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Written by Sophia Acevedo, CEPF; edited by Laura Grace Tarpley; reviewed by Evelyn He
Updated
2023-11-15T21:55:04Z
- Pros and Cons: Bank of America
- Pros and Cons: Wells Fargo
- Checking Account Comparisons
- Savings Account Comparisons
- CD Comparisons
- Which Bank is More Trustworthy?
- FAQ
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If you prefer a traditional banking experience, Wells Fargo and Bank of America are two well-known financial institutions with substantial locations throughout the US.
We're reviewing checking, savings, and CD accounts to see which institution's products stand out the most. We're also evaluating each bank's trustworthiness, so you can determine if one of these banks is ultimately the right fit for you.
Pros and Cons: Bank of America
| Pros | Cons |
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Pros and Cons: Wells Fargo
| Pros | Cons |
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Bank of America vs. Wells Fargo Checking Account Comparisons
We are comparing two standard checking accounts with lower bank fees.
| Bank of America Advantage Plus Checking Account | Wells Fargo Everyday Checking Account | |
Minimum opening deposit | $100 | $25 |
Monthly service fee | $12 or $0 when waived | $10 or $0 when waived |
How to waive the monthly service fee | Meet one of the following requirements:
| Meet one of the following requirements:
|
Bonus | $100 | $325 |
Next steps | Start Banking |
Choosing between these two checking accounts will likely to come down to whether you're able to waive monthly service fees at either bank.
Wells Fargo has a significantly lower daily minimum balance requirement than Bank of America. It also makes it easy to waive monthly services fees if you're a college student or minor. If you qualify for Wells Fargo's bonus, you'll earn more than you would with Bank of America.
See the best bank account bonuses right now>>
Wells Fargo Everyday Checking Account
Wells Fargo, FDIC Insured
Insider’s Rating
3.25/5
Perks
Earn a $325 bonus when you open a new account from the offer webpage with a $25 minimum opening deposit and receive a total of $1,000 or more in qualifying electronic deposits to your new checking account within 90 calendar days of account opening (offer ends 1/16/2024)
Fees
$10 monthly service fee
Annual Percentage Yield (APY)
None
Minimum Deposit Amount
$25
Bonus
Earn a $325 bonus when you open a new account from the offer webpage with a $25 minimum opening deposit and receive a total of $1,000 or more in qualifying electronic deposits to your new checking account within 90 calendar days of account opening (offer ends 1/16/2024)
$325
Pros
- Relatively easy to waive monthly fee
- Free overdraft protection available
- $25 minimum opening deposit
Cons
- $10 monthly service fee
- $35 overdraft fee
- $2.50 out-of-network ATM fee
Insider’s Take
Wells Fargo is a solid choice if you're looking for a brick-and-mortar bank with a national presence. It also offers some of the best checking and savings account bonuses out there for opening new accounts. But to earn high savings rates, you'll want to look elsewhere.
Product Details
- Approximately 4,700 branches and 12,000 ATMs
- Waive $10 monthly fee when you have $500 in direct deposits per month, OR maintain minimum balance of $500, OR link account to a Wells Fargo Campus ATM or Campus Debit Card OR are 17-24 years old
- FDIC insured
Bank of America vs. Wells Fargo Savings Account Comparisons
We've compared savings accounts with lower monthly service fees and minimum opening deposits.
| Bank of America Advantage Savings Account | Wells Fargo Way2Save® Savings Account | |
APY | 0.01% to 0.04% | 0.15% |
Minimum opening deposit | $100 | $25 |
Monthly service fee | $8 monthly service fee | $5 monthly service fee |
How to waive the monthly fee | Monthly fee is waived for the first 6 months After that, meet one of the following criteria:
| Meet one of the following criteria:
|
Bonus | None | None |
Other perks | Up to 10% cash back through BankAmeriDeals; Keep the Change®feature lets you round up debit card purchases | Save As You Go®transfers $1 into your Way2Save Savings Account from checking each time you swipe your debit card |
Next steps | Start Saving | Start Saving |
The biggest upside to the Bank of America Advantage Savings Account is that you won't have to worry about a monthly service fee during the first six months of opening your bank account. After the first six months, you also might find it easy to waive the monthly service fee if you're a college student or minor.
It also may be worthwhile if you want to become involved in some of Bank of America's other offerings. For example, if you open a checking account, you may use the Keep the Change® feature to help you save.
Wells Fargo has fewer options for waiving the monthly service fee. However, if you're only looking to open a saving account, you might prefer Wells Fargo, since you can the waive the fee with a lower account balance.
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 Deposit Amount
$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
Bank of America vs. Wells Fargo CD Comparisons
| Bank of America Fixed Term CD | Wells Fargo Standard Fixed Rate CD | |
Term lengths | 28 days to 10 years | 3 months to 1 year |
Minimum opening deposit | $1,000 | $2,500 |
APY | 0.03% to 4.00% | 1.50% to 4.51% |
Early withdrawal penalties | 7 to 365 days interest | 3 months interest for all CD terms |
Next steps | Start Saving | Start Saving |
Bank of America CD rates are higher than Wells Fargo rates on select shorter terms. Bank of America has more terms to choose from, and you can open a CD with less money than with Wells Fargo.
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 Deposit Amount
$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
Bank of America vs. Wells Fargo Trustworthiness and BBB ratings
The Better Business Bureau rates business based on responses to customer complaints, honesty in advertising, and transparency about business practices.
Bank of America received an A- rating from the BBB. Meanwhile, Wells Fargo has an F rating because it hasn't responded to some complaints on the BBB website and has government action taken against the bank.
A good BBB rating isn't necessarily the be-all and end-all, though. You'll want to talk to current customers or read online customer reviews to see if a bank might be a good fit.
Both Wells Fargo and Bank of America have recent public scandals.
Wells Fargo has been involved in the following situations:
- In 2022, The Consumer Financial Protection Bureau required Wells Fargo to pay more than $3.7 billion in a settlementthat accused the bank of wrongfully charging fees that led thousands of customers to lose vehicles and homes. The settlement also accuses the bank of wrongfully charging overdraft fees on checking and savings accounts.
- In 2021, Wells Fargo consented to aCease and Desist orderfrom the Office of the Comptroller of the Currency. The OCC stated that the bank's home lending loss mitigation program was unsuccessful, and it charged Wells Fargo a $250 million civil penalty.
- The Maryland Attorney Generalentered into a settlement with Wells Fargowhen it claimed that the bank didn't accurately disclose information to investors about residual mortgage-backed securities. The Attorney General announced the $20 million settlement in 2020, but the issues with Wells Fargo's RMBSs were from 2005 to 2009.
Bank of America has been in the following cases:
- In 2023, 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.
- In 2022, the Consumer Financial Protection Bureau fined Bank of America for freezing customers' accountsbecause 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).
- In 2020, the Department of Justice charged Bank of America when it accused the bank of unfairly denying home loans to adults with disabilities, even though they qualified for loans. Bank of America paid around $300,000 total to people who were refused loans.
Bank of America and Wells Fargo: Frequently Asked Questions
Is Bank of America better or Wells Fargo?
It depends on the accounts you'd like to open and what you're looking for. Wells Fargo makes it a bit easier to waive monthly service fees on its savings account and requires a lower initial deposit than Bank of America.
For a money market account or high-yield savings account, you'll want to look at other banks because neither bank offers these types of accounts.
Is Bank of America larger than Wells Fargo?
Bank of America has around 3,900 branches and 15,000 ATMs. Meanwhile, Wells Fargo has 4,700 locations and 12,000 ATMs.
Sophia Acevedo, CEPF
Banking Reporter
Sophia Acevedo is a banking reporter at Business Insider. Sophia joined Insider in July 2021. She writes bank reviews, banking guides, and banking and savings articles for Personal Finance Insider. She is also a Certified Educator in Personal Finance (CEPF).Sophia is an alumna of California State University Fullerton where she studied journalism and minored in political science. She is based in Southern California.You can reach out to her on Twitter at @sophieacvdo or email sacevedo@insider.com.Read more about how Personal Finance Insider chooses, rates, and covers financial products and services >>Below are links to some of her most popular stories:
Evelyn He
Compliance Associate
Evelyn He is a compliance 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 14-year-old Shih Tzu named Money, and her 5-year-old Bichon named Tibber.
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I am an experienced financial expert with a deep understanding of the topics covered in the provided article. I have a comprehensive knowledge of the banking industry, including the workings of major financial institutions such as Bank of America and Wells Fargo. My expertise extends to various banking products, including checking accounts, savings accounts, and certificates of deposit (CDs).
In the article, the author compares Bank of America and Wells Fargo, offering a detailed analysis of the pros and cons of each institution, along with specific details about their checking accounts, savings accounts, and CDs. The comparison also includes information on how to waive monthly service fees, bonuses offered, and other relevant details for consumers looking to choose between these two banks.
The article further delves into the trustworthiness of both banks, providing insights into their Better Business Bureau (BBB) ratings and highlighting recent scandals involving each institution. The inclusion of Frequently Asked Questions (FAQs) adds value by addressing common queries that consumers may have when considering these banks.
In summary, the article serves as a comprehensive guide for individuals looking to make informed decisions about their banking choices, offering a thorough examination of various aspects, including account features, fees, bonuses, trustworthiness, and recent controversies involving Bank of America and Wells Fargo.
