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In today's world, online banking is becoming increasingly popular due to its convenience and accessibility. Ally Bank and SoFi Bank are two popular online banks that offer high-yield savings accounts with competitive interest rates, low fees, and user-friendly mobile apps.
In this article, we will compare the Ally High-Yield Savings account and the SoFi Bank Savings account in-depth.
Compare Savings Rates And Deposit Requirements
Ally High-Yield Savings | SoFi Bank Savings | |
|---|---|---|
Savings Rate | 3.85% | up to 4.20% |
Minimum Deposit | $0 | $0 |
Fees | $0 | $0 |
Promotion | None | $50 – $250
New customers should deposit $1,000 – $5,000 to get the promotion. Expired on 03/31/2023
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When comparing Ally High-Yield Savings and SoFi Bank Savings, SoFi Bank Savings offers a higher interest rate of 3.85% compared to Ally High-Yield Savings' rate of up to 4.20%. Both banks have no minimum deposit requirements and no monthly maintenance fees, making them accessible to a wide range of customers.
SoFi Bank Savings is also currently offering a promotional offer for new customers, which can earn them up to $250, while Ally High-Yield Savings does not have any current promotions.
Compare Saving Features and Benefits
Both Ally and SoFi offer very competitive rates, but since SoFi is not a pure savings account, the benefits are a bit different. Here's a comparison:
Ally High-Yield Savings | SoFi Bank Savings |
|---|---|
High Interest Rate | Spending Tracker |
No Monthly Fees or Account Minimum | Credit score Monitoring |
Savings Organization Tools | Free Paper Check |
Safe to Save | Automatic Savings Roundups |
Round-Ups | No Monthly Fees |
- High Interest Rate
You can earn over 10 times the national average savings rate with Ally's High-Yield Savings account.
- No Monthly Fees or Account Minimum
There are no monthly maintenance fees to worry about. No Minimum Balance Requirements
- Savings Organization Tools
Ally's “buckets” feature allows you to organize your savings into different categories, all within the same account.
- Safe to Save
This feature analyzes your linked checking account to identify areas where you can boost your savings balance.
- Round-Ups
Ally's round-up feature allows you to transfer spare change from your checking account to your savings account automatically.
- No Monthly Fees
No account fees, including overdraft fees, account inactivity fees, foreign transaction fees, or ATM fees
- Automatic Savings Roundups,
Automatic Savings Roundups, which round up purchases to the nearest whole number and transfer the difference to a specified vault
- Free Paper Check
Unlimited free paper checks for making payments when required
- Spending Tracker
Spending tracker through Relay, which allows customers to monitor their spending habits on their SoFi Money account and other accounts with other financial institutions.
- Credit score Monitoring
Credit score monitoring through partnership with TransUnion
How Can Ally And SoFi Improve?
Ally High-Yield Savings | SoFi Bank Savings |
|---|---|
No physical branches | Third-Party ATM Fees |
Withdrawal Limits | Withdrawal Limits |
No cash deposits | No physical branches |
While SoFi and Ally Savings offers several attractive features, there are also some potential drawbacks that customers should be aware of.
Firstly, unlike traditional banks, you cannot deposit cash into them directly. With SoFi, it's even more challenging – you must first deposit cash into another bank account and then transfer funds electronically into SoFi Savings.
Additionally, since Ally and SoFi is an online bank, it does not accept cash deposits directly into your account, and there are no physical branches to visit for face-to-face customer service.
Secondly, SoFi Bank has withdrawal limits, including a $1000 limit for ATM withdrawals, a $150 limit for over-the-counter withdrawals, and a $6000 limit for point of sale purchases. Additionally, users are limited to 12 point of sale transactions per day.
On the other hand, Ally High-Yield Savings account is subject to a maximum of six withdrawals per month due to its classification as a high-yield savings account. If you need more frequent access to your savings, this may not be the best option for you.
How to Start Saving: Step-by-Step Comparison
Both SoFi and Ally are online-only banks, and therefore you can open an account online quickly:
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SoFi Bank Savings
To open a SoFi Bank Savings account, follow these steps:
- Sign up: Provide your basic information to create a SoFi Money account.
- Verify identity and choose account type: Confirm your identity, citizenship status, and choose between an individual or joint account.
- Complete additional questions: Answer questions related to your role in a brokerage firm or security exchange, your directorship or role in a publicly-traded company, or adding a trusted person to help manage the account.
- Link your bank account: Link your bank account to add funds to your SoFi Money account.
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Ally High-Yield Savings
You can open an Ally savings account over the phone or by downloading an application and mailing it in. However, the simplest way is online.
You can complete the online application process in a few simple steps. Visit the Ally official website and click on the high-yield savings account product page.
- Provide your basic personal information, verify your identity by submitting a copy of documentation, and choose your preferred funding options.
- Wait for an email confirmation from Ally that your application has been approved and your account is open.
