitive rates on CDs, but you’ll need $2,500 to open a Discover CD. While this is lower than some banks’ requirements, plenty of online banks require significantly less.
Compare Discover CD Rates
Discover Money Market Account Rates
Discover Money Market Account
Annual Percentage Yield (APY)
3.50% or 3.55% (depending on balance)
Minimum Deposit Amount
$2,500
Discover Money Market Account
Annual Percentage Yield (APY)
3.50% or 3.55% (depending on balance)
Minimum Deposit Amount
$2,500
On Discover Bank’s site. Discover Bank, FDIC Insured
Discover Money Market Account
On Discover Bank’s site. Discover Bank, FDIC Insured
Details
Annual Percentage Yield (APY)
3.50% or 3.55% (depending on balance)
Minimum Deposit Amount
$2,500
Pros & Cons
Competitive APY
Paper checks and debit card
No excess transactions fee
60,000 ATMS
$2,500 opening deposit
Need $100,000 to earn highest APY
Only 1 branch location
No out-of-network ATM fee reimbursements
Debit card can only be used in the US, Canada, Mexico, and the Caribbean
Highlights
No monthly maintenance fees
Compounding interest to maximize your earnings
100% US-based customer service 24/7
60,000 ATMs nationwide
Additional Reading
Read our review
The Discover Money Market Account gives you easy access to your money with a debit card and paper checks. You’ll earn 3.50% APY (Annual Percentage Yield) if you have an account balance under $100,000. If you have an account balance of $100,000 and over, the rate increases to 3.55% APY.
You’ll need at least $2,500 to open an account, though. Discover has 60,000 free ATMs, but it doesn’t reimburse any out-of-network fees charged by ATM providers.
How Discover Bank Works
Discover’s website is easy to navigate, and its mobile app has received 4.5 out of 5 stars in the Google Play store and 4.8 stars in the Apple store.
You have access to a debit card with both the checking and money market account. You can use 60,000 ATMs for free, but unlike some competitors, Discover doesn’t reimburse any fees charged by out-of-network ATM providers.
Discover Bank has received an A+ rating from the Better Business Bureau. A strong BBB rating signifies the company is transparent in how it handles business, responds effectively to customer complaints, and is honest in its advertising.
Some other big-name banks — think Bank of America, Wells Fargo, and Chase — have faced public scrutiny in the past few years for issues like discriminatory lending, fake accounts, and wrongful trading. Discover Bank hasn’t had any major scandals in recent years, though.
Discover Bank vs. Capital One
If you’re searching for a variety of CD options, you might prefer Discover to Capital One. Discover has CD terms up to 10 years, the greatest variety of the three.
If you don’t have a lot of money to deposit into a CD, Capital One may be more suitable options. With Discover, you’ll need to deposit at least $2,500 into a CD. Capital One doesn’t require a minimum opening deposit, though.
Discover vs. Ally
You also might prefer Discover if you want a rewards checking account. Ally offers a good checking account but it doesn’t provide cash back features.
If you don’t have a lot of money to deposit into a CD, Ally may be more appealing. With Discover, you’ll need to deposit at least $2,500 into a CD. Ally doesn’t require a minimum opening deposit, though.
Ally also might be the strongest contender if you’re planning to get a money market account. Ally lets you open an account with $0 while Discover’s money market account requires a minimum of $2,500 or more. Also, Capital One doesn’t have a money market account.
Laura Grace Tarpley (she/her) is a personal finance reviews editor at Insider. She edits articles about mortgage rates, refinance rates, lenders, bank accounts, wealth building, and borrowing and savings tips for Personal Finance Insider. She was a writer and editor for 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 six years. Before joining the 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 [email protected]. Learn more about how Personal Finance Insider chooses, rates, and covers financial products and services »
Evelyn He is a Compliance Associate at Insider who supports the Personal Finance Insider team. Personal Finance Insider is Insider’s personal finance section that incorporates affiliate and commerce partnerships into the news, insights, and advice about money that 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 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 14-year-old Shih Tzu named Money, and her 4-year-old Bichon named Tibber.