Unlock Higher Returns: 2024 Newtek Bank Savings Review You Can’t Miss!

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Meet Newtek Bank, the online banking solution backed by NewtekOne, a trusted name in small business lending. Offering a variety of accounts including business and personal checking and savings, it’s a one-stop shop for your banking needs.

If you’re on the hunt for a savings account that really pays off, Newtek Bank could be your golden ticket. Let’s dive into their savings rates and see if they suit your financial goals!

Newtek Bank Savings Rates

Newtek Bank offers jaw-dropping savings rates of up to 4.90% APY, far surpassing the national average. They feature high-yield savings accounts and fixed-rate CDs that can help you grow your hard-earned dollars.

Newtek Bank Savings Options

Newtek Bank High-Yield Savings Account

If simplicity is what you crave, check out the Newtek Bank Personal High Yield Savings Account. With an impressive interest rate and zero common bank fees, you can open an account with absolutely no initial deposit!

Newtek Bank CDs

If you have $2,500 to invest, their fixed-rate CDs could be a smart move.

Here’s a breakdown of the interest rates for each fixed-rate CD term:

Newtek Bank Savings Account Features

Current Newtek Bank Savings Rates and How They Compare

The high-yield savings account offers a staggering 4.90% APY—significantly higher than the national average of 0.43%, positioning it as one of the best options in the market today.

Newtek Bank’s fixed-rate CD rates vary from 2.00% to 4.55% APY based on the term, consistently outperforming national averages, especially for 6-month CDs.

Minimum Balance Requirement and Monthly Fees

The Newtek Bank Personal High Yield Savings Account comes with zero monthly service fees.

While their CDs don’t have monthly fees, be cautious of potential early withdrawal penalties if you need to access your funds before maturity—penalties can range from 30 to 180 days of interest, depending on the term.

Online and Mobile Banking Experience

With Newtek Bank’s mobile app, you can effortlessly check your transaction history, make mobile check deposits, and transfer funds—all from your phone.

The app boasts solid ratings, scoring 4.4 out of 5 stars on Google Play and 4.6 out of 5 on the Apple Store, though it’s worth noting the app has fewer user ratings compared to some top-tier mobile banking apps.

How Newtek Bank Savings Works

Account Opening Process

As an online-only bank, Newtek Bank makes it easy to apply for savings accounts or CDs directly through their website. You’ll need to provide personal details like your Social Security number, date of birth, email, and address. They may request additional documentation, such as a driver’s license, to verify your identity.

Funding Your Account and Transfers

Starting a savings account requires no deposit, while their fixed-rate CDs come with a $2,500 minimum opening deposit.

To fund your account, simply transfer money from an external bank account.

Customer Support Options

Need help? Newtek Bank offers customer support via live chat or phone, with representatives available from 8 a.m. to 8 p.m. ET on weekdays.

Newtek Bank Savings Account Pros and Cons

Pros

• Exceptional interest rates
• A+ rating from the Better Business Bureau
• No service or transaction fees
• FDIC-insured for your peace of mind

Cons

• No physical branches for in-person assistance
• Higher minimum deposit for CDs

Is Newtek Bank Savings Right For You?

If you’re hunting for competitive savings rates that rival the best in the industry, Newtek Bank might just be the perfect fit.

Newtek Bank Savings Account Alternatives

Newtek Bank Savings vs. Openbank Savings

Openbank currently offers a competitive rate of 5.00% APY, making it slightly more attractive than Newtek Bank’s high-yield savings rate. However, if you’re interested in CDs, Newtek Bank is the better option for locking in high rates.

Newtek Bank Savings vs. Synchrony Savings

Newtek Bank’s rates outshine those offered by Synchrony Bank, which maxes out at 4.10% APY. When it comes to CDs, Synchrony offers a range from 0.25% to 4.25% APY, but their selection isn’t as robust as Newtek’s.

Newtek Bank Savings vs. UFB Direct Savings

UFB Direct offers a savings rate of 4.01% APY and also has no minimum deposit requirement. While they don’t offer CDs like Newtek Bank, they do provide high-yield money market accounts with check-writing privileges.

Why You Should Trust Us: How We Reviewed Newtek Bank Savings Accounts

Our review of Newtek Bank’s savings accounts is built on a rigorous methodology that evaluates various factors, from interest rates to customer support. We aim to provide a balanced perspective that helps you make informed financial decisions.

Newtek Bank Savings Review FAQs