Before handing your hard-earned cash over to a bank for safekeeping, you want to know that bank is safe. Although there's not one single thing that marks the safest bank, there are a collection of features that can help classify safe banks.
Here, we'll give you the tools to help you identify a safe bank and introduce you to some of the safest banks in the U.S. as well as a few bank products to consider.
What makes a bank safe?
In no particular order, here are qualities to look for the next time you're trying to find the best bank for a new bank account:
- FDIC Insurance
- Bank size (bigger tends to be more secure)
- Everyday security features, like two-factor authentication
- Debit card blocking
- Guarantee against unauthorized access
- EMV chip cards
- 24/7 customer service access
Jump to: Safest banks in the U.S. | How to choose the safest bank
What are the safest banks in the U.S.?
- JPMorgan Chase: Sitting atop a huge pile of assets
- Capital One: Virtual account monitoring 24 hours a day
- Wells Fargo: $1.712 trillion in assets protecting customer interests
- U.S. Bank: Wide range of security features and highly rated customer service
- PNC Bank: Widely considered one of the safest banks in the U.S.
JPMorgan Chase
Doing business as Chase Bank, they don't come much bigger in terms of size. With assets pegged around $3.31 trillion, there's plenty to "fall back on." One of the things we like most about JPMorgan Chase is that it offers a guarantee against unauthorized access, an important safety feature. In addition, the bank takes these steps to make accounts more secure:
- Data encryption
- Monitoring for suspicious activity
- Toll-free number to call when you're dealing with fraud
Fees
The only bank accounts with no monthly service charge appear to be designed for young adults, including accounts for high school students, college students, and first-time account holders. Monthly checking account fees range from $4.95 to $25. Overdraft fees run $34, and there's a $2.50 charge for using any non-Chase ATM in the U.S.
ATMs and physical locations
Chase Bank has more than 4,700 physical locations and more than 16,000 ATMs nationwide.
App
Chase offers a robust mobile app that allows customers to pay bills, transfer money, find a nearby branch or ATM, make a deposit, manage alerts, and use Zelle to send or receive payments.
Other financial services
In addition to personal banking, Chase offers credit cards, auto financing, small business loans, mortgages, and investment advice.
Customer service
The J.D. Power 2023 U.S. Retail Banking Satisfaction Study measured customer satisfaction among both regional and national banks. Chase routinely ranked near the top of the list.
Capital One
Capital One is sitting on assets of $391.81 billion. While its credit cards get most of the press, its bank is serious about security. In addition to being FDIC insured, Capital One offers these safety features:
- Eno, a virtual assistant that monitors accounts 24 hours a day
- Alerts via the Capital One mobile app if Eno spots suspicious activity
- Multi-factor authentication
- Data encryption
- Instant purchase notifications
- Card lock
Fees
The good news is that there is no monthly inactivity fee with Capital One and using a non-bank ATM won't cost anything on Capital One's side.
App
Capital One's mobile app allows customers to check balances, pay bills, transfer money, make deposits, and send or receive money through Zelle.
Other financial services
While it has discontinued its mortgage loans, Capital One still provides credit cards, investment advice, and auto loans.
Customer service
With less impressive rankings in the J.D. Power 2023 U.S. Retail Banking Satisfaction Study, Capital One's customer service is generally considered middling, with room for improvement.
Wells Fargo
With an estimated $1.712 trillion in assets, Wells Fargo is another financial institution with something to fall back on. Wells Fargo also offers a guarantee against unauthorized access, along with these security features:
- Transaction tracking and alerts when unusual activity is spotted
- Easy monitoring of account through Control Tower
- Ability to quickly turn cards off and on
- Several different types of verification, each designed to protect an account from anyone but the account holder
Fees
Wells Fargo banking fees can sneak up on a person, so find out what you'll need to do to avoid fees before signing on for an account. The monthly service fee for checking ranges from $5 to $35 per month, depending on the type of account. Overdraft fees run $35 each and using a Wells Fargo debit card to make a purchase internationally costs 3% of the transaction amount.
ATMs and physical locations
Wells Fargo banking is available via mobile app, at 7,115 branches throughout 38 states, or through approximately 12,000 ATMs.
App
The Wells Fargo mobile app allows users to check their balances, transfer funds, pay bills, receive alerts, track account activity, find a local ATM or branch location, and receive or send money via Zelle.
Other financial services
In addition to bank accounts, Wells Fargo Bank offers personal loans, credit cards, mortgages, and investment products.
Customer service
Wells Fargo customer service scores tend to come in on the lower end according to the J.D. Power 2023 U.S. Retail Banking Satisfaction Study. Before deciding on Wells Fargo, it may be a good idea to get a sense of customer service in your local branch.
U.S. Bank
The parent company of U.S. Bank is U.S. Bancorp, with $675 billion in assets. One thing we like about U.S. Bank is its responsiveness to worried calls. If anything happens to a customer's card, they can report the problem by calling the bank's helpline or making an online report. In addition, U.S. Bank offers these security features:
- A full menu of authentication options
- Data encryption
Fees
Potential monthly maintenance fees for checking can be as much as $6.95.
ATMs and physical locations
With more than 3,500 branches in 29 states, there aren't quite as many U.S. Bank branches as there were. However, between ATMs and an easy-to-use mobile app, banking doesn't get much more convenient.
App
The up-to-date U.S. Bank mobile app allows customers to manage money, pay bills, deposit checks, and send or receive money.
Other financial services
U.S. Bank offers loans of all types, from auto to mortgage. The bank also provides a variety of investment options.
Customer service
According to the J.D. Power 20231 U.S. Retail Banking Satisfaction Study, U.S. Bank routinely scores high points for customer satisfaction. In fact, in California, it's No. 1
PNC Bank
PNC only has branches in 27 states but is considered one of the safest banks in the U.S. In addition to $553.39 billion in assets, PNC offers:
- Data encryption
- Two-step verification (with the option to add additional security at sign-on)
- Ability to report fraud via phone or email
Fees
If you have trouble with overdrafts, PNC's fees can add up. For example, the bank charges a $36 overdraft fee. If you have overdraft protection in place, the cost to transfer money from another account is $10. There's also a returned item fee of $36, and the monthly service charge can be up to $25.
ATMs and physical locations
PNC currently has 2,600 branches, although reports have surfaced that it will be closing 47 branches in 2023. Fortunately, there are nearly 60,000 ATMs that either belong to PNC or one of PNC's partners.
App
Among the tasks that can be completed on the PNC mobile app, customers can lock their debit or credit cards immediately if they believe it has been lost or stolen. Customers can also manage their accounts, transfer funds, make deposits, pay bills, and send or receive money with Zelle.
Other financial services
PNC Bank offers mortgages for both new purchases and refinanced properties. The bank also offers auto loans, personal loans, and home equity lines of credit. In addition, the bank offers investment advice through PNC Investments.
Customer service
The bank ranked well on the J.D. Power 2023 U.S. Retail Banking Satisfaction Study. PNC is one of the top-scoring banks in the country in many regions, such as the Southeast, North Central, and Mid-Atlantic.
Please note
Each of these banks waives checking fees as long as customers meet certain thresholds. For instance, for one bank it may be a minimum balance, while for another anyone over the age of 65 qualifies for free banking. Because the criteria changes from time to time, make it a point to ask a bank about its rules for free checking before signing on for an account. It's never a good idea to pay banking fees if there is a way around it.
How to choose the safest bank
Protecting your money comes down to asking questions, lots and lots of questions.
Go through the list below and ask the bank how they're handling these issues. The answers to these questions will help you get a better picture of the measures a bank is taking to protect its customers.
- FDIC Insurance: First and foremost, look for a bank that is FDIC insured. FDIC insurance covers $250,000 per depositor, per ownership category. If you're not sure if a bank has this coverage, the FDIC BankFind Suite will let you know. You type in the financial institution's name and where it's located, and BankFind provides your answer.
The Federal Deposit Insurance Corporation (FDIC) is an independent federal government agency that protects depositors like you against the loss of deposits. FDIC is backed by the full faith and credit of the U.S. government.
- Bank size: When the federal government is backing your money, the size of the bank matters far less. In theory, the larger the bank, the tougher it is to fail.
If a large bank finds itself in trouble, the fact that it has more assets to fall back on provides a cushion of sorts. That said, if it's ever a choice between a large bank and an FDIC-insured bank, take the FDIC-insured bank every time.
- Everyday security features: If you're looking for the safest banks, look for things like multi-factor identification and automatic logout. These types of security features work to fight fraud.
As you shop for a bank, don't be afraid to ask about data encryption and how it monitors accounts for suspicious activity.
- Debit card blocking: Let's say you're on vacation in the Badlands, and your debit card disappears. You're not sure if you lost it or if it's been stolen. Can you easily block the card at short notice?
The truth is, some banks don't have the workforce to answer phones around the clock. If they're not on duty, is there another way to block your card any time, day or night?
- Guarantee against unauthorized access: Another line of security offered by the safest banks is a guarantee against unauthorized access.
That means the bank will pay you back if someone fraudulently accesses your money.
- EMV chip cards: It's 2023, and nearly every credit and debit card in the country uses EMV chips. EMV chips have been encrypted in a way that makes it difficult for someone to swipe the number off the back and have access to the card.
If you look at a bank that has yet to update its cards with EMV chips, you instantly know it's behind the times. It's also a bank that puts its customer's accounts at risk.
- 24/7 customer service access: You want a bank that provides a way for you to reach it 24/7. You may need to report a stolen credit card or difficulty accessing your funds. Whatever the issue, you need a bank that's available to assist you.
Even the most secure bank can be vulnerable to problems. You need a bank that not only works to prevent problems, but also works to fix problems quickly if they arise.
What happens to your money if a bank fails?
Imagine you have a savings account at a bank with an FDIC insurance limit of $250,000. If the bank fails, up to $250,000 of the funds in that account would be protected -- the FDIC would make sure you receive the money you deposited into your savings account, up to $250,000.
Are high-yield savings accounts safe?
While the above are our picks for the safest banks in the U.S., they don’t earn much interest. You may be wondering whether it's possible to find a safe bank that also offers a high APY.
The good news: One of the most important features of a safe bank is FDIC insurance. If a bank is insured by the FDIC, your deposits up to $250,000 are safe -- even in the event of a bank failure. And lots of high-yield savings accounts have FDIC insurance.
The banks below all have FDIC insurance protecting your deposits. While we believe they're all very safe banks, if they fail, your money is insured. Plus they all offer attractive rates on their savings accounts. Which makes these great for keeping your money safe, while earning a nice return.
If you need a savings account and want to earn interest on your money, here are our recommendations for the top savings accounts with FDIC insurance.
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Rates asof Sep 18, 2023
| Offer | |||
|---|---|---|---|
| Account | American Express National Bank | SoFi Checking and Savings | Discover Online Savings |
| Rating | Rating image, 4.00 out of 5 stars. 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. | Rating image, 4.75 out of 5 stars. 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. | Rating image, 4.75 out of 5 stars. 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. |
| APY | 4.25%Rate info4.25% as of September 25, 2023 | up to 4.50%Rate infoSoFi members with direct deposit can earn up to 4.50% 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 4.50% APY for savings. Members without direct deposit will earn up to 1.20% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 8/2/2023. There is no minimum balance requirement. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet.You can earn the maximum APY either by making direct deposits into checking or savings, or by depositing $5,000 or more every 30 days. Learn more at https://support.sofi.com/hc/en-us/articles/4423866727949. | 4.30% |
| Min. to earn APY | $1 | $1 | $0 |
| Next Steps | Open Account for American Express National Bank Read full review | Open Account for SoFi Checking and Savings Read full review | Open Account for Discover Online Savings Read full review |
* Discover Online Savings
Bonus offer details from Discover: "To get your $150 or $200 Bonus: What to do: Apply for your first Discover Online Savings Account, online, in the Discover App or by phone. Enter Offer Code TMF923 when applying. Deposit into your account a total of at least $15,000 to earn a $150 Bonus or deposit a total of at least $25,000 to earn a $200 Bonus. Deposit must be posted to account within 30 days of account open date. Maximum bonus eligibility is $200.
What to know: Offer not valid for existing or prior Discover savings customers or existing or prior customers with savings accounts that are co-branded, or affinity accounts provided by Discover. Eligibility is based on primary account owner. Account must be open when bonus is credited. Bonus will be credited to the account within 60 days of the account qualifying for the bonus. Bonus is interest and subject to reporting on Form 1099-INT. Offer ends 12/14/2023, 11:59 PM ET. Offer may be modified or withdrawn without notice."
Are credit unions safer than banks?
On occasion, you may hear someone say that credit unions are "safer" than banks (or vice versa). The reality is that a financial institution is as safe as its security measures. Just as a secure bank is FDIC-insured, a secure credit union is insured by the government-backed National Credit Union Administration (NCUA). The point is not whether it's a bank or credit union that houses your money. It's how serious that institution is about protecting your funds.
While bank failures are exceedingly rare, 73 bank collapses have been reported in the last decade. There are laws in place to make banks more secure, but as consumers, we still play a role. Before parking our money anywhere, we need to do our due diligence to make sure the bank in question has enough security in place to help us rest easier at night.
Learn more: Credit Union vs. Banks
Find the right bank account for your needs
Finding the best bank involves a delicate balance of safety and functionality. You can go with the safest bank on the planet, but if it doesn't offer the types of services you need, you're unlikely to be happy. On the other hand, a bank that offers all the bells and whistles isn't worth much if it can't keep your deposits safe.
Before looking for a new bank, make a list of the things you hope to find. Do you want a bank branch near your home, or would you rather bank entirely online? Is the number of ATMs available important? Once you have a list in place, compare it to these banks to determine which provides services that most closely match your needs.
FAQs
Yes, as long as a bank is FDIC insured or a credit union has NCUA insurance in place, up to $250,000 per customer (per account) is safe. You want to see that sticker on the front door that reads "Member FDIC" or "Member NCUA."
Not necessarily. What determines a financial institution's safety is the number of security features it has in place and whether the federal government insures it.
Not necessarily. If a financial institution has a solid plan to protect your money, it doesn't matter whether it's a local or national bank. The level of security that any given bank has in place determines how safe it is.
Most online banks offer the best of both worlds -- they're FDIC insured like your local bank, and they operate with less overhead, meaning they don't need to nickel and dime you with ridiculous junk fees. Before committing yourself to an online bank, make absolutely sure that it is FDIC insured. There are two ways to check:
- Call the FDIC toll-free to ask: 1-877-275-3342
Use FDIC's "Bank Find" tool
