The bottom line: You can find better online bank accounts elsewhere. But you might like banking with WebBank WebBank Savings Account if you have a branded credit product and want to bank with and borrow from the same business.
Overall Bank Rating
| Feature | Personal Finance Insider rating (out of 5) |
| Savings | 3 |
| CD | 3 |
| Trustworthiness | 5 |
| Total | 3.75 |
Pros and Cons
| Pros | Cons |
|
|
Savings
no monthly service fee
0.25%
$1,000
Pros
Cons
- Bank online, but no mobile app
- Interest compounded daily
- FDIC insured
WebBank pays a higher interest rate than most brick-and-mortar banks, but you can find better rates at the best high-yield savings accounts online.
Its minimum opening deposit is pretty hefty, at $1,000. Most brick-and-mortar banks require significantly less, and many online banks don't require an opening deposit at all.
Accessing your cash is tricky with WebBank, because it doesn't have a checking account.
You'll have to transfer funds to an external bank account via an outgoing wire transfer. This transfer will cost $25, and it could take a couple of business days for your money to arrive in the other bank account.
CDs
0.10% to 2.75%
$2,500
Pros
Cons
- Bank online, but no mobile app
- Term options: 6 months, 1 year, 2 years, 3 years, 5 years
- Early withdrawal penalties are as follows: 3 months simple interest for terms under 1 year, 6 months simple interest for terms of 1 to 2 years, 9 months simple interest for 3-year terms, 12 months simple interest for 5-year terms
- Interest compounded daily
- FDIC insured
The WebBank CD charges standard penalties if you withdraw funds before your CD matures, and it pays higher rates than what you'll earn with a brick-and-mortar bank. But other online banks have the best CD rates.
WebBank also only has five term length options, while many of the best banks have more lengths to choose from.
How WebBank Works
WebBank is an online bank with a savings account and CDs. It also partners with brands such as Avant, PayPal, and Yamaha to provide credit cards and loans.
You can speak with a live customer service representative by calling Monday through Friday, 8:00 a.m. to 5:00 p.m. ET. There's no customer support available on weekends, and there's no live online chat feature.
WebBank doesn't have physical branches or a mobile app. You can only bank from your web browser.
Your deposits are FDIC insured for up to $250,000, or $500,000 for a joint account.
Is WebBank Trustworthy?
The Better Business Bureau gives WebBank a B+ rating. A strong BBB score indicates a company advertises honestly, is transparent about business practices, and responds effectively to customer complaints. The highest possible BBB grade is an A+ but WebBank has a B+ due to the high number of customer complaints on the bureau's website.
WebBank doesn't have any recent public scandals.
How WebBank Compares
WebBank vs. Ally Bank
Ally pays higher rates on savings and CDs than WebBank does. It doesn't require minimum deposits for any of its accounts.
Ally offers checking and money markets accounts along with its savings and CDs. You can also get home, auto, and personal loans through Ally. You'll probably prefer Ally to WebBank if you want quick access to your savings. You can simply transfer funds from your Ally savings account to Ally checking account and spend the money almost immediately.
WebBank vs. Discover Bank
You might prefer Discover® to WebBank because it pays higher rates and doesn't require minimum deposits for checking and Discover savings accounts.
You can get a credit card or home, personal, and student loans through Discover. You can quickly access your savings by transferring funds to the Discover® Cashback Debit Account, and this checking account lets you earn cash back on debit card purchases.
Why You Should Trust Us: How We Reviewed WebBank
We rate bank accounts on a scale from one to five stars. For WebBank's savings accounts, we used Personal Finance Insider's bank account ratings methodology. The exact factors we evaluate vary depending on the type of account — for example, we look at interest rates and fees, along with some other features, for savings accounts.
For WebBank's CDs, we used our CD rating methodology which looks at interest rates, minimum opening deposits, early withdrawal penalties, CD variety, customer support availability, mobile app ratings, miscellaneous features, and the security and ethics of the company.
We use a weighted average to get our star rating, which means we weigh certain features, like interest rates and fees, at a higher weight percentage than others. We understand that these areas can more heavily impact a person's overall banking experience.
