In its early years, digital banking was seen as nothing more than a futuristic novelty. That didn't last long.
Online banking services have become the go-to option for frugal, tech-savvy and forward-thinking consumers. With low fees, high interest rates and a focus on digital integration, this banking model has quickly gone from niche to mainstream.
But not all online banks offer the same level of service, and the number of options keeps growing with each passing year. This can make it difficult to decide which banks are worth looking into.
Axos Bank is one of the more popular options on the market, so how does it stack up with other offerings? We've got the answers you need below.
We compared Axos Bank savings and checking accounts to other accounts at major banks and credit unions. We compared their requirements, fees, interest rates and more to determine our final ratings.
What Is Axos Bank?
Axos Bank, formerly known as the Bank of Internet USA, is an online-only bank that offers both personal and business services. The bank is known for its high interest rates and low fees.
Like other online-only banks, Axos Bank saves money by not having brick-and-mortar locations. Those savings then get passed on to the customers. Axos Bank is FDIC-insured up to $250,000 per account.
Axos Bank offers five types of checking accounts with different rules and requirements. Here’s how they work:
This checking account offers unlimited domestic out-of-network ATM reimbursements. There are no monthly account fees, overdraft or non-sufficient funds fees.
The minimum requirement to open an account is $50, and there are no monthly balance requirements. Customers who set up direct deposit can receive their paycheck up to two days in advance. This is a rare perk that many online banks don’t currently offer.
This high-yield checking account has a $50 minimum opening balance deposit and no monthly minimum balance requirements. There are also no monthly maintenance, overdraft or non-sufficient funds fees.
Customers can earn up to 1.25% APY total on their balance if they complete the following tasks:
- Receive direct deposits of $1,000 or more each month
- Use your Axos Bank debit card 10 times each month (each transaction must be $3 or more)
- Use your Axos Bank debit card 15 times each month (each transaction must be $3 or more)
Each of these three tasks is worth 0.4166% APY. For example, if a customer only fulfills the direct deposit requirement and not the other two requirements, they’ll still earn 0.4166% APY.
It's very hard to find a debit card with cash-back rewards, but this account offers just that.
This checking account offers 1% cash back on transactions that require an in-person signature. You must have a $1,500 average daily balance to qualify. If the balance is below that figure, you’ll only earn 0.50% cash back.
There are no monthly maintenance fees. Axos Bank also reimburses an unlimited amount of domestic out-of-network ATM transactions.
Designed for teenagers under the age of 18, the First Checking account offers 0.25% APY. That’s a much higher interest rate than almost any other teen checking account on the market.
There are no monthly maintenance fees, overdraft fees or non-sufficient funds fees. Axos Bank reimburses up to $12 worth of out-of-network ATM fees each month. There is a $50 minimum opening balance requirement.
Because minors aren’t legally allowed to have their own bank accounts, an adult will have to help them open this account.
This checking account is designed for seniors, age 55 and older. The minimum amount required to open an account is $50, and there is no minimum monthly balance requirement or monthly maintenance fees. The interest rate is 0.20% APY, higher than most regular checking accounts.
Axos Bank will reimburse up to $8 of out-of-network ATM fees each month. Users also get one free box of checks every six months. There are no overdraft or non-sufficient funds fees.
Read More: Axos Bank Review: Personal Checking
Axos Bank offers a variety of different savings options:
Axos Bank offers a high-yield savings account with a current interest rate of 0.61% APY. This is much higher than what other high-yield savings accounts are offering. There is a $250 minimum requirement to open the account.
Money Market Account
The interest rate on the high yield money market account is 0.60% APY. There’s a $1,000 minimum requirement to open an account, but no minimum balance requirements.
Certificates of Deposit (CDs)
The minimum requirement to open a CD is $1,000, and terms range between three and 60 months. Currently, the interest rate on all CD terms is 0.20% APY. Most other banks and credit unions provide higher interest rates for long-term CDs, so you should shop around if you’re interested in a CD.
Read More: Axos Bank Review: Personal Savings
Other Banking Features
Axos Bank has a large network of ATMs, including locations at grocery stores, pharmacies, gas stations and more.
Customers have access to peer-to-peer payments and can send money using just their phone number or email address. Other features include online debit card management and bill pay.
Axos Bank has a 4.7 rating on the iPhone App Store and a 3.8 rating on the Google Play Store.
While none of these bank accounts currently offer a sign-up bonus, customers can earn a $20 bonus when they refer a new client to Axos Bank.
Read More: Credit Card Debt Relief: What Are My Options?
Axos Bank offers the following types of business bank accounts:
Basic Business Checking
There is a $1,000 requirement to open this account, and there are no monthly maintenance fees. This account syncs with QuickBooks software, which makes balancing your accounts easier.
Business Interest Checking
Currently this account offers 0.81% APY, much higher than other business checking accounts. Customers must maintain an average daily balance of $5,000 or more to avoid the $10 monthly maintenance fee.
Business Premium Savings
This business savings account comes with 0.50% APY and no monthly maintenance fees. The opening deposit requirement is $25,000.
Business Money Market
This account has a $1,000 opening deposit requirement and comes with 0.50% APY. Businesses must have a balance of $5,000 or more to avoid a monthly maintenance fee.
Business Certificates of Deposit (CDs)
The current interest rates for business CDs range from 0.15% to 0.40%. The terms on their business CDs range from three months to five years.
The Bottom Line
Axos Bank has a wide variety of high-yield checking and savings account options. In terms of the number of services and features it offers, Axos Bank can hold its own when compared to larger national banks like Bank of America, Wells Fargo, and Chase Bank.
While Axos Bank is an online bank without brick-and-mortar locations like some other banks, it can even be accessed at approximately 91,000 locations across the United States. If you’re interested in saving money on fees and earning more interest, consider opening an account with Axos Bank.
- Axos Bank - Small Business Banking
- Axos Bank - Personal Checking
- Investopedia - Axos Bank Review
- Bankrate - Axos Bank Review
- Nerdwallet - Axos Bank Review
- AxosBank.com. "History of Axos Bank." Accessed April 9, 2020.
- AxosBank.com. "High-Yield Savings." Accessed April 9, 2020.
- AxosBank.com. "Essential Checking." Accessed April 9, 2020.
- AxiosBank.com. "Rewards Checking." Accessed April 9, 2020.
- AxosBank.com. "CashBack Checking." Accessed April 9, 2020.
- AxosBank.com. "First Checking." Accessed April 9, 2020.
- AxosBank.com. "Golden Checking." Accessed April 9, 2020.
- AxosBank.com. "High Yield Money Market." Accessed April 9, 2020.
- AxosBank.com. "Certificates of Deposit (CDs)." Accessed April 9, 2020.
Zina Kumok is a freelance writer specializing in personal finance. A former reporter, she has covered murder trials, the Final Four and everything in between. She has been featured in Lifehacker, DailyWorth and Time. Read about how she paid off $28,000 worth of student loans in three years at Conscious Coins.