Live Oak Bank

Overview / Commentary

www.liveoakbank.com

866-518-0286

1741 Tiburon Drive
Wilmington, NC 28403

Live Oak Bank is the 177^th largest bank in the nation. It was established in 2008 and as of March of 2021, it had grown to 626 employees. Live Oak Bank has a B+ health rating.

Savings Rate Lowered - 6/8/2021

Live Oak has posted a savings rate reduction effective 6/10/21, New rate is 0.50%, was 0.55%.

Live Oak Bank Savings Rate Drops To 0.55% - 4/23/2021

Received email from Live Oak Bank that starting April 22, 2021, the savings account will earn 0.55% Annual Percentage Yield (APY)

Rate Reduced To 0.60% APY For Savings - 11/24/2020

Starting tomorrow, November 24, 2020, you will earn 0.60% APY on the money in your Live Oak Bank personal savings account, which is 12x the national average. Guessing this means Ally will be reducing to 0.50% soon.

View all posts from:

2021
2020
2019
Earlier

6/8 - Savings Rate Lowered
4/23 - Live Oak Bank Savings Rate Drops To 0.55%

11/24 - Rate Reduced To 0.60% APY For Savings
11/13 - Live Oak Bank Increases 5-Year CD Rate
9/9 - Live Oak Bank Personal Savings Rate Falls To 0.70% APY Eff. 9/10/2020
8/6 - Early Withdrawal Penalty Waived On CD Accounts
8/5 - Rate Drops To .85% APY Starting On 6 Aug 2020
7/7 - Live Oak Savings Rate Drops To 1% From 1.15%
6/17 - Live Oak Joins The Pack
5/14 - Live Oak Drops Savings Rate To 1.35% APY Effective 5/15/20
4/23 - Live Oak Drops 1-Year CD To 1.60% From 1.90%.
4/22 - Savings Rate Dropping To 1.55% Effective 4/23/20.
4/22 - Live Oak Savings Drops To 1.55%
4/10 - Live Oak Bank 1-Year and 18-Month CDs Offer Top Rates

11/26 - Live Oak Bank Online Savings Cuts To 1.85% APY
11/8 - CD Rate Cut 15 Basis
10/2 - Savings Account Rates Drop From 2.15% To 2.00%
9/26 - CD Rate Drops At Live Oak Bank
9/18 - CD Rates Drop Again
9/11 - Savings Drops To 2.15% APY
3/20 - CD Rate Drops
2/23 - Live Oak Bank Savings Account Now Earns 2.30% APY
2/22 - Savings Account Increase
2/15 - Downward CD Movement
1/11 - Live Oak Bank Savings Account Rises to 2.25% APY
1/9 - Live Oak Savings Moves Up To 2.25%

Reviews (93)

Live Oak Bank ~ James Pate

Posted by: hycarol4 | Jun 1, 2021

I also had the privilege of speaking with James Pate recently, which was a real treat. It is a rare thing these days to connect with someone who truly understands and performs great customer service. Good to know this kind of service is possible from Live Oak Bank.

Comment

Five Day Hold With No Interest For Transfers!

Posted by: Tekka | Jun 23, 2017

UPDATED: Live Oak no longer puts the hold I described years ago on funds that are transferred in and out. I have continued to use this bank as their rates are better than others even now in this terrible environment. Their customer service is responsive, too. Sometimes it takes them a while to provide statements at the end of the month, but they do eventually show up.
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I opened a Savings account with this bank this past week. I already had a CD there. The CD provides no statements, just an online list of transactions and a 1099-Int. The interest rate was good at the time I opened it, so no big deal.

However, it turns out that there is a 5 day hold on the money I deposited in my savings account. The money came out of my other bank account on Thursday but the CSR says I won't see it in my account until the next Wednesday. Meanwhile, the CSR confirmed and that I am NOT going to earning any interest on that money during that hold period.

There will also be a five day hold on any withdrawals. The CSR said this is because they use an "intermediary bank" for transfer transactions.

This was not made clear in any way before I opened the account. Despite the nice interest rate I won't be moving in any more money. That hold coming and going effectively lowers the interest rate paid.

Not Recommended

Posted by: Ginaz21 | Feb 2, 2021

Good customer service and loved the ability to assign and delete beneficiaries within my online account. You can even print a copy for your records. I wish all banks had that feature. However, I think I stayed too long. Throughout the three years I had accounts with this bank, found errors in totals on two occasions. Then I realized that the savings account activity page did not give me the balance after each transaction, which made it very difficult to trace if your deposits are being added correctly. That did it: No more business with them.

Bait And Switch

Posted by: oloughla | Jun 8, 2021

I opened a savings account with Live Oak Bank two months ago because they were offering the highest APY available at the time. Two weeks later they dropped the APY. And then 1 month later, they dropped the interest rate AGAIN, each time effective with only two days notice, even though we're clearly in a rising interest rates environment. It's apparent that they were only temporarily propping up their rates to get people in the door with the intention of dropping them later as soon as people were onboarded.

Frankly, their poor online portal and terrible customer service is enough of a disincentive to get me to move away when they aren't setting themselves apart on rates. But in any case, any company that engages in such a bait and switch doesn't deserve benefit of the doubt. I'd recommend using one of their larger counterparts (Citi, Marcus, etc) instead if they aren't going to set themselves apart on rates.

Comment

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Health

B+

Data as of Q1 2021

Capitalization grade does not factor in PPP loans and the use of the PPP Liquidity Facility.

Learn why bank health matters

Health Grade Components

Overall
FDIC Certificate #	58665
Year Established	2008
Employees	626
Primary Regulator	FDIC

Profit Margin
Return on Assets - YTD	1.99%
Return on Equity - YTD	30.42%
Annual Interest Income	$88.1MM

Assets and Liabilities
Assets	Q1 2021vs Q1 2020	$8.34B$5.20B
Loans	Q1 2021vs Q1 2020	$6.48B$3.78B
Deposits	Q1 2021vs Q1 2020	$6.33B$4.65B
Equity Capital	Q1 2021vs Q1 2020	$539.2MM$484.4MM
Loan Loss Allowance	Q1 2021vs Q1 2020	$52.4MM$35.9MM
Unbacked Noncurrent Loans	Q1 2021vs Q1 2020	$22.1MM$3.2MM
Real Estate Owned	Q1 2021vs Q1 2020	$4.2MM$6.7MM

APY	MIN	MAX	ACCOUNT NAME	VIEW DETAILS
0.50%	-	$5m	High Yield Online Savings
0.50%	-	$5m	Business Savings

APY	MIN	MAX	ACCOUNT NAME
0.70%	$2.5k	$250k	2 Year CD
0.70%	$2.5k	$250k	3 Year CD
0.70%	$2.5k	$250k	5 Year CD
0.70%	$2.5k	$250k	4 Year CD
0.70%	$2.5k	$250k	Business 2 Year CD
0.70%	$2.5k	$250k	Business 3 Year CD
0.70%	$2.5k	$250k	Business 4 Year CD
0.70%	$2.5k	$250k	Business 5 Year CD
0.65%	$2.5k	$250k	18 Month CD
0.65%	$2.5k	$250k	Business 18 Month CD
0.60%	$2.5k	$250k	1 Year CD
0.60%	$2.5k	$250k	Business 1 Year CD
0.25%	$2.5k	$250k	6 Month CD
0.25%	$2.5k	$250k	Business 6 Month CD