Synchrony Bank: Online accounts, community focus
As yet another contender in the growing field of online banks, Synchrony Bank uses a model favored by many of the top institutions in its category: leveraging its modest overhead to offer highly competitive interest rates on online savings accounts and certificates of deposit (CDs).
Chartered in Utah and fully insured by the FDIC, Synchrony Bank's online accounts currently offer some of the most competitive terms available in banking.
Opening a Synchrony Bank account
Types of accounts available. Synchrony Bank offers a variety of deposit products, including high interest savings accounts, money market accounts and certificates of deposit (CDs), which are available in a variety of terms ranging from 6 months to 5 years.
Perks rewards program for savings. The bank features savings accounts with added rewards and bonuses through its Synchrony Bank Perks program: basic, silver, gold, platinum and diamond tiers. Customers are automatically enrolled in the savings rewards program.
They can receive benefits like free money market checks, travel discounts and more, potentially saving them even more money. Members earn these rewards by maintaining a minimum balance (ranging from less than $10,000 to $250,000+ for the different tiers) or by being with the bank for a certain amount of years.
High interest, no minimum balance savings options. The bank's high yield savings account is a strong option for those who need complete liquidity. It has a low $30 minimum opening deposit requirement and no monthly minimum balance requirement. You can also avoid a $5 monthly maintenance fee by maintaining a $30 or above balance.
There are also no transaction fees, though federal law limits depositors to six withdrawals per statement cycle on this type of account.
The bank also offers individual retirement account (IRA) CDs. All Synchrony Bank accounts can be opened online, and you can fund your account via a check, wire transfer or electronic transfer from an existing bank account.
Synchrony Bank CD accounts
Synchrony Bank CDs are ideal for those who don’t mind locking up their money in exchange for a higher interest rate. These accounts currently require a minimum opening deposit of $2,000. The bank's CD accounts are insured by the FDIC for up to $250,000 per depositor, per institution.
Funds cannot be added to a CD outside of its grace period (between its maturity date and the time it rolls over), but new Synchrony Bank CDs can be opened anytime.
Synchrony Bank stays competitive among online banks
Synchrony Bank's current terms reflect a strong desire to be competitive in the marketplace of online banks, but there are countless other banks vying for supremacy in this category. Still, Synchrony Bank stands as a great option for consumers who seek the high yields and low fees offered by today’s top online banks.