Satellite images analyzed by The Associated Press on Saturday showed what appeared to be a newly built military-style camp in Belarus, with statements from a Belarusian guerrilla group and officials suggesting it may be used to house fighters from the Wagner mercenary group.
The images provided by Planet Labs PLC suggest that dozens of tents were erected within the past two weeks at a former military base outside Osipovichi, a town 230 kilometers (142 miles) north of the Ukrainian border. A satellite photo taken on Jun. 15 shows no sign of the rows of white and green structures that are clearly visible in a later image, dated Jun. 30.
Wagner chief Yevgeny Prigozhin and his fighters escaped prosecution and were offered refuge in Belarus last week after Minsk helped broker a deal to end what appeared to be an armed insurrection by the mercenary group. The abortive revolt saw Wagner troops who had fought alongside Russia forces in Ukraine capture a military headquarters in southern Russia and march hundreds of kilometers (miles) toward Moscow, seemingly unimpeded.
Belarus’ authoritarian president, Alexander Lukashenko, said his country, a close and dependent ally of Moscow, could use Wagner’s experience and expertise, and announced that he had offered the fighters an “abandoned military unit” to set up camp.
Aliaksandr Azarau, leader of the anti-Lukashenko BYPOL guerrilla group of former military members, told The Associated Press by phone on Thursday that construction of a site for Wagner mercenaries was underway near Osipovichi.
Up to 8,000 fighters from Wagner’s private military force may be deployed in Belarus, a spokesperson for Ukraine’s border force told Ukrainian media Saturday. Speaking to the Ukrainska Pravda newspaper, Andriy Demchenko said Ukraine would strengthen its 1,084 kilometer (674 mile) border with Belarus in response.
Lukashenko previously allowed the Kremlin to use Belarusian territory to send troops and weapons into Ukraine. He has also welcomed a continued Russian armed presence in Belarus, including joint military camps and exercises, as well as the deployment of some of Russia’s tactical nuclear weapons there.
Demchenko told Ukrainska Pravda on Saturday that as of this week, some 2,000 troops from regular Russian army units remained stationed in Belarus.
At a Friday evening gala marking the Belarusian Independence Day, Lukashenko said that the Belarusian armed forces could benefit from training by Wagner members, and asserted that the mercenaries were “not a threat” to Belarusians.
He also declared that he was “sure” Belarus would not have to use the nuclear weapons deployed to its territory, and would not get directly involved in Moscow’s war against Ukraine.
“The longer we live, the more we are convinced that (nuclear weapons) should be with us, in Belarus, in a safe place. And I am sure that we will never have to use them while we have them, and the enemy shall never set foot on our soil,” Lukashenko said.
The purchase of life insurance is an important piece of nearly anyone’s overall financial portfolio. Even though it’s important, doesn’t mean everyone has a plan.
Why is life insurance so important?
One reason is because this essential financial tool can help to protect the ones you love from having to spend other assets on things such as final expenses, paying off debt, and / or living expenses in the case of the unexpected. The proceeds from a life insurance policy can also help to keep those you care about from falling into drastic financial hardship and changing their lives at a time that is already emotionally difficult for them.
At the time you are buying a policy, there are several key factors to keep in mind. One, certainly, is to ensure that you obtain proper protection so that your survivors will have plenty of cash to go on. Another is to be mindful of purchasing coverage through one of the most financially stable life insurance companies.
This is because you will want to know that the underlying insurer is strong and stable financially and that it will be there in the future, if and when a claim needs to be made. With that in mind, it is important to do some research on the insurer that you are considering before moving forward.
One insurance carrier that is somewhat newer in the industry is Accordia Life and Annuity Company. This company, a subsidiary of Global Atlantic, provides security and income products to its customers.
Unlike some other companies, like Allstate or Progressive, Accordia isn’t a household name, but that doesn’t mean they are any less valuable.
Table of Contents
History of Accordia Life Insurance Company
Accordia Life and Annuity Company is located in Des Moines, Iowa.
It began with more than 200 agents who were already well-versed in the life insurance business.
In just the past decade, Global Atlantic has become known in the insurance and financial industry as a provider of insurance commodities, as it has grown to more than thirty billion dollars in assets. One reason for this company’s success is due to its long-term focus on its policyholders, as well as its emphasis on teamwork that is driven by its experienced leadership from the top.
Accordia Life Insurance Company Ratings and Better Business Bureau Grade
Thought to be a solid and steady company from an economic standpoint, Accordia is rated as an A- from A.M. Best. This is rated as “Excellent” and is 4th out of a possible total 16 overall ratings.
Accordia Life Insurance Company is not an accredited company by the Better Business Bureau, nor has it been given a grade by the BBB. There have, however, been forty objections filed given to the BBB about Accordia over the past three years, and all forty have been closed.
Of these 40 complaints that were filed, 18 centered on the company’s billing/collection issues, 17 centered on problems with the company’s product and/or services, four had to do with advertising and/or sales issues, and one focused on other issues. There are also three negative reviews posted by customers about Accordia Life Insurance Company on the Better Business Bureau’s website.
Life Insurance Products Offered By Accordia
The products that are offered by Accordia Life and Annuity Company are well designed, and they are focused on meeting the protection, wealth transfer, and small business needs of customers across the country.
The primary products that are provided by Accordia include term insurance, as well as universal life and indexed universal life insurance coverage. These offerings can help its policyholders to prepare for both short and longer needs.
Accordia Life offers various kinds of life insurance protection to its customers. Doing so allows for its policyholders to create the protection that works the best for them, as well as to revise support as their requirements evolve over time.
Coverage that is provided via Accordia includes:
Term Life Insurance
One of the primary products that is offered through Accordia is term life insurance coverage. This product gives pure death benefit protection only, without any cash value or savings component. Due to this, term can be pretty decently priced – and a good way for those who need a large quantity of protection such as a $1 million dollar life insurance policy to obtain it at a lower rate. This is especially the case for people who might be young and in great health at the time of application.
Term life insurance is often thought of as being temporary coverage because it is purchased for a certain length of time such as for ten, twenty, or thirty years. There is also a 1-year annual renewable term life option. Typically, the premium rate for this will remain level within the policy’s “term” and then the policyholder will either need to re-qualify for coverage or the policy will naturally expire.
In some cases, a term life insurance policy will provide the option to convert over into a permanent form of coverage such as a universal life insurance policy. This way, the insured will not need to worry about the policy expiring at any certain time in the future (unless they stop paying the policy’s premium).
Universal Life Insurance
Accordia Life also offers universal life insurance coverage. This is a form of permanent life insurance protection, so in addition to death benefit coverage, there is also a cash value component in these policies.
The cash in the policy is allowed to grow on a tax-deferred basis. This means that the policyholder will not need to pay taxes on the gain or growth of the funds in this account unless or until the time of withdrawal. This can allow these funds to build and increase exponentially over time.
Universal life insurance coverage is thought to be a more flexible form of permanent life insurance than whole life insurance. This is because the policyholder may choose (within certain parameters) how much of their premium dollars will go into the cash value, and how much will go towards the death benefit of the policy. They may also be able to change their premium due date, based on their needs.
Accordia Life Insurance Company offers some different additional riders to their universal life insurance policies. These include the following:
Accelerated Access Rider
Wellness for Life Rider
Return of Premium Rider
Terminal Illness Accelerated Death Benefit Rider
Accidental Death Benefit Rider
Children’s Insurance Rider
Primary Insured Rider
Overloan Protection Rider
Waiver of Premium Rider
Waiver of Monthly Deductions Rider
Indexed Universal Life (IUL) Insurance
Another form of permanent life insurance coverage that is offered by Accordia is indexed universal life. With this type of universal life, the growth in the cash value component is based on the production of an underlying market index such as the S&P 500.
While the policyholder has the chance to increase his or her funds significantly based upon market performance if the market should decline, the principal in the account is preserved.
There are numerous choices for indexed universal life insurance that can be chosen through Accordia Life Insurance Company. These incorporate the:
Lifetime Builder IUL
Survivorship Builder IUL
Accordia Life Provider IUL
Get Best Life Insurance rates from Accordia
When looking for top quotes, work with multiple insurers. This is true not only for life insurance but for auto insurance and health insurance as well. That way, you will be able to compare benefits and from there you can determine which will work the best for you.
When seeking life insurance protection – along with policy quotes – we can help. We work with many of the best life insurance companies in the market today, and we can assist you with obtaining all of the important details that you require.
We understand that finding the best life insurance plan for your needs can sometimes feel overwhelming. There are many things to contend with – and you want to ensure that you are getting the right coverage for your specific requirements. But now you have an ally on your side. So, contact us today – we are here to help.
North Carolina is experiencing a boom these days, with record employment growth and an increasing population. If you live in the state, you already know there’s plenty to offer, including beautiful tourist attractions, breathtaking scenery, and a rich history that makes it unique.
But North Carolina also has plenty to offer when it comes to banks and credit unions. Whether you’re looking for an interest-bearing checking account or retirement accounts that offer the biggest bang for your buck, the best bank is the one that suits your needs.
15 Best Banks in North Carolina
If you’re on the hunt for a new bank or credit union, you’re in luck. North Carolina has a little of everything when it comes to bank accounts, from that small local bank with a focus on community service to large banks with branches in the state. This list of the best banks in North Carolina covers a variety of areas to ensure you find the best place to park your cash.
1. U.S. Bank
U.S. Bank offers customers the unique combination of local access with the extensive services of a nationwide bank. By opening a Bank Smartly® Checking account with U.S. Bank, clients can potentially earn up to $300. The qualification process involves two steps within the first 90 days of opening the account online:
Ensure at least two direct deposits totaling $6,000 or more
Register for online banking or download the U.S. Bank Mobile App
This promotional offer is subject to specific terms and restrictions and will remain valid until July 11, 2023. As a member of the FDIC, U.S. Bank ensures customer deposits are protected up to the FDIC’s established limits.
Fees:
$0 – $6.95
No-fee overdraft protection
Balance requirements:
$1,500 minimum balance or $1,000 direct deposit to qualify for free checking
$25 opening deposit
ATMs:
No ATM transaction fees at U.S. Bank ATMs
No surcharge fees at MoneyPass® Network ATMs
Interest rates:
Up to 4.50% APY on money market accounts
Up to 4.75% on fixed-rate CDs
Additional perks:
$300 bonus
Competitive rates on money market accounts & CDs
2. First Citizens Bank
Founded in North Carolina in 1898, First Citizens Bank has expanded over the years. You’ll find First Citizens Bank branches in 21 states, but the majority of its locations are in North Carolina and South Carolina.
If you frequently travel, though, check the service area. You’ll pay a $2.50 out-of-network ATM transaction fee if you can’t locate a First Citizens ATM while you’re away from home.
Fees:
No monthly fees
$10 overdraft fee
Balance requirements:
$50 minimum opening deposit
No minimum monthly balance
ATMs:
Fee-free at 500+ First Citizens Bank ATMs
$2.50 for out-of-network ATM transactions
Interest on balance:
0.03% APY on savings accounts
Up to 0.15% APY on CDs
Up to 0.15% APY on money market accounts
Additional perks:
Credit cards offer generous rewards
Robust mobile banking solutions
3. Chime
Chime is ideal for those who do most of their banking virtually. While you won’t find any brick-and-mortar locations, Chime does offer 24/7 phone support and access to cash through more than 60,000 ATMs nationwide. You can also deposit cash at more than 90,000 retail partners, including CVS and Walmart.
Fees:
No service fee
No overdraft fee
Balance requirements:
No deposit to open
No minimum balance required
ATMs:
Fee-free at 60,000+ ATMs nationwide
$2.50 for each out-of-network ATM transaction
Interest on balance:
2.00% APY on savings account balances
Additional perks:
Access to direct deposits up to 2 days early
SpotMe covers up to $200 in overdrafts
4. CIT Bank
North Carolina residents interested in online banks should take a look at CIT Bank, which is based in Raleigh, North Carolina. This national bank recently merged with First Citizens Bank, which means CIT Bank customers can enjoy brick-and-mortar banking at any CIT location.
You’ll get everything you need to manage your money in CIT’s mobile banking app, as well as refunds of up to $30 in out-of-network ATM fees each month.
Fees:
No monthly fees
No overdraft fees
Balance requirements:
$25 minimum deposit to open
No minimum daily balance required
ATMs:
No ATMs provided
Up to $30 in ATM fees reimbursed monthly
Interest on balance:
Up to 0.25% APY on checking
Up to 4.736% APY on savings accounts
Up to 5.00% APY on CDs
Up to 1.538% APY on money market accounts
Additional perks:
Competitive rates on business loans
Award-winning customer service
5. Coastal Federal Credit Union
Credit unions tend to offer perks you won’t find with banks, and Coastal Federal is no exception. You can qualify if you’re with one of the employers or associations approved for membership or if you live or work in one of the North Carolina cities CFCU services.
As with many credit unions, though, CFCU’s real value comes with its interest rates. Not only will you enjoy an interest checking account, but you can also find great rates on share certificates, which are the credit union version of CDs.
Fees:
No monthly service fees
$31 overdraft fee
Balance requirements:
No minimum opening deposit
No minimum daily balance required
ATMs:
Fee-free at CFCU ATMs
Fee-free at CO-OP ATMs nationwide
$2 out-of-network ATM fee (waived for first five per month)
Interest on balance:
Up to 3.00% APY on savings account balances
Up to 5.00% APY on share certificates
Up to 3.50% APY on money market accounts
Additional perks:
Competitive rates on loans
Financial planning assistance available
6. GO2bank
Another online-only bank is GO2bank, which stands out for its cash accessibility. Not only can you withdraw cash, fee-free, at any Allpoint ATM, but you can deposit cash at more than 90,000 retailers nationwide.
All you need to waive monthly maintenance fees is at least one direct deposit monthly, either from an employer or the government. Those looking to build credit should check out the secured credit card, which you can get with no credit check. Pay your bill on time each month and GO2bank will report your activity to the three credit bureaus, helping you boost your score.
Fees:
$5 monthly fee (waived with requirements)
$15 overdraft fee
Balance requirements:
No minimum deposit to open
No minimum daily balance required
ATMs:
Fee-free at Allpoint ATMs nationwide
$3 for each out-of-network ATM transaction
Interest on balance:
4.50% APY on savings accounts
Additional perks:
Deposit cash at 90,000+ retailers nationwide
Secured credit card helps you build credit with no credit check required
7. Ally Bank
Ally Bank is an online and mobile banking option that puts a priority on budgeting and wealth building. The fee-free checking account comes with no minimum requirements and gives you access to more than 53,000 ATMs nationwide. But one of the best features of Ally Bank is its annual percentage yield on savings and CDs. You’ll earn 4.00% APY on savings and up to 5.00% APY on CDs.
Fees:
No monthly fees
No overdraft fees
Balance requirements:
No minimum opening deposit
No minimum balance requirements
ATMs:
Fee-free at 53,000+ Allpoint ATMs nationwide
No out-of-network ATM fees
Up to $10 in ATM fee refunds monthly
Interest on balance:
Up to 0.25% APY on checking accounts
4.00% APY on savings accounts
Up to 5.00% APY on CDs
4.15% APY on money market accounts
Additional perks:
Spending buckets make it easy to save money
Robo Portfolios help automate investing
8. Chase
Like Bank of America, Chase Bank is one of the biggest banks in North Carolina, with more than 4,700 branches and 16,000 ATMs across the country. Currently, Chase is offering a $100 bonus for new checking account customers as long as you complete at least 10 qualifying transactions within the first 60 days.
Whether you go with Chase for your regular banking or not, though, take a look at Chase’s credit card offerings. Chase has multiple card options, with each offering perks like bonuses and cash back rewards.
Fees:
$12 monthly maintenance fee
$34 overdraft fee
Balance requirements:
No deposit to open
No minimum balance required
ATMs:
Fee-free at 16,000 Chase Bank ATMs nationwide
$3-$5 for each out-of-network ATM transaction
Interest on balance:
0.01% APY on savings account balances
Up to 3.75% APY on CDs
Additional perks:
$100 bonus for new checking accounts
Multiple credit card options with bonuses and generous rewards
9. First Horizon Bank
First Horizon Bank is a regional bank with branches in 11 states across the Southeast, including a heavy presence in North Carolina. One standout feature of First Horizon is its money market rates, which currently go as high as 5.38%. You’ll find ATMs throughout the Southeast, but you can also use your debit card at any Allpoint ATM nationwide without a fee.
Fees:
No monthly service fee
$37 overdraft fee
Balance requirements:
$50 minimum deposit to open
No minimum balance required
ATMs:
Fee-free at more than 600 First Horizon ATMs
Fee-free at Allpoint ATMs nationwide
$3 for each out-of-network ATM transaction
Interest on balance:
Up to 2.78% APY on savings accounts
0.10% APY on CDs
Up to 5.38% APY on money market account
Additional perks:
Business banking options available
Wealth management help available
10. Truist Bank
In 2019, BB&T and SunTrust Banks merged to become Truist Bank. Although Truist has a limited ATM footprint, the Truist One checking account makes it worth it. You’ll get a 10% loyalty bonus based on your monthly balance in addition to a 10% bonus if you choose a Truist credit card.
The interest rates also make Truist a suitable option, since you’ll earn 5.00% APY on 7-month CDs. To waive the $12 monthly service fee on your checking account, you’ll need at least $500 in direct deposit activity each month.
Other options include a combined daily balance of $500 across all your Truist accounts, a Truist credit card or qualifying loan, or a linked business checking account. Students 25 and younger also qualify for a fee-free checking account.
Fees:
$12 monthly service fee (waived with requirements)
No overdraft fees
Balance requirements:
$50 minimum deposit to open
No minimum balance required
ATMs:
Fee-free at Truist Bank ATMs
$1 for each out-of-network ATM transaction
Interest on balance:
0.01% APY on savings accounts
Up to 5.00% APY on CDs
Additional perks:
Generous cash rewards with Truist Bank credit card
Checking balances earn rewards
11. Mechanics & Farmers Banks
You may know it as M&F Bank, but it actually started under the name of Mechanics & Farmers Bank in 1907. Throughout the 1900s, it was known as one of the most influential Black-owned businesses in the state of North Carolina. Today, M&F has locations throughout North Carolina and access to 44,000 ATMs nationwide, thanks to partnerships with Bank of America, JPMorgan Chase, and Wells Fargo.
Fees:
No service fee
$35 overdraft fee
Balance requirements:
$50 deposit to open
No minimum balance required
ATMs:
Fee-free at M&F Bank ATMs
Fee-free at Bank of America, JPMorgan Chase, and Wells Fargo ATMs
$3 for each out-of-network ATM transaction
Interest on balance:
Rates not publicly disclosed
Additional perks:
Rewards on debit card transactions
Robust business banking options
12. First National Bank
First National Bank has branches throughout North Carolina, as well as in DC, Maryland, Ohio, Pennsylvania, South Carolina, Virginia, and West Virginia. The free checking account is Freestyle Checking, but it does come with overdraft fees, and the exact fee amount isn’t disclosed until you sign up for an account.
You’ll also only get fee-free transactions at First National Bank ATMs, and they’re limited to the First National Bank service area.
Fees:
No monthly fee
Balance requirements:
$50 minimum deposit to open
No minimum balance required
ATMs:
Fee-free at 1,500+ First National Bank ATMs
Interest on balance:
Up to 0.05% APY on savings accounts
Up to 5.00% APY on CDs
Up to 1.25% APY on money market account
Additional perks:
Cash and check deposit available at Smart Deposit ATMs
The site makes ordering banking products and scheduling branch appointments easy
13. PNC Bank
PNC Bank has branches in 29 states, including 107 branches in North Carolina. Currently, new customers are eligible for bonuses of up to $400. You’ll get a $50 bonus simply for opening a Virtual Wallet with a basic checking package, but that bonus bumps up to $200 if you add a Performance Spend checking account and $400 if you upgrade to a Performance Select account.
The PNC Bank basic account only requires $500 in monthly direct deposits or a combined $500 balance between accounts.
Fees:
$7 monthly fee (waived with requirements)
$36 overdraft fee
Balance requirements:
$25 minimum deposit to open
No minimum balance required
ATMs:
Fee-free at PNC Bank ATMs
Fee-free at 60,000+ partner ATMs nationwide
$3 for each out-of-network ATM transaction
Interest on balance:
Up to 0.03% APY on savings accounts
Up to 4.00% APY on CDs
Additional perks:
Up to $400 bonus for new virtual wallet customers
Financial planning tools built into the app
14. Fifth Third Bank
Fifth Third Bank focuses operations on the Midwest and Southeast U.S. regions, with 1,087 full-service locations in 11 states. You’ll find a variety of banking products, from savings and checking accounts to investment and retirement accounts. Fifth Third Bank offers competitive interest rates on CDs, with a 7-month CD currently offering 5.00% APY.
Fees:
No monthly maintenance fee
$37 overdraft fee
Balance requirements:
No minimum deposit to open
No minimum balance required
ATMs:
Fee-free at 2,100+ Fifth Third Bank ATMs
Fee-free at 40,000+ partner ATMs nationwide
$3 for each out-of-network ATM transaction
Interest on balance:
0.01% APY on savings account balances
Up to 5.00% APY on CDs
Additional perks:
Early Pay gives you access to direct deposit two days early
Grace period to resolve overdrafts
15. Bank of America
If you prefer what national banks have to offer, you can’t go wrong with Bank of America, which is one of the biggest banks in the country. You’ll find ATMs and branches across the country, as well as a wide variety of services. Although Bank of America does have competitive interest rates on CDs, the basic checking account comes with a $12 monthly fee and a $100 deposit to open.
Fees:
$12 monthly fee
$10 overdraft fee
Balance requirements:
$100 deposit to open
No minimum balance required
ATMs:
Fee-free at 15,000+ Bank of America ATMs nationwide
$5 for each out-of-network ATM transaction
Interest on balance:
Up to 0.04% APY on savings account balances
Up to 4.75% APY on CDs
Additional perks:
Generous bonus on new credit cards
Wealth planning services available
Our Methodology: How We Chose the Best Banks in North Carolina
North Carolina has a large selection of banks, some paying more in interest than the national average. In putting together this list, we kept in mind that each person has different criteria when choosing savings and checking accounts. Your choice of bank will largely depend on your own banking habits. If you tend to do all your banking online, a user-friendly app might be a top priority, while those who prefer the in-person experience might put nearby branches first.
Our top goal was to bring a variety of banking options to this list. We’ve combined local, regional, online, and national banks to help you choose. We also looked at fees and interest rates to help you protect and grow your earnings.
Frequently Asked Questions
You have questions, and we have answers. Here are some of the most frequently asked questions about banks in North Carolina.
What is the safest bank for your money?
Lately, financial security has been a top priority for account holders in search of a new bank. The top thing to look at is a bank’s Federal Deposit Insurance Corporation coverage. This insurance protects each deposit holder for up to $250,000 if a financial institution goes belly up.
Once you’ve verified a bank is FDIC insured, pay attention to any news of mergers or buyouts involving your bank. Selling can be a sign of financial distress.
See also: Safest Banks in the U.S. for 2023
What is the best bank in North Carolina?
That’s a tough question because the definition of “best bank” can vary from one person to another. If you think the best checking accounts come with an annual percentage yield and a mobile app to manage it all, you’ll be looking at different criteria from someone who wants a local bank with personalized customer service.
If you’re going for customer satisfaction ratings, J.D. Power gives high marks to both Capital One and Chase, which both have a heavy presence in North Carolina. But if you’re looking for that local banking experience, you can’t go wrong with First Citizens Bank or M&F Bank.
What is the best credit union in North Carolina?
There are several credit unions in North Carolina, but the one that impressed us most was Coastal Federal. CFCU’s fee-free checking and annual percentage yield on savings and share certificates makes it stand out. But it’s also important to take a look at the interest rates on personal loans and compare them to banks in the area to make sure you’re getting the best deal.
One issue with credit unions is that they tend to come with strict membership requirements. You may find you’re limited to only those that will accept your employer or city of residence, and those credit unions might not have financial accounts that meet your needs. However, there are also some credit unions that anyone can join.
Which bank has the most branches in North Carolina?
If you do most of your banking in North Carolina, you might not care if your debit card works at ATMs across the country. In that case, you’ll need a bank with plenty of branches and ATMs in the areas where you work and live.
When it comes to sheer branch numbers, take a look at Truist Bank and Wells Fargo. Both have a heavy branch presence throughout the state. For smaller banks, First Citizens and First Horizon both have substantial branch coverage in North Carolina.
However, you’ll also need to check your neighborhood. If you’re interested in that in-person bank experience, you’ll be disappointed if you have to drive a half hour or more to get to the closest branch.
What banks are in Charlotte, NC?
North Carolina isn’t just a thriving state filled with business opportunities. The state is a financial center in itself. Not only does Charlotte have smaller banks like M&F Bank and First Citizens Bank, but both Bank of America and Truist Bank are headquartered in North Carolina, as well.
This heavy financial presence has made North Carolina great for finding banking services. The many banks in the state are eager to win your business and offer competitive rates to ensure it happens. That means it’s more likely that checking accounts come with low fees and savings accounts earn top-dollar interest rates. When combined with the many online bank options, the biggest issue will be narrowing the list to just one.
From high-yield savings accounts to fee-free checking accounts, North Carolina has it all. Shopping around will help you choose from the best banks so that you can find the perfect banking partner for you.
Mortgage rates were supposed to start falling by now.
Instead, they’ve been flirting with 7 percent.
Given a recent shift in the economic outlook, mortgage experts say there’s little relief in sight. With inflation still running hot and the political showdown over the debt ceiling intensifying, mortgage rates are unlikely to fall sharply this month.
“We can expect to see more of the same: Mortgage rates will continue to remain stagnant at levels above 7 percent,” says Glenn Brunker, president of Ally Home. “We will see little shift until the Federal Reserve signals a pause to further rate hikes.”
May mortgage rates: Not at all what was expected
Mortgage rates continue to confound expectations. In 2022, rates surged past 7 percent far faster than anyone predicted. Then, in 2023, mortgage rates calmed, leading many observers to predict rates would fall all the way to the low 5 percent range this year.
Now, though, rates are on the rise again. The average mortgage rate was 6.52 percent as of May 3, according to Bankrate’s weekly national survey of lenders. Rates climbed steadily through May, reaching 6.90 percent in the final survey of the month.
The wildcard rate watchers are looking at now
Borrowers will be at the mercy of two main drivers in June. One is the political standoff over the federal debt ceiling. Treasury Secretary Janet Yellen recently gave June 5 as an important date on that front — while the federal government had sufficient reserves to pay June’s Social Security checks, it could run out of money that day.
The debt ceiling brinksmanship — or worse — seems likely to take what is already an abnormally wide spread and expand it further.
— Greg McBride, Bankrate Chief Financial Analyst
The other question is about inflation, and what the Federal Reserve might do at its June meeting.
“Between the debt limit impasse and the next meeting of the Federal Reserve, all eyes will be on Washington,” says Lisa Sturtevant, chief economist at Bright MLS, a real estate listing service in the Mid-Atlantic region.
The debt ceiling clash has roiled markets, and that anxiety is affecting mortgage borrowers. The uncertainty is showing up in the gap between 30-year mortgage rates and their closest proxy, the 10-year Treasury yield.
This interval, known to economists as “the spread,” typically runs between 1.5 and 2 percentage points. If the 10-year yield sits at 4 percent, for example, the 30-year fixed mortgage rate should track close to 6 percent.
However, in late May, the spread had jumped to more than 3 percentage points — its highest level since 2009, according to Bankrate research.
“A big wildcard in the housing market right now is the debt ceiling debate,” says Sturtevant. “While it would be unprecedented, if an agreement is not reached and the government defaults on its debt, mortgage rates likely will spike, which could significantly reduce homebuyer demand. Even the extended negotiations are beginning to rattle markets and bring down consumer confidence.”
A quick resolution to the debt debate would calm mortgage markets — but further escalation would do the opposite.
“The debt ceiling brinksmanship — or worse — seems likely to take what is already an abnormally wide spread and expand it further,” says Greg McBride, Bankrate’s chief financial analyst.
Inflation still hanging around
Another problem area for mortgage borrowers is inflation. In late May, the Commerce Department reported that a measure of inflation closely watched by Fed officials accelerated in April, rising 4.4 percent compared to a year ago. In March, that measure, the Personal Consumption Expenditures price index, had been at 4.2 percent.
Zillow Senior Economist Orphe Divounguy calls the unexpected report “a bump on the road” for central bank policymakers.
“On one hand it points to a resilient U.S. consumer with still high purchasing power,” says Divounguy. “On the other hand, stubbornly high inflation means bond yields — and mortgage rates that tend to follow them — are likely to remain elevated.”
While the Fed doesn’t directly control mortgage rates, its moves do set the overall tone for borrowing costs. The central bank had hinted, after raising rates at 10 consecutive meetings, it would take a pause. Many observers even thought the Fed would begin cutting rates in the coming month — but the latest inflation report changes those predictions.
“Inflation is still running too high,” says Mortgage Bankers Association Chief Economist Mike Fratantoni, “and recent economic data is beginning to convince investors that the Federal Reserve will not be cutting rates anytime soon.”
Consolidating credit card debt is a common use of personal loans. And it makes sense, given that personal loans typically have lower interest rates than credit cards (which currently average 24.58%).
But what about saving money on an existing personal loan? Can you refinance a personal loan, ultimately saving money on interest or lowering your monthly payment? The answer is, yes. However, it may not make sense for every person or every type of personal loan.
Read on to learn why you might refinance a personal loan, how the process works, plus the pros and cons of a personal loan refinance.
Table of Contents
Why Refinance a Personal Loan?
While there may be a variety of reasons to refinance a loan, it mainly comes down to two.
1. To lower the overall interest rate and total interest paid.
2. To lower the monthly payment.
These two might seem like the same thing, but they’re not.
When you refinance any type of loan, you are essentially replacing your old loan with a new loan that has a different rate and/or repayment term. If the new loan has a lower annual percentage rate (APR), you can save money on interest. If the APR is the same but the repayment term is longer, you can lower your monthly payments, making them easier to manage, but won’t save any money. (In fact, a longer repayment term generally means paying more in interest over the life of the loan.)
Another reason why you might consider refinancing a personal loan is to consolidate your debts (so you just have one payment) or to add or remove a cosigner.
Possible Advantages of Refinancing a Personal Loan
Here’s a look at some of the benefits of refinancing a personal loan.
Pay Less in Interest
If you are able to qualify for a personal loan with a lower APR, it may be possible to save a significant amount of money over time, provided you don’t extend your loan term. You can also save on interest by shortening your existing loan term, since this allows you to pay off the loan sooner.
Lower Your Monthly Payment
Refinancing to a lower APR and/or extending the length of the loan can lower your monthly payment. A lower monthly bill could help you get back on track, especially if you’ve been struggling to make your monthly payments.
Consolidate Multiple Debts
If you have a personal loan as well as other debts (such as credit card debt), you can use a new personal loan to consolidate those debts into one loan and a single monthly payment. If your new loan has a lower APR than the average of your combined debts, you may also be able to save money.
Possible Disadvantages of Refinancing a Personal Loan
Refinancing a personal loan might not be the right move for everybody. Here are some disadvantages to consider.
You May Pay More in Interest
If you refinance a personal loan using a loan that has a longer repayment term, you could end up paying much more in interest over the life of the loan.
You May Have to Pay an Origination Fee
Many personal loan lenders charge origination fees to cover the cost of processing and closing the loan. This is a one-time fee charged at the time the loan closes and, in some cases, can be as high as 10% of the loan. Since the fee is deducted before the loan is disbursed to you, it reduces the amount of money you actually get.
You Might Get Hit with a Prepayment Penalty
Some lenders charge a fee if you pay off the loan before the agreed-upon term, which is known as a prepayment penalty. If your original lender charges you a prepayment penalty, it could cut into your potential refinancing savings.
Refinancing a Personal Loan
If you are thinking about refinancing a personal loan, here are some steps you’ll want to take.
Check Your Credit Report and Score
To benefit from personal loan refinancing, you typically need to have better credit than you had when you got your original personal loan. With a stronger credit profile, you might qualify for a lower APR on the new personal loan.
You can access your credit report for free from each of the three major credit bureaus — Equifax, TransUnion, and Experian — through Annualcreditreport.com. It’s a good idea to scan your reports for any errors and, if you find one, report it to the appropriate bureau.
You can typically access your credit score for free through your credit card company (it may be listed on your monthly statement or found by logging in to your online account).
Shop Around for Loans
Every bank has different parameters for determining who they’ll offer loans to and at what rate, so it’s always worth it to shop around. This could mean looking at traditional banks, credit unions, and online-only lenders.
Many lenders will give you a free quote through a prequalification process. This typically takes only a few minutes and does not result in a hard inquiry, which means it won’t impact your credit score. Prequalifying for a personal loan refinance can help compare rates and terms from different lenders and find the best deal.
Awarded Best Online Personal Loan by NerdWallet. Apply Online, Same Day Funding
Applying for a Loan
Once you’ve decided on a lender who can help you refinance to a new loan, it’s time to formally apply. You’ll likely need to submit several documents, including pay stubs, recent tax returns, and a loan payoff statement from your original lender (which will show how much is still owed).
Paying Off the Old Loan
Once you have your new loan funds, you can pay off your original loan. You’ll want to contact your original lender to find out what the process is and follow their instructions. It’s also a good idea to ask your original lender for documentation showing the loan has been paid off.
Making Payments on the New Loan
Be sure to confirm your first payment due date and minimum payment amount with your new lender and make your first payment on time. You may want to enroll in autopay to ensure you never miss a payment. Some lenders even offer a discount on your rate if you sign up for autopay.
The Takeaway
Can you refinance a personal loan? Yes, and doing so may allow you to get a better rate and/or more affordable payments. However, you’ll want to factor in any fees (such as origination fee on the new loan and/or a prepayment penalty on the old loan) to make sure the refinance will save you money. Also keep in mind that extending the term of your loan can increase the cost of the loan over time.
If you’re interested in exploring your personal loan refinance options, SoFi could help. SoFi personal loans offer competitive, fixed rates and a variety of terms. Checking your rate won’t affect your credit score, and it takes just one minute.
SoFi’s Personal Loan was named NerdWallet’s 2023 winner for Best Online Personal Loan overall.
FAQ
Can you refinance a personal loan?
Yes, it is possible to refinance a personal loan. Refinancing involves taking out a new loan to pay off the existing personal loan, ideally with more favorable rates and terms. However, whether you can refinance your personal loan will depend on factors such as your creditworthiness, the terms of the original loan, and the policies of the new lender.
Does refinancing a loan hurt your credit?
Refinancing a loan can have both positive and negative impacts on your credit. Initially, the process of refinancing may result in a hard inquiry on your credit report, which can cause a temporary decrease in your credit score. However, if you use the refinanced loan to pay off the existing loan and make timely payments on that loan, it can positively impact your credit over time.
Can I refinance a personal loan with another bank?
Yes, it is possible to refinance a personal loan with another bank. Many banks, credit unions, and online lenders offer loan refinancing options. This allows you to transfer your personal loan balance to a new loan with a new lender. However, eligibility criteria, terms, and interest rates will vary by lender. It’s a good idea to shop around, compare offers, and consider factors such as interest rates, fees, and repayment terms before deciding to refinance with another bank.
What are the pros and cons of refinancing a personal loan?
The pros of refinancing a personal loan include the potential to:
• Secure a lower interest rate
• Reduce monthly payments
• Consolidate multiple debts into a single loan
• Switch to a more favorable lender
This can result in savings on interest costs and improved cash flow. However, there are also potential downsides to consider, which include:
• Paying an origination fee for the new loan
• Getting hit with a prepayment fee from your original lender
• Extending your loan term can increase the total cost of the loan
It’s important to weigh the pros and cons before you pursue a personal loan refinance.
SoFi Loan Products SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.
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The other day, a dear friend of mine in her mid-20s told me she was saving up to buy a house in her 30s.
Her plan for amassing a down payment was to simply make a big withdrawal from her 401(k) when the time was right.
When I reminded her that the combined taxes and penalties could be as much as 30% (meaning she’d lose $15,000 out of a $50,000 withdrawal), she frowned.
“Well, I can’t just put the money in a savings account. Interest rates suck these days – the highest I’ve seen is 1%, and that doesn’t even cover inflation!”
She had a point. So why not invest the money, I asked?
“Well, I don’t know much about stocks, I don’t have the patience for real estate, and crypto scares me.”
That’s when I told her she was the perfect candidate for a lazy portfolio.
“A what? Look, buster…”
Once I backpedaled and explained the concept, she understood that I wasn’t calling her a bum, but rather, keying her into a lesser-known but highly effective investment strategy.
In this piece, I’m going to clue you in, too!
What’s Ahead:
What is a “lazy portfolio”?
A lazy portfolio is a bundle of stock market investments that requires little to no active maintenance by you. They’re most commonly made up of between one and five index funds, which are like big bundles of stocks, bonds, and other investments that you can buy just like shares of a regular stock (more on those later).
Aside from the occasional deposit or gentle asset reallocation, lazy portfolios don’t require any work.
You can buy $5,000 or $10,000 worth of index funds today and literally do nothing but watch them for 10 years. Doing this means you’ll have a successful lazy portfolio that will, hopefully, generate good rates of return.
But wait – don’t you have to be constantly buying and selling stocks to make money in the stock market?
Not at all – in fact, it’s better if you don’t. Unlike with day trading, you don’t mess with your lazy portfolio – through thick and thin, you let it sit and generate compound interest for years.
You can think of a lazy portfolio like a baby 401(k) that you design yourself and withdraw from much earlier.
Here’s why being “lazy” is a good thing
I love the movie The Wolf of Wall Street and the investing madhouse r/WallStreetBets, but both entities continue to perpetuate a common myth about the stock market: that you need to day trade to make money.
Nothing could be further from the truth.
In truth, multiple academic studies have found that the overwhelming majority of retail investors end up losing money.
“Don’t be misled with false claims of easy profits from day trading,” Burton Malkiel, Princeton professor and Chief Investment Officer of Wealthfront, told CNBC.
The harsh reality of investing in the stock market is that unless you’re a highly trained wealth manager with decades of experience and a team of analysts, you’re probably going to lose money day trading (and even they tend to struggle to pick winning stocks).
That’s why it’s better not to day trade, and be lazy instead. Rather than researching, buying, and selling stocks every day for the next 10 years, you’ll be better off buying index funds in the next 30 minutes and going about your day (or decade).
What are lazy portfolios made up of?
Lazy portfolios are most commonly made up of a small mix of index funds. Here’s a breakdown of what those are and why they’re so effective for passive investing.
Index funds: the building block of lazy portfolios
Index funds are a form of ETF, or exchange-traded fund, which are like big bundles of stock and other investable assets. When you buy shares of an ETF, you’re effectively buying up shares of dozens or hundreds of companies at once.
Each ETF must be individually approved by the SEC and have an appealing “theme” to it. For example, there are blockchain ETFs; ETFs that track the oil industry; and even quirky, unique ETFs that contain shares of companies trying to appeal to Millennials.
So, while stocks let you invest in a company, ETFs let you invest in an entire industry, concept, or strategy.
Now, what makes index funds as unique as ETFs is that they’re designed to reflect the performance of an entire market index, such as the S&P 500 or the U.S. bond market. To illustrate, here are two of the most popular index funds for building lazy portfolios:
The Vanguard Total Bond Market Index Fund (BND), which reflects the performance of the total U.S. bond market.
The Vanguard Total Stock Market ETF (VTI), which, big surprise, reflects the performance of the overall stock market.
So by buying shares of VTI and BND, you’re essentially investing in “the stock market” and “the bond market.” I know – the idea of investing in the whole stock market all at once sounds meta and maybe a little ridiculous, but bear with me.
Index funds are extremely popular for one simple reason
If you’re new to the stock market, you should know that pretty much every investor dabbles in index funds. Everyone from Warren Buffet to your grandparents has a stake in them – in fact, here’s how Mr. Buffet himself feels about index funds:
“In my view, for most people, the best thing to do is owning the S&P 500 index fund,” he told CNBC.
Index funds are popular among amateurs and pros alike for one simple reason: they reliably produce around 3% to 10% APY year after year. Index funds that track the S&P 500 are particularly high-performing, which is why many actively-managed mutual funds will say they “beat the S&P 500” as a benchmark for success.
Between 3% and 10% APY may not sound like a ton of interest but lemme tell ya, it’s plenty. Compound interest is a powerful ally, after all. Take a look at MU30’s Compound Interest calculator below to get a sense for yourself:
So to illustrate, let’s take a look at what happens if you opened a “one-fund lazy portfolio” today by buying $10,000 shares of the Vanguard S&P 500 ETF (VOO).
How much money would your lazy portfolio be worth in 10 years?
The answer is about $40,000. As I said, it literally pays to be lazy!
Now, most investors choose to put multiple index funds in their lazy portfolios for added diversity, but even one-fund lazy portfolios like 100% VOO are common and highly effective (clearly).
Why index funds are better than mutual funds or robo-advisors for building lazy portfolios
To start, mutual funds and robo-advisors are both excellent tools for smart investing. I’m not knocking them, but there’s a reason many investors don’t use them for lazy portfolios.
For the uninitiated, mutual funds are like ETFs, but they’re actively managed – there’s a team of professionals constantly mixing up the assets in the fund in an attempt to maximize returns for investors.
Similarly, robo-advisors are AI programs that take your money and build a portfolio for you, which, depending on your risk parameters, may contain a mix of ETFs, mutual funds, stocks, bonds, and more.
But lazy portfolio builders tend not to use either resource for one simple reason: fees.
Both mutual funds and robo-advisors will charge you a fee of between 0.25% and 2% to cover their costs of managing the fund – and since lazy portfolios are fire-and-forget, many passive investors would rather pick the index funds themselves and just avoid the fees.
To be clear, index funds and ETFs in general charge fees as well, but they’re typically less than a fifth of what a mutual fund charges (usually under 0.40%).
How to Build The Right Portfoilio – 3 popular lazy portfolios to consider
There’s a saying in the personal fitness community that there are 100,000 personal trainers with 100,000 “perfect” workout regimens.
The same applies to lazy portfolios in the investing world – there are (at least) 100,000 institutional investors with 100,000+ ideas on how to build the right lazy portfolio. After all, there’s a lot of flexibility in designing lazy portfolios – they may only contain a few index funds at most, but there are over 1,700 index funds to choose from!
Before you get overwhelmed, here are three solid examples to consider:
1. The basics: Rick Ferri’s Lazy Three Fund Portfolio
Author and CFA Rick Ferri literally wrote the book on index funds and publishes simple, yet effective, lazy portfolios for amateur investors to use. Here’s his bread-and-butter, the Lazy Three Fund Portfolio:
40% Vanguard Total Bond Market Index Fund (BND).
40% Vanguard Total Stock Market Index Fund (VTI).
20% Vanguard Total International Stock Index Fund (VXUS).
2. For a little more diversity: David Weliver’s Fidelity Portfolio
For a little added diversity, MU30’s very own David Weliver designed an everything-but-the-kitchen-sink portfolio touching four different markets:
20% iShares Core S&P Total US Stock Market (ITOT).
20% iShares S&P Small Cap 600 Value (IJS).
40% iShares Core MSCI Total International Stock (IXUS).
20% iShares Core US Aggregate Bond (AGG).
3. If it ain’t broke: Warren Buffet’s 90/10 Portfolio
For maximum gains and minimum effort (you know, the very essence of a lazy portfolio) you really can’t go wrong copying the best. Warren Buffet’s 90/10 portfolio is one of the highest-performing, yet simplest, lazy portfolios in existence.
But perhaps the best part of the 90/10 portfolio is that Buffet specifically designed it to stick it to fund managers who charge high management fees.
According to author and investor Rob Berger, Buffet claimed this fund…
“will be superior to those attained by most investors – whether pension funds, institutions, or individuals – who employ high-fee managers.”
And the portfolio has outperformed those actively managed funds, year after year. If you need any final endorsements, Buffet advised his trustees to place his and his wife’s money into this portfolio after his death.
90% Vanguard S&P 500 ETF (VOO).
10% Vanguard Short-Term Treasury Index Fund ETF (VGSH).
What platform should I use to build a lazy portfolio?
You can build and monitor a lazy portfolio on pretty much any trading platform that lets you buy ETFs, but some are better suited for hosting lazy portfolios than others.
Here are just two options:
M1
Unlike most popular trading apps, M1 is tailor-made for passive investing. It’s easy to buy a few ETFs, build a lazy portfolio, and monitor it over time without the temptation of selling or day trading. If you choose to lean on robo-advisor support, it’s also available.
But the best part about M1 is the community. There are thousands of passive investors on the M1 subreddit ready to lend their strategies and support.
Webull
Many investors like to keep their active and passive investing portfolios on separate apps so they don’t accidentally or impulsively sell their index fund holdings – but if you’re confident you can juggle both on one platform, check out Webull.
Unlike its rivals, Webull offers an advanced trading dashboard and detailed analytics for free. Plus, you’ll get complimentary shares just for joining, making it a great landing pad for short- and long-term investors.
Summary
Lazy portfolios are made up of a handful of index funds that you buy once and let sit and mature for at least 10 years. The healthy and consistent annual performance of index funds like Vanguard S&P 500 ETF (VOO) makes lazy portfolios a 100% viable investing strategy, one used by amateur and institutional investors alike.
If you’re looking for a way to invest money so you can buy a house or pay off your student loans in 10 years, don’t overthink it: get lazy.
When lenders ask borrowers to list their assets during the mortgage application process, they’re looking primarily for cash and “cash equivalents” (assets that can be quickly converted to cash). But that doesn’t mean you can’t or shouldn’t include other types of assets on your application.
The assets you choose to include could help determine the type of mortgage you can get and the interest rate you’re offered. So it’s important to be prepared with a well-thought-out list of assets for your lender.
What Is Considered a Financial Asset?
When you apply for a loan, you can expect your lender to ask about your income, the debts you owe, and the assets you own. What’s an asset? In the broadest sense, a financial asset is anything you own that has monetary value and can be turned into cash. But all assets are not created equal when it comes to borrowing money.
First-time homebuyers can prequalify for a SoFi mortgage loan, with as little as 3% down.
Types of Financial Assets
Some assets can take longer to liquidate than others, and the value of some assets may change over time. So it can be helpful to break down your assets into different categories, including:
Cash and Cash Equivalents
This category includes cash you have on hand (in a home safe, for example); the accounts you use to hold your cash (checking, savings, and money market accounts); and assets that can be quickly converted to cash (CDs, money market funds).
Physical Assets
A physical or tangible asset is something you own that can be touched and that would have some value if you had to sell it to qualify for your loan or to make your loan payments. (If you need to use this type of asset to qualify for a mortgage, the lender may ask you to sell it before you close.) Some examples of physical assets include homes, cars, boats, jewelry, or artwork.
Nonphysical Assets
Nonphysical or nontangible assets aren’t as liquid as physical assets, and you can’t actually put your hands on them — but they still have value. This category includes workplace pensions and retirement plans (401(k)s, 403(b)s, etc.), and IRAs. You may be able to withdraw money from your account in certain circumstances, or borrowing from your 401(k) might be an option, but it can take time as well as careful planning to avoid tax and other consequences.
Liquid Assets
This category includes nonphysical assets that you can easily convert to cash if necessary. For example, a stock or bond that isn’t part of your retirement account would be considered a liquid asset.
Fixed Assets
Fixed assets are items you own that could be sold for cash, but it may take a while to find a buyer — and the value may have changed (up or down) since you made the initial purchase. You would list a valuable piece of furniture, an antique, or a real estate property as a fixed asset using the item’s current value — not its original purchase price.
Equity Assets
This category includes any ownership interest you may have in a company, such as a stock, mutual fund, or holdings in a retirement account.
Fixed Income Assets
Investment money lent in exchange for interest, such as a government bond, may be categorized as a fixed-income asset. (Yes, there can be some confusing overlap in how assets may be designated. Don’t let that hang you up: The goal is simply to keep your mind open to anything you own that might be helpful when listed as an asset on your application.)
Financial Assets to List on Your Mortgage Application
You may have heard or read that lenders tend to prioritize a borrower’s liquid net worth (the total amount of cash and cash equivalents you own minus any outstanding debt) over total net worth (everything you own minus everything you owe).
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That’s partly because lenders want to be clear on where the money for your down payment and closing costs is coming from. When you apply for a home mortgage loan, a lender will want to determine if you’re a good financial risk, able to comfortably manage monthly mortgage payments — even if you suddenly have a bunch of medical bills to pay or experience a job layoff. So it can help your application if you have a healthy savings account, certificates of deposit (CDs), or other assets you can quickly liquidate in a pinch.
That doesn’t mean, though, that your lender won’t also note other assets you own when gauging your financial stability. Listing physical assets that can be quickly converted to cash may show your lender that you have options if you need more money for your down payment or to keep in cash reserves. And the assets you have in other categories could help bolster your application if you’re a candidate for a certain type of mortgage loan or a better interest rate.
Does Reporting More Assets Help With Mortgage Approval?
As you go through the mortgage preapproval process, you can ask your lender to help you determine which assets will help make your application stronger. You also could meet with your accountant in advance to go over what you have. If in doubt, you may want to list everything of value on your application — especially if you’re concerned about qualifying for the loan amount you want. Just be sure everything is accurate, because the lender will verify the information you provide. Bear in mind the lender will also be looking at whether you have the credit score needed to buy a house. Your debt-to-income ratio will also be important.
How Mortgage Lenders Verify Assets
Your lender will want to be sure all the information on your application is correct, so you should be prepared to provide asset statements to support everything you’ve listed. Documents you may be asked for include:
Bank Statements
Lenders generally will ask to see two or three of the most recent monthly statements from your checking, savings, and other bank accounts. You can send copies of paper statements (if you still do paper) or you can download copies online. If you have cash deposits on your statements, you should be ready to answer questions about the source (or sources) of that money. Your lender will want to be sure you have enough money on your own to make your down payment and monthly payments.
Keep in mind that when you turn over your bank statements, your lender will look for clues to the stability of your financial health. If you have a history of overdrafts or other problems, your application could be denied, even if your current balances are sufficient to qualify for a mortgage.
Gift Letters
Some lenders and loan programs allow borrowers to accept a large monetary gift from a family member to help with their down payment. But you’ll likely have to ask your benefactor to sign a document stating you won’t have to repay the money, and the lender also may ask to see a copy of that person’s bank statements to verify he or she was the source of the money.
Retirement and Investment Account Statements
If you need more money to make your down payment or help cover closing costs, and you plan to withdraw or borrow money from a retirement or brokerage account, you should be ready to provide two to three months’ worth of statements from those accounts.
Appraisal and Insurance Paperwork
If you’re listing a physical or fixed asset, you may have to produce an appraisal report or insurance document that states the item’s current value and that it belongs to you.
The Takeaway
Making a list of your assets, and gathering up documents to verify ownership and value, may seem like a tedious exercise. But being prepared to provide a complete accounting of your assets — along with the other documentation you’ll need — could help you find and get the mortgage you want.
Need help? SoFi’s Mortgage Loan Officers can provide one-on-one assistance as you work your way through the mortgage application process, so you can know what’s expected at each step. And SoFi’s online application makes it easy to get started.
Check out the flexible terms and competitive rates on a SoFi Home Loan today.
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SoFi Loan Products SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.
If you haven’t started your children or teens off with a kids checking account optimized for their needs, you’ll want to help your college student open a checking account before they begin school.
Opening a checking account for your child can teach them about money management and financial responsibility, along with providing them an easy way to make debit card purchases. It’s never too late to get started.
One advantage to helping your young adult open their first student checking account is they have more options than they might have when they were 16 or younger. Students over 18 can open a bank account with few restrictions.
But choosing a student checking account may give them access to higher interest rates and added features and benefits, along with fee-free checking, no monthly maintenance fees, and no minimum deposit to open an account.
12 Best Student Checking Accounts
Not surprisingly, many of the best student checking accounts come from banks that also offer some of the best checking accounts for any age. However, the products below – in most cases – are tailored for young adults from the ages of 18 to 24, with the features this age group desires most, including an intuitive mobile app and low or non-existent minimum deposit requirements.
1. Best for Students under 18: Capital One MONEY Teen
Most of the student bank accounts on our list exclude children under the age of 17 or 18. Capital One MONEY Teen checking is available to children ages 8 and up. It comes with all the benefits and security of a big bank, providing peace-of-mind. This includes access to Capital One branches and Capital One Cafes for in-person service. This account also serves as a great tool to teach your young adult the basics of banking.
Capital One MONEY Teen checking is a joint account with no monthly fee, no overdraft fees, and access to 70,000 ATMs with no fees. Plus, earn 0.10% on all balances, including those in checking.
You can link Capital One MONEY Teen checking to any other bank account through any bank or neobank, making it easy to transfer money to your teen while they are away at college. Plus, you can keep tabs on their spending with their linked account in the Capital One mobile app.
When they graduate, your teen can hold onto their MONEY account or transfer the funds into a top-rated Capital One 360 Checking account of their own.
2. Best for Working Students: Chime
Chime is not a bank. It’s a financial technology company and mobile app backed by Stride Bank, NA, and The Bancorp Bank. Many features make it perfect for working students. First, you can receive your paycheck up to two days earlier than you might at other banks with ACH deposit.
Plus, you can set up automatic transfers to your linked Chime Savings account, helping you to establish good financial habits early on. Simply set up Chime to transfer a percentage of your paycheck into your Savings Account every time you receive a direct deposit.
When you use your debit card for purchases, the “Save When You Spend” program rounds up your purchase and transfers the difference directly into savings. That small change can really add up, whether you’re saving for your first apartment after college, a new car, or your next tuition bill.
For working students looking to build their credit, Chime gives account holders access to a Credit Builder Secured Visa, with no annual fee, no credit check, and no security deposit required. Instead, the credit account is secured by your Chime checking account with monthly direct deposits.
Like many of the best student bank accounts on this list, Chime has no overdraft fee, no monthly service fee, no ATM fee for in-network ATMs, and no minimum balance requirements.
3. Best Account Opening Bonus: Chase College Checking
Chase Bank has been handing out student account opening bonuses like they hand out lollipops at their branches lately. College students ages 17 to 24 can snag a $100 bonus when they open an account online or at a local branch (students age 17 will need to visit a branch). You’ll just need to make 10 qualifying transactions within the first 60 days of opening the student bank account.
What’s a qualifying transaction? Virtually anything, according to the Chase website, including debit card purchases, online bill payments, Chase QuickDeposits, Zelle transfers, and ACH credits. Bank as you normally would, and you should easily earn that $100.
In addition to the generous sign-up bonus, Chase College Checking has no monthly fees for college students for up to five years, access to 16,000 ATMs and 4,700 branches across the U.S., and zero liability protection for unauthorized debit card purchases.
Chase Overdraft Assist covers purchases that exceed your account balance. You’ll pay no overdraft fee if you’re overdrawn by $50 or less at the end of the next business day.
4. Best for Yield: Ally Interest Checking
Ally Bank is the first bank on our list not designed specifically for students, but the vast array of features in this interest bearing checking account makes it ideal for young adults.
Ally Bank offers an APY of 0.25% on checking account balances and 4.00% APY on balances in a linked Ally Bank savings account. Neither account has any monthly fees.
Ally offers several features to help those on a tight budget manage their money. You can organize your money into spending and saving buckets, which can help you see exactly where your money goes each month. Ally will also review your bank accounts and help you find opportunities to save, and shuttle that extra money into your high yield Ally savings account.
Customers who have deposited $100 or more into their Ally checking account, or $250 via direct deposit, gain access to Ally’s CoverDraft service after 30 days. This protection covers up to $100 or $250 in charges that would overwise overdraft your account. Some purchases, including Zelle transfers, or ATM withdrawals, may be declined if they would put your account into overdraft.
Ally has no monthly maintenance fee, no overdraft fees, no ATM fee for in-network ATM transactions and no minimum balance requirement.
5. Best for Referrals to Earn Extra Cash: GO2bank
GO2bank, the digital bank associated with the top financial technology company Green Dot, offers an easy, straightforward money account with overdraft protection up to $200 with eligible direct deposits. The linked savings account pays a high 4.5% APY, with no fees for qualifying customers and no minimum balance requirement.
You can get regular ACH deposits from your job or side gigs up to two days earlier than most traditional banks. If you receive government benefits, such as Social Security, you can receive those deposits up to four days early.
Your GO2bank account will have a monthly service fee that costs $5 per month, unless you have a qualifying direct deposit that month. You will also pay fees for transfers from a linked debit card from another bank or fintech, mobile check deposits, and cash deposits.
If you are the type of person with friends who come to you for advice, you can earn $50 for each friend you refer to GO2bank who signs up with direct deposit. Your friend will also earn $50. You can use this offer for up to 30 friends, yielding $1,500 annually. This makes a GO2bank account great for social media influencers or college students with a large friend group.
6. Best for Full-Service Banking: Bank of America Advantage SafeBalance Banking
Bank of America Advantage checking accounts offer options for people in various stages of their financial life. College students might be best to start out with Bank of America Advantage SafeBalance banking, a straightforward money account with no overdraft fee and no checks.
The account has no monthly fee for students under the age of 25 or customers under the age of 18. Preferred Rewards customers also receive free checking. There is a $25 minimum deposit to open an account.
New Bank of America customers can earn a $100 account opening bonus when they open an account and set up direct deposits of $1,000 or more within 90 days.
7. Best for Comprehensive Money Management: PNC Virtual Wallet Student
Money Magazine named the PNC Virtual Wallet on its best banks for students list three years running. PNC Bank divides this mobile account into three separate accounts for everyday spending, “reserve,” or short-term savings, and “growth” for long-term savings.
The account has no monthly service fee for students for up to six years, along with all the benefits of a regular PNC Virtual Wallet. Additionally, students receive a courtesy refund of your first overdraft fee on your Spend account, one free incoming domestic or international wire transfer per statement period, and free paper statements if you opt in to receive them.
Once six years have passed or you are no longer a student, your account converts into a regular PNC Virtual Wallet, which may have associated monthly fees. Check the PNC website at that time to determine the fees and how you can waive them.
Your PNC Virtual Student Wallet pays a 0.01% APY on money in your Reserve account, and .02% on account balances up to $2,499 in your Growth account, with .03% APY on balances over $2,500. These may not be the best rates available, but the reputation of PNC Bank, along with the money management features in a Virtual Wallet Student account, make this an account worth considering for students just learning to budget.
8. Best for Establishing Savings Habits.: Wells Fargo Clear Access Banking
As one of the Big Four banks in the U.S., Wells Fargo offers a reliable and safe place to store your money, plus access to thousands of branches nationwide.
The Wells Fargo Clear Access banking account is great for teens and college students, since it’s available for account holders ages 13 to 24. Anyone under the age of 18 will need to open their account in a branch and anyone younger than 17 must have an adult aged 18+ as a joint account holder. The account has no monthly maintenance fee for anyone 24 or younger. A $25 minimum opening deposit is required.
Wells Fargo Clear Access banking is a simple, straightforward money account with no checks and personalized service at Wells Fargo branches. There are no overdraft fees with the account, but also no overdraft protection. Transactions that exceed the account or minimum balance amount will be declined, which helps put teens and young adults in charge of their money.
You can link your Clear Access bank account to a Way2Save Savings account and earn a 0.15% APY. You can establish good money habits by setting up automatic savings. Wells Fargo will transfer $1 from your Clear Access account into your checking account each time you use online bill pay or use your debit card for a one-time purchase. You can also transfer as little as $25 per month or $1 per day into your account to see your savings grow even faster.
9. Best for Cash Back: Discover Cashback Debit
The Discover Cashback Debit account may not be marketed to teens and students, by name. But, it’s enticing to anyone looking for a standard checking account with no monthly service fees and 1% cashback on debit card purchases, up to $3,000 per month. It’s highly unlikely for most college students to max out that free money (unless they are putting housing, tuition, and car expenses on their card).
Discover Cashback! debit card offers many of the benefits you’d expect from these top-rated money accounts, including early direct deposit, 60,000+ no-fee ATMs, and overdraft protection from your linked Discover Savings with no fees. Discover charges no fees for insufficient funds, bank checks, regular checks, or expedited delivery of a replacement debit card.
These features make it one of the most convenient accounts you can hold. Plus, you don’t have to worry about “aging out” of the account and facing fees for a non-student bank account. Your Discover Cashback Debit account will be free no matter your age. Link it to a Discover Savings Account to earn 4.0% APY with no minimum deposit required.
10. Best for Unlimited Out-of-Network ATM Fee Reimbursement – Axos Bank Rewards Checking
Another bank account not marketed to students but meeting all their needs is the Axos Bank Rewards Checking account. This account has no monthly fees. It also reimburses ATM fees for out-of-network ATMs nationwide, which is great for students who travel domestically or who don’t have ATMs in their network on campus.
Pay no overdraft fee or non-sufficient funds fees with this account. Best of all, earn an APY of 0.40% on your checking balance if you receive monthly direct deposits of $1,500-plus. Young investors can ramp up their interest rate by 1% with an average daily balance of $2,500 in an Axos Invest Managed Portfolio Account, plus another 1% by holding $2,500 in a self-directed trading account. If you take out a loan through Axos, you can add another 0.60% to your APY.
College students likely won’t regret opening an Axos Bank account to take them through adulthood, especially with options for investing, low mortgage rates, car loans, and more.
Plus, earn a welcome bonus when you open an account and have direct deposits of at least $1,500 within a single calendar month during the first three months of account opening.
11. Best Credit Union: Alliant Credit Union Teen Checking
Alliant Credit Union offers a teen checking account for minors ages 13 to 17. The account is insured up to $250,000 per account holder by the National Credit Union Administration (NCUA). The adult account holder must be an Alliant Credit Union member. But it’s easy to join by depositing $5 into an Alliant Credit Union saving account. Alliant Savings earns an APY of 0.25%.
The teen checking account has no overdraft fees or non-sufficient funds fee. It also has no monthly fees or minimum balance requirements. Account holders gain access to 80,000+ fee free ATMs nationwide plus $20 per month in ATM fee reimbursement for out-of-network ATM use. This is an interest earning checking account which also pays 0.25% APY on all balances as long as you have at least one deposit, via ACH direct deposit, mobile check deposit, or transfer from another bank or credit union, each month.
12. Best for Young Shoppers: Varo Bank
Varo Bank is another account not necessarily marketed to college students but definitely optimized for their needs. The Varo Bank debit card delivers up to 6% cash back, with money deposited into your Varo account as soon as you accrue $5 in rewards.
Like many of the best student accounts on this list, Varo has no monthly fee, no minimum balance requirements, and no overdraft fee. If you need money before payday, you can use Varo Advance, an interest-fee program that allows you to borrow up to $250 and pay it back within 30 days. You will not pay fees to borrow less than $20. Borrowing up to $250 comes with fees that can be as high as $15, depending on the amount of cash advance you need.
Varo Bank uses the Allpoint network of ATMs, with fee free access to 55,000+ ATMs nationwide. Using other bank ATMs could result in charges up to $3 from Varo and fees charged by the other banks, as well.
It pays to open a linked Varo Bank savings to take advantage of a high 3% APY. Account holders with direct deposits equal to $1,000 per month and a positive balance in their Varo checking and savings can earn up to 4% APY.
One of the best things about a Varo account is it can grow with you. You won’t pay additional fees as an adult out of college, so you can keep the same bank account you started with for your entire life if you want.
Methodology: How We Select the Best Student Checking Accounts
To find the best student checking accounts, we evaluated the monthly maintenance fees, ATM fees, minimum deposit requirements, features, benefits, banking services provided, along with customer service and mobile app access at several of the biggest and most well-known banks and credit unions.
ATM Network
Most banks have ATM networks or partner ATM networks of 20,000 or more ATMs nationwide where you can use your debit card with no ATM fees. You might be surprised to learn that even online banks and financial technology companies that are not a bank provide access to thousands of ATMs nationwide through partner programs.
Nationwide availability (physical locations or mobile access)
College students often split time between their college campus and the home where they grew up. Finding a bank with physical locations in the areas they live or an online bank that provides a mobile banking app with fee free mobile banking from anywhere is important.
Fees and minimum requirements
Bank fees no longer have to be a way of life for today’s young adults. We chose financial institutions with no monthly maintenance fees or easy ways to waive maintenance fees.
Benefits such as high APY, cash-back rewards, or other additional perks
Student checking accounts today are more than just “bare bones” places to store your cash. Many student bank accounts offer perks, benefits, and high-yield savings or an interest bearing checking account to provide added value.
Overdraft fees
Cash management mistakes happen, especially when young adults first start learning to budget and manage their finances. Many banks have no overdraft fees and some offer overdraft protection to help out in a pinch.
How to Choose the Best Bank for College Students
We’ve offered 12 solid options to help you choose the best student checking account. Before you open a student bank account, it’s a good idea to think about what you need in your primary checking account and a linked savings.
The list below makes it easy to review your must-haves and nice-to-haves when you choose your first bank account as a college student.
Best student checking account interest rates
If you’re looking to earn interest on your standard checking account, many banks offer this feature. Review annual percentage yield (APY) figures for your top choices.
Remember, a higher savings interest rate might benefit you more, since money in your checking account tends to fluctuate based on paychecks, bills, and expenses. The best checking account may not pay interest, but can save you money in other ways.
Annual Percentage Yield (APY)
Likewise, you can put money in your pocket with an account with linked savings offering a high annual percentage yield (APY).
Mobile Check Deposit
If you get paid via paper checks, you’ll want to find an account with a mobile app that offers mobile check deposit. Find out how fast deposits clear, and if mobile banking services are fee free.
No Monthly Maintenance Fees
Many banks today make it easy to find a free checking account with no maintenance fees. If you have to pay a monthly maintenance fee, find out exactly what you’re getting for your money. Find out if the perks and benefits, such as a cash back debit card or reimbursement of ATM fees make the maintenance fees worthwhile.
Minimum Deposit and Minimum Balance Requirements
When you’re just getting started, cash may be tight. It’s important to find an account with no minimum deposit to open.
Banking Services Provided
Accounts should have customer service online, by phone or in branches, plus an easy-to-use mobile app and a debit card with no ATM fees.
FAQs About Student Checking Accounts
Read what people are asking about the best student checking accounts, including minimum deposit requirements and benefits of a student checking account.
What are the benefits of a student bank account?
A bank account tailored for students gives young adults a head start on their financial future and learning how to manage money. For students who work, they can receive direct deposits in their student account, pay bills online, and send money to friends and family using Zelle.
How to get a student checking account bonus?
Several student checking accounts, including Chase, provide sign-up bonuses. Make sure to read the fine print and complete the requirements, which may include setting up direct deposit or making a minimum opening deposit, to collect the bonus.
Can I open a student checking account without a deposit?
To open a student checking account without a minimum deposit amount, simply look for a bank account, like Varo, that has no minimum opening deposit.
Are there any downsides to opening a student checking account?
When you open a student checking account, you’ll want to make sure you won’t pay monthly maintenance fees. Some student checking accounts convert to a regular account once the student graduates, and there may be fees associated with the regular account.
Is there an age limit on a student checking account?
Most student checking accounts are open to students from the age of 18 to 24 without a joint account holder. Customers under the age of 18 may be able to open an account with a joint owner.
Can minors open student checking accounts?
Accounts like Capital One Money Teen are available to children ages 8 and up with a joint account holder. Some other accounts require students to be 18 or older.
What happens to your student checking account when you graduate?
Many of the student bank accounts on this list won’t change when you graduate college. Others offer the option to convert your account to one of the bank’s regular checking products. A Chase College Checking Account has no monthly fees for your first five years in college, but if you graduate or exceed that time frame, you might pay a $6 monthly maintenance fee unless you meet other requirements.
Texas Attorney General Greg Abbott today called for a halt to foreclosures in the state so mortgage lenders and loan servicers could conduct a thorough review to determine if “robosigners” were used in foreclosure processing.
A “robosigner” refers to an employee or agent who signed off on hundreds or thousands of foreclosure documents in a short amount of time, essentially proving they didn’t do their due diligence or follow protocol.
They have also been accused of signing affidavits which falsely claim personal knowledge of facts, or that they reviewed the attached documents when in fact they failed to do so.
Additionally, there have been accusations that robosigners notarized documents prior to getting the signature, and/or when the signer was not present.
All this, of course, led to widespread mistakes and errors, which put a halt on foreclosures in 23 states (minus Texas) for Ally Financial, Bank of America, and Chase.
Both the California AG and Connecticut AG have called for similar foreclosure freezes.
The foreclosure suspension letter was sent to 30 lenders, including:
American Home Mortgage Servicing, Inc. American General Finance, Inc. AmTrust Mortgage Corporation Aurora Loan Services, Inc. Bank of America Carrington Mortgage Services, LLC Cenlar, FSB JP Morgan Chase & Co. CitiMortgage, Inc. EMC Mortgage Corporation First Horizon National Corp. Ally Financial, Inc./GMAC Home Loan Services HomEq Servicing, Inc. HSBC North America Holdings, Inc. Litton Loan Servicing, Inc. MGC Mortgage, Inc. Midland Mortgage Company MorEquity, Inc. National City Mortgage c/o PNC Financial Services Group, Inc. Nationstar Mortgage Company Ocwen Loan Servicing, LLC OneWest Bank Group LLC PHH Mortgage Services Corporation Saxon Mortgage Services, Inc. Select Portfolio Servicing, Inc. Vanderbilt Mortgage and Finance, Inc. Washington Mutual Wells Fargo & Company Wilshire Credit Corporation
Mortgage industry newcomer Ally Home is getting into the price match game with its just launched promotion called, you guessed it, “Price Match Guarantee.”
If you’re not familiar, Ally Home got into the mortgage business late last year, essentially rising from the ashes of GMAC Bank/ResCap.
Now they want to separate themselves from the crowd by ensuring you get the best price on your mortgage, or at least equal to what you may have found elsewhere.
They’ll Match Rates and Points
Ally Mortgage is offering a Price Match Guarantee
Like several other mortgage lenders out there
Where they’ll match the offer of another bank or lender
But is matching enough? And what about lender fees?
In a nutshell, Ally Home will match the interest rate and points (if applicable) of another lender if it happens to better what Ally Home offers you.
All you have to do is let your Ally Home loan advisor know you’ve got a better offer and they’ll match it.
That entails sending over the competing lender’s completed Loan Estimate, which must be dated within the past five business days, at the time you wish to lock your loan with Ally.
In order to be eligible, the loan programs have to be the same too, obviously.
There is a bit of a gotcha here, at least in my opinion. Ally Home will only match the mortgage rate and points. There’s no mention of fees.
So it’s possible, if I’m interpreting this correctly, that Ally Home could match the rate and points, but charge more for underwriting and processing, along with other third-party fees.
That’s why you have to go through each Loan Estimate with a fine-tooth comb to ensure you don’t miss anything.
It’s also somewhat disappointing that Ally Home is simply matching the offer of another lender. You think they’d improve it somewhat. But perhaps they believe they’ll offer a better home loan experience.
Ally Home Still Offering a .125% Rate Discount
Ally Mortgage has a .125% rate discount special (which may come and go)
Where they’ll give you a slight mortgage rate discount on a purchase or refi
But even an .125% of a point can add up to big savings
Over the long life of a home loan
I’ll add that the company still has a special offer going at the moment whereby you get a .125% interest rate discount, though not for much longer.
It applies to both purchases and refinances and the rate must be locked by July 31st, 2017.
I’m not sure if you can combine both offers, but if so, you could actually beat out the competition, as opposed to just matching them.
Ally Home provides an example where the savings could be more than $7,500 over the life of the loan on a typical 30-year fixed mortgage.
It assumes a conforming loan amount of $300,000 if the rate were lowered to 3.875% from 4%. The savings are substantial and illustrate the power of an eighth.
Late last month, Better Mortgage launched a similar promotion where the company will give you $1,000 if they’re unable to beat another competitor’s price. The trick with them is that they don’t charge lender fees and keep third-party fees low, making them hard to beat.