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Our quick take: The Capital One 360 Performance Savings account offers a great, competitive rate with no maintenance or monthly fees and no minimum balance requirements, although it doesn’t offer a welcome bonus of any kind.
- Competitive 3% Annual Percentage Yield (APY) interest rate.
- No monthly or maintenance fees and no minimum balance requirements.
- Manage your account through the top-rated Capital One mobile app.
- Open an account in five minutes or less.
- Benefit from mobile check deposits and automatic savings tools.
- No welcome bonus offer for opening an account.
- No debit card and no ATM access unless you transfer money to another account, such as a checking account, first.
- Some fees in certain use cases.
Best for: The Capital One 360 Performance Savings account is best for people who want a convenient way to earn a competitive rate on their savings, as well as access to their savings through a highly-rated mobile app.
Digging into the Capital One 360 Performance Savings account
Having a safe place for storing your money is key to giving you peace of mind. With experts warning of a looming recession and a shaky stock market, now is as great a time as ever to secure a reasonable, guaranteed return on the money you’ve already worked hard to save up. That said, finding savings accounts with no hidden fees is an absolute must, and most people don’t want to deal with minimum deposits or monthly transfer requirements, either.
Ultimately, that’s where digital accounts like the Capital One 360 Performance Savings account come into play. When it comes to security, this account is FDIC-insured, meaning individuals benefit from protection for up to $250,000 per depositor, per insured bank. This means that even if a bank or financial institution goes out of business, individual consumers can rest assured that their deposits (up to pre-determined limits) won’t disappear overnight. (Though in the case of Capital One, this itself is unlikely.)
The Capital One 360 Performance Savings account stands out compared to other online savings accounts since it’s offered by a major financial institution that’s also a household name. After all, Capital One is well known in the banking industry and for its rewards credit cards, which are some of the best on the market today. Plus, the 360 Performance Savings account offers a terrific 3% annual percentage yield (APY) on any balance, meaning the more you save, the more you’ll earn in return. Ultimately, having a way to grow your savings at a good rate with no fees associated with holding the account is an unparalleled perk.
With the digital nature of this account, you also have added flexibility. Consumers can open a Capital One 360 Performance Savings account online, through the Capital One mobile app or in a physical bank branch. Since many online savings accounts are offered through institutions that don’t have any brick-and-mortar locations, this is another area where the Capital One 360 Performance Savings account stands out.
Advantages of the Capital One 360 Performance Savings account
While the current 3% APY offered by the Capital One 360 Performance Savings account won’t help you get rich, this rate is a competitive one when you compare savings rates from the past few years. It’s also an extremely competitive rate when you compare this account to other online savings accounts offered through online banks — including the American Express High Yield Savings account.
The Capital One 360 Performance Savings account also comes with no monthly fees or maintenance fees, as well as no minimum deposit requirements. This means that almost anyone can open this account and begin earning interest without having to worry whether your balance is dropping too low, or whether fees are eating away at your savings gains.
A major bonus of the Capital One 360 Performance Savings account comes in the form of the power put in the palm of your hand via the Capital One mobile app, which has stellar reviews from users across all major platforms. We love that the Capital One app allows you to easily manage your savings account from the palm of your hand, including the ability to deposit checks. The Capital One mobile app also comes with built-in savings tools and lets users seamlessly transfer money between Capital One accounts and external accounts with other banks.
As previously mentioned, the Capital One 360 Performance Savings account is also incredibly easy to open, whether you want to do so in person at a Capital One bank branch, online or through the Capital One app. According to Capital One, the application to open an account takes five minutes or less, although you need to transfer money and fund the account within 60 days.
Ultimately, having a way to earn money on your savings without having to worry about added fees or minimum balances is a terrific prospect. Plus, knowing that the Capital One 360 Performance Savings account is FDIC-insured allows you to rest easy knowing your hard-earned savings are protected. And earning at a rate that is higher than many means you’ll be getting the most in return for your savings.
Disadvantages of the Capital One 360 Performance Savings account
While the Capital One 360 Performance Savings account has plenty going for it, there are also some drawbacks. The biggest downside of this account is the fact it doesn’t offer a welcome bonus of any kind for new account holders. This puts it at a disadvantage when you compare it to savings accounts from other institutions that let you earn varying amounts of cash for opening an account and meeting minimum deposit and/or direct deposit requirements. While this isn’t a deal breaker for many, it would be a nice addition to the account.
Also, it’s important to be aware that you cannot withdraw money from your Capital One 360 Performance Savings account at an ATM, as there’s no ATM card. In order to withdraw money from an ATM, you’ll have to transfer funds to another account first — whether you have a checking account with Capital One or another bank. If you do set up transfers to a Capital One 360 Checking account, however, you can access money at more than 70,000 fee-free ATMs nationwide.
While the Capital One 360 Performance Savings account doesn’t have any monthly maintenance fees, which is a major perk of the account, there are some fees that could come up. For example, this account charges $30 for outgoing domestic wire transfers, and users pay a $10 fee if a foreign check is returned. However, if you don’t plan on making any transactions that could trigger these fees, you’ll be able to take advantage of a fully fee-free savings account.
Should you get the Capital One 360 Performance Savings account?
Ultimately, the Capital One 360 Performance Savings account is a truly solid savings account option for storing your money. If you want an online savings account that you can manage via a highly rated mobile app, the Capital One 360 Performance Savings account is worth considering. While you won’t earn a welcome bonus for opening an account, you can earn a very competitive 3% APY on your savings. Plus, this account doesn’t have any monthly fees to worry about, and there are no minimum deposit requirements, either.
This combination of benefits makes the Capital One 360 Performance Savings account a good choice for nearly anyone who is trying to save — especially in these uncertain times. That said, you should take the time to compare the Capital One 360 Performance Savings account to other online savings accounts to make sure it’s the right fit for your saving and spending habits.
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