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Discover®


Overview / Commentary
www.discover.com
800-347-2683
502 E. Market St.
Greenwood, DE 19950

Written by Ali Cybulski, Published on 6/14/2024

Discover® Bank, a federally insured institution owned and operated by Discover Financial Services, offers online and mobile banking for a suite of deposit products. The bank has a checking account, savings account and money market account as well as a certificate of deposit (CD) and individual retirement accounts (IRAs).

The online bank promotes no monthly fees on any account and no insufficient funds or overdraft fees on checking, savings and money market accounts. In addition, customer service is available 24/7 at 800-347-7000.

A Discover Cashback Debit account earns 1% cash back on up to $3,000 in debit card purchases monthly. The account comes with access to more than 60,000 no-fee ATMs and fee-free overdraft protection. Other perks: You can get your paycheck up to two days early when you enroll in direct deposit, and you won’t pay for check reorders or expedited delivery of a replacement debit card.

The bank’s high-yield Online Savings Account earns an annual percentage yield (APY) of 4.25% as of June 7, 2024, and requires no minimum deposit. You won’t be charged for stop payments, returned items or excessive withdrawals.

A Money Market Account earns 4.00% APY for balances of less than $100,000 and 4.05% APY for balances of $100,000 or more as of June 7, 2024. The account features no minimum opening deposit and no fees for online bill pay or standard checks, returned items, excessive withdrawals and insufficient funds.

CDs come in terms from three months to 10 years, with a minimum initial opening deposit of $2,500. The 12-month CD earns a 4.70% APY as of June 7, 2024. Keep in mind that all CDs have early withdrawal penalties based on term length if you need to access your cash early.

Discover Bank also offers IRA CDs with terms from three months to 10 years and a minimum initial deposit of $2,500. Choose from traditional or Roth IRAs, or you can have both. Early withdrawal penalties apply, and the penalty depends on your CD’s term.

Discover Bank pros and cons

Pros:
• Cash back on debit card purchases
• Competitive rates
• No fees on deposit products

Cons:
• Steep $2,500 minimum to open CDs
• No branches for in-person service
• Limited account options

Related Posts

Discover Savings $200 Bonus - 8/29/2024

Add $25,000 in New Funds from an external source directly to your Account ending in xxxx by 9/16/24, for a total Hold Amount of $25,000 )plus current balance).You can make one or more deposits between 8/29/24 and 9/16/24. Internal transfers are ineligible. Please allow for deposit processing and hold times as it may result in not meeting the offer end date on 9/16/24. Maintain your Hold Amount Keep the Hold Amount of $25,0030 plus current balancein your Account until the end of the Hold Period on 10/31/24. You will receive $200 by 11/30/24. This may be targeted.

Discover Bank CD Rates as of 8-20-2024 - 8/20/2024

Discover Bank lowers the rates of 6 CDs. Discover Bank CD rates (APY) as of 8/20/2024 include: 6-month CD @ 4.25% (no change) 9-month CD @ 5.10% (no change) 1-year CD @ 4.60% (was 4.70%) 18-month CD @ 4.25% (was 4.40%) 2-year CD @ 4.00% (no change) 30-month CD @ 3.75% (no change) 3-year CD @ 3.75% (no change) 4-year CD @ 3.60% (was 3.75%) 5-year CD @ 3.60% (was 3.75%) 7-year CD @ 3.60% (was 3.75%) 10-year CD @ 3.60% (was 3.75%) For more information regarding all Discover Bank CDs see: https://www.discover.com/online-banking/cd/

Discover Bank CD Rates as of 7-19-2024 - 7/19/2024

Until today (7/19/2024), the last time Discover Bank increased the rate of any of their direct CDs was 11/16/2023. Discover Bank CD rates (APY) as of 7/19/2024 include: 6-month CD @ 4.25% (no change) 9-month CD @ 5.10% (was 4.25%) 1-year CD @ 4.70% (no change) 18-month CD @ 4.40% (no change) 2-year CD @ 4.00% (no change) 30-month CD @ 3.75% (no change) 3-year CD @ 3.75% (no change) 4-year CD @ 3.75% (no change) 5-year CD @ 3.75% (no change) 7-year CD @ 3.75% (no change) 10-year CD @ 3.75% (no change) For more information regarding all Discover Bank CDs see: https://www.discover.com/online-banking/cd/

View all posts from:

11/19/21 - Discover Bank Increases Rates On Several Cds
10/15/21 - Discover's Latest Bonuses For New Online Savings Accounts
3/26/21 - Review of the Discover Bank Cashback Debit Account
11/11/20 - Discover Savings Falls To 0.55%
8/14/20 - Discover Savings Dips To .80%
7/25/20 - Discover Online Savings Is Now At 0.95%
6/12/20 - Discover Savings Falls To 1.05%
5/22/20 - Discover Savings Account Rate Falls again
5/14/20 - Rate Plunge At Discover Bank...1.25% Savings
3/18/20 - 2% APY 12 Month CD (rate has fallen)
11/24/19 - Discover Savings Now At 1.70% Was 1.75%.
10/9/19 - Updated, Slightly More Friendly, Terms From Discover
9/5/19 - Discover Bank Cuts Savings & Money Market Account Rates
8/18/19 - Discover Savings Bonus
8/2/19 - Discover Bank Again Cuts Savings And Money Market Rates.
7/18/19 - Savings Rate Going Down?
6/21/19 - Discover Bank Eliminates Fees on Deposit Products
6/14/19 - Received Email Today For 12 Mo 2.5 APY CD Available. $2500 Min.
5/15/19 - Discover Bank’s Latest Online Savings Account Bonuses
1/11/19 - Discover Bank Raises Savings And Money Market Account Rates
1/2/19 - Discover Bank .05% Increase For Savings Account For AAA Members Again
11/15/18 - Discover Bank Online Savings Account Has New APY
11/14/18 - Discover Raises Money Market Rates And Online Savongs Rate
10/14/18 - Discover Now At 1.90%
10/3/18 - Discover Bank Bumps Up Online Savings And Money Market Accounts.
8/31/18 - Small Increase At Discover Bank On Savings Rates.
7/6/18 - Discover Bank Ups Online Savings, Money Market and CD Rates
7/6/18 - Rate Hike At Discover
6/14/18 - Savings Rate Hike At Discover
5/31/18 - Discover Bank Ups Online Savings And Money Market Rates
5/25/18 - Savings Rate Hike At Discover
5/17/18 - Small Rate Increases At Discover Bank
2/23/18 - More Discover Bank Rate Hikes - Savings Account, Money Market and CDs
2/23/18 - Rate Increases On Deposit Accounts At Discover Bank
2/22/18 - Discover Changes and Expands Availability of Cashback Checking
1/17/18 - Discover Bank Increases Rates - Savings Account, Money Market and CDs
1/17/18 - Discover Banks Raises Online Savings And Money Market Account Rates
12/7/17 - Discover Bank Increases Savings Account and Money Market Rates
12/7/17 - Discover Bank Raises Online Savings & Money Market Account Rates
11/1/17 - Discover Bank Savings Account $150/$200 Bonus
10/13/17 - Rate Increases At Discover Bank
8/25/17 - Discover Bank Adds New $150 or $200 Savings Bonuses
8/2/17 - Online Savings Account Rate Increase
6/9/17 - Discover Bank Ups Savings and MM Rates: Second Increase in Two Months
4/26/17 - Discover Bank Increases Savings Account Rate To 5-Year High
4/20/17 - Discover Bank Has $100 Bonus On New Online Savings
12/26/15 - Discover Bank Boosts Long-Term CD Rates
10/21/15 - Cashback Checking $300 Bonus - Ends November 15, 2015
6/25/15 - Rate Increase For Online Savings Accounts
1/16/15 - Discover Bank's Cashback Checking and Bonus Available to Existing Customers
11/25/14 - Discover Bank Raises Rate On Online Savings & Money Market Accounts.
4/22/14 - Discover Bank Cash Back Checking Getting Worse
4/9/14 - Discover Bank Raises Long-Term CD Rates But Beware of Larger Penalties
1/8/14 - Discover Bank - Savings - Deposit Slips/Envelopes No Longer Available?
12/26/13 - Rate Hike On Savings
12/26/13 - Discover Bank Increases Online Savings Account Rate
10/8/13 - Discover Has Increased CD Rates
4/5/13 - Discover Bank’s Bonus for BJ’s Members and Other Affinity Group Perks
2/27/13 - $25 Bonus For Opening New Discover Bank Online Savings
2/25/13 - Discover Bank Adds Mobile Check Deposit
2/20/13 - Discover Bank Will Increase CD Early Withdrawal Penalties
1/22/13 - Discover Bank's Cashback Checking Account To Be Launched Soon
10/30/12 - Small New-Account Bonus for Discover Bank CDs & Savings Account
9/27/12 - Discover Bank's Competitive Long-Term CD Rates
3/28/12 - BJs Gift Card $75
2/28/12 - More Rate Drops At Discover Bank
1/11/12 - Discover Bank Rate Drop
9/20/11 - Disover Bank Rate Drop
8/2/11 - A Rate Drop At Discover Bank
5/31/11 - Tips and Warnings When Closing a Discover Bank CD
4/12/11 - Another Rate Drop At Discover
3/2/11 - Higher Rates for AAA Members at Discover Bank
2/1/11 - Discover Bank Savings Rate Drop (3672)
11/29/10 - Discover Bank Checking
10/26/10 - Discover Bank Savings Rate Drop
8/15/10 - The Advantages of Discover Bank's Long-Term CDs
7/30/10 - Discover Bank Savings Account and CD Review - Available Nationwide
2/12/10 - Discover Bank's New Account Center with Improved Transfers
12/29/09 - Discover Bank's New Limited-Penalty-Free CD and its New Online Savings Account
12/19/09 - Discover Bank's CD Rates Up To 5.02%
7/29/09 - Discover Bank's CD Promotion for Discover Credit Card Customers
6/27/09 - Competitive CD Rates and a $50 Bonus at Discover Bank - Nationally Available
8/14/08 - Discover Bank Increases CD Rates - 5.28% 60-Month / 5.02% 48-Month
3/1/08 - New Account Bonus ($20-$100) at Discover Bank
2/25/08 - Discover Bank's AAA Affiliated Money Market Account and CDs

Reviews (62)

I'm Sold On Discover Bank

Posted by: |

I've had a Discover Card for more than a decade, and I've always appreciated their intuitive website and safety monitoring of customer accounts. So, I recently funded a CD with them, which was quick and easy. I like Discover!

5

Snagged A 4.4% APY

Posted by: |

Grabbed $250K worth of 4.4% APY 10 year on 1/18/23. Sleep like a baby!

22

Nasty Change To Bill Pay

Posted by: |

Discover Bank just made a nasty change to their Bill Pay. A new rule prohibits scheduling a payment for more than the current balance in my checking account. I have always entered bill payments as soon as I get a bill, scheduling them for the due date, and transferred money out of savings a day or 2 before to cover them. Now I have to either transfer the funds into checking when I get the bills (losing interest), or wait until a couple of days before the due date and hope that I remember to schedule the payment and that nothing prevents me from accessing my account. I've been happy with Discover for 3 years, but this bone-headed change cramps my style & really irritates me.

18

No Zelle For First 3 Months And Requires You To Sign Into Other Banks Through Third Party For Transfer

Posted by: |

I opened a Discover online savings account to take advantage of the high interest rate. Opening the account was very smooth. As this is my first time trying an exclusively online bank, I tried to transfer little bit of money back to my main bank account (Wells Fargo). It seems instead of doing it through routing and account numbers, it uses a 3rd party service MX (with its own list of terms and conditions) to verify the external account, and requires you to log into your external bank account with the corresponding username and password. I didn't like the idea of somebody else using my credentials for another bank so I tried to use Zelle. It seems you cannot use Zelle for the first 90 days. I would not have opened this account, had I been aware of these two issues.

2
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Health
A

Data as of Q1 2024

Learn why bank health matters

Health Grade Components

Overall
FDIC Certificate #5649
Year Established1911
Employees14218
Primary RegulatorFDIC
Profit Margin
Return on Assets - YTD1.11%
Return on Equity - YTD12.9%
Annual Interest Income$5.1B
Assets and Liabilities
AssetsQ1 2024vs Q1 2023$150.3B$130.8B
LoansQ1 2024vs Q1 2023$117.3B$105B
DepositsQ1 2024vs Q1 2023$113.9B$98.49B
Equity CapitalQ1 2024vs Q1 2023$13B$11.72B
Loan Loss AllowanceQ1 2024vs Q1 2023$9.26B$7.69B
Unbacked Noncurrent LoansQ1 2024vs Q1 2023$2.29B$1.49B
Real Estate OwnedQ1 2024vs Q1 2023$403K$0
Rates
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Always verify rates and promotions with the bank or credit union. We are not Discover®; we are a rate comparison website and cannot provide official rates or promotions.

* The APY shown varies based on the deposit amount. Expand the listing to see APYs for other deposit amounts.

Discover® Savings Account Rates

APYMINMAXACCOUNT NAMEVIEW DETAILS
4.25%$0-Online Savings Account
4.25%$0-IRA Savings

Discover® Money Market Rates

APYMINMAXACCOUNT NAMEVIEW DETAILS
4.05%*$100k*-Money Market Account
OTHER TIERS: 4.00% → $0 - $100k

Discover® CD Rates

APYMINMAXACCOUNT NAMEVIEW DETAILS
5.10%$2.5k-9 Month CD Special
4.60%$2.5k-12 Month CD
4.25%$2.5k-6 Month CD
4.25%$2.5k-18 Month CD
4.00%$2.5k-24 Month CD
3.75%$2.5k-30 Month CD
3.75%$2.5k-3 Year CD
3.60%$2.5k-4 Year CD
3.60%$2.5k-5 Year CD
3.60%$2.5k-7 Year CD
3.60%$2.5k-10 Year CD
2.00%$2.5k-3 Month CD

Discover® IRA Rates

APYMINMAXACCOUNT NAMEVIEW DETAILS
5.10%$2.5k-9 Month IRA Special
4.60%$2.5k-12 Month IRA
4.25%$2.5k-6 Month IRA
4.25%$2.5k-18 Month IRA
4.00%$2.5k-24 Month IRA
3.75%$2.5k-30 Month IRA
3.75%$2.5k-3 Year IRA
3.60%$2.5k-4 Year IRA
3.60%$2.5k-5 Year IRA
3.60%$2.5k-7 Year IRA
3.60%$2.5k-10 Year IRA
2.00%$2.5k-3 Month IRA
Locations

Discover® is an Internet only bank and does not have branch locations. Its headquarters is located at 502 E. Market St. - Greenwood, DE 19950

The financial institution, product, and APY (Annual Percentage Yield) data displayed on this website is gathered from various sources and may not reflect all of the offers available in your region. Although we strive to provide the most accurate data possible, we cannot guarantee its accuracy. The content displayed is for general information purposes only; always verify account details and availability with the financial institution before opening an account. Contact [email protected] to report inaccurate info or to request offers be included in this website. We are not affiliated with the financial institutions included in this website.