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Ally Bank Review: Leading Rates on a Variety of Banking Products

Review Updated
Kailey Hagen
Author: Kailey Hagen
Kailey Hagen
Kailey Hagen
Writer

Kailey Hagen has been writing about small businesses and finance for almost 10 years. Articles she's written for The Motley Fool have been syndicated to USA Today, MSN, and Yahoo! Finance. She specializes in personal and business bank accounts and software for small to medium-size businesses. She lives on what's almost a farm in northern Wisconsin with her husband and three dogs.

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| 2 others [ + ]
Ashley Maready
Reviewer: Ashley Maready
Ashley Maready
Ashley Maready
Writer and Editor

Ashley Maready is a former history museum professional who made the leap to digital content writing and editing in 2021. She has a BA in History and Philosophy from Hood College and an MA in Applied History from Shippensburg University. Ashley loves creating content for the public and learning new things so she can teach others, whether it's information about salt mining, canal mules, or personal finance.

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Eric McWhinnie
Fact Checked: Eric McWhinnie
Eric McWhinnie
Eric McWhinnie

Eric McWhinnie has been writing and editing digital content since 2010. He specializes in personal finance and investing. He also holds a bachelor’s degree in Finance.

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Many or all of the products here are from our partners that compensate us. It’s how we make money. But our editorial integrity ensures that our product ratings are not influenced by compensation. Terms may apply to offers listed on this page. APY = Annual Percentage Yield. APYs are subject to change at any time without notice.
Award Icon 2025 Award Winner
Offer image for
Member FDIC.

Ally

Rating image, 5.00 out of 5 stars.
5.00/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Bottom Line

Ally Bank offers a wider selection of banking products than most online banks, and its APYs are among the most competitive in the industry. The bank also charges minimal fees and requires no minimum balances. It's garnered a large following and a reputation for great customer support.

Pros
  • High customer satisfaction ratings
  • Competitive APYs
  • Loyalty bonuses on CDs
  • No minimum balance requirements
Cons
  • No brick-and-mortar branches

  • Our methodology for scoring banks and credit unions revolves around evaluating key aspects such as annual percentage yield (APY), brand reputation, fees and minimum requirements, and additional perks.

    These criteria are weighted differently across various account types, ensuring a comprehensive assessment that reflects the competitive landscape and economic conditions.

    We strictly feature products that offer federal insurance and high customer satisfaction, keeping our recommendations unbiased by advertiser influence. This robust evaluation process helps us generate balanced, reliable best-of lists that guide consumers to top financial products.

    Learn more about how Motley Fool Money rates bank accounts.

Is Ally Bank right for you?

Ally Bank is a great option if:

  • You want high interest rates with minimal fees.
  • You want a bank that offers a wide variety of banking products, including deposit accounts, loans, and investment products.
  • You want to take advantage of buckets to manage your checking and savings accounts.
  • You're comfortable managing your money entirely online.

We tried it: Our team's firsthand experience

Here at Motley Fool Money, we pride ourselves as real users of most of the products across our site. One of our writers, Ashley Maready, has several accounts with Ally Bank.

Here is Ashley's experience
Image of reviewer

I have checking and savings accounts with Ally, and also recently opened an investment account there. I'm a big fan of the Ally mobile app, the high APY on my savings account, and the lack of maintenance fees. But my favorite Ally features are saving and spending buckets for deposit accounts -- I love being able to separate my savings and track my progress toward different goals.

Bank fees

Ally Fee Charge
Monthly maintenance fee $0
Overdrafts $0
ACH transfers $0
Incoming domestic or international wire transfers $0
Cashier's checks $0
Expedited delivery $15
Outgoing domestic wire transfers $20
Data source: Ally

Savings accounts

The Ally Savings account charges no monthly maintenance fees. Plus, it offers one of the most competitive APYs we've seen. There are no minimum balance requirements to open the account or to earn interest.

The account also stands out for its strong online and mobile management tools, plus its built-in budgeting features that help you save for your financial goals. Those features include savings buckets, recurring transfers, and "Surprise Savings." That last feature analyzes your linked Ally Bank checking account and transfers safe-to-save money to your savings every month. You can opt into this feature, or not if you don't want to use it.

Ratings Methodology
Rates as of Dec 20, 2024

Ally Savings

Read Review
Member FDIC.
Rating image, 4.75 out of 5 stars.
4.75/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Rating image, 4.75 out of 5 stars.
4.75/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Read Review
APY
3.80%
Min. To Earn APY
$0
  • Competitive APYs
  • No monthly maintenance fees
  • Saving buckets to separate savings by goals
  • No minimum balance requirements
  • No local branches
  • No cash deposits

The Ally Savings account features a competitive APY on all balances, with no fees or minimums. Customers also have access to several tools like savings buckets, recurring transfers, and roundups to maximize savings opportunities.

Compare savings rates

Make sure you're getting the best account for you by comparing savings rates and promotions. Here are some of our favorite high-yield savings accounts to consider.

Account APY Promotion Next Steps
3.80%
Rate info Circle with letter I in it. 3.80% annual percentage yield as of December 27, 2024. Terms apply.
Min. to earn: $0
N/A
Open Account for American Express® High Yield Savings

On American Express's Secure Website.

up to 4.00%²
Rate info Circle with letter I in it. You can earn the maximum APY by having Direct Deposit (no minimum amount required) or by making $5,000 or more in Qualifying Deposits every 30 days. See SoFi Checking and Savings rate sheet at: https://www.sofi.com/legal/banking-rate-sheet.
Min. to earn: $0
New customers can earn up to a $300 bonus with qualifying direct deposits!¹
3.80%
Rate info Circle with letter I in it. See Capital One website for most up-to-date rates. Advertised Annual Percentage Yield (APY) is variable and accurate as of Dec. 6, 2024. Rates are subject to change at any time before or after account opening.
Min. to earn: $0
N/A

Certificates of deposit

Ally Bank offers three types of certificates of deposit (CDs): High Yield CDs, Raise Your Rate CDs, and No Penalty CDs.

Ally High Yield CDs

Ally High Yield CDs have no minimum opening deposit, and offer terms ranging from three months to five years. Its rates are among the best we know of, and if you choose to renew your CD for another term, or open a new Ally High Yield CD once your initial term is up, it rewards you with a bonus APY increase for loyalty. The bank also offers a unique Ally Ten Day Best Rate Guarantee, so if rates go up within 10 days of opening a CD, Ally will raise yours automatically.

Rates as of Dec. 18, 2024

APY = Annual Percentage Yield

Offer image for Ally High Yield CD
Ally High Yield CD
Bottom Line

Ally High Yield CDs are notable for saver-friendly features like no minimum deposits and lower-than-average withdrawal penalties (though you're still better off holding through your CD term!). The rates are generally not at the very top of the market, but they tend to not be far off.

MINIMUM DEPOSIT $0
Read Review
3 Mo. APY 6 Mo. APY 9 Mo. APY 1 Yr. APY 1.5 Yr. APY 3 Yr. APY 5 Yr. APY
3.00% 4.40% 4.30% 4.25% 4.00% 3.60% 3.60%

  • Ally's Raise Your Rate CDs offer a 2- or 4-year term. If you go with a 2-year term, you can raise the rate once during the term if Ally's rates for new Raise Your Rate CDs are higher than your current rate. If you choose the 4-year term, you can raise the rate twice.

    These CDs also come with a loyalty bonus of 0.05% APY increases for customers who renew or open a new CD after the initial term ends. One downside is that Ally's Raise Your Rate CDs offer lower APYs than those offered for standard CDs with comparable terms. But if you want to benefit from potential rising rates while still having a guaranteed yield, these could be worth a look.

  • Ally Bank's No Penalty CDs have a single 11-month term and let you withdraw your deposit plus any interest earned penalty free any time after the first six days from account opening. The rates aren't quite as high as Ally's other CD rates, but they are not far off and are still competitive, especially compared to CDs offered by brick-and-mortar banks.

    Customers who stick it out until the end of the term are rewarded with a 0.05% loyalty bonus if they renew, and the No Penalty CD is also subject to Ally's Ten Day Best Rate Guarantee.

Compare CD rates

Rates as of Dec. 18, 2024
Bank & CD Offer APY Term Min. Deposit Next Steps
APY: 4.00% Term: 1 Year Min. Deposit:  $0
Open Account for Discover® Bank CD

On Discover Bank's Secure Website.

Member FDIC.
APY: 4.25% Term: 10 Months Min. Deposit:  $2,500
Open Account for

On Secure Website.

Member FDIC.
APY: 4.25% Term: 6 Months Min. Deposit:  $500
Open Account for

On Secure Website.

Checking accounts

Ally offers a single checking account option, which it calls the Spending Account. It has some unique features that may appeal to new customers.

Ally Spending Account

The Ally Spending Account lets all customers earn interest, though those with larger balances earn a higher rate. Like its other bank accounts, Ally's checking account doesn't have minimum balance requirements or annual fees.

The bank doesn't have physical branches, but its mobile apps and online banking account let you transfer funds, pay bills online, and remotely deposit checks. When you need cash, you can use more than 75,000 Allpoint ATMs for free with your Ally Bank debit card. Ally also provides out-of-network ATM fee reimbursements of as much as $10 each month.

Ratings Methodology
Rates as of Dec 20, 2024

Ally Spending Account

Member FDIC.
Rating image, 4.50 out of 5 stars.
4.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Rating image, 4.50 out of 5 stars.
4.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
APY
up to 0.25%
Min. To Earn APY
$1
  • Strong online and mobile tools
  • No monthly maintenance or overdraft fees
  • Monthly ATM fee reimbursements
  • Competitive APY
  • Early direct deposit
  • Higher APY available at other financial institutions
  • No physical locations
  • No cash deposits

The Ally Spending Account is an appealing option for those who are comfortable managing their money online. Its monthly ATM fee reimbursements give you the freedom to access your cash wherever you need to. That, plus its APY, means you should only make money with this account.

Compare checking accounts

We recommend comparing checking accounts to make sure you're getting the best fit for you. Here's a list of our favorite accounts.

Account APY Promotion Next Steps
0%
Min. to earn: N/A
Earn 1% cash back on up to $3,000 in debit card purchases each month (see details when you click 'Open Account')
Open Account for Discover® Cashback Debit

On Discover Bank's Secure Website.

up to 1.10%
Min. to earn: $1
High APY when you complete 10 or more qualifying debit card purchases each month

Money market accounts

The Ally Money Market Account offers a competitive APY on your money. And unlike the Ally Savings Account, you get one-step cash access via debit card and checks. Ally has a network of more than 75,000 fee-free ATMs you can use, and you can deposit checks via mobile app. You get the same $10 per month reimbursement for out-of-network ATM fees.

And unlike some money market accounts, you don't need a minimum opening deposit for this account -- you can open it with $0, and you'll earn the same high APY across all balance tiers.

Ratings Methodology
Rates as of Dec 20, 2024

Ally Money Market Account

Read Review
Member FDIC.
Rating image, 5.00 out of 5 stars.
5.00/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Rating image, 5.00 out of 5 stars.
5.00/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Read Review
Monthly Fee
$0
Min. Balance
$0
APY
3.80%
Min. To Earn APY
$1
  • FDIC insured
  • No monthly fee
  • ATM access
  • Checking privileges
  • No cash deposits
  • No branches

Ally's banking approach carries over to its money market account with a high APY and a focus on cutting routine account fees to $0, including monthly maintenance. What's more, there are no minimum balance requirements.

Customer experience

Like most financial institutions, Ally has distinctly mixed reviews from ordinary people. But it's important to remember that big review sites take into account reviews of all of its offerings, and not just banking services -- hence the lower numbers.

Customer reviews

Ally offers lots of financial services, including auto loans, mortgages, and investment accounts, alongside banking. Reviews on major aggregator sites like BBB and Trustpilot primarily focus on auto loans, but the few reviews of Ally as a bank were largely positive. Customers called out Ally's high APYs, intuitive web and mobile banking, and easy cash transfers.

  • Better Business Bureau rating: 1.06 out of 5
  • Trustpilot rating: 1.2 out of 5

Personally, I have only contacted Ally Bank a few times to speak to a customer service rep. Using the website and app is very easy, and it's also simple to find answers to most questions.

I appreciate that Ally's website provides an estimated wait time for customer service calls. This can help you avoid waiting on hold for a human to connect.

You can reach customer service 24/7 by calling 877-247-2559. You can also access help via chat or secure email when you're logged into your account.

Mobile app

The Ally mobile app has mixed reviews for iOS and Android, but the overall rating for iOS is quite high. Written customer feedback suggests the app is buggy, and this is true across reviews for both iOS and Android. Other customers complain about being unable to deposit checks or lock/unlock their debit card.

From my perspective, Ally's mobile app is one of the best financial apps I've ever used (and I've never experienced any bugs on iOS). When you sign in, all your accounts are ready and waiting on the home screen.

You can transfer money, deposit checks, or play with your savings buckets easily. You can also check out analysis of your progress, and estimates to see how much your savings could grow over time.

  • App Store rating: 4.7 out of 5 stars
  • Google Play rating: 2.4 out of 5 stars

Physical locations

Ally has no physical branches. You can't deposit cash into your accounts (you could deposit it into another bank, then transfer it), but you can access cash at more than 75,000 in-network ATMs.

How does Ally Bank compare?

Ally vs. SoFi® Bank

SoFi® Bank is another online bank that offers competitive APYs and no monthly maintenance fees on deposit accounts. It's one of the few online banks we've seen that actually has a product range as impressive as Ally's, and it offers some compelling relationship discounts that could be appealing if you're planning to do all of your banking with one institution.

Ally vs. Capital One Bank

Capital One Bank is a hybrid brick-and-mortar and online bank. It has branches in a few states, but many of its customers bank entirely online. Its APYs are more in line with online bank rates than with their brick-and-mortar cousins, and it has a solid variety of banking products to choose from.

FAQs

  • Yes, Ally Bank is an FDIC-insured financial institution. It was formerly a subsidiary of General Motors, known as GMAC Financial, and was separated and renamed following the Great Recession. While auto lending is still a major focus of Ally, it has evolved into a full-service consumer bank with several different types of bank accounts and loans. It also offers investment accounts now.

  • The biggest downside to banking with Ally Bank is that it is a 100% online bank with no branches. If you need in-person assistance, or frequently need to deposit cash into your bank account, you might be better off with a branch-based financial institution.

  • Ally is a member of the FDIC, which means your money is protected for up to $250,000 per depositor, per ownership category. In the event of bank failure, your funds would be returned to you up to these limits.