America's Best Banks 2023

America's Best Banks 2023

With inflation high and interest rates rising, you need a bank that helps you make the most of every dollar more than ever

After months of record-breaking price increases on food, gas and other basics of everyday life, it's never been more important to bank with a financial institution that helps you maximize the power of every dollar.

While no bank or credit union offers payouts that come close to keeping pace with inflation, institutions have been steadily hiking their rates this year in response to the Federal Reserve's record interest-rate increases. Last October, the average savings account paid out just 0.06 percent interest. Today, it's 0.21 percent, and some top-yielding accounts pay more than 3 percent. Payouts haven't been that high since 2010.

Still, that's just a drop in the proverbial bucket compared with the staggering 8.2 percent annualized rise in consumer prices over the past 12 months. That makes top rates only one factor to consider when choosing a bank these days. Finding an institution that offers bigger incentives, like cashback or other rewards programs and fewer-than-average fees, also ranks highly for customers on the hunt for a new bank this year, a J.D. Power survey found.

Some banks have been listening. Over the past year, major players, like Capital One, Bank of America, Citibank and U.S. Bank, have reduced or eliminated their fees for overdrafts, non-sufficient funds and overdraft transfers or provided customers with more ways to avoid the fees. "Many people view these overdraft fees as predatory," says Ken Tumin, founder of the bank comparison site DepositAccounts.com. "This change will help a lot of people, particularly those who can least afford to pay a $35 overdraft fee."

Many institutions, though, give with one hand and take with the other, by increasing different charges to offset the lost revenue from overdraft fees, says Tumin. Free paper statements are all but a thing of the past. And ATM fees continue to rise as more people use digital payment systems like Zelle instead of cash, making it costlier for banks to maintain their ATMs.

To help you find the financial institution that best serves your needs—one that combines high rates, low fees and the services and rewards that suit your lifestyle—Newsweek has once again partnered with LendingTree, the online marketplace and comparison site for financial services, for our annual Best Banks ranking. We've evaluated thousands of FDIC-insured banks and credit unions, as well as the individual savings and checking accounts they offer, on more than 50 different factors in order to identify the best-in-class options in 26 different categories. One of our winners is sure to be right for you.

Kerri Anne Renzulii, Senior Reporter

AwardDescriptionWinnerBranchesMore Info
Best Big BankBanks with a national footprint and $10 billion or more in assets aren’t the most generous when it comes to the interest rates they offer nor are they the best when it comes to low fees, but they do provide utmost convenience, easy branch access and innovative tech tools to offset those shortcomings. To be No. 1, though, a larger bank needed to also deliver good customer service, a superior mobile app and a full suite of loans and other financial products.Citi945Fee-free ATMs: 65,000+ / Timely response to complaints: 100% / Mobile app score (1 to 5 scale): 4.86
Best Small BankBanks needed to hold $10 billion or less in assets and maintain at least 20 branches to be considered for this category. The winner delivers all the best of banking small: a more personal touch, good customer experience, competitive rates, low fees, and a variety of financial products.First Guaranty Bank27Region: Louisiana / Mobile app score: 4.79 of 5 / Recent rate on checking: 0.45% on $5,000+
Best Online BankIn return for giving up in-person banking and the ability to visit a branch, online banks offer stellar interest rates on both checking and savings accounts, both to woo new customers and retain existing ones. But solid rates alone aren’t enough. Fees must be low, or, preferably, nonexistent, the mobile app must be top-notch, and customer service mustn’t suffer from being online only.DiscoverRecent cashback rate on checking: 1% on up to $3,000 in debit card purchases each month / Recent rate on savings: 2.75% / Mobile app score: 4.89 of 5
Best Regional BankDominating our best big-bank state rankings, this winner took the top spot in 10 states thanks to its vast network of branches, top-rated mobile app, strong customer service support and wide array of financial products and loans.Chase4,700Complaints with timely response: 100% / Mobile app score: 4.68 of 5
Best Customer Service BankAs consumer prices continue to rise, along with fears over a possible recession, customers want to know their financial institution will be there for them should challenges arise. To see which institution has stepped up and been most helpful so far, Newsweek reviewed banks with the fewest complaints reported to the Consumer Financial Protection Bureau and the quickest resolution time when it came to addressing those problems. Additionally, weekend hours, a helpful mobile app, and a variety of dedicated customer service lines were considered too.Central Bank160Complaints with timely response: 100% / Mobile app score: 4.87 of 5
Best Online Exclusive Checking AccountSince bigger national banks have begun rolling back fees for overdrafts, transfers and other common issues, online-only accounts have lost a bit of their edge as the fee-free leaders. But they’re making up for that by leaning into higher interest rates and fewer account restrictions or requirements. Our winner had to deliver on all those fronts plus provide a well-reviewed digital experience.T-Mobile MONEYChecking / Recent interest rate: 4% on up to $3,000, then 2.25% for T-Mobile wireless customers or 2.25% for non-wireless customers / Mobile app score: 4.71 of 5
Best Online Exclusive Savings AccountWhile banks may be paying out sweeter rates now than they did last year, heading to a digital-only option guarantees you’ll nab the highest payouts on the market on balances both big and small. Our winner provides the top interest rate in the nation, doesn’t require a minimum deposit, and charges no maintenance or service fees.UFB DirectSavings / Recent interest rate: 3.16% / Minimum to open account: $0
Best Checking Account (bank)Newsweek’s top consideration when picking winners in this category: being fee-free. Accounts that offered no monthly maintenance, overdraft, ATM, non-sufficient funds, transfer or other common fees without needing to jump through a ton of hoops like maintaining a minimum balance took top place. But the best-in-class went a step beyond, offering great interest rewards as well as ATM rebates.NBKC BankEverything Account / Recent interest rate: 1.01% / ATM fee reimbursement: $12 monthly
Best Checking Account (credit union)Newsweek’s top consideration when picking winners in this category: being fee-free. Accounts that offered no monthly maintenance, overdraft, ATM, non-sufficient funds, transfer or other common fees without needing to jump through a ton of hoops like maintaining a minimum balance took top place. But the best-in-class went a step beyond, offering great interest rewards as well as ATM rebates.Lake Michigan Credit UnionMax Checking / Recent interest rate: 3% on up to $15,000 / ATM fee reimbursement: $10 monthly
Best Savings Account (bank)The average national interest rate for savings accounts this year rose nearly four-fold to 0.21 percent but that figure served as just the bottom benchmark for Newsweek’s analysis. Our winners beat that rate several times over, all without the hassle of paying monthly maintenance fees or maintaining a large balance to earn the highest rewards.Capital One360 Performance Savings / Recent interest rate: 3% / Minimum to open: $0
Best Savings Account (credit union)The average national interest rate for savings accounts this year rose nearly four-fold to 0.21 percent but that figure served as just the bottom benchmark for Newsweek’s analysis. Our winners beat that rate several times over, all without the hassle of paying monthly maintenance fees or maintaining a large balance to earn the highest rewards.USALLIANCE FinancialHigh Dividend Savings / Recent interest rate: 3% / Minimum balance to earn interest: $500
Best Savings Accounts for Kids (bank)To help kids get a step up in learning to save and manage money, Newsweek reviewed special accounts available to those under age 18, looking for the ones that charged no monthly maintenance fees, required low minimums to open, paid a decent interest rate, and gave children extra incentive to squirrel away their pocket money through fun features like birthday gifts or interactive mobile apps.Capital OneKids Savings Account / Recent interest rate: 0.3% / Minimum to open: $0
Best Savings Accounts for Kids (credit union)To help kids get a step up in learning to save and manage money, Newsweek reviewed special accounts available to those under age 18, looking for the ones that charged no monthly maintenance fees, required low minimums to open, paid a decent interest rate, and gave children extra incentive to squirrel away their pocket money through fun features like birthday gifts or interactive mobile apps.USALLIANCE FinancialMyLife Savings for Kids / Recent interest rate: 2% on first $500, then 0.02%; $10 annually on child’s birthday / Minimum to open: $0
Best Checking Account for Teenagers (bank)Teens swiping plastic and managing cash flow for the first time could use a little leniency from their financial institutions to avoid costly slip-ups. So Newsweek sought out options that required little to open and wouldn’t bury them under fees for simple things like maintaining the account or using an out-of-network ATM. The winners, additionally, provide strong mobile apps and modest interest rewards.Capital OneMONEY: Teen Checking / Recent interest rate: 0.1% / Minimum to open: $0
Best Checking Account for Teenagers (credit union)Teens swiping plastic and managing cash flow for the first time could use a little leniency from their financial institutions to avoid costly slip-ups. So Newsweek sought out options that required little to open and wouldn’t bury them under fees for simple things like maintaining the account or using an out-of-network ATM. The winners, additionally, provide strong mobile apps and modest interest rewards.Alliant Credit UnionTeen Checking / Recent interest rate: 0.25% / ATM fee reimbursement: $20 monthly
Best Savings Account for Teens (bank)Teens need a safe space to tuck away birthday gifts or earnings from a first job so they can save for college, a car or other future aspirations. To help, accounts considered couldn’t require a high opening minimum deposit or charge monthly maintenance fees. Our winning institutions, additionally, pay stunningly high-interest rates so teens reach their savings targets faster.Northpointe BankKids Savings / Recent interest rate: 1.5% on up to $1,000, 1.12% on $1,000-$10,000; then 0.35% / Minimum to open: $10
Best Savings Account for Teens (credit union)Teens need a safe space to tuck away birthday gifts or earnings from a first job so they can save for college, a car or other future aspirations. To help, accounts considered couldn’t require a high opening minimum deposit or charge monthly maintenance fees. Our winning institutions, additionally, pay stunningly high-interest rates so teens reach their savings targets faster.Chevron Federal Credit Union / Spectrum Credit UnionMySavings Youth / Recent interest rate: 7% on up to $1,000, then 0.6% / Minimum to open: $0
Best Checking Account for College Students (bank)Everyone knows college life doesn’t come cheap these days, so students need an account that won’t further hurt their funds with costly fees and cumbersome requirements. Toward that end, Newsweek sought out banks and credit unions that don’t charge for using out-of-network ATMs, overdrawing the account or simply maintaining the account. Our winners go beyond with ATM rebates, interest payouts and a solid mobile app.AxosRewards Checking / Recent interest rate: up to 1.25%; $100 welcome bonus / ATM fee reimbursement: unlimited
Best Checking Account for College Students (credit union)Everyone knows college life doesn’t come cheap these days, so students need an account that won’t further hurt their funds with costly fees and cumbersome requirements. Toward that end, Newsweek sought out banks and credit unions that don’t charge for using out-of-network ATMs, overdrawing the account or simply maintaining the account. Our winners go beyond with ATM rebates, interest payouts and a solid mobile app.Alliant Credit UnionHigh-Rate Checking / Recent interest rate: 0.25% / ATM fee reimbursement: $20 monthly
Best Traditional Checking Account (Small Bank)With record branch closures happening over the past two years, customers who favor a more old-school bank experience are at a disadvantage. But not all banks and credit unions have ditched the human for the digital. Newsweek looked for accounts that offer robust networks of physical locations, don’t force you to bank or pay bills online to receive top rates and avoid fees and provide free paper checks. The bank winners limit the account to older customers, who may be more likely to favor physical vs. digital services.Centennial BankDiamond Checking / Must be age 50+ to open / Minimum to open account: $100 / Monthly service charge: $0
Best Traditional Checking Account (Big Bank)With record branch closures happening over the past two years, customers who favor a more old-school bank experience are at a disadvantage. But not all banks and credit unions have ditched the human for the digital. Newsweek looked for accounts that offer robust networks of physical locations, don’t force you to bank or pay bills online to receive top rates and avoid fees and provide free paper checks. The bank winners limit the account to older customers, who may be more likely to favor physical vs. digital services.TD Bank1,10060 Plus Checking / Must be age 60+ to open / Minimum balance: $250
Best Traditional Checking Account (credit union)With record branch closures happening over the past two years, customers who favor a more old-school bank experience are at a disadvantage. But not all banks and credit unions have ditched the human for the digital. Newsweek looked for accounts that offer robust networks of physical locations, don’t force you to bank or pay bills online to receive top rates and avoid fees and provide free paper checks. The bank winners limit the account to older customers, who may be more likely to favor physical vs. digital services.PSECUChecking / Recent interest rate: 0.2% / ATM fee reimbursement: up to $20 monthly
Best Small Business Checking Account (bank)After dealing with two years of supply-shortage issues and rising material costs, small business owners need a financial institution that will support them without taking a big slice of their profits. In this category, Newsweek sought out accounts that did not charge monthly maintenance fees and provided a high number of free monthly transactions. The winners also offer solid interest payouts and no minimum balance requirements.BluevineBusiness Checking / Recent interest rate: 2% on up to $100,000 / Unlimited free transactions
Best Small Business Checking Account (credit union)After dealing with two years of supply-shortage issues and rising material costs, small business owners need a financial institution that will support them without taking a big slice of their profits. In this category, Newsweek sought out accounts that did not charge monthly maintenance fees and provided a high number of free monthly transactions. The winners also offer solid interest payouts and no minimum balance requirements.Digital Federal Credit Union (DCU)Free Business Checking / Recent interest rate: 0.1% / 20 deposits free per day
Best Cashback Checking AccountIf you don’t keep a ton in your checking account or prefer your debit card to a credit card, this account option might be for you. Cashback accounts reward your spending by returning a percentage of any debit purchases made. Newsweek looked for banks offering top payouts, without charging a monthly maintenance fee or requiring certain conditions be met to earn the benefit.QuonticCash Rewards Checking / Recent cashback rate: 1.5% / Minimum to open: $100
Best High-Yield Checking Account (bank)Since interest rates have gone up across the board this year, accounts in this category had to deliver at least a 0.4 percent return, or 10 times the national checking account average of 0.04, to even be considered. It’s not just about a stellar current interest rate though. Newsweek also evaluated a bank or credit union’s fees for monthly maintenance, ATMs and overdrafts to ensure your financial insulation doesn’t claw back any of your earnings.Presidential BankAdvantage Checking / Recent interest rate: 3.75% on up to $25,000, then 3% / Minimum balance: $500
Best High-Yield Checking Account (credit union)Since interest rates have gone up across the board this year, accounts in this category had to deliver at least a 0.4 percent return, or 10 times the national checking account average of 0.04, to even be considered. It’s not just about a stellar current interest rate though. Newsweek also evaluated a bank or credit union’s fees for monthly maintenance, ATMs and overdrafts to ensure your financial insulation doesn’t claw back any of your earnings.Liberty Federal Credit UnionVertical Checking / Recent interest rate: 3.45% on up to $20,000 / ATM fee reimbursement: $15 monthly
Best Military Checking AccountCredit unions that specialize in helping members of the Air Force, Army, Coast Guard, Marines or Navy often get the challenges and demands of this lifestyle in ways other institutions don’t, offering more flexible options that come with fewer fees and restrictions. The winner has no minimum balance requirements, no monthly fees, offers a great interest payout and provides ATM rebates should you need to use an out-of-network machine.Sea Air Federal Credit UnionFlexible Rewards Checking / Recent interest rates: 2.5% on up to $20,000, 1% on $20,001-$50,000; then 0.75% / ATM fee reimbursement: $25 monthly
Best Military Savings Account (For non-active duty)No matter where in the world you may be, you need a savings account that will make the most of each military paycheck. So Newsweek looked for military-specific credit union offerings that require no monthly service fee and a low initial deposit to open. Our two winners, one for those deployed in combat zones currently and one for everyone else, also offer great interest rates.Pentagon Federal Credit UnionPremium Online Savings / Recent interest rate: 1.7% / Minimum to open: $5
Best Military Savings Account (For active duty)No matter where in the world you may be, you need a savings account that will make the most of each military paycheck. So Newsweek looked for military-specific credit union offerings that require no monthly service fee and a low initial deposit to open. Our two winners, one for those deployed in combat zones currently and one for everyone else, also offer great interest rates.Service Credit UnionDeployed Warrior Savings / Recent interest rate: 10% on up to $10,000 / Minimum to open: $0
Best Money Market Account (bank)Think of money market accounts as a hybrid between savings and checking accounts. You can use a debit card or checks with them, but purchases or transfers are typically limited, and deposit requirements are stricter in exchange for higher interest rates. For instance, the average money market account currently pays out 0.23 percent interest, but all accounts Newsweek considered had to beat that while requiring low minimums.Merchants Bank of IndianaMoney Market Savings / Recent interest rate: 3.82% / Minimum to open: $50
Best Money Market Account (credit union)Think of money market accounts as a hybrid between savings and checking accounts. You can use a debit card or checks with them, but purchases or transfers are typically limited, and deposit requirements are stricter in exchange for higher interest rates. For instance, the average money market account currently pays out 0.23 percent interest, but all accounts Newsweek considered had to beat that while requiring low minimums.Chevron Federal Credit Union / Spectrum Credit UnionMarketEdge Money Market / Recent interest rates: 0.6% on up to $2,500; 2.5% on $2,500-$24,999; 2.55% on $25,000-$49,999; 2.65% on $50,00-100,000; then 2.75% / Minimum to open: $0
Best Certificates of Deposits: Six Month (bank)CDs typically offer higher interest rates than standard savings accounts because they come with the catch that you leave the money untouched for a set period of time, typically anywhere from six months to five years. While interest rates were the top consideration here, Newsweek also heavily weighed the penalty applied for withdrawing your funds early and the amount required to open the account.Banesco USASix-Month CD / Recent interest rate: 3.6% / Minimum to open account: $1,500
Best Certificates of Deposits: Six Month (credit union)CDs typically offer higher interest rates than standard savings accounts because they come with the catch that you leave the money untouched for a set period of time, typically anywhere from six months to five years. While interest rates were the top consideration here, Newsweek also heavily weighed the penalty applied for withdrawing your funds early and the amount required to open the account.CommunityWide Federal Credit UnionSix-Month Share Certificate / Recent interest rate: 3.25% / Minimum to open account: $1,000
Best Certificate of Deposit: One Year (bank)CDs typically offer higher interest rates than standard savings accounts because they come with the catch that you leave the money untouched for a set period of time, typically anywhere from six months to five years. While interest rates were the top consideration here, Newsweek also heavily weighed the penalty applied for withdrawing your funds early and the amount required to open the account.Banesco USA12-Month CD / Recent interest rate: 4.3% / Minimum to open account: $1,500
Best Certificate of Deposit: One Year (credit union)CDs typically offer higher interest rates than standard savings accounts because they come with the catch that you leave the money untouched for a set period of time, typically anywhere from six months to five years. While interest rates were the top consideration here, Newsweek also heavily weighed the penalty applied for withdrawing your funds early and the amount required to open the account.Lafayette Federal Credit UnionOne-Year Certificate / Recent interest rate: 3.8% / Minimum to open account: $500
Best Certificate of Deposit: Three Years (bank)CDs typically offer higher interest rates than standard savings accounts because they come with the catch that you leave the money untouched for a set period of time, typically anywhere from six months to five years. While interest rates were the top consideration here, Newsweek also heavily weighed the penalty applied for withdrawing your funds early and the amount required to open the account.Crescent Bank36-Month CD / Recent interest rate: 4.35% / Minimum to open account: $1,000
Best Certificate of Deposit: Three Years (credit union)CDs typically offer higher interest rates than standard savings accounts because they come with the catch that you leave the money untouched for a set period of time, typically anywhere from six months to five years. While interest rates were the top consideration here, Newsweek also heavily weighed the penalty applied for withdrawing your funds early and the amount required to open the account.Signature Federal Credit Union36-Month Certificate / Recent interest rate: 4.5% / Minimum to open account: $500
Best Certificate of Deposit: Five Years (bank)CDs typically offer higher interest rates than standard savings accounts because they come with the catch that you leave the money untouched for a set period of time, typically anywhere from six months to five years. While interest rates were the top consideration here, Newsweek also heavily weighed the penalty applied for withdrawing your funds early and the amount required to open the account.Crescent BankFive-Year CD / Recent interest rate: 4.5% / Minimum to open account: $1,000
Best Certificate of Deposit: Five Years (credit union)CDs typically offer higher interest rates than standard savings accounts because they come with the catch that you leave the money untouched for a set period of time, typically anywhere from six months to five years. While interest rates were the top consideration here, Newsweek also heavily weighed the penalty applied for withdrawing your funds early and the amount required to open the account.Lafayette Federal Credit UnionFive-Year Certificate / Recent interest rate: 4.42% / Minimum to open account: $500
METHODOLOGY

To identify America's Best Banks and Bank Accounts, Newsweek worked in partnership with LendingTree, which culled candidates from an initial universe of more than 4,900 FDIC or NCUA-insured financial institutions (credit unions were excluded from consideration for overall bank winner categories but included for individual account winner categories). LendingTree applied filters to create a short list of candidates in each category, based on the most salient features for each bank type or account, supplied the data and made recommendations for scoring. The final proprietary ranking system was developed by Newsweek, based on the factors that would be most important to consumers. Data sources for the project included: DepositAccounts.com, information published by each bank or credit union, quarterly call reports filed with the FDIC by banks or NCUA by credit unions, Consumer Financial Protection Bureau (CFPB) complaints and mobile app reviews.

Best Bank winners were selected from among 4,800 financial institutions and assessed on more than 30 separate factors, covering the overall health of the bank, customer service performance and features, digital and branch presence, account and loan options, interest rate offerings and fees. Among the specific data collected: the average service charges collected on deposit accounts during the first quarter of 2022; average interest paid on deposit accounts during the first quarter of 2022; the number of complaints submitted to the Consumer Financial Protection Bureau and how quickly the bank responded, the kinds of loan and account products offered; mobile app scores; the kinds of customer service features offered; overall health of the bank as determined by DepositAccounts.com; and, depending on the Best Bank accolade, branch presence.

For Best Bank state winners, the Best Big Bank in each state needed to have at least one branch per 100,000 residents and at least $10 billion in assets, while the Best Small Bank in each state needed less than $10 billion in assets, had to be headquartered in the state and among the five banks with the most branches in the state. For Best Customer Service, a bank needed to have responded to at least 97 percent of complaints filed with the CFPB in a timely fashion to be considered; other features such as languages provided on the bank's website and app as well as banking and credit card service lines were also evaluated. Financial institutions needed at least one branch to win for best checking, savings and traditional checking accounts. Only banks without a single physical branch were considered for the online bank categories.

Individual Best Bank account winners were selected from a pool of more than 4,927 financial institutions that included 127 credit unions open to anyone to join. Criteria included: current interest rate; average interest rate over the past year; minimum deposit required to open an account, the monthly service fee charged to maintain the account and how easily it could be avoided; fees charged for nonsufficient funds, overdraft, or/and overdraft protection; amount charged to use an out-of-network ATM; amount refunded for out-of-network ATM usage; cost to replace a debit card; whether requirements like online banking or debit card usage must be met to get top rates; the bank's average mobile app score; branch presence; the bank's financial strength; and, for CD accounts, number of days of interest lost for withdrawing early. For all categories, no accounts were considered if they required you to also have another existing account with the financial institution.

The weighting given to each factor varied depending on the Best Bank accolade; Newsweek exercised final editorial judgment when selecting winners. The complete data set was last updated by LendingTree on August 28, 2022. Current interest rate information is accurate as of November 7, 2022 and represents the highest possible rate a customer could earn, if all qualifications are met.