USAA Bank

Written by Ali Cybulski | Published on 12/13/2024

USAA Federal Savings Bank provides banking products and services exclusively to current and former military members and their families. You must meet eligibility requirements to join USAA (United Services Automobile Association) and open an account at the bank.

If eligible, membership is free, and you can access USAA’s array of banking products, including checking, savings and youth accounts, as well as certificates of deposit (CDs).

The USAA Classic Checking account requires a $25 minimum opening deposit, but new recruits are exempt. Access over 100,000 fee-free ATMs or get up to $10 in ATM fees refunded each statement cycle for out-of-network transactions. There are no monthly service fees, and you’ll get early access to your paycheck with direct deposit.

If your daily balance in the USAA Classic Checking account is at least $1,000, you’ll earn an annual percentage yield (APY) of 0.01%; the rate is variable, meaning it can change anytime. The same applies to Youth Spending, USAA’s checking account for users under 18. A parent or legal guardian needs to open the account with a $25 minimum deposit.

This checking account has no monthly service or overdraft fees, and it includes debit card and ATM access for kids. Handy features include parental controls to transfer money, check balances and receive account alerts for low balances or large withdrawals. When your child turns 13, you can customize their access to online services and the USAA mobile app.

USAA offers three savings account options, including a youth account. The USAA Savings account requires a $25 minimum opening deposit and pays a 0.01% APY. The USAA Performance First Savings account requires a much higher $1,000 initial deposit and offers a tiered APY ranging from 0.01% to 1.10% as your balance grows.

Both accounts have no monthly service fees and include free savings and budgeting tools. You can request an ATM card to withdraw cash from your savings account.

The USAA Youth Savings account requires a $25 minimum opening deposit and pays a variable APY of 0.01%. The account charges no monthly service fee and offers the same parental controls and online access limits as the youth checking account.

For higher fixed rates, explore USAA’s selection of CDs available in standard, jumbo and super jumbo types with terms ranging from 30 days to 7 years.

Current promotions include three fixed-rate CDs: a 270-day term with a 2.25% APY; a 1-year term with a 2.05% APY; and a 15-month term with a 1.95% APY.

Other APYs for standard fixed-rate CDs range from 0.05% to 2.50%, depending on the term. The minimum deposit for a standard fixed-rate CD is $1,000.

To manage your accounts on the go, use the well-rated USAA mobile app to transfer money, pay bills and send funds via Zelle.

For banking-related questions, ask virtual agents — artificial intelligence-powered agents similar to chatbots — for help anytime or contact USAA at 800-531-8722. If you have a branch nearby, you can visit one, but USAA has only four locations.

USAA pros and cons

Pros:
• No monthly service fees on checking and savings accounts
• Large, free nationwide network of ATMs
• Wide range of CD terms

Cons:
• Low rates on savings accounts and CDs
• Limited access to branches
• Military ties required for USAA membership

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