Capital One checking accounts come with no fees, no minimums and an attractive APY for this type of account.
Capital One is headquartered in McClean, VA, and is the 10th largest bank in the U.S. by assets. The bank has been serving clients for over two and a half decades after its founding in 1994.
Our Two Cents — A Capital One checking account comes with plenty of great perks for people who are OK without a brick and mortar location to go into. The online bank offers no fees, no minimums, overdraft protection and an APY rate much higher than most traditional banks.
Capital One at a glance
|Bank||Min. Deposit||ATM Network||J.D. Power Survey Score||Key Benefit|
|Capital One||$0||Over 40,000 nationwide||2/5 Circles||Attractive APY regardless of balance|
Table accurate as of July, 2020
What we like about it
The list of things to like about the Capital One checking account is extensive. The account comes with no fees, no account minimums and access to over 40,000 ATMs across the nation. Additionally, you get access to the company’s mobile app that allows you to handle all of your banking from the palm of your hands.
All accounts also come with an attractive APY rate of 0.10%. The best part? This rate is regardless of the balance you have. So, no matter the size of your account or where you are in your financial journey, you get to enjoy the best perks the bank has to offer.
Things to consider
Finding negatives with the Capital One checking account requires a pretty deep dive. The bank clearly wants to offer all of the perks and benefits that people want in a checking account.
The one major drawback to the bank is that everything operates online. If you are someone who needs the in-person, personal touch and the ability to walk into a branch location, Capital One won’t work for you. However, if you’re OK with handling all your banking online, via mobile app or over the phone, then this negative really is a moot point.
What you need to know
Capital One only has one type of checking account to choose from, and all of the fees and perks are the same, regardless of the amount you have deposited. There are no fees associated with the account, no account minimums or balances you need to carry, and all accounts earn the same 0.10% APY.
Instead of getting your Capital One debit card from a banking location, it will be mailed to you within six days of opening your account. With your debit card, you’ll have fee-free access to the AllPoint network of ATMs, which is over 40,000 locations strong. Additionally, your debit card comes with $0 fraud liability and lock and unlock features.
Capital One does offer a wide array of other services, including savings accounts, credit cards, loans and business services. All of these accounts can be linked to your checking account to make for a more streamlined banking process.
According to a 2019 J.D. Power study, the Capital One mobile app scored an impressive five out of five circles. This rating was good enough to score the bank the 2nd highest spot on the list. With the app, you can manage all of your Capital One accounts, including your checking accounts, in one place. Additionally, you can get instant purchase notifications, free credit score checks, online bill pay, access to Zelle transfers and mobile check depositing. The app goes the extra mile to streamline the online banking experience for all customers.
Fees and penalties
There are genuinely no fees with maintaining the Capital One 360 checking account. Overdraft fees of $35 do exist, but the bank puts in several unique safeguards to prevent you from having to pay when you make a mistake. These safeguards include auto-decline, free savings transfers and next day grace.
Auto-decline works to decline transactions that are going to overdraw your account. Free savings transfers allow you to set up automatic transfers from your savings in the case of an overdraw. And lastly, next day grace gives you a full business day to replace the overdrawn amount before a fee is assessed. It’s a well thought out system of safeguards to help keep you safe from overdraft fees.
Capital One vs. Wells Fargo
If you’re looking for multiple options with checking accounts, you may want to give Wells Fargo a try. The bank has five different checking account options available. Unfortunately, most of these accounts pale in comparison to what is offered through Capital One. All accounts, except for the account for teenagers, come with a fee of $10-$30. The bank does offer interest on preferred checking accounts with a balance over $500. The one perk that Wells Fargo has over Capital One is the ability for customers to come into branch locations to handle banking services. Outside of that, Capital One excels in most categories.
Too long, didn’t read?
All in all, the Capital One checking account is a great fit for anyone who is okay with doing all of their banking online or through a mobile device. Thanks to technology, though, the only thing you’re going to miss out on is the human touch. Every other service that can be done in-person can now be done online or through the bank’s superior mobile app.
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The SimpleScore is our proprietary scoring metric to compare products and services at The Simple Dollar in a transparent, evidence-based way. Our editorial team identifies five quantifiable aspects to compare for every brand, determines the rating criteria for each aspect score, then averages the five aspect scores to produce a single SimpleScore. For checking accounts, we compared interest, overdraft protection, customer satisfaction, customer support and additional accounts for every major lender. Our ratings are meant to be a directional tool to help you in the process of choosing a checking account provider. Be sure to continue your research and shop around for the best checking account that fits your specific needs.
We welcome your feedback on this article and would love to hear about your experience with the checking accounts we recommend. Contact us at firstname.lastname@example.org with comments or questions.