My Banking Direct Review: A Solid Online Bank With High Yields
Review
Updated
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My Banking Direct is the online-only subsidiary of Flagstar Bank, which is one of the oldest and largest regional banking institutions in the United States.
My Banking Direct offers high-yield savings and CD products, as well as online checking accounts that are highly competitive.
My Banking Direct offers savings accounts and CDs with high APYs and no fees, as well as a competitive online checking account. It isn't a full-featured bank and doesn't offer loans or other banking products, but it can be a good choice for those looking to maximize yield.
The My Banking Direct High Yield Savings Account is a highly competitive product. It has one of the highest APYs that we've found, no monthly account fees, and access to My Banking Direct's user-friendly online platform as well as the highly rated Flagstar Mobile Banking app.
One of the biggest drawbacks is that you'll need $500 to open an account, but if you have this much cash to set aside, it can be an excellent online savings account.
My Banking Direct High Yield Savings Account
The My Banking Direct High Yield Savings Account has one of the highest APYs on our radar and no monthly account fees. While it has a $500 minimum initial deposit, it can be an excellent savings account for those looking to maximize their returns.
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 |
|---|---|---|---|
Open Account for SoFi Checking and Savings
On SoFi's Secure Website.
Rating image, 4.50 out of 5 stars.
4.50/5
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 |
up to 3.80%²
Rate info
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
|
Open Account for SoFi Checking and Savings
On SoFi's Secure Website. |
Open Account for CIT Platinum Savings
On CIT's Secure Website.
Rating image, 4.50 out of 5 stars.
4.50/5
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 |
4.10% APY for balances of $5,000 or more
Rate info
4.10% APY for balances of $5,000 or more; otherwise, 0.25% APY
Min. to earn: $100 to open account, $5,000+ for max APY
|
Earn a bonus of at least $225 after a one-time deposit of $25,000+.
Transfer a one-time deposit of $25,000-$49,999.99 for a bonus of $225. Transfer a one-time deposit of $50,000+ for a bonus of $300. Account must be opened with code PS2025 while this promotion lasts, and funded within 30 days. Bonus will be fulfilled within 60 days from the funding date. There is no period of time where the customer will be required to maintain the funds. Account must be open when bonus is credited. One bonus per account and primary customer. Bonus will be credited into the Platinum Savings Account that fulfills the funding requirement. Funding can be deposited all at once or incrementally.
|
Open Account for CIT Platinum Savings
On CIT's Secure Website. |
Open Account for American Express® High Yield Savings
On American Express's Secure Website.
Rating image, 4.00 out of 5 stars.
4.00/5
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 |
3.70%
Rate info
3.70% annual percentage yield as of April 5, 2025. Terms apply.
Min. to earn: $0
|
N/A
|
Open Account for American Express® High Yield Savings
On American Express's Secure Website. |
SoFi disclosure:
¹ New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Direct Deposits received during the Direct Deposit Bonus Period) OR $300 (with at least $5,000 total Direct Deposits received during the Direct Deposit Bonus Period). Cash bonus will be based on the total amount of Direct Deposit. Direct Deposit Promotion begins on 12/7/2023 and will be available through 1/31/26. See full bonus and annual percentage yield (APY) terms at sofi.com/banking#1.
² SoFi members who enroll in SoFi Plus with Direct Deposit or by paying the SoFi Plus Subscription Fee every 30 days or with $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 3.80% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. Members without either SoFi Plus or Qualifying Deposits, during the 30-Day Evaluation Period will earn 1.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Only SoFi Plus members are eligible for other SoFi Plus benefits. Interest rates are variable and subject to change at any time. These rates are current as of 1/24/25. There is no minimum balance requirement. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet. See the SoFi Plus Terms and Conditions at https://www.sofi.com/terms-of-use/#plus.
³ We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Checking & Savings Fee Sheet for details at sofi.com/legal/banking-fees/.
⁴ SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per depositor per legal category of account ownership, as described in the FDIC’s regulations.
Any additional FDIC insurance is provided by the SoFi Insured Deposit Program. Deposits may be insured up to $3M through participation in the program. See full terms at SoFi.com/banking/fdic/sidpterms. See list of participating banks at SoFi.com/banking/fdic/participatingbanks.
⁵ We’ve partnered with Allpoint to provide you with ATM access at any of the 55,000+ ATMs within the Allpoint network. You will not be charged a fee when using an in-network ATM, however, third-party fees incurred when using out-of-network ATMs are not subject to reimbursement. SoFi’s ATM policies are subject to change at our discretion at any time.
⁶ Early access to direct deposit funds is based on the timing in which we receive notice of impending payment from the Federal Reserve, which is typically up to two days before the scheduled payment date, but may vary.
⁷ Overdraft Coverage is limited to $50 on debit card purchases only and is an account benefit available to customers with direct deposits of $1,000 or more during the current 30-day Evaluation Period as determined by SoFi Bank, N.A. The 30-Day Evaluation Period refers to the “Start Date” and “End Date” set forth on the APY Details page of your account, which comprises a period of 30 calendar days (the“30-Day Evaluation Period”). You can access the APY Details page at any time by logging into your SoFi account on the SoFi mobile app or SoFi website and selecting either (i) Banking > Savings > Current APY or (ii) Banking > Checking > Current APY. Members with a prior history of non-repayment of negative balances are ineligible for Overdraft Coverage.
As of March 2024, My Banking Direct currently offers just one CD with a 5-month term. It has some strong features, such as one of the highest APYs on our radar, but it also requires a relatively high $2,500 opening deposit.
A five-month CD is a rather short maturity term, and might not be the best choice for customers who want to lock in an interest rate for a long period. It also makes My Banking Direct not a good choice for savers who might want to start a CD ladder.
APY = Annual Percentage Yield
My Banking Direct currently offers just one CD term, but its APY is among the best we've found. You'll need a minimum deposit of $2,500 to open this CD, however.
| 5 Mo. APY |
|---|
| 4.00% |
While My Banking Direct offers a stellar rate on its 5-month CD, anyone looking for a larger variety of CD terms will want to look elsewhere.
| Bank & CD Offer | APY | Term | Min. Deposit | Next Steps |
|---|---|---|---|---|
Discover® Bank CD
Member FDIC.
Open Account for Discover® Bank CD
On Discover Bank's Secure Website. |
APY:
4.00%
|
Term:
1 Year
|
Min. Deposit:
$0
|
Open Account for Discover® Bank CD
On Discover Bank's Secure Website. |
|
APY:
4.50%
|
Term:
10 Months
|
Min. Deposit:
$2,500
|
Open Account for
On Secure Website. |
|
|
APY:
4.30%
|
Term:
6 Months
|
Min. Deposit:
$1
|
Open Account for
On Secure Website. |
The My Banking Direct Checking account is a solid online checking account product with several valuable features. It has no monthly maintenance fees, as well as no overdraft or insufficient funds fees. You can open an account with as little as $1, and the account can be managed through the excellent Flagstar Mobile Banking app.
Customers can access their money at more than 55,000 ATMs in Allpoint and Presto! networks worldwide.
My Banking Direct Checking
My Banking Direct's Direct Checking account has no fees whatsoever and can be opened with just $1. It offers a linked debit card and access to cash at over 55,000 fee-free ATMs.
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 |
|---|---|---|---|
Open Account for Discover® Cashback Debit
On Discover Bank's Secure Website.
Rating image, 5.00 out of 5 stars.
5.00/5
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 |
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. |
Open Account for Quontic High Interest Checking
On Quontic's Secure Website.
Rating image, 4.50 out of 5 stars.
4.50/5
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 |
up to 1.10%
Min. to earn: $1
|
High APY when you complete 10 or more qualifying debit card purchases each month
|
Open Account for Quontic High Interest Checking
On Quontic's Secure Website. |
10 debit card point of sale transactions of $10 or more per statement cycle required to earn the maximum APY. If the qualifying activity requirement is not fulfilled, the interest rate paid on the entire balance will be 0.01% APY.
Even though My Banking Direct is a subsidiary of Flagstar bank, customers don't have access to branches. There are two main ways to contact customer service -- by calling its customer care center, or using the secure message center in the online banking platform.
Live customer service representatives are available Monday through Friday from 8 a.m. until 8 p.m. ET, Saturdays from 9 a.m. until 5 p.m., and Sundays from 9 a.m. until 2 p.m.
My Banking Direct is an online-only institution with three main banking products -- savings accounts, checking accounts, and certificates of deposit. It doesn't offer any relationship benefits, other than the ability to seamlessly link accounts.
My Banking Direct is a solid choice if you want to maximize the yield from your savings, or if you need a fee-free basic online checking account. But if you're looking for other banking products and services, you may be better off with one of these alternatives.
Ally Bank offers high-yield savings accounts and online checking accounts, just like My Banking Direct. However, it also has a variety of CD terms (including no-penalty CDs), several types of loans, and a full investment platform integrated into one easy-to-use platform.
Although My Banking Direct is a subsidiary of a large, branch-based bank, it doesn't offer branch access to its customers. If you want the yields of an online bank, but the convenience of branch-based banking, Capital One could be a good choice. It offers a variety of deposit accounts and loans, has an excellent credit card product portfolio, and offers APYs that are on-par with many online banking leaders.
My Banking Direct could be a good choice for you if you want to maximize the yield from your online savings account or if you need a basic, fee-free online checking account.
It's not likely to be the best choice for CDs, with just one term length currently available. It also doesn't offer any major banking products beyond deposit accounts, so it's probably not the best choice if you want an all-in-one banking relationship.
One of the biggest drawbacks of My Banking Direct is that it only offers savings accounts, checking accounts, and CDs. It doesn't offer mortgages, credit cards, investments, other types of loans, or any of the other products that full-service banks commonly offer. To be sure, the bank's deposit accounts are highly competitive and could certainly be worth a look. But it isn't likely to be a suitable full-service bank replacement.
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.
Yes, My Banking Direct is FDIC-insured, which means deposits are protected up to the standard insurance amount of $250,000 per depositor, per insured bank, for each account ownership category.
My Banking Direct is the online-only subsidiary of Flagstar Bank, which is one of the oldest and largest regional banking institutions in the United States.
We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. Motley Fool Money does not cover all offers on the market. Motley Fool Money is 100% owned and operated by The Motley Fool. Our knowledgeable team of personal finance editors and analysts are employed by The Motley Fool and held to the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands. Terms may apply to offers listed on this page. APYs are subject to change at any time without notice.
