Best Banks and Credit Unions for U.S. Military Service Members
Military service often comes with financial challenges. Frequent relocations, unpredictable deployments and inherent life stresses can make managing money difficult. A military-focused bank or credit union, however, can provide products and services tailored to the distinct needs of service members, veterans and their families.
Here’s more about the pros and cons of military banks and credit unions and your top options to consider.


DepositAccounts strives to produce high-quality content that meets your needs and exceeds your expectations. Content is fact-checked to ensure accuracy and objectivity. DepositAccounts monitors hundreds of accounts from banks and credit unions across the country to identify the best options. Here’s more about our methodology.
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What are the best military banks and credit unions?
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Navy Federal Credit Union
Best for: Branch access
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Checking accounts | Savings accounts | Certificates of deposit (CDs) | Money market accounts | |
Free Active Duty Checking:
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Share Savings Account:
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Terms: 3 to 84 months
APY: up to 3.90% depending on term and account balance Monthly fee: none Minimum deposit: $50 to $1,000 depending on term |
APY: up to 2.25%
Monthly fee: none Minimum deposit: none, but a minimum balance of $2,500 required to earn interest |
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PenFed Credit Union
Best for: Navigating financial hardships
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Checking accounts | Savings accounts | Certificates of deposit (CDs) | Money market accounts | |
Free Checking:
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Regular Savings:
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Terms: 6 to 84 months
APY: up to 3.20% depending on the term Monthly fee: None Minimum deposit: $1,000 |
Money Market Savings Account:
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Service Credit Union
Best for: Earning interest
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Checking accounts | Savings accounts | Certificates of deposit (CDs) | Money market accounts | |
Everyday Checking:
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Primary Savings:
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Terms: 3 to 60 months
APY: up to 4.15% depending on term Monthly fee: none Minimum deposit: $500 |
APY: up to 1.70% depending on account balance
Monthly fee: $5 for balances under $2,500 Minimum deposit: none, but a minimum balance of $2,500 required to earn interest |
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Armed Forces Bank
Best for: Bonus rewards
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Checking accounts | Savings accounts | Certificates of deposit (CDs) | Money market accounts | |
Access Freedom Checking:
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Basic Savings:
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Terms: 1 to 60 months
APY: up to 3.60% depending on term Monthly fee: none Minimum deposit: $500 |
APY: up to 3.51% during the promotional period, then up to 2.15% (with qualifying minimum deposit)
Monthly fee: $10; may be waived Minimum deposit: $25 |
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USAA Federal Savings Bank
Best for: ATM access
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Checking accounts | Savings accounts | Certificates of deposit (CDs) | Money market accounts | |
Classic Checking:
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USAA Savings:
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Terms: 1 to 84 months
APY: up to 2.25% depending on term Monthly fee: none Minimum deposit: $1,000 |
Not offered | |
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Chase Bank
Best for: Mobile banking
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Checking accounts | Savings accounts | Certificates of deposit (CDs) | Money market accounts | |
Secure Banking:
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Chase Savings:
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Terms: 1 to 120 months
APY: 0.01% standard or up to 1.25% relationship depending on term Monthly fee: none Minimum deposit: $1,000 |
Not offered | |
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Summary: Best military banks and credit unions

Navy Federal Credit Union
Best for branch access
Why we picked it:
As the largest U.S. credit union based on assets and members, Navy Federal Credit Union (NFCU) is our top pick for access to branches. Navy Federal Credit Union provides about 180 branches on or near military installations and 27 international branches. The credit union also has a network of more than 30,000 fee-free ATMs.
NFCU offers checking, savings and money market accounts, certificates of deposit (CDs), multiple credit cards, loans, and more.
Standout products include the Free Active Duty Checking, which gives active-duty and retired service members, as well as reservists, early access to military pay and up to $240 in ATM fee reimbursements annually.
Navy Federal Credit Union is also known for competitive rates on certificates, though you may be able to find better rates on savings accounts elsewhere.
PROS
- Provides access to more than 350 branches worldwide and 30,000 fee-free ATMs
- Charges no monthly service fees on most checking and savings accounts
- Offers 24/7 phone support, with customer service numbers for a dozen countries outside of the U.S.
CONS
- Extends lower interest rates on savings accounts than other credit unions on this list
- Requires a balance of $2,500 or more to earn interest with its money market account
- Penalized by the Consumer Financial Protection Bureau (CFPB) in 2024 for mishandled overdraft fees

PenFed Credit Union
Best for navigating financial hardships
Why we picked it:
If your priority is a financial institution you can rely on when facing hardship, consider PenFed Credit Union. PenFed offers financial assistance programs for multiple banking products, including home loans, credit cards, student loans and more. Hardship relief options include deferred payments and loan modifications.
Unlike some of the other options on this list, PenFed Credit Union — you don’t does not require military ties for membership.
You’ll also find the essentials at PenFed Credit Union, including two checking accounts. Choose from a free account with no monthly fees and no minimum balance, or an interest-earning account that can earn up to 0.35% annual percentage yield (APY), depending on your account balance. The interest-earning checking has a $10 monthly fee, though this is waivable.
The credit union offers competitive rates on savings accounts and certificates. Its Premium Online Savings currently earns an APY of 2.80%, and its one-year Special Money Market Certificate earns an APY of 3.20%.
PROS
- Provides a large network of more than 85,000 fee-free ATMs in the U.S.
- Adds no monthly fees on most checking and savings accounts
- Offers competitive interest rates for online savings and money market certificates
CONS
- Charges a nonsufficient funds fee of $30
- Requires a minimum deposit of $1,000 to open a Money Market Certificate
- Pays low rates, well below average, on money market savings accounts

Service Credit Union
Best for earning interest
Why we picked it:
Of the financial institutions included on this list, Service Credit Union offers the highest APYs on both savings accounts and CDs. The Primary Savings earns an APY of 5.00% on the first $500 and 0.25% on any additional funds. If you’re serving in a combat zone, you may qualify for an APY of up to 10.00% with the Deployed Warrior Savings program.
Depending on the term, certificates can earn up to 4.15% APY, but you’ll need to make a minimum deposit of $500 to open the account.
Service Credit Union offers many other banking products, including a money market account, which yields higher returns than traditional savings accounts and allows customers to easily access their funds. It also provides a military relocation loan that can be used to cover moving expenses, consolidate bills and more.
Service members benefit from a discount of 0.75% APR on auto, motorcycle and personal loans with a qualifying direct deposit into a checking account.
PROS
- Offers a high APY on certificates
- Allows service members in combat zones to qualify for a savings program with an APY of up to 10.00%
- Discounts loans for service members with qualifying direct deposit into a checking account
CONS
- Applies competitive savings rates only to first $500
- Offers lower rates on money market accounts than other options on this list
- Requires a balance of $2,500 or more to earn interest with money market account

Armed Forces Bank
Best for bonus rewards
Why we picked it:
Armed Forces Bank offers a variety of products and services, including checking and savings accounts, CDs and money market accounts, and several types of loans. But customers who choose Armed Forces Bank may also benefit from rewards such as fuel savings, roadside assistance services, loan discounts, and dining, event and attraction deals.
Each of the bank’s checking accounts comes with a different suite of benefits. Select from three checking accounts: a free account, a midtier account with a $6 monthly fee, and an interest-earning account (up to 0.05% APY) with a $20 monthly fee.
Armed Forces Bank serves customers nationwide and operates branches in 10 states. For those who aren’t located near a branch, Armed Forces Bank also gives customers access to more than 38,000 ATMs through the MoneyPass network.
PROS
- Offers competitive rates on CDs and money market accounts
- Allows access to more than 38,000 ATMs through the MoneyPass network
- Issues rewards checking accounts that include deals, discounts and bonus services
CONS
- Provides lower rates on savings accounts than the military credit unions on this list
- Charges a $20 monthly fee on interest-earning checking account, waivable only for customers with average daily balance of $5,000 or more
- Limits branches to 10 states

USAA Federal Savings Bank
Best for ATM access
Why we picked it:
With a network of 100,000 fee-free ATMs, USAA Federal Savings Bank may be a good choice if easy access to ATMs is your top concern. If you can’t get to one of these free ATMs, USAA Federal Savings Bank will refund up to $10 in ATM fees per statement cycle.
USAA Federal Savings Bank offers deposit accounts, credit cards and multiple types of loans, including mortgages as well as auto and personal loans. Through USAA Federal Savings Bank, you can also obtain insurance products, including vehicle, property and life insurance policies.
The bank’s Classic Checking account usually requires a minimum opening deposit of $25, but newly enlisted military members can open the account with no initial deposit.
Service members may also be eligible for dedicated deployment support at 877-233-7569.
PROS
- Offers access to more than 100,000 fee-free ATMs
- Refunds up to $10 in ATM fees per statement cycle
- Provides resources and support for deployments
CONS
- Limits branches to Colorado, Maryland, New York and Texas
- Pays lower rates on savings accounts and CDs than the military credit unions on this list
- Does not offer money market accounts

Chase Bank
Best for mobile banking
Why we picked it:
Of the financial institutions on this list, Chase Bank has some of the best mobile app ratings and features, making this our top pick for mobile banking.
Service members can open a Chase Premier Plus Checking with no monthly service fee. This account earns a 0.01% APY, plus it includes overdraft coverage and waives ATM fees.
Chase Bank also established a Military Survivor Program to support military families. The program cancels eligible debt for customers who were killed in action, died of wounds received in action, or died in a combat theater of operations since Jan. 1, 2011.
PROS
- Receives high ratings for mobile app
- Charges no monthly fees on Premier Plus Checking account for military members
- Provides Military Survivor Program, issuing debt relief for military families
CONS
- Pays lower rates on savings accounts than the military credit unions on this list
- Requires CDs to be linked to a qualifying checking account to earn a competitive rate
- Does not offer money market accounts
Understanding military banks and credit unions
Military banks and credit unions cater to the financial needs of service members, veterans and their families. These institutions provide products and services designed to support military members. For example, some have branches located near military bases, while others refund fees from out-of-network ATMs, including international ATMs.
Products and services from military banks and credits unions typically include:
- Checking and savings accounts
- CDs and money market accounts
- Credit cards with rewards tailored to service members
- Auto loans, mortgages and personal loans
- Financial planning and resources, including budgeting, debt management and retirement planning resources
- Servicemembers Civil Relief Act (SCRA) assistance
- Deployment-specific services, such as help with direct deposit of military pay
To bank with a military institution, you must meet certain requirements. Navy Federal Credit Union, for example, is open to all active-duty service members, reserves, veterans and retirees, as well as their family members.
Many military banks and credit unions, including Navy Federal, also serve Department of Defense civilians.
Some have additional membership requirements, such as affiliation with a particular branch of service or residency near a specific military base. However, military banks and credit unions have moved away from this approach to deliver their services to a wider range of service members.
Military banks vs. military credit unions
Military banks and credit unions have some key differences. For example, banks are profit-driven entities, while credit unions are member-owned, not-for-profit institutions.
This difference is that credit unions typically return their profits to their members in the form of more favorable rates and terms. Because some military banks are subsidiaries of larger banks, they may offer a wider range of products and better access to branches than credit unions.
Pros and cons of military banks and credit unions
PROS
- Offer competitive rates – usually higher rates on deposit accounts and lower rates on loans than traditional banks
- Provide overseas banking and ATM access, which is essential for deployed service members
- Issue specialized products and services, such as financial counseling
CONS
- Allow access to fewer branches and ATMs than big banks
- Limit choice of financial products compared with large, traditional banks
- Serve members in specific regions, in some cases
How to choose a military bank or credit union
To choose the right military bank or credit union for you and your family, consider your banking habits, borrowing needs and long-term goals. Compare fees and APYs between institutions to understand the cost of borrowing — and the potential return on investment — that you might expect with each option.
Also, consider the accessibility of services from each bank. If in-person support is important to you, for example, look at the availability of branches near military installations.
You’ll also want to examine your online and mobile banking options.
Finally, to learn about the experiences of other military members, make sure you read customer reviews and testimonials.
Methodology
To compile our list of best military banks and credit unions, we analyzed options available nationwide. Financial institutions had to meet the following requirements to make the list:
- Open to all service members: The institution does not require you to serve in a specific military branch or to be stationed at a specific military base.
- Competitive rates and fees: The bank or credit union charges few if any service fees and offers competitive rates on deposit accounts.
- Insurance coverage: The bank or credit union is insured by the Federal Deposit Insurance Corp. (FDIC) or National Credit Union Administration (NCUA), protecting deposit accounts up to $250,000.
- Military-oriented perks: The bank or credit union must have specific services, discounts or rewards tailored toward military members and their families.