Most people who know the name TIAA are familiar with it as a well-known American pension fund network for teachers and college professors. The Teacher’s Insurance and Annuity Association of America was originally founded in 1918 by Andrew Carnegie. In a recent business decision and financial commitment to re-brand itself in the 21st century, TIAA has now renamed itself TIAA Bank. Due to its recent buyout of EverBank and Everbank Business and Properties, our Everbank reviews will focus on TIAA Bank.
What Is TIAA Bank?
Our TIAA Bank/Everbank review of its available services starts with its physical headquarters. TIAA Bank is officially headquartered in Jacksonville, Florida. Outside of its physical bank branches located within the state of Florida, TIAA Bank primarily offers consumers access to online banking services. TIAA Bank had over $34 billion in available business assets as of March 2018. The bank offers a multitude of diversified financial services. TIAA Bank offers consumers banking, investing, mortgage, and average-to-above-average introductory APY rates.
TIAA Bank, as it is still in the formal process of transitioning its re-branding of EverBank and Everbank properties, is currently in between maximizing its online and brick-and-mortar banking services. The only way to access your accounts outside of Florida is through the internet, mobile smart device app interfacing, or through a customer service phone line system.
After you activate your online account, you can transfer funds, pay bills, and take care of your other banking needs through the website. To enjoy access to TIAA’s available interest rates, consumers will have to deposit at least $1,000 to $5,000 in bank accounts, money market accounts, and/or CDs. TIAA bank has a nationwide network of investment and mortgage offices readily available to its customers. However, banking transactions cannot be accommodated at these facilities.
Our TIAA Bank/Everbank reviews focus notably on its high-interest line of money market accounts, certificates of deposit, and high deposit bank accounts. TIAA Bank’s Yield Pledge® Money Market Account requires a minimum of $5,000 to open with no minimum daily balance. The introductory APY for balances up to $250,000 is 1.80%.
A TIAA Bank Yield Pledge® CD requires a minimum of $5,000 to open. A 3-month APY is about 1.75%, while a 5-year APY is about 3.10%. The TIAA Bank Yield Pledge® Checking Account requires a $5,000 minimum deposit to qualify for ATM fee reimbursement. The TIAA Bank Basic Checking and Basic Savings bank accounts require a $25 monthly balance with no monthly fee and 0.61% APY. TIAA Bank has virtually no ATMs outside of Florida.
TIAA Bank’s introductory interest rates for its products, which are long-term benefits to consumers able to pay the high minimum deposits, are about 1.21%. The industry standard average for banking interest rates is about 0.25%. It should be noted, per our TIAA Bank/Everbank reviews, that the bank’s introductory interest rates lower a bit after an introductory year.
However, they are still higher than the industry standard. The most beneficial finding in our TIAA Bank/Everbank reviews is that it is a participant in the Certificate of Deposit Account Registry Service, or CDARS. Effectively, TIAA Bank CD amounts can exceed the federally guaranteed FDIC maximum of $250,000.
All online banking fees, deposits, and transfers must be performed online via the mobile banking app, via mail, or the phone. After opening an online account, you can deposit money by taking a picture of a check and then depositing via TIAA’s mobile banking app. You can transfer money from another bank account online. It is also possible to open an online TIAA Bank account via wire transfer or by mailing a check directly to a TIAA Bank processing office in New York City.
Our TIAA/Everbank reviews reveal that the services offered by this bank mostly benefit consumers who can pay the high minimum deposits. The most basic TIAA Bank checking and savings bank account costs about $25. Beyond that, you must deposit between $1,000 to $10,000 to escape basic fees and make the most of accrued earned interest. All fees for the other reviewed banks range from zero to $50, depending on the service.
How It Compares
We picked a few similar products available on the market to see how they compare to our TIAA Bank/Everbank reviews.
Commission & Fees
Brokerage fees range between $2.50 to $110 per transaction. Fees for investments can range between $7.95 to $55 per transaction. There are numerous incidental maintenance fees that range from $12 to $130.
TIAA Bank mortgage down payments are available for as low as 3%. Federally backed FHA loans and low down payment options are available. The bank has a mortgage lending office in over 22 American States.
TIAA Bank allows you to invest in a multitude of financial areas, including but not limited to, IRA plans, mutual funds, ETFS, precious metals, stocks, CDs, and more.
TIAA Bank customer service representatives are available from 8 AM to 10 PM on business days and from 9 AM to 6 PM on Saturdays, Eastern Standard Time.
Ally Bank was founded in 1919 in Detroit, Michigan by General Motors Corporation (GMC). It was a financial lending organization with a focus on providing auto loans to consumers and auto dealers. General Motors Acceptance Corporation (GMAC) existed to provide financing and auto loans to a growing consumer base of customers showing interest in the automobile, which was a very new invention during that era. In 2009, GMC changed the name of its banking subsidiary to Ally Bank. Ally Bank is now headquartered in Midvale, Utah, while Ally Financial, the parent company of the Ally Bank system, is still based in Detroit.
Ally Bank’s earned interest rates are about 2%, which is significantly better than the average national standard of about 0.25%. Online checking and savings accounts earn daily compound interest at 2% with no monthly fees. Ally Bank’s money market accounts earn 0.90% for deposits less than $5,000, 0.90% for accounts over $5,000, and 1% for accounts with a minimum deposit of $25,000.
There are various certificate of deposit accounts with varying benefits. A one-year High Yield CD has an APY of 2.65%. The 2-year Raise Your Rate CD has an APY of 2.60%. An 11-month No Penalty CD has a 2.25% APY for accounts with a minimum deposit of $25,000. You can even invest in IRA retirement fund accounts.
Commission & Fees
Ally Bank doesn’t charge any fees for its services. Its stated service and transaction fees range from $7.50 to $25. Its mortgage interest rates are just under 5%. The standard rate for stock trading is under $5 a trade. There is a monthly fee of about $12 and a 0.30% annual advisory fee for managed stock portfolios.
Jumbo loan rates are available for 30-year mortgages, 15-year mortgages, and ARMs. The APY ranges from 4.4% to 4.8%. Better loan rates from a competitor will be matched within five business days. Ally Bank has Home Loan Advisors available for assistance from 8 AM to 11 PM on business days and from 10 AM to 4 PM on Saturdays, Eastern Standard Time.
Ally Bank’s self-directed trading functions allow for investing in bonds, forex, future ETFs, mutual funds, and stocks. There is also a managed portfolio option, managed by Robo-advisor, for a $2,500 investment minimum.
Ally Bank, Ally Invest, and Ally Bank’s credit card issuing unit have customer service representatives available 24 hours a day and 7 days a week. All other Ally Bank services feature customer service representatives who are available during business days and hours, and on Saturday during daytime hours.
Capital One Bank was founded in 1995 by the Signet Financial Corporation. The Signet Financial Corporation made its credit card company subsidiary, OakStone Financial, an independent business. OakStone Financial was then re-branded as Capital One Bank, a financial institution whose business operations were primarily focused on credit card issuance.
The company gained near instant notoriety for its tongue-in-cheek, “What’s In Your Wallet?” brand-establishing commercials and media campaigns. In 2012, Capital One acquired the business operations of ING Direct from the ING Group and renamed it Capital One 360. Capital One 360 is now Capital One Bank’s primarily online-only banking service unit.
Capital One 360 has numerous banking accounts with various interest earning rates based on the level of account balances. For example, Capital One 360’s Checking accounts offer interest earning rates of 0.20% for accounts with balances under $50,000, 0.75% for balances under $100,000 and 1% for balances over $100,000.
The MONEY account is designed for teenagers, has a 0.25% APY, and is managed by parents or guardians to track responsible financial use. Capital One 360 Money market accounts offer zero to 0.85% for minimum deposits under $10,000. The APY rises to 2% APY for deposits over $10,000. Only the physical, brick-and-mortar Capital One bank branches charge monthly fees for bank accounts. Online accessible Capital One 360 bank accounts feature no monthly fees.
Commission & Fees
Capital One 360 doesn’t charge any monthly fees for its online bank accounts.
Capital One ceased its mortgage lending services and operations in November 2017.
Capital One investments and insurance products are not insured by the FDIC or any federal oversight agency. You are investing at your own uninsurable risk.
Capital One has customer service representatives available 24 hours a day and 7 days a week. All other services feature customer service representatives available on business days during business hours.
TD Bank has Canadian business origins that go back all the way to the 19th century. The Bank of Toronto, which was founded in 1855, and the Dominion Bank, founded in 1869, merged their businesses and operations in 1955. The TD Bank Group, which conducts financial and banking business under the name the Toronto-Dominion Bank, was formed thereafter.
TD Bank is the American subsidiary division of the Toronto-Dominion Bank Group. In Canada, the TD Bank Group ranks as the second largest in the country. Most American banking consumers know the TD Bank Group via its brokerage firm brand, TD Ameritrade. The TD Bank Group acquired the Portland Savings Bank in Portland, Maine in 2007, renaming it TD Bank North. It then re-branded as TD Bank and opened numerous branches down the American eastern seaboard from Maine to Florida.
TD Bank offers brokerage, banking, insurance, and investment banking services. It has over 1,300 brick-and-mortar branch locations available in 15 states on the eastern seaboard. The earned interest rate for its bank accounts is 0.05%, which is significantly lower than most competitors. TD Bank offers numerous banking account options with relatively affordable fees.
The TD Simple bank account has no minimum deposit and a monthly fee of about $6. The TD Convenience bank account has a $15 monthly fee that is waived if a daily balance of $100 is maintained. The TD Premier Bank account has a $25 monthly fee that can be waived with a daily $2,500 minimum balance.
Commission & Fees
TD Bank fees range from a few dollars to about $25 for most account services.
TD Bank offers mortgages and home equity loans with personalized rates calculated via consultation with mortgage consultants.
TD Bank has no commission fees for mutual funds, fixed income, money market products, and IPOs. There is a $10 fee for standard online trades.
TD Bank has customer service representatives available 24 hours a day and 7 days a week.
Our TIAA/EverBank Reviews Conclusion
We give TIAA Bank (EverBank) a score of 3 out of 5 stars. TIAA Bank offers incredibly low mortgage rates, sometimes as low as 3%. Assistance is available for those seeking FHA loans. TIAA bank allows CD investment amounts to exceed the federally guaranteed insurable FDIC amount maximum of $250,000. This bank is a good bet if you are seeking a low mortgage or are trying to maximize your long-term investment potential.