The average cost of homeowners insurance in Arkansas is $3,020 per year, or about $252 per month, according to a NerdWallet analysis. That’s more than the national average of $1,820 per year.
We’ve analyzed rates and companies across the state to find the best homeowners insurance in Arkansas. Our sample rates are for a homeowner with good credit and $300,000 of dwelling coverage, $300,000 of liability coverage and a $1,000 deductible. Your rates will be different.
Note: Some insurance companies included in this article may have made changes in their underwriting practices and no longer issue new policies in your state.
Why you can trust NerdWallet
Our writers and editors follow strict editorial guidelines to ensure fairness and accuracy in our writing and data analyses. You can trust the prices we show you because our data analysts take rigorous measures to eliminate inaccuracies in pricing data and may update rates for accuracy as new information becomes available.
We include rates from every locale in the country where coverage is offered and data is available. When comparing rates for different coverage amounts and backgrounds, we change only one variable at a time, so you can easily see how each factor affects pricing.
Our sample homeowner had good credit, $300,000 of dwelling coverage, $300,000 of liability coverage and a $1,000 deductible.
The best homeowners insurance in Arkansas
If you’re looking to buy homeowners insurance from a well-rated national brand, consider one of these insurers from NerdWallet’s list of the Best Homeowners Insurance Companies.
More about the best home insurance companies in Arkansas
See more details about each company to help you decide which one is best for you.
State Farm
Well-established insurer with a lengthy list of coverage options.
Coverage options
More than average
Average set of discounts
NAIC complaints
Fewer than expected
State Farm
Well-established insurer with a lengthy list of coverage options.
Coverage options
More than average
Average set of discounts
NAIC complaints
Fewer than expected
America’s largest home insurer celebrated its 100th anniversary in 2022. One useful endorsement you may be able to add to a State Farm policy is an inflation guard rider, which automatically increases your policy limits to make sure your coverage doesn’t fall short.
State Farm offers a free Ting device as a perk for home insurance policyholders. Ting is a smart plug that monitors your home’s electrical network to help prevent fires.
Farmers
Those seeking benefits like diminishing deductibles and claims forgiveness may want to consider Farmers.
Coverage options
More than average
Average set of discounts
NAIC complaints
Fewer than expected
Farmers
Those seeking benefits like diminishing deductibles and claims forgiveness may want to consider Farmers.
Coverage options
More than average
Average set of discounts
NAIC complaints
Fewer than expected
Homeowners policies from Farmers may include two valuable types of insurance: extended dwelling and replacement cost coverage. Extended dwelling coverage gives you extra insurance for the structure of your house, while replacement cost coverage offers higher reimbursement for stolen or destroyed belongings.
Some Farmers policies also come with perks that can save you money. For example, with claim forgiveness, Farmers won’t raise your rate for a claim as long as you haven’t filed one within the past five years.
Nationwide
For shoppers seeking a broad range of coverage options, Nationwide may fit the bill.
Coverage options
More than average
Great set of discounts
NAIC complaints
Close to expected
Nationwide
For shoppers seeking a broad range of coverage options, Nationwide may fit the bill.
Coverage options
More than average
Great set of discounts
NAIC complaints
Close to expected
We like Nationwide for its wide variety of coverage options. For example, its standard homeowners insurance policy generally includes ordinance or law coverage, which can help pay to bring your home up to current building codes after a covered claim. You can add other coverage for things like identity theft and damage from backed-up sewers and drains.
Depending on how much personal assistance you need, you can get a quote for homeowners insurance on the Nationwide website or work with a local agent instead. You can also use the website to pay bills, file claims or check claim status.
USAA
Offers perks and affordable rates for the military community.
Coverage options
Below average
Average set of discounts
NAIC complaints
Far fewer than expected
USAA
Offers perks and affordable rates for the military community.
Coverage options
Below average
Average set of discounts
NAIC complaints
Far fewer than expected
USAA sells homeowners insurance to veterans, active military and their families. If you fall into one of those groups, you might want to look into USAA’s offerings. The company’s homeowners policies include some unique perks such as deductible-free coverage for military uniforms and coverage for identity theft.
Homeowners in Arkansas can take part in the company’s Connected Home program, which gives you a discount on your policy if you buy and install approved smart home devices. These include water leak sensors, cameras and thermostats.
How much does homeowners insurance cost in Arkansas?
The average annual cost of home insurance in Arkansas is $3,020. That’s 66% more than the national average of $1,820.
In most U.S. states, including Arkansas, many insurers use your credit-based insurance score to help set rates. Your insurance score is similar but not identical to your traditional credit score.
In Arkansas, those with poor credit pay an average of $6,850 per year for homeowners insurance, according to NerdWallet’s rate analysis. That’s more than double what those with good credit pay.
Average cost of homeowners insurance in Arkansas by city
How much you pay for homeowners insurance in Arkansas depends on where you live. For instance, the average cost of home insurance in Little Rock is $2,740 per year, while homeowners in Fayetteville pay $2,590 per year, on average.
Average annual rate
Average monthly rate
Bentonville
Fayetteville
Fort Smith
Hot Springs National Park
Jacksonville
Little Rock
North Little Rock
Pine Bluff
Russellville
Springdale
The cheapest home insurance in Arkansas
Here are the insurers we found with average annual rates below the Arkansas average of $3,020.
What to know about Arkansas homeowners insurance
From big natural disasters like tornadoes and wildfires to more common, storm-related risks like flooding and hail, here’s what Arkansans should be looking for when shopping for home insurance.
Tornadoes
Arkansas is becoming a part of Tornado Alley, the geographic stretch with the highest frequencies of tornadoes in the U.S. Tornadoes and wind storms can damage homes and roofs, sometimes even destroying them.
Wind damage, including any caused by tornadoes, is often included in a standard homeowners insurance policy. Read your policy closely, though, as you may have a separate wind deductible. These are often a flat rate, such as $1,000, or a percentage of your dwelling coverage. For example, your policy may have a $1,000 deductible for most claims and a 1% deductible for wind claims. So if your house has $250,000 worth of dwelling coverage, you’d have to pay for the first $2,500 of wind damage yourself.
Flooding
Heavy rainfall or rapid snowmelt can overflow rivers, streams, or lakes throughout Arkansas. RiskFactor.com, a website from the nonprofit First Street Foundation, estimates that over 200,000 properties have an above 26% chance of being severely impacted by flooding in the next 30 years.
Standard homeowners insurance policies typically don’t cover flood damage. As a result, homeowners in flood-prone areas may need to purchase separate flood insurance to protect their property from water damage.
Remember that while you can purchase flood coverage anytime, there’s typically a 30-day waiting period before the insurance takes effect. Here’s more information about flood insurance and waiting periods.
Hail
Hailstorms are frequent in Arkansas throughout the spring and summer storm seasons. Homeowners may have to deal with hail damage to roofs, windows and siding, leading to costly repairs or replacements.
Hail damage is typically included in your standard home insurance policy, but make sure to read your policy closely, as it may come with a separate deductible.
Wildfires
While not a common risk in Arkansas, wildfires can still be a danger for homeowners, particularly in dry and wooded areas. Homes can be destroyed or damaged by flames, smoke and heat. Luckily, standard home insurance policies cover damage from wildfires.
Pay particular attention to your dwelling coverage limit. This is the amount the insurance company will pay to rebuild your house. A significant fire can destroy your whole home, so talk with your insurer to ensure you have enough coverage to rebuild if necessary.
Earthquakes
While generally uncommon in Arkansas, earthquakes are still a risk factor for homeowners to consider when shopping for insurance. As part of the New Madrid Seismic Zone, minor earthquakes are not infrequent. These quakes can cause substantial damage to structures and personal belongings.
Standard homeowners insurance policies don’t typically cover structural damage due to an earthquake. Review your policy carefully, and if you live in an area with higher risk, consider purchasing additional earthquake insurance.
When purchasing earthquake insurance, pay attention to the deductibles, so you know the potential out-of-pocket costs. Your earthquake insurance often has a separate deductible, which can be around 5% to 25% of the coverage on your policy. For example, if you have a 20% deductible on $200,000 of coverage, you would need to pay a $40,000 deductible for earthquake damage before your insurance kicks in.
Arkansas insurance department
The Arkansas Insurance Department regulates the state’s insurance industry and provides helpful information, as well as consumer protection. If you need to file a complaint against your insurance company, you can do so using the online Consumer Complaint Form.
If you have questions about filing a complaint or about insurance protections the Arkansas Insurance Department can offer, contact the Consumer Services division at 800-852-5494 or by email at [email protected]
Amanda Shapland contributed to this story.
Frequently asked questions
Is homeowners insurance required in Arkansas?
Homeowners insurance is not legally required in Arkansas, but your mortgage lender may require you to buy it.
Does Arkansas home insurance cover flooding?
Standard home insurance policies in Arkansas do not cover flooding. If you live in a high-risk area or are concerned about the possibility of flood damage, you will want to buy separate flood insurance.
How can I save money on home insurance in Arkansas?
There are several ways to save money on homeowners insurance in Arkansas:
Shop around to make sure you’re getting the best rate.
Choose a higher deductible. In case of any claims, you’ll pay more out of pocket, but your premiums will be lower.
Serving our nation is a tough job, but it does have its perks. One of them? Being able to finance your home purchase through a VA loan.
VA loans are backed by the U.S. Department of Veterans Affairs and are available to veterans — including service members, National Guard members and prisoners of war (POWs) — and eligible surviving spouses who want to buy their first home or another property, or who are looking to refinance their home.
The program allows those who qualify to take advantage of a unique set of benefits, including $0 down payment, low interest rates and closing costs and the ability to forgo private mortgage insurance, just to name a few.
Below we’ve put together a useful list of VA loan tips to help you achieve your dream of homeownership. Though the process closely mirrors that of getting a conventional loan, there are some key differences of which you need to be aware. Learn more in this veterans home buying guide.
Table of contents
You can get started without the Certificate of Eligibility (COE)
Your credit score still matters, but it’s not everything
Make sure you have enough saved
Pay the VA funding fee
Shop for a VA lender and get pre-approved
Hire a real estate agent that’s VA-savvy
Choose a property that’s VA-approved
Close the deal only when you’re ready to move in
1. You can get started without the Certificate of Eligibility (COE)
The Certificate of Eligibility or COE is issued by the U.S. Department of Veterans Affairs as proof that you have fulfilled the minimum military service requirements to be eligible for the VA home loan benefit. In other words, the COE is your golden ticket to getting a VA loan.
However, it’s not absolutely necessary to have the COE before you start. According to John Bell, deputy director of the VA’s Veterans Benefits Administration, prospective homeowners can still get pre-approved without a COE since it’s usually verified during the loan process itself.
It’s also a common misconception that you have to procure the document yourself. Bell says mortgage lenders can get the COE for you. Roughly 80% of the time, they can get it instantly. Otherwise, it can take up to five business days.
But if you want to be cautious and make sure you meet the service requirements before applying for the loan, you can always request a copy of your COE through the VA’s eBenefits portal or by reaching out to one of the VA regional loan centers in your area.
2. Your credit score still matters, but it’s not everything
True, VA loans generally offer lower interest rates and better loan terms than conventional loans, even if you don’t have stellar credit. That being said, though the VA does not set a minimum credit score, your credit score will have some bearing on what rate and terms you’ll receive.
Isabel Williams, broker-owner of We Save Loans, a Florida-based mortgage company that specializes in VA mortgages, says that VA loan lenders will still need to check your credit score to approve you for the loan and determine your interest rate, just as with a conventional loan.
And as with any loan, the higher your credit score, the better the deal. With VA loan rates already so favorable, a good credit score will allow you to get a rock bottom variable or fixed rate and mortgage payment, allowing you to make the most out of your hard-earned entitlement.
If your score isn’t the greatest, don’t lose heart. According to Williams, lenders tend to be more flexible with VA loans and look at your overall financial picture.
“They are more holistic,” Williams says. “They look at what your credit history looks like, and what your income versus debt looks like.” VA lenders will look at your residual income, which is how much money you have left after paying taxes, debt-to-income ratio and other necessary expenses.
Regardless of your credit score, it’s a good idea to pull up a copy of your credit report so there are no surprises before you apply. These could take the form of negative marks like delinquencies and accounts in collection you may not have known about.
You can get a free copy of your report from all three major bureaus (Experian, Equifax and TransUnion) by visiting AnnualCreditReport.com.
If, after checking your report, anything seems amiss, you can contact the bureaus directly to get any inaccuracies removed from your credit report. You can also hire a credit repair company to help you do this if you don’t feel confident enough to repair your credit yourself.
3. Make sure you have enough saved
It’s a common misconception that because VA loans don’t require a down payment, buyers won’t be required to pay anything upfront out of pocket. “People hear this a lot,” Williams says. But it couldn’t be further from the truth.
Even if you don’t need a down payment, you’re still responsible for certain closing costs, including the following:
Loan origination fees
Application fees
Discount points (if applicable)
Hazard insurance
Real estate taxes
Title insurance
Recording fees
Appraiser fees
Home inspection fees
Other third-party fees, like brokerage fees and termite reports, are absorbed by the seller with VA loans.
4. Pay the VA funding fee
Most folks will have to pay the VA funding fee. The funding fee is a one-time payment you make which enables VA loans to have favorable terms, such as no down payments or monthly mortgage insurance. The fee varies depending on whether you are a first-time homebuyer and if you make a down payment. It can be up to 3.3% of your loan amount.
Some of these costs can be rolled up into your loan, but that will result in a higher monthly payment. That’s why Williams recommends building a nest egg to pay these fees upfront at closing before beginning the home-buying process.
There are a couple of ways you can prevent your funding fee from impacting the monthly cost of your VA loan:
You can choose to pay your funding fee upfront to mitigate monthly costs for your VA loan. However, veterans and their surviving spouses might not be able to find the money to cover this fee. If you go down this road, you must pay your funding fee by the date your property closes.
Although a downpayment is not required for VA loans, you can put money down on your property to reduce your loan amount and, therefore, your funding fee. For example, a borrower who makes a 10% down payment on a $1 million property will reduce their loan amount to $900,000. If the funding fee is 3%, this down payment will reduce that amount from $30,000 to $27,000.
Although a funding fee can impact how much you pay every month for your VA loan, this type of finance doesn’t require PMI, often offers lower interest rates and has closing cost limits. Therefore, the overall cost of purchasing a property with a VA loan will likely still work out to be cheaper than buying a home with a conventional loan, purchase loan or another type of mortgage finance.
Plus, some people, like borrowers who receive VA compensation for a service-connected disability and service members with a proposed or memorandum rating before their loan closes that entitles them to compensation, don’t have to pay a funding fee. You can also get a refund for your funding fee if awarded VA compensation for a service-connected disability in the future.
Not everyone has to pay the VA funding fee. You don’t have to worry about this cost if any of the following apply to you:
You receive VA compensation for a disability connected to your service
You’re eligible to receive VA compensation for a service-connected disability but receive active-duty or retirement pay instead
You’re a service member with a proposed or memorandum rating before your loan closing date that entitles you to get compensation due to a pre-discharge claim
You receive Dependency and Indemnity Compensation (DIC) because you are the surviving spouse of a veteran
You’re on active duty and provide evidence of receiving the Purple Heart before or on your loan closing date
You might get a refund for the VA funding fee if you are awarded VA compensation for a disability connected to your service in the future. Your compensation must have a retroactive effective date that’s before the date you closed your loan. You can’t get a refund for the VA funding fee if you receive a proposed or memorandum rating after your closing date.
You can apply for a refund or check eligibility requirements by calling your local VA center at 877-827-3702.
5. Shop for a VA lender and get pre-approved
Fact: Shopping for lenders isn’t as fun as house hunting. However, it’s a necessary step in order to secure the best terms and interest rates and make sure you save money down the line.
There are different types of companies offering VA loans these days, so how do you choose the right one?
First, there are many reputable private lenders that exclusively cater to military members, veterans, military spouses and their families. Veterans United, USAA and Navy Federal all have vast experience servicing VA loans and can help make the application and lending process smoother.
Still, it pays to shop around and compare offers from multiple lenders. You can always use a rate comparison website, like LendingTree or Credible, which feature VA loans and are completely free.
You can also get multiple offers from a mortgage broker. Independent mortgage brokers do charge a fee for their services, but Williams says that sometimes you can compare mortgage rates from as many as 100 lenders with just one credit inquiry, saving you time and minimizing the impact on your credit.
Getting many offers can sometimes lead to the situation where you have more than several contenders offering similar rates and fees. In these cases, you need to check out who has the best track record. You can do this by looking them up in the Nationwide Multistate Licensing System (NMLS) or the Consumer Financial Protection Bureau’s database.
Once you’ve chosen your lender, it’s time to get pre-approved. This will allow you to know how much house you can afford.
Here’s a list of the things you’ll have to provide the loan officer for this process:
An official form of identification, such as your driver’s license or passport
Your social security number
Proof of income in the form of paystubs, W2s or your two most recent tax returns
Statements of assets (savings accounts, IRAs, etc.)
Statements of debts
Pre-approval is essential in today’s highly competitive market, as it will allow you to make an offer faster to secure your new home.
Note: The Department of Veterans Affairs provides a loan guaranty on VA loans purchased through a private lender. If you default on your mortgage, the government will pay a portion of your debt to the lender.
There are a few key differences you should keep in mind when shopping around and comparing VA loans and conventional mortgages.
No down payment
While most conventional loans require a downpayment of anywhere from 5% to 20% and above, VA loans allow you to finance up to 100% of the purchase price of a property. That can make it easier for you to afford a home.
No private mortgage insurance
As well as no down payment requirement, you don’t need to purchase private mortgage insurance (PMI) with VA loans. PMI is required on conventional loans when a borrower can’t provide a down payment of more than 20% of the property price. The cost of PMI is around 0.5% to 1.5% of the loan amount on a property per year, so removing this requirement for VA loans will definitely save you money.
Closing costs cap
With all home loans, you pay closing costs to cover loan origination, processing, underwriting and other expenses. The VA also limits or prohibits certain fees associated with closing, such as certain inspection fees and attorney fees. Though it depends on the property price, veterans and their surviving spouses typically pay less in closing costs than people taking out conventional loans.
More flexible credit requirements
There is no minimum credit score requirement for a VA loan, and the Department of Veterans Affairs requires lenders to evaluate a borrower’s entire loan profile when assessing their application for a mortgage. That means you might qualify for a VA loan even if you fail to meet the credit requirements for a conventional loan.
Lower interest rates
VA loans typically come with a lower interest rate than conventional loans, allowing borrowers to pay off their properties in a quicker time frame. Although interest rates change daily, you can expect to pay around 0.25% less in interest rates on a VA loan compared to a comparable FHA loan or other type of mortgage.
VA loans with a lower interest rate than regular VA loans are available for veterans or their spouses who are Native American. The Native American Direct Loan (NADL) program helps these borrowers get a loan to purchase, build or improve a property on federal trust land. The Department of Veterans Affairs reduced the interest rate for NADLs from 6% to 2.5% in March 2023. This reduced rate will be available for no more than 24 months.
Refinancing options
If you want to refinance your current home, you can apply for VA cash-out refinance, which lets you borrow up to 90% of the value of your property. Cash-out refinance is different from a home equity loan, where you borrow money against the value of your home minus the amount of the mortgage on your property.
Renovation loans
VA renovation loans are made up of two loans. A home purchase loan finances the purchase price of your property up to its current market value. An additional home improvement loan can help cover renovation costs to improve your property. The amount you can get for renovation costs will depend on the lender. Just like conventional VA loans, you won’t have to provide a downpayment or take out PMI with a rehab loan. However, not as many lenders offer this type of loan compared to regular VA mortgages.
6. Find a real estate agent that’s VA-savvy
It’s also important to find a realtor who is an expert in VA loans, according to Williams.
“It’s already a pretty tough market, and not having someone that understands the VA loan process or how to actually put together that offer could possibly hurt you” she says.
To be eligible for a VA loan, the chosen home must meet certain property requirements (see tip #7 ahead). So, having a real estate agent that knows the market, what’s allowed by the VA and how to draft a successful offer is crucial to getting the best deal on the home you want.
There are also various other VA loan products a VA loan specialist would be the most familiar with, including VA loan refinance, cash-out refinancing and interest rate reduction refinance loans (IRRRL).
To find a VA-savvy agent, contact your VA regional loan center to see if they have someone they can recommend in your area. Some lenders, like Veterans United, also have their own division of real estate agents that specialize in finding VA-approved homes.
VA loans have different terms and requirements than regular mortgages, making it important to work with a real estate agent who has knowledge of this type of finance. There are a few things you should look for when hiring a real estate agent.
VA loan experience
Agents should have experience working with veterans and their spouses and understand the terms and conditions of the VA loan program. For example, VA-savvy agents should know about the VA’s minimum property requirements (MPRs), which set standards for which homes can qualify for loans.
An MRP certification
Real estate agents with a Military Relocation Professional (MRP) certification have knowledge about working with veterans and their families, making them a good choice for helping you find a home. These professionals can also help you claim all the VA benefits you are entitled to when purchasing a property. You can find agents in your area with an MRP certification on the National Association of Realtors website.
Communication skills
Active-service duty members might have busy schedules that prevent them from looking for and visiting properties. VA-savvy agents understand this and should be prepared to communicate with borrowers outside of regular business hours and via various technologies. For example, someone in the military serving abroad might not be able to communicate with an agent over the phone, requiring the agent to send property information via email.
Links with VA lenders
Many real estate agents that work with veterans have connections with lenders who offer VA finance, which speeds up the home-buying process. Agents can recommend specific loan products based on the borrower’s requirements and forward details to recommended lenders.
Local knowledge
A borrower might need a property in a specific area away from a big city, such as close to a military base. In these circumstances, agents should know about local areas and services and provide this information to borrowers and their families to improve the home-buying process.
7. Choose a property that’s VA-approved
To use a VA loan, the property you want to purchase must be VA-approved. In general, the VA requires a home to be safe, sanitary and structurally sound.
All properties must also pass a VA appraisal for VA loan eligibility. This appraisal is conducted by someone chosen by the VA, and its main purpose is to determine whether the property is in good livable condition and that its selling value is in accordance with other similar properties. There are some other requirements that the property you want to buy may have to meet.
Multiunit homes
While duplexes, triplexes and four-plexes are eligible for VA loans, these properties can’t solely be used for rental or investment purposes. You must occupy one of the units as your main residence.
Mobile homes
To qualify for a VA loan, mobile homes must be properly attached to a permanent foundation. Single-wide mobile homes must be at least 400 square feet, while double-wide homes must be at least 700 square feet. All mobile homes must have permanent cooking, sleeping, eating and sanitary facilities.
New-build homes
New constructions are eligible for VA loans, but three separate inspections are required to ensure builders, plans and building sites are VA-approved. Builders also have to provide at least a one-year warranty for new-build homes.
Modular homes
These homes must be affixed to a permanent foundation to qualify for a VA loan. A modular home must also be constructed according to Department of Housing and Urban Development (HUD) guidelines or receive a certification from the state in which it was built.
Condominiums
For condos to be VA-approved, the following must apply:
Condo buildings must have more than one unit
No single person, investor or company can own more than 10% of the units in a building
Only 50% of units in a condo building can be rented to tenants
85% of condo owners must be up to date with their homeowners’ association fees
It’s important to check whether a condo is VA-approved before applying for finance. You can do this by requesting a customized condo report on the VA website.
Remember we said that not all properties can be financed through a VA loan? Well, here’s why.
John Bell, from the VA’s Veterans Benefits Administration, says that the VA home loan program was designed as an “owner-occupied program.” This means that you can’t use a VA loan to purchase a vacation home or an investment property. It must be the borrower’s primary residence. Additionally, not all condominiums can be financed through a VA loan.
“Condominiums must meet certain requirements to be eligible for VA lending,” Bell says. “Some of those requirements are things like first right of refusal when you go to sell the property,” he adds.
If you already have your eyes on a specific condo, you can find out if it is VA-approved by looking it up on the VA’s condo database. If it isn’t, don’t fret. Bell says you can always contact the VA to request an evaluation of the complex to see if it can be added to the list. This process can take as little as two weeks.
All properties must also pass a VA appraisal for VA loan eligibility. This appraisal is conducted by someone chosen by the VA and its main purpose is to determine whether the property is in good livable condition and that its selling value is in accordance with other similar properties.
8. Close the deal only when you’re ready to move in
In order to be eligible for a VA loan, you must complete the VA’s minimum occupancy requirement at closing. This is a document in which “you must certify that you intend to occupy the property as your home.”
The VA considers 60 days from your closing date as a reasonable timeframe for you to occupy the property (although, in some circumstances, this period may be extended up to 12 months). If you’re an active-duty service member, your spouse or a dependent family member may satisfy this requirement for you by moving in first.
VA Loan Tips FAQs
How does a VA loan differ from a conventional mortgage?
Unlike traditional mortgages, VA loans are specifically designed for eligible veterans, including active-duty members and their surviving spouses who want to buy a property. The government and select private lenders back these loans. Unlike conventional mortgage loans, VA loans don’t require a down payment and don’t require private mortgage insurance even if you put less than 20% down. VA loans also offer lower interest rates, lower closing costs and more flexible credit requirements compared to conventional loans.
How does the funding fee impact the cost of a VA loan?
Generally, you’ll need to pay a funding fee for a VA loan (unless you meet requirements for exemption), and this fee can impact the cost of your loan if you roll it into your loan amount. Say you take out a VA loan with a 30-year term for $500,000, and your funding fee is $15,000 (3% of the loan amount). You’ll have to pay an extra $41.66 every month (plus interest) alongside your regular mortgage repayment.
Can I use a VA loan to purchase a home that needs repairs or renovations?
Regular VA loans only finance your property based on its current market value, meaning you won’t have additional cash to make repairs. You can solve this problem by applying for a VA renovation loan (or rehab loan) to purchase a property that requires renovations.
What should I look for in a VA-savvy real estate agent?
VA loans have different terms and requirements than regular mortgages, making it important to work with a real estate agent who knows about these types of loans. You should also look for a real estate agent who has a Military Relocation Professional (MRP) certification. It can also be helpful to work with an agent who is knowledgeable about the areas near military bases if you are looking for property near a base in an area you aren’t familiar with.
How can I determine if a property is VA-approved?
The Department of Veterans Affairs requires all homes that qualify for VA loans to be safe, sanitary and structurally sound. However, there are more specific criteria for condos because these property types have communal spaces that might impact the value of a home. Mobile homes, modular homes and multiunit homes also have other requirements you should know about before you start house hunting.
Summary of the 7 VA Loan Tips:
You can get started without the Certificate of Eligibility (COE)
Your credit score still matters, but it’s not everything
This article originally appeared on Money.com and may contain affiliate links for which Money receives compensation. Opinions expressed in this article are the author’s alone, not those of a third-party entity, and have not been reviewed, approved, or otherwise endorsed. Offers may be subject to change without notice. For more information, read Money’s full disclaimer.
Opening a bank account for your teen is a great way to begin teaching financial responsibility and money management. If your teen’s account is linked to yours, it’s also a convenient way to pay them an allowance, reward them for good grades, or even transfer money for pizza when your teen is out with friends.
It’s no wonder a recent Fidelity study reported that 49% of teens in the U.S. have opened bank accounts. But which checking account is best? And what should you look for in checking accounts for teens?
10 Best Teen Checking Accounts
While there are many options available for teen checking accounts, parents frequently choose to establish accounts for their teens at their own primary banking institutions. This list includes many top national banks.
Their inclusion isn’t necessarily due to their teen checking accounts offering the highest interest rates or the most features. Instead, their comprehensive services for adults and strong reputations make them a viable consideration.
1. Copper Card
Copper Bank, Member FDIC, is a federally insured online bank dedicated to helping kids and teens learn how to manage money. Copper Bank has invested more than $1 million in high school financial literacy and the app helps teach kids the basics of investing.
Copper accounts are available to kids ages 6 and up, as long as they have their own mobile phone number separate from the adult account holder. Children and teens receive a Copper Spending Account debit card that is compatible with Google Pay and Apple Pay. Users can also use the debit card for fee-free transactions at 55,000+ ATMs nationwide.
Copper offers a ton of enticing features parents and teens will love. First, there are no overdraft fees, no minimum balance, or maintenance fees. Parents will pay a small fee of 2.5% + 30 cents of the total transaction for an “instant transfer” from a linked debit card. Otherwise, it can take 3 to 5 business days for funds to arrive in the Copper account.
Copper makes banking convenient for parents and rewarding for kids. Parents can set up automatic transfers for allowance, or can even transfer money automatically when the Copper account drops below a specific number.
Copper lets kids round-up their debit card transactions to be automatically transferred into their linked savings account. Users can set specific savings goals and earn interest with up to 5% annual percentage yield. This can motivate kids to save as they watch their money grow.
Copper also allows kids and teens to invest, starting with as little as $1. Investing is automated based on your child’s risk profile, and Copper even reinvests dividends and uses dollar-cost averaging to set your child up for investment success and good habits for life.
2. USAA Youth Spending Account
USAA offers a joint account that a parent or legal guardian can open with a child of any age. The USAA Youth Spending Account includes a debit card that allows the adult account holder to increase or decrease daily spending limits. Children can use their card at point-of-sale transactions and without fees at any of 100,000 preferred ATMs in the USAA network.
Once the child turns 13, you can use the mobile app to give them the ability to transfer money, make remote deposits, and more.
When your child turns 18, the USAA Youth Spending Account will be converted automatically to a USAA Classic Checking account. You can choose to stay on as a joint account holder to help your teen manage their money while they are away at college or in the military.
The USAA Classic Checking account has no monthly fee for college students or members of the military.
There are a few things to be aware of before you open the banking account:
USAA is available only to veterans, active duty military, national guard, reservists, military spouses and others who meet a few criteria related to the U.S. Armed Forces
The USAA Youth Spending Account requires a $25 minimum opening deposit
Your child will earn .01% annual percentage yield if they maintain a daily balance of $1,000 or more
3. PNC Bank Student Banking
PNC Bank offers a VirtualWallet student account for teens and young adults ages 16 and up. Teens under 18 will need to open a joint account with a parent or legal guardian. College students may have to show proof of enrollment. After six years, the student account becomes a regular PNC Bank Virtual Wallet account, with all the same features and benefits.
The Virtual Wallet account includes a “Spend” primary checking account, a “Reserve” savings for short-term savings and a “Growth” account for long-term savings for big ticket items or to build up emergency cash reserves.
The Virtual Wallet has no monthly service fees for students and includes fee-free ATM withdrawals at PNC Bank ATMs. Teens and adults, alike, receive ATM rebates for the first two non-PNC bank ATM withdrawals and up to $5 in ATM fee reimbursements per statement period for ATM surcharges collected by other financial institutions.
Unlike some student bank accounts, which decline transactions that would put your account in the negative, the PNC Bank Virtual Wallet offers one automatic courtesy refund of Overdraft item fees per month. However, the Virtual Wallet’s Low Cash Mode makes it easy to avoid overdrafts with alerts that tell you when your spending balance drops below a certain point.
You can also use Payment Control to choose to pay or return certain ACH transactions if your account balance is negative.
4. Wells Fargo Clear Access
Wells Fargo Clear Access is designed for teens ages 13 and up, as well as previously underbanked or unbanked customers. It’s considered a “second chance” bank account, but the lack of overdraft charges and no monthly fees also makes it great for teens just learning financial responsibility.
Be aware that children under 18 cannot open an account online. They must open the bank account at one of the 4,800 Wells Fargo branch locations nationwide.
Clear Access has no monthly fee for account holders ages 13 to 24. Teens 16 and under will need a joint account holder who is over the age of 18.
Wells Fargo Clear Access was certified by the Bank on National Account Standards as meeting the requirements for safe and affordable bank accounts with no overdraft fees. A straightforward account with few bells and whistles, the account includes access to the user-friendly Wells Fargo mobile banking app and mobile check deposits. You also get Zelle person-to-person payments and a debit card compatible with digital wallets like Google Pay.
There are no overdraft fees with Clear Access, but transactions that would bring your account into the negative are likely to be declined. There is no minimum balance requirement, but you’ll need a $25 minimum opening deposit.
5. Chase First Banking Account
The Chase First Checking Account is available to kids ages 6 to 17 and has no monthly fees. To open an account for your teen or tween, you must have a qualifying Chase checking account, such as Chase Total Checking.
It’s easy to open an account online and make transfers from your account to the Chase First Banking account in the mobile app. You can set up automatic recurring transfers for allowance or approve requests from your child for money.
Set a spending limit for general spending or for specific purposes. You can even create a list of approved stores where your child can shop with their debit card. For existing Chase customers, Chase First is one of the smartest choices for a teen checking account due to the convenience and easy parental controls.
6. Capital One MONEY Teen Checking Account
The Capital One MONEY Teen checking account is one of the most popular checking accounts for kids. You don’t need a Capital One account to open a MONEY account with your kids, as the account can accept external transfers.
The account is available for kids ages 8 and up. Once the teen turns 18, they can convert it to a Capital One 360 Checking Account of their own with no monthly fee.
Unlike Chase, Capital One MONEY Teen pays interest on checking account balances. It’s only 0.10% annual percentage yield, but it is enough to begin teaching kids the value of compounding interest. Capital One’s teen product has no monthly service fee, no minimum balance requirement, and no minimum opening deposit.
Through the mobile app, kids and teens can set savings goals, designate funds in “savings buckets” or for spending with their Capital One Mastercard debit card, and make withdrawals at any Capital One or AllPoint ATMs with no fees.
Parents can make automatic transfers for allowance, set up one-time transfers, and even pay kids rewards if they meet specific savings goals. You can track spending and view transactions in the mobile app or set up text alerts.
7. Bank of America Advantage SafeBalance
Unlike the other three largest national banks in the U.S., Bank of America does not have a dedicated teen checking account. However, Bank of America customers can open a joint account with their child who is age 13 or older and give them access to their own debit card.
Bank of America recommends the Advantage SafeBalance bank account for teens and college students under 25. There is no monthly fee on the account if one of the account holders is under 18, or under the age of 25 and a student, or if any of the account holders are members of Bank of America Preferred Rewards.
A straightforward, checkless account, BofA calls SafeBalance “a smart start for students.” Kids ages 16 and up can be sole owners of the account, but you might choose to be a joint account holder for convenience.
The SafeBalance account doesn’t have a lot of bells and whistles, but it is a great way to get your child set for the future with an account at a nationwide, reputable bank with 4,000 branch locations nationwide.
8. Axos Bank First Checking
Axos Bank First Checking offers a checking account where you can earn interest. It pays a 0.10% annual percentage yield on all balances. It is available for teens ages 13 to 17, with an adult account holder.
Axos First Checking boasts no monthly maintenance fee, no overdraft fee, and reimburses up to $12 per month in out-of-network ATM surcharges.
Be aware that your child can only make $500 in debit card purchases per day and can only withdraw up to $100 per day at ATMs.
Axos Bank is consistently rated one of the best for online banking by top personal finance websites. The First Checking account is a straightforward way to teach teens financial independence and the ease of online banking.
9. Connexus Credit Union Teen Checking Account
Connexus is a top-rated credit union that’s easy to join with a one-time donation to become a member of the Connexus Association. The Connexus Credit Union Teen Checking account offers up to 2.0% annual percentage yield with zero monthly service fees, free ATM transactions within the Co-Op or MoneyPass networks, and overdraft protection with linked accounts.
Kids ages 10 to 17 can open a teen checking account to earn a high APY. When they turn 18, the credit union will transition their teen account into a Connexus Innovative Checking account with no monthly fees.
Young adults can choose to convert the account into an Xtraordinary checking account through the credit union to earn interest. The Xtraordinary account offers up to 1.75% APY when you make 15 debit card purchases or spend $400 with your debit card.
10. Alliant Credit Union Teen Checking
Alliant Credit Union has won awards from top personal finance sites as one of the best credit unions in the country. With no monthly service fees and no overdraft fee, it’s a straightforward account that will introduce teens to the personalized service of credit unions.
Teens can earn interest with a rate of 0.25% APY on their checking account balance. Keep in mind, to earn that high yield, they will need to opt in to receive eStatements and make at least one electronic deposit per month.
As with a regular Alliant credit union account, your teen will receive up to $20 in ATM fee reimbursements per month, and pay no fees at 80,000+ ATMs nationwide.
Alliant Credit Union Teen Checking is one of the few teen checking accounts that provides overdraft protection. If you sign up with a linked savings account, Alliant Credit Union Teen checking will automatically transfer funds from savings to cover debit card purchases.
You will need a $25 minimum deposit to open an account with your teen, ages 13 to 17.
Prepaid Debit Cards for Kids
If you feel your child or teen isn’t ready for a checking account, you might consider a prepaid debit card for kids, instead. Products like Greenlight, Cash App, Revolut<18 are not your typical banking account, but are prepaid debit cards that provide kids with easy access to money.
1. Greenlight
Greenlight is one of the original names in pre-paid debit cards for kids and teens. Greenlight offers three different plans with the following monthly service fees.
Greenlight Core: $4.99/month
Greenlight Max: $9.98/month
Greenlight Infinity/$14.98/month
Each plan includes debit cards for up to five children or teens, access to the app, and parental controls. After that, these plans vary somewhat in their offerings.
The Core plan pays 1% interest. Greenlight Max pays 1% cash back on your child’s debit card purchases, deposited automatically into their savings account to earn 2% interest.
Greenlight Infinity also pays 1% cash back on purchases. It pays 5% APY on savings. But Greenlight Infinity is much more than just a debit card or money account. It’s also a family safety and protection app that provides the ability to send and receive SOS alerts, crash detection that automatically alerts 911 in the event of a car crash, and family location sharing.
Greenlight has vast capabilities for money management, including the ability to set limits on spending, reward kids with deposits for chores or accomplishments such as high grades, and pay a monthly allowance.
Kids can create a customized card, as well, which often appeals to teens.
2. Cash Card
Cash App is the popular person to person payment app that comes with a debit card you can use for online or in-store purchases. Now, everyone age 13 and up can gain access to a customized Cash Card of their own.
Cash Card is an easy-to-use card that allows you to send and receive money from external accounts or from friends and family who also use Cash App. You can use Boosts in Cash app to find savings on everyday items from popular stores. Boosts are a great way to teach kids how to save money while shopping.
There is no minimum deposit to open a Cash App account.
3. Revolut
Revolut has no monthly service fee and links to an external account or your Revolut online bank account. You can set spending limits and receive alerts when your child uses their debit card.
You can also assign “tasks” to your kids and set up instant transfers from your account when the task is complete. You can also set up automatically allowance payments, or create a list of chores and put money directly on your teen’s debit card when that chore is done.
Features to Consider for Opening a Teen Checking Account
The features you’ll find in the best free checking accounts for adults should also apply to teen checking accounts. Most of the best teen checking accounts on our list meet the following requirements.
No Monthly Maintenance Fees
You don’t want to pay money so your teen can learn about managing money. Teach your teen early on that some of the best things in life – including their checking account – can be free.
Low Minimum Balance Requirements
Look for an account with no minimum opening deposit and no minimum balance requirements. Fortunately, even banks that have minimum balance requirements to waive fees for other checking accounts typically have no requirements for free checking for teens.
Low or No Fees
Make sure there are no ATM fees, no overdraft fees, and no hidden fees for any reason. Most teen checking accounts will decline a purchase rather than put the account into overdraft, which can help teens build financial responsibility and learn money management.
Linked Savings Accounts
When you’re evaluating a teen checking account, you may also want to look for a linked savings account with savings buckets, so your teen can set goals and plan for future purchases. Compare interest rates on teen accounts, discuss the other features and benefits, and enroll your teen in making the choice with you.
Parental Controls
You should be able to lock and unlock your teen’s checking account within the mobile app, set spending limits, and even designate certain funds to be used only for specific purposes.
Online Banking Through a Desktop Portal or Mobile App
Teens today are tech savvy. Fortunately, most teen bank accounts – even those from brick and mortar banks and credit unions – include an easy to use mobile app with separate logins for teens and their parents.
Direct Deposit
Features like direct deposit may not be as important, unless your teen is working and wants their paychecks deposited into their account. Most of the bank accounts on this list, however, do offer the service. Some even deposit funds up to two days earlier than usual.
It’s a nice bonus when teen checking accounts can be converted into a regular checking account once your child reaches adulthood.
Pros and Cons of Bank Accounts for Teens
As you evaluate the features of these teen checking accounts, you might wonder if it’s even worthwhile to open a checking account for your teen. Opening a bank account for your teen can help them develop good personal finance habits early on.
Let’s consider other benefits and drawbacks of checking accounts for teens.
Pros
Conveniently transfer money from your linked account, wherever you are
Teach children and teens about saving and investing
Teach the basics of using a mobile banking app
Build financial responsibility
Money is protected by the Federal Deposit Insurance Corporation up to $500,000 for joint accounts
Cons
Teens unfamiliar with budgeting may spend more with a debit card handy
Some financial institutions charge fees
Your teen may lose their debit card, creating a security risk
You may need to make a minimum deposit to open the account
When all is said and done, the benefits of teen checking accounts far outweigh any inconveniences. Just make sure to choose a banking account with no minimum deposit requirements or monthly service fee at a bank or credit union that offers responsive customer service.
Also, make sure you can keep tabs on your teen’s spending through alerts or a mobile app.
How to Choose a Teen Checking Account
Now that we’ve explored some of the best checking accounts for teens, you may have already made your choice. If not, here are some aspects to think about when choosing the best checking account or prepaid spending account for your tween, teen, or college student.
Choose the Type of Teen Account You Want (Checking Account vs. Savings Account)
First, think about whether you want a prepaid debit card, a checking account, a savings account, or both. Do you want to choose a money account from a bank or credit union? Would you prefer to open the account at a brick and mortar bank or are you and your teens comfortable banking online only?
The answers to these questions should give you a good place to start.
Consider the fee menu (monthly service fees, recurring transactions, ATM withdrawals, card reload, etc.)
It shouldn’t cost money to teach your teen money management. Consider any fees related to the account. Similarly, you might prefer a bank or credit union with no minimum deposit to open an account.
Some of the best teen checking accounts pay interest, which is a great incentive to help your teen start saving money and to put a little extra money in their pocket.
Consider the Age and Responsibility Level of your Teen
Most of the best teen checking accounts feature alerts for parents through text or an app, capabilities to freeze spending or set limits, and turn off the debit card in the app in case it’s lost or stolen. These are good capabilities as your teen learns how to manage money.
Because you can’t spend every minute tracking your teen’s finance, however, you also want an account that will either decline transactions that would put the account into the negative, offer overdraft protection, or waive overdraft fee.
How to Open a Teen Checking Account
When you’re ready to open a checking account for your teen, you’ll want to make sure you have their date-of-birth and Social Security number handy, as well as your own. Make note of any minimum deposit requirements, as well, and have a plan in place to fund the account.
Fund the Teen Checking Account and Activate the Debit Card
Most teen checking accounts will allow you to make a deposit from an external account or make a mobile check deposit in the app. If your teen works, you can have them request a form to have their paycheck deposited automatically via ACH transfer.
If you open a teen account with Chase, Bank of America, or other big banks, you can easily transfer funds from your linked internal account in minutes.
Once your teen receives their debit card, you will want to show them how to activate it by calling the number on the card or setting up their PIN at an ATM within the network. Let them know that their PIN should be easy for them to remember, but hard for anyone else to guess. They shouldn’t use their birthday or the last four digits of their phone number, for instance.
Frequently Asked Questions
Do teen checking accounts have monthly fees?
Most of the best checking accounts on our list do not have maintenance fees, service fees, or ATM fees.
Can a minor have a checking account?
Yes, a minor can open a checking account jointly with a parent or guardian.
What happens to a teen checking account when I turn 18?
Some of the best teen checking accounts automatically convert to regular checking accounts when the child turns 18.
Can I open a teenage bank account online?
You can open many of the checking accounts on this list online. However, to open a Wells Fargo Clear Access account for a person under the age of 18, you’ll need to visit a brick and mortar branch.
What is the minimum age to open a teen checking account?
Some teen checking accounts are available to children as young as six years or eight years old, as long as they are opened jointly with a parent or guardian. Teens 18 and older can open an account on their own. Many student checking accounts designed for young adults ages 18 to 25 have no fees for college students.
How much money should you keep in your teenager’s checking account?
How much money you keep in your teen’s checking account will depend on a variety of factors. How much can you afford to pay in allowance or fees for chores per month? Is your child earning any money of their own they can deposit? Do they typically receive cash gifts for birthdays or holidays?
Keep in mind, funds in teen checking accounts are FDIC insured up to the federal limit of $250,000 per account holder, per account type. In the case of jointly held accounts with a parent and a minor account holder, these accounts are insured for $500,000 in total, or up to $1 million if you have linked checking and savings.
Perhaps one of the most confusing aspects of getting a mortgage is knowing who you actually pay once the thing funds. And to that end, when your first mortgage payment is due.
While Bank X may have closed your loan, an entirely different company could send you paperwork and a payment booklet. What gives?
Well, this highlights the difference between a mortgage lender and a mortgage servicer.
Mortgage Lender vs. Mortgage Servicer
The bank or mortgage lender processes and funds the home loan
Once it closes it may be sold off to a loan servicer or retained in portfolio
The job of a loan servicer is to collect monthly mortgage payments
And manage escrow accounts if your home loan has impounds
As noted, a mortgage loan servicer, also known simply as a loan servicer, is the company that collects your monthly mortgage payments.
They also manage your escrow account if your home loan has impounds, collecting a portion of property taxes and homeowners insurance each month, before making those payments on your behalf when due.
So really, there’s a good chance you’ll deal with your loan servicer a lot more than your mortgage lender, who may have only been in the picture for a month or so while your loan was originated.
You see, many mortgage lenders focus on loan origination as opposed to servicing, so they’re happy to fund your loan and quickly sell it off for a profit, then rinse and repeat.
The same goes for mortgage brokers, who fund your loan on behalf of a wholesale mortgage lender, which also may sell off the loan to a different servicing company shortly after it closes.
Further complicating all this is the fact that your mortgage lender could also be your loan servicer because some big banks and mortgage companies can profit from it.
One thing mortgage companies figured out in recent years was that keeping in touch with their past customers was a great way to generate repeat business.
But if they sell all their home loans off to other companies, they may lose out if mortgage rates fall and these customers are ripe for a mortgage refinance.
There are also mortgage subservicers, companies that perform loan servicing tasks on behalf of a lender, instead of completing those things in-house.
Anyway, without getting too convoluted here, it’s important to note this distinction between lender and servicer so you know who you’re dealing with.
And to ensure you’re sending monthly mortgage payments to the right place!
What Do Loan Servicers Do?
Collect monthly mortgage payments
Manage escrow accounts (property taxes and homeowners insurance)
Provide customer service if borrowers have any questions
Generate loan payoff statements
Perform loss mitigation (loan default, loan modifications, foreclosure, credit reporting)
Ensure compliance with federal, state, local regulations
The list above should give you a better idea of what loan servicers do, and why banks and lenders may choose to outsource these things.
If you have any questions regarding your home loan post-closing, it’s generally best to get in touch with your loan servicer as opposed to your mortgage broker or lender.
They should be able to answer any questions you have, whether it’s knowing where to send payments, how to make extra payments or biweekly mortgage payments, loan amortization questions, and so on.
Additionally, if having payment troubles in the future, your loan servicer should be the one to call to discuss options.
Remember, the lender is typically just there to help process and close your loan, then hands off the reins to a servicer from there.
Mortgage Servicing Transfers
Many home loans are transferred to loan servicing companies shortly after funding
You should receive a letter within 15 days of your loan being transferred
The new company’s contact information should be prominently displayed
It will also include the date when the old servicer will no longer accept payments
And the date when the new servicer will start accepting monthly payments
One of the most important things to do after your mortgage closes is to take note of who your loan servicer is.
Unfortunately, mortgage servicing rights are frequently transferred shortly after your loan funds, which can make it confusing to know who to pay.
Add in all the junk mail you might receive as a new homeowner (like mortgage protection insurance) and it could get really murky.
The good news is lenders and loan servicers must adhere to certain rules regarding the transfer of servicing rights.
After your mortgage funds, look out for a letter in the mail from the entity that closed your loan regarding a servicing transfer. You may also receive a letter from your new loan servicer as well.
It should clearly explain who will be processing your mortgage payments going forward, and is required to be sent 15 days prior to your loan’s servicing rights being transferred to the new servicer.
The letter should include all the relevant contact information you’ll need to ensure payments are sent to the right company at the right time.
Take note of when they’ll begin accepting payments, and when the old company will stop accepting payments.
In my opinion, it doesn’t hurt just to call the company and make sure everyone is on the same page before you send your payment, just to avoid a mess.
If you do make a payment mistake, there are some protections in place if it’s within 60 days of the servicing transfer, per the CFPB.
During this time, the new loan servicer can’t charge you a late fee or mark the payment as late if your payment was sent to your old servicer by its due date or within the grace period.
Who Are the Top Mortgage Servicers in the Country?
1. Quicken Loans 2. Regions Mortgage 3. Huntington National Bank 4. TD Bank 5. Chase 6. M&T Mortgage 7. SunTrust Mortgage (Truist) 8. Bank of America 9. Guild Mortgage 10. Citizens Mortgage
Quicken Loans was the highest-ranked mortgage servicer for the seventh consecutive year in 2020, per the latest U.S. Primary Mortgage Servicer Satisfaction Study from J.D. Power.
Both USAA and Navy Federal actually have higher rankings than all the companies listed above, but don’t meet the survey’s award criteria.
In other words, you should have a very good customer experience with those two companies as well.
Who Are the Largest Mortgage Servicers in the Country?
These are listed in alphabetical order since I don’t have figures available to rank them by total servicing volume. But they are some of the largest mortgage servicers in the country.
All of these companies service billions of dollars in home loans for customers, which they either originated themselves or acquired from other banks and mortgage lenders.
If you have a mortgage, there’s a good chance one of the companies on this list handles your loan servicing.
Tip: Always take the time to make sure you’re actually dealing with your loan servicer and not some phony entity.
Typically, you pay a premium if you select a 30-year fixed mortgage versus an adjustable-rate mortgage.
The reason is simple – the interest rate is locked in and will not change during the entire loan term, which is a full 30 years, or 360 months.
Conversely, if you choose to go with an adjustable-rate mortgage, such as a 5/1 ARM or a 7/1 ARM, you only receive the benefit of a fixed rate for the first five or seven years, respectively.
It is then subject to change annually during the remaining 23 or 25 years of the loan term.
As such, you should be entitled to a discount on your mortgage rate during that initial fixed period to make up for the risk of the interest rate resetting higher once the fixed period ends.
This spread can change over time depending on what’s going on in the economy and secondary market, along with lender/investor appetite for certain products.
Today’s Menu: 30-Year Fixed or Bust
Mortgage rates are usually highest on the 30-year fixed
Because borrowers receive a fixed interest rate for a full three decades
Discounts are typically given on riskier products like ARMs or shorter-term loans like the 15-year fixed
But right now lenders aren’t passing along the usual discounts
At the moment, anything that isn’t a 30-year fixed mortgage is basically out of favor.
This is probably even more true with nonbank lenders and those who sell off their mortgages, as opposed to keeping them in their own bank portfolio.
This explains why you’re no longer seeing the usual discounts offered for loan products like ARMs, and in some cases, even shorter-term fixed-rate mortgages, including the 15-year fixed.
Once again, I traveled across the internet to see what mortgage lenders were advertising for their popular loan programs, and this trend is pretty clear.
Lender
ARM or 15-Year Fixed Rate
30-Year Fixed Rate
Bank of America
3.375% (10/1 ARM)
3.375%
BB&T
3.375% (15-year fixed)
3.375%
Chase
3.49% (7/1 ARM)
3.125%
Citi
4.75% (7/1 ARM)
3.875%
Citizens Bank
3.375% (7/1 ARM)
3.375%
Navy Federal
2.375% (5/5 ARM)
2.875%
Quicken Loans
3.125% (10/1 ARM)
3.375%
USAA
*3.50% (VA 5/1 ARM)
3.50%
Wells Fargo
3.625% (5/1 ARM)
3.375%
Bank of America is advertising a 30-year fixed for 3.375% with 0.786% discount points, and a 10/1 ARM for the same rate with 0.971% discount points. In this example, it’s actually more expensive to take the riskier loan product.
BB&T is charging the same 3.375% for a 30-year or 15-year fixed refinance rate, yet the APR is slightly higher on the 15-year.
Chase will give you a 30-year fixed for 3.125%, or a 5/1 ARM for the same price. If you want a 7/1 ARM, the rate jumps up to 3.49%. More risk for more money…that’s a sign of a messed-up mortgage market.
Citi is showing super wild mortgage rates, with the 30-year fixed 3.875% with 0.125% points, and the 7/1 ARM pricing at 4.75% with a full point charged. You’d be crazy to go with the ARM.
Over at Citizens Bank, they’re advertising a 30-year fixed for 3.375% with .50% discount points. Meanwhile, their 7/1 ARM features the same exact rate with .125% discount points.
So slightly cheaper in terms of closing costs, but the same exact rate. It wouldn’t make much sense for most folks to go with the ARM unless they absolutely knew they’d be selling before those seven years were up.
And right now, there’s not a whole lot of certainty in terms of what’s next for anyone.
Some mortgage lenders aren’t advertising or possibly even offering ARMs at the moment, including Better Mortgage and Guaranteed Rate.
Navy Federal seems relatively normal, with their 30-year fixed 2.875% with 1.25 points, and their 5/5 ARM pricing at 2.375% with 0.25% points.
That’s a discount of a half a percent, which is more of what you’d expect to see based on the risk profiles of both loan programs. This might be because they keep the loans they originate.
At Quicken Loans, you can get a slight discount on a 10-year ARM vs. a 30-year fixed, 3.125% instead of 3.375%.
Then there’s USAA, which is advertising a 30-year fixed VA loan for 3.50% with negative mortgage points of 0.375%, and a 5/1 ARM with “APR typically around 3.500%.” You have to call to get the scoop, but it doesn’t sound much cheaper.
Lastly, Wells Fargo is offering a 5/1 ARM for 3.625%, and a 30-year fixed for a cheaper 3.375%.
So again, you’d be better off taking the 30-year fixed, not only because the interest rate is lower, but it’s also fixed for the full mortgage term.
It’s All About the Plain Vanilla Home Loan Right Now
Mortgage lenders are very skittish at the moment like all other businesses
As such they’re sticking to their safest products like the 30-year fixed while also tightening underwriting standards
This is partially because it’s easier to sell these types of loans on the secondary market to investors
Expect it to be more difficult to find a home loan with exotic features for the foreseeable future
In summary, mortgage lenders are grappling with a lot of uncertainty, just like everyone else thanks to the coronavirus (COVID-19).
And when that happens, they flock to the safety and security of the 30-year fixed, similar to how investors flee the stock market and head toward government bonds, which are guaranteed to be paid back.
Speaking of being paid back, the Fed’s QE4 program targets agency mortgage-backed securities, such as those backed by Fannie Mae and Freddie Mac.
At the moment, banks and lenders are eschewing anything that isn’t super vanilla, aka basic and low-risk.
Those who are offering ARMs, jumbo loans and other traditionally riskier products are charging a premium in many cases since they don’t have the benefit of the Fed as a buyer.
Others are just removing them from their product menu, perhaps until the dust settles.
It’s reminiscent of the mortgage crisis that took place in the early 2000s, when lenders only originated boring old fixed-rate mortgages and ditched all the aggressive option ARMs, interest-only loans, and so on.
To make matters worse for some borrowers, they’re also upping minimum credit score requirements and getting tougher with their underwriting, whether it’s a lower max DTI ratio or a lower max loan-to-value ratio (LTV).
The name of the game is less risk, so if you’ve got a questionable loan scenario, it might be difficult to get funding right now.
Hopefully this is a short-term phenomenon, but no one knows for sure how long it will last.
Read more: What mortgage has the best interest rate?
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If you’re moving away for college and planning to bring a car, remember to check how this change might impact your car insurance. You might need to purchase your own car insurance policy, for example, or you may be able to stay on your parents’ policy if you meet certain conditions. Having the right coverage in place can help ensure you’re covered in case of an accident.
If you’re a teen driver or you have a teen driver listed on your policy, you might also be looking for ways to save. Adding a younger driver can make car insurance more expensive, but the good news is that some companies offer cheaper average rates than others for college students. In addition, several companies offer competitive student discounts.
The best car insurance for college students
While many of the best car insurance companies provide discounts to college students, some are more generous than others. Below, Bankrate’s insurance editorial team selected five top car insurance providers that offer competitive rates to college-aged drivers on their parents’ policy, according to 2023 auto insurance rate data pulled from Quadrant Information Services.
Each company is listed with its Bankrate Score, which shows how well each insurance provider performs overall, on a five-point scale. Our team calculates Bankrate Scores by analyzing each company’s average premiums, coverage offerings, discount options, complaints filed with the National Association of Insurance Commissioners (NAIC), mobile app, J.D. Power score for customer service and AM Best rating for financial strength. The closer a company scores to five, the better it performs across each category.
Insurance company
Bankrate Score
Average full coverage premium with a student discount on their parents’ policy
Average full coverage premium without a student discount on their own policy
Geico
4.4
$2,523
$4,048
State Farm
4.2
$2,689
$7,089
Progressive
4.2
$3,163
$7,088
Farmers
3.8
$2,762
$6,567
Allstate
3.8
$4,184
$7,089
*Rates calculated for 18-year-olds students, either on their parents’ joint policy with a student discount applied or on their own policy without a student discount applied
Geico
Why we picked this carrier: Geico offers a low average full coverage rate when adding an 18-year-old college student to their parents’ car insurance policy.
If you’re looking for cheap car insurance, you may want to get a quote from Geico. Geico’s average annual cost for full coverage car insurance for 18-year-olds on their parents’ policy is $2,523 per year with a good student discount. College students may also be able to qualify for other discounts to further bring down the cost, like Geico’s discounts for membership in several organizations. The company received a high Bankrate Score of 4.4 for its wide range of discounts and low average premiums. However, the company lost a few points for its lack of optional endorsements. Unlike some of its competitors, Geico does not offer a 24-hour helpline.
PROS
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Offers discounts for fraternity, sorority, honor society and other membership organizations
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Several student discounts available
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Low average rates for college students added to their parents’ policy
CONS
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No 24/7 helpline
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Few optional endorsements
Learn more: Geico insurance review
State Farm
Why we picked this carrier: State Farm offers a generous potential discount percentage for good students.
Parents with 18-year-old students on their State Farm auto policy pay an average annual cost of $2,689 for full coverage car insurance with a good student discount. State Farm offers savings for eligible college students who can maintain a GPA of at least 3.0. Students attending school away from their primary residence without a car may also be eligible for a distant student discount, and combining these two discounts could result in an even lower premium. The company received one of the highest Bankrate Scores on our list for its low average premiums, accessible mobile app and excellent online policy management. However, if you’re interested in buying accident forgiveness coverage, a State Farm policy wouldn’t be ideal. The company only offers the coverage as a perk earned by having a certain number of claim-free years on your record, which can’t be bought.
PROS
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Low average rates for college students added to their parents’ policy
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Good student and distant student discounts available
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Offers a safe driving program for teens called Steer Clear
CONS
Close X
Gap insurance unavailable
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Accident forgiveness can’t be purchased, only “earned”
Learn more: State Farm insurance review
Progressive
Why we picked this carrier: Progressive’s Snapshot telematics program could be a great savings opportunity for college students who drive safely and infrequently.
Progressive’s average annual cost of full coverage car insurance for 18-year-olds on their parents’ policy is $3,163 with a good student discount. In addition to the standard good student and distant student discounts, Progressive also offers Snapshot, a usage-based car insurance program — which could help lower your rate based on your driving habits. The company earns a high Bankrate Score for its exceptionally wide range of coverage options, plentiful discounts and seamless online policy management. However, the company tends to have lower-than-average customer satisfaction ratings according to J.D. Power.
PROS
Checkmark
Usage-based car insurance available
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Good student and distant student discounts available
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Offers an automatic teen discount for drivers age 18 and younger
CONS
Close X
Typically ranks lower than the average in J.D. Power customer satisfaction
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Rates may differ between online and agency quotes
Learn more: Progressive insurance review
Farmers
Why we picked this carrier: Farmers offers several discount opportunities to students.
Parents with 18-year-old college students on their policy pay an average of $2,762 for their insurance each year with Farmers with a good student discount applied. Farmers also offers a youthful driver discount for anyone under 25 who is a child or grandchild of a current policyholder. While Farmers scored well in terms of mobile app and policy management, the company doesn’t have 24/7 customer support and is not available nationwide.
PROS
Checkmark
Students who make the dean’s list or honor roll may be able to save
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Several student and young driver discounts available, such as the Youthful Driver discount
Checkmark
Offers a telematics program called Signal
CONS
Close X
Not available nationwide
Close X
No 24/7 support
Learn more: Farmers insurance review
Allstate
Why we picked this carrier: Allstate has multiple discount opportunities for college students.
Although Allstate has a high average premium for a student on their parents’ policy, college students may be able to apply discounts to bring down the cost of auto insurance. College students who can maintain a GPA of at least 2.7 may qualify for a good student discount, which is more generous than many other insurers’ good student discount qualifications. The company’s Bankrate Score was impacted by its high premiums. However, it gained points for its A+ (Superior) AM Best financial strength rating and user-friendly policy management.
PROS
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Money-saving programs such as Smart Student and teenSMART available
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Several student discounts available
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Robust digital tools
CONS
Close X
High average premiums
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Fewer additional coverage options than other carriers
How can college students lower their car insurance premium?
Because car insurance rates for young drivers are significantly higher than the national average cost of car insurance, finding ways to save money may be critical. To find cheap car insurance for college students, you may want to get several quotes to give you an idea of what you will pay. Some other ways to save include:
Student discounts
Many car insurance companies offer discounts designed specifically for college students, such as:
Earning good grades in school demonstrates to insurers that you are responsible, making it more likely that you are a responsible driver and often earning you a discount.
Another way to save money on car insurance is to complete a driver’s education course. For example, drivers with a Geico insurance policy could save by completing a defensive driving course to refresh their memory on the rules of the road.
You could save money by leaving your car at home when you are away at school. Most car insurance carriers will discount your rate if you a a certain number of miles away without a car, prorating your premium to reflect the months you are away at school and not using your vehicle.
Students can often save by demonstrating their safe driving practices through insurance programs designed for young drivers. For instance, there are savings programs like American Family’s Teen Safe Driver, for drivers under age 21, and State Farm’s Steer Clear program, for young drivers up to age 25. After completing the program, drivers could get a discount on their car insurance.
Affiliation discounts for students
Many insurance companies also offer discounts for students who participate in certain organizations or associations, such as:
Geico offers car insurance discounts for fraternities, sororities and even honor societies, along with an extensive list of other organizations.
Some companies may offer discounts if you are an alumni of a certain university or even if you’ve simply completed a two- or four-year degree.
If a parent is a veteran or military member, you might save extra money on your car insurance through military discounts. As a military-only provider, USAA is one option for military discounts for your car insurance, but a few other companies offer military discounts, too, such as Geico, The General and Liberty Mutual.
Other ways to save
In addition to student and affiliation discounts, there are other ways college students can help lower car insurance premiums using these additional savings programs:
Lower your mileage: When you spend less time on the road, there’s a lower risk of accidents happening, so many carriers will offer lower car insurance premiums to drivers who rack up fewer miles.
Drive a used car: Newer cars may be more expensive to repair or replace, so rates could be higher. A used car is generally cheaper to fix and may qualify you for lower car insurance premiums than a new car. Driving a vehicle with extra safety features is another way to potentially earn lower premiums, so explore models with safety features like anti-lock brakes, electronic stability control, forward-collision warnings and automatic emergency braking.
Explore pay-as-you-go insurance: Instead of paying full price for car insurance, you might be able to sign up for pay-per-mile insurance, which monitors your driving and charges your car insurance accordingly. It’s a popular option with several car insurance companies: Allstate offers its Milewise program and Nationwide has its SmartMiles program.
Car additions: Some additions and upgrades may make your car safer and help you save money on car insurance premiums.
Dash cams: Dash cameras could help reduce car insurance rates by reducing the likelihood of crime involving your vehicle and also protecting you against false liability claims that could cost your insurer money. Discounts for dash cams aren’t common, but you may find a carrier that offers one.
Navigation systems: A GPS navigation system can help keep you feel more prepared when driving, helping you drive slower and more safely, which could translate to lower rates.
Anti-theft device: A car alarm or other anti-theft device may earn you extra discounts by lowering the risk of theft or vandalism.
Ways to save on driving
Driving can be expensive, especially so for college students on tight budgets. Keeping transportation costs low can help students afford to keep their cars and maintain insurance on the vehicle. Here are some ways to save on gas and vehicle maintenance.
How to save on gas
Gas can be pricey, especially if you drive often. Here are some ways to lower your gas costs:
Choose a car with good gas mileage: College students often commute between home and school, so a car with excellent gas mileage can easily save hundreds of dollars each year.
Use a rideshare service: Using rideshare services like Uber and Lyft can help you save on gas costs, and may be especially cost-effective if you opt for group ridesharing, where you split the cost with others.
Utilize public transportation: Public transportation can almost entirely eliminate transportation expenses. Buses, trains or subways are often a fraction of the cost of driving and are usually accessible at most colleges or universities.
Invest in a bicycle: A bicycle can be an even better substitute for public transportation, especially for students in urban areas. Using a personal bicycle is free after purchase, and there are also typically lots of options for low-cost bike sharing or rentals in more populated areas.
Carpool with your classmates or colleagues: If you must drive, consider setting up a carpool or car-sharing arrangement with classmates or colleagues who live along your route. They will probably appreciate the opportunity to save money and it gives you the added benefit of some company during the commute. Just be sure to talk to your insurer if you’re exchanging money for gas and maintenance, to make sure you’re still covered.
How to save on maintenance
Maintenance costs should be factored into buying a vehicle as well, as they can be a large portion of your car budget. Here are some tips to save on maintenance:
Find car deals for new graduates: Many car manufacturers offer special purchase deals for current college students or recent graduates to buy a new car. There may also be short-term leasing specials available for students for those not ready to purchase a vehicle.
Ask about student savings programs for oil changes: Another potential place to save is regular oil changes. College students can burn through many miles and require more frequent oil changes, but many of the larger chains, such as Jiffy Lube, offer students discounts.
Utilize free tire and air fill-up services: To save extra money on diagnostic and professional services, check your tire pressure yourself. Most gas stations offer free or cheap stations to check tire pressure and add air if necessary.
Research DIY repairs: There are several basic car repairs that can be done at home. Learning how to do essential maintenance can save money on parts and high labor costs. It will also save time to repair the car on your own schedule. These basic repairs are easy to learn and can save hundreds of dollars. Before attempting them, it’s worth researching potential safety hazards so that you can avoid complications:
Change the battery.
Change the oil.
Change your spark plugs.
Replace tail lights or headlights.
Swap out windshield wipers.
Methodology
Bankrate utilizes Quadrant Information Services to analyze 2023 rates for ZIP codes and carriers in all 50 states and Washington, D.C. Rates are weighted based on the population density in each geographic region. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:
$100,000 bodily injury liability per person
$300,000 bodily injury liability per accident
$50,000 property damage liability per accident
$100,000 uninsured motorist bodily injury per person
$300,000 uninsured motorist bodily injury per accident
$500 collision deductible
$500 comprehensive deductible
To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. Our base profile drivers own a 2021 Toyota Camry, commute five days a week and drive 12,000 miles annually.
These are sample rates and should only be used for comparative purposes.
Age: Rates were calculated by evaluating our base profile with age 18 (base: 40 years) applied. The 18-year-old driver on their own policy is a renter. Age is not a contributing rating factor in Hawaii and Massachusetts due to state regulations.
Hello! Today, I have a great post from my blogging friend James. James and his wife paid off $62,000 in debt in just 7 months!
Shortly after we got married, my wife Andrea and I got serious about our finances and paid off all our debt.
This is the story of how we turned a profit on our wedding, combined our finances, and paid off $62,000 of debt in 7 months.
Related:
Where’d all the debt come from?
All the debt was mine. I was a dumb young kid and thought I’d always be able to out earn my stupid decisions. Until one day I couldn’t.
Despite a generous 3-year military scholarship at my pricey, private college, I had student loans to pay for:
my housing (~$12,000 x 4)
my freshman year’s tuition (~$30,000)
and a summer study abroad program (~$15,000)
Then shortly before I graduated, USAA, a military-member’s bank, offered me a $25,000 loan at the ridiculously low rate of 2% interest. USAA dubbed it a “Career Starter Loan,” but really it was their clever way of ensuring I’d be a customer for the foreseeable future. I used $15,000 to refinance my study-abroad loan, bought a new laptop, and put the rest in savings.
If you’re keeping count, that pushed my total debt upon graduating college up over $100,000.
So of course I immediately got serious about my finances, did a budget, and started attacking my debt, right?
Nope.
I bought a sports car instead.
I was 22 years old, only 4 months into my Army career, and had racked up over ~$115,000 in debt. All I had to show for it was a fancy diploma, a 3 year old Mazda, and $1,100+/month in debt payments.
My wake up call
As can happen in the military, I got hurt.
I always knew it was a possibility, but never thought it’d happen to me. Ultimately, the Army decided it was best if they “retired” me. Just like that my once promising career was over only two years after it started.
Fortunately for me, the Army is a huge, slow moving bureaucracy and I had some time to prepare for my unexpected new life as a civilian. Unfortunately for me, I got hurt during the financial collapse of 2008 and I was entering one of the worst job markets of my life.
I didn’t know how long I’d be without a reliable income, but I knew I’d still be expected to reliably come up with $1,100/month for debt payments.
I opened an excel file and made my first crude budget, subtracting what I needed to spend each month from what I made each month. Turns out I had more money leftover at the end of the month than I realized. I saved as much of it as I could and set it aside as an emergency fund.
Six months after leaving the Army, and nearly draining my savings, I convinced a Fortune 500 company to put me in charge of a $15M/year operation. Now armed with a decent salary I set aside one month’s worth of expenses as a small emergency fund and attacked my debts with a vengeance.
I finally understood what a hindrance my debts were and I wanted them gone!
If you’d like, check out this article to get the exact tools and tactics I used to attack my debts. Following this plan, I would’ve paid off my remaining ~$80,000 and been totally debt free in 3 years.
There was just something I had to do first.
Will you marry me?
My debt was no secret to Andrea, and to her credit, she didn’t really care. She valued me more than my debt and saw how hard I worked to get through my career crisis and get my act together. In fact, we grew closer through all the craziness.
We’d been together for 5 years at this point and it was time to move our relationship forward. I paid off a couple more debts, kept current on my remaining balances, and used my excess cash each month to save for an engagement ring.
In September 2011 I asked Andrea to marry me, she said yes, and we were married a year later.
In that year, I paid the minimum payments on my remaining debts and we saved all our excess cash to pay for our wedding and honeymoon.
We made sure to stretch our dollars by:
Booking a daytime wedding, it was a lot cheaper to rent a venue during the day than at night.
We rented centerpieces (the vases all the flowers went in) instead of buying them. I’m not sure what we would’ve done with 20 identical glass cylinders after the wedding, anyway.
Made our invitations and programs using kits available from craft stores.
“Hired” friends and family in the industry we would’ve been willing to hire even if we didn’t know them
Andrea’s aunt is a seamstress and made all the bridesmaids dresses.
Our DJ/Pianist was a friend.
Our Photographer was a friend.
In the end, we had a beautiful wedding, a great honeymoon, and were able to pay for everything in cash. We even had a bit leftover.
Joining forces
After our honeymoon, we moved into a new rental house and started combining our finances. Then once we could see all our money coming into and going out of the same account, we redid our budget.
Andrea and I both earned similar incomes, but now our expenses were much less as a married couple than when we lived on our own. We only had one rent payment, one set of utilities, etc. Since our “married” expenses each month were pretty close to what each of us spent as a single person we had a lot of cash left at the end of the month.
By this point, the debt was down to ~$62,000 and it was time for us to attack it.
Andrea and I both wanted to pay off the debt quickly, but we didn’t agree on how. The main point of contention centered around the money we had leftover from our wedding, wedding gift cash, and some of Andrea’s savings from her years as a responsible person.
Even though Andrea had shown me incredible grace, I still felt ashamed of my debt. I didn’t want it hanging over our heads and was willing to take drastic action to to wipe it out.
I wanted to throw most of our savings at debt, leaving just enough to act as a small emergency fund. Then once the debt was totally gone, we’d rebuild our savings to its previous level.
That plan would have us out of debt really fast, but was risky as it would leave us with only a small emergency fund for a while. I didn’t love this risky plan, but I was anxious to pay off our debts and was already used to living with only a small emergency fund. Besides, with two incomes I figured the odds of us having a catastrophic emergency were quite small.
Andrea, however, hated that plan.
She wasn’t comfortable with the risk and did not want to drain our savings. Having a big emergency fund gave her a sense of security I’d never experienced before and the idea of only having a small emergency fund freaked her out.
Balancing speed with security was a new concept for us. We viewed risk differently and had to come up with a plan we’d both be happy with. The more we talked about it, though, the less our conversations centered on our finances.
Instead, we focussed more on building the life we wanted.
Debt freedom and a big emergency fund were just some of the ingredients.
We both wanted to travel. We both wanted to give to charity. We both wanted to pursue work we love.
Paying off the debt would give us the freedom to do so.
We never wanted to worry about putting food on the table. We never wanted to wonder how we’d pay our rent. We didn’t ever want to be tied to a job we didn’t like just because we needed the money.
A big emergency fund would help us avoid those things.
Our plan for paying down debt
So here’s what we came up with.
We agreed to use some savings to pay off a couple of my smaller student loans completely. This still left us with enough of an emergency fund to maintain Andrea’s sense of security.
We agreed to keep our expenses to less than half of our combined income. We could’ve afforded to rent a fancier house and eat lobster every night, but we chose not to. This way, if one of us lost our jobs we’d still be able to pay rent and keep food on the table. While we were both working, though, we’d use the leftover cash to attack the remaining debt.
We agreed to stay focussed and pay off all the remaining debt in less than a year. If by our first anniversary we still had some debt we’d tap into our savings to pay off whatever small amount was left.
Assuming everything went according to plan, we’d be debt free with a healthy emergency fund within the first year of our marriage.
FINALLY DEBT FREE!
Everything went according to plan and we’re done paying down debt!
Seven months later we were totally debt free. ~$62,000 paid off and we still had a healthy emergency fund.
Or to put it another way, we paid off ~$115,000 in five years, about a year faster than if we’d not gotten married and I just paid it off myself. I paid off ~$53,000 in 4 years on my own, slowed down my debt attack to get married, and together with my awesome wife wiped out the rest.
Even more important than paying off the debt, Andrea and I learned how to set the course of our lives and take action to get us there. We grew closer as a couple as we faced the challenge of paying off debt. Best of all Andrea and I learned to work together to achieve great things.
Now it’s your turn
Maybe you’ve never talked about hopes and dreams or set goals with your partner. Or maybe you’ve never even thought about it for yourself. This can be tough and tricky, but I’d like to help you out.
It’s pretty easy to articulate a “what” and a “how” for money and call it a day. Take for example “Let’s pay off our credit card/student loan debt by cutting our expenses.” That’s great and responsible, but boring. Instead, as Andrea and I learned, start with “why” you want to do something.
Think about or ask your partner:
How would it feel to have an extra $100, $500, or $1,000 leftover at the end of the month?
How would you approach your career differently if you didn’t have to trade your labor just to pay Sallie Mae or Visa?
How much fun could you have?
How generous could you be?
What new options would you have in your life?
Taking this approach, you’d come up with something like: “I want to take a job for the love of it, give more money to charity, buy that thing I’ve always wanted without feeling guilty, and/or stay home with the kids. So let’s trim our expenses to pay off our debt.”
With a solid “why” like that, the “what” and “how” are just details. You’ll also be much more likely to stick with your goals when, not if, something comes along to distract you.
Pessimism is practical
If you find yourself struggling to come up with a worthy “why” release your inner pessimist. Think about all the things you don’t want in life. Think about what you’re afraid of. Then flip it by stating the opposite.
Take “I’m afraid I’m going to work as a corporate slave forever just to pay off my student loans” and flip it to “I want to pay off these loans so I can afford to work for a non-profit.”
“We’re going to be too broke to travel or have any fun when we get older” flips to become “I want to travel the world with our friends and family, so let’s save up a bunch of money to do so.”
Once you have your “why” figured out, “what” to do with your money and “how” will come more easily.
You’ll be able to withstand temptation and not get distracted by shiny stuff. And by working towards a worthy “why” together with your partner, you’ll learn to talk about money without fighting because you won’t just be talking about money. Instead, you’ll be planning and working towards a better life together.
I hope you and your partner will face the challenge of your finances, decide what you really want for your lives, and work towards your goals together. Aggressively paying off our debts actually brought Andrea and I closer together and deepened our marriage. We learned how to talk about tough subjects, set goals, and work together to achieve them. You and your partner can do the same.
Author bio: James helps couples handle and talk about money without fighting at loveandmoneymatters.com. Enjoy his blog post about paying down debt below.
What’s your family’s biggest financial goal? Why is it important to you? Are you currently paying down debt?
If you are new to my blog, I am all about finding ways to make and save more money. Here are some of my favorite sites and products that may help you out:
Find ways to make extra money – Here are over 75 different ways to make extra money.
Cut your TV bill. Cut your cable, satellite, etc. Even go as far to go without Netflix or Hulu as well. Buy a digital antenna and enjoy free TV for life.
Start a blog. Blogging is how I make a living and just a few years ago I never thought it would be possible. I earn over $100,000 a month online through my blog and you can read more about this in my monthly online income reports. You can create your own blog here with my easy-to-use tutorial. You can start your blog for as low as $2.75 per month plus you get a free domain if you sign-up through my tutorial. Also, I have a free How To Start A Blog email course that I recommend signing up for.
You should know your credit score – Check your credit score with Credit Sesame for free!
Answer surveys. Survey companies I recommend include Swagbucks, Survey Junkie, American Consumer Opinion, Pinecone Research, Prize Rebel, and Harris Poll Online. They’re free to join and free to use! You get paid to answer surveys and to test products. It’s best to sign up for as many as you can as that way you can receive the most surveys and make the most money.
Sign up for a website like Ebates where you can earn CASH BACK for just spending like how you normally would online. The service is free too! Plus, when you sign up through my link, you also receive a free $10 cash back too!
Save money on food. I joined $5 Meal Plan in order to help me eat at home more and cut my food spending. It’s only $5 a month and you get meal plans sent straight to you along with the exact shopping list you need in order to create the meals. Each meal costs around $2 per person or less. This allows you to save time because you won’t have to meal plan anymore, and it will save you money as well!
I highly recommend Credible for student loan refinancing. You can lower the interest rate on your student loans significantly by using Credible which may help you shave thousands off your student loan bill over time.
Try InboxDollars. InboxDollars is an online rewards website I recommend. You can earn cash by taking surveys, playing games, shopping online, searching the web, redeeming grocery coupons, and more. Also, by signing up through my link, you will receive $5.00 for free just for signing up!
The average cost of homeowners insurance in Mississippi is $2,510 per year, or about $210 per month, according to a NerdWallet analysis. That’s considerably higher than the national average of $1,820 per year.
We’ve analyzed rates and companies across the state to find the best homeowners insurance in Mississippi. Our sample rates are for a homeowner with good credit and $300,000 dwelling coverage, $300,000 liability coverage, and a $1,000 deductible. But, of course, your rates will be different.
Note: Some insurance companies in this article may have changed their underwriting practices and no longer issue new policies in your state.
Why you should trust NerdWallet
Our writers and editors follow strict editorial guidelines to ensure fairness and accuracy in our writing and data analyses. You can trust the prices we show you because our data analysts take rigorous measures to eliminate inaccuracies in pricing data and may update rates for accuracy as new information becomes available.
We include rates from every locale in the country where coverage is offered and data is available. When comparing rates for different coverage amounts and backgrounds, we change only one variable at a time, so you can easily see how each factor affects pricing.
Our sample homeowner had good credit, $300,000 of dwelling coverage, $300,000 of liability coverage and a $1,000 deductible.
The best homeowners insurance in Mississippi
If you’re looking to buy homeowners insurance from a well-rated national brand, consider one of these insurers from NerdWallet’s list of the Best Homeowners Insurance Companies.
More about the best home insurance companies in Mississippi
See more details about each company to help you decide which is best.
State Farm
Well-established insurer with a lengthy list of coverage options.
Coverage options
More than average
Average set of discounts
NAIC complaints
Fewer than expected
State Farm
Well-established insurer with a lengthy list of coverage options.
Coverage options
More than average
Average set of discounts
NAIC complaints
Fewer than expected
State Farm is a great choice for homeowners who like to work directly with a company representative, as the company sells policies through a vast network of agents. And its attention to customer service has paid off; the company has fewer customer complaints to state regulators than expected for a company of its size.
State Farm offers a free Ting device as a perk for home insurance policyholders. Ting is a smart plug that monitors your home’s electrical network to help prevent fires.
Farmers
Those seeking benefits like diminishing deductibles and claims forgiveness may want to consider Farmers.
Coverage options
More than average
Average set of discounts
NAIC complaints
Fewer than expected
Farmers
Those seeking benefits like diminishing deductibles and claims forgiveness may want to consider Farmers.
Coverage options
More than average
Average set of discounts
NAIC complaints
Fewer than expected
Homeowners policies from Farmers may include two valuable types of insurance: extended dwelling and replacement cost coverage. Extended dwelling coverage gives you extra insurance for the structure of your house, while replacement cost coverage offers higher reimbursement for stolen or destroyed belongings.
Some Farmers policies also come with perks that can save you money. For example, with claim forgiveness, Farmers won’t raise your rate for a claim as long as you haven’t filed one within the past five years.
Nationwide
For shoppers seeking a broad range of coverage options, Nationwide may fit the bill.
Coverage options
More than average
Great set of discounts
NAIC complaints
Close to expected
Nationwide
For shoppers seeking a broad range of coverage options, Nationwide may fit the bill.
Coverage options
More than average
Great set of discounts
NAIC complaints
Close to expected
We like Nationwide for its wide variety of coverage options. For example, its standard homeowners insurance policy generally includes ordinance or law coverage, which can help pay to bring your home up to current building codes after a covered claim. In addition, you can add other coverage for things like identity theft and damage from backed-up sewers and drains.
Depending on how much personal assistance you need, you can get a quote for homeowners insurance on the Nationwide website or work with a local agent instead. You can also use the website to pay bills, file claims or check claim status.
USAA
Offers perks and affordable rates for the military community.
Coverage options
Below average
Average set of discounts
NAIC complaints
Far fewer than expected
USAA
Offers perks and affordable rates for the military community.
Coverage options
Below average
Average set of discounts
NAIC complaints
Far fewer than expected
USAA sells homeowners insurance to veterans, active military and their families. If you fall into one of those groups, you might want to look into USAA’s offerings. The company’s homeowners policies include some unique perks, such as deductible-free coverage for military uniforms and coverage for identity theft.
Homeowners in Mississippi can participate in the company’s Connected Home program, which gives you a discount on your policy if you buy and install approved smart home devices. These include water leak sensors, cameras and thermostats.
How much does homeowners insurance cost in Mississippi?
The average annual cost of home insurance in Mississippi is $2,510. That’s 38% more than the national average of $1,820.
In most U.S. states, including Mississippi, many insurers use your credit-based insurance score to help set rates. Your insurance score is similar but not identical to your traditional credit score.
In Mississippi, those with poor credit pay an average of $5,640 per year for homeowners insurance, according to NerdWallet’s rate analysis. That’s more than twice as much as those with good credit.
Average cost of homeowners insurance in Mississippi by city
How much you pay for homeowners insurance in Mississippi depends on where you live. For instance, the average cost of home insurance in Jackson is $2,815 per year, while homeowners in Gulfport pay $3,650 per year, on average.
Average annual cost
Average monthly cost
Greenville
Hattiesburg
Ocean Springs
Olive Branch
Starkville
The cheapest home insurance in Mississippi
Here are the insurers we found with average annual rates below the Mississippi average of $2,510.
What to know about Mississippi homeowners insurance
Mississippi sees a wide range of severe weather that homeowners should consider when shopping for the best homeowners insurance in the state.
Hurricanes
On the Gulf of Mexico, Mississippi is vulnerable to hurricanes. These fierce storms can cause damage from strong winds, storm surge and flooding. If you’re in a coastal area, ensure you have enough wind and flood damage coverage. Read more about hurricane insurance.
Wind damage is typically included in a standard homeowners insurance policy. However, residents of coastal areas may have windstorm exclusions or a separate wind deductible. These are often a flat rate, such as $1,000 or a percentage of your dwelling coverage. For example, your policy may have a $1,000 deductible for most claims and a 1% deductible for hail or wind claims. So if your house has $250,000 worth of dwelling coverage, you’d have to pay for the first $2,500 of hail damage yourself.
If wind damage is not covered in your policy, you may be able to purchase separate wind coverage from the “windpool,” or the Mississippi Windstorm Underwriting Association.
Flooding
Flooding is a common hazard in Mississippi, particularly in areas near rivers or other bodies of water or due to hurricanes and tropical storms. Flood damage is not typically covered by standard homeowners insurance; you’ll need to buy a separate flood insurance policy.
To find out if you’re at risk, check out the Federal Emergency Management Agency’s flood maps or visit RiskFactor.com, a website from the nonprofit First Street Foundation. Even if your property is deemed low risk, it may be worthwhile to purchase flood insurance for extra peace of mind.
Remember that while you can purchase flood coverage anytime, there’s typically a 30-day waiting period before the insurance takes effect. Here’s more information about flood insurance and waiting periods.
Tornadoes
Tornadoes are not uncommon in Mississippi, and they seem to be increasing in frequency. The past five years have averaged 86 tornadoes a year, up from an average of 33 a year. Much like hurricanes, the force of wind from these storms can cause significant damage to homes.
Thankfully, standard homeowners insurance will cover tornado damage, but you’ll still want to review your policy carefully. There may be a separate deductible for wind damage, as described in the hurricane section.
Thunderstorms
Severe thunderstorms that produce hail are common in Mississippi. In 2022, there were 108 reports of hail-producing thunderstorms. Hail can cause significant damage to roofs, windows, and siding. The good news for homeowners is that hail damage is often covered by standard policies.
However, as with wind damage, you may have a separate deductible for hail claims, so read your policy carefully to ensure you know what’s covered.
Mississippi insurance department
The Mississippi Insurance Department oversees the state’s insurance industry and provides consumer protection and resources. For example, its website includes guides to shopping for homeowners insurance in Mississippi, a hurricane insurance checklist and other disaster preparedness information.
You can file a complaint against your insurance company with the Mississippi Insurance Department; you can do so by mail, fax or online form. If you have questions about filing a complaint or need help, you can request assistance by email at [email protected] or toll-free at 800-562-2957.
Amanda Shapland contributed to this story.
Frequently asked questions
Is homeowners insurance required in Mississippi?
Homeowners insurance isn’t legally required in Mississippi, but your mortgage lender may require you to buy it.
Does Mississippi homeowners insurance cover flooding?
A standard homeowners policy typically doesn’t cover flooding. That means you may want to buy separate flood insurance if your home is in a high-risk area. Learn how to find the best flood insurance.
How can I save money on home insurance in Mississippi?
There are several ways to save money on homeowners insurance in Mississippi:
Shop around to make sure you’re getting the best rate.
Choose a higher deductible. In case of any claims, you’ll pay more out of pocket, but your premiums will be lower.
Since its inception in June 2017, Zelle’s instant payment service has exploded in popularity. It has established itself as one of the most widely used methods of money transfer in the United States.
Zelle, a digital payment network, is housed under the umbrella of Early Warning Services, LLC (EWS). EWS is a private financial services company jointly owned by some of the largest names in banking. These include Bank of America, Capital One, JPMorgan Chase, PNC Bank, Truist, U.S. Bank, and Wells Fargo.
How does Zelle work?
Zelle users can quickly send money to other registered Zelle users for free. Anyone can download the Zelle app. However, if your bank or credit union partners with Zelle, you can enroll through your bank’s mobile banking app or website.
To send money via Zelle, all you need is the recipient’s phone number or email address. Once you’ve confirmed the payment, they will receive a text message or email with a link to accept it.
There are currently more than 1,190 banks that use Zelle in the U.S. Below is the full list.
Full Listing of Banks That Use Zelle (A-Z)
Banks Starting With # or A
1st Bank of Sea Isle City
1st Century Bank
1st Colonial Community Bank
1st National Bank
1st Source Bank
1st State Bank
1st Trust Bank
Abington Bank
Academy Bank
ACCESSbank Omaha
ACNB Bank
Adirondack Bank
Advancial
Albany Bank & Trust
Alden State Bank
ALEC
Algonquin State Bank
Alliance Bank
Allied First Bank
Ally Bank
Alma Bank
Alpine Bank
Altamaha Bank and Trust
Amalgamated Bank of Chicago
Amalgamated Bank (NY)
Amarillo National Bank
Ambler Savings Bank
Amegy Bank
Amerant Bank
American Bank
American Bank and Trust
American Bank of Missouri
American Bank, N.A.
American Commercial Bank Trust
American Community Bank NY
American Community Bank Trust
American First National Bank
American Investors Bank
American National Bank & Trust
American National Bank of MN
American National Bank of TX
American Savings Bank
American State Bank and Trust
Ameris Bank
AMG National Trust Bank
Anchor Bank
Anderson Brothers Bank
Andrew Johnson Bank
Anstaff Bank
Apple Creek Banking Company
Arbor Bank
Arizona Bank & Trust
Armed Forces Bank
Armstrong Bank
Arthur State Bank
Arvest Bank
Aspire Banking
Associated Bank N.A.
Astra Bank
Atlantic Capital Bank
Atlantic Union Bank
Banks Starting With B
Banks Starting With C
Banks Starting With D
DL Evans Bank Mobile
Dacotah Bank
Dairy State Bank
Dallas Capital Bank, NA
Dean Bank
Dedham Savings
Desjardins Bank N.A
Dewitt Savings Bank
Dime Community Bank
Discover Bank
Dogwood State Bank
Dollar Bank, FSB
Dominion Bank
Drake Bank
Dubuque Bank & Trust
DuGood
Dundee Bank
Banks Starting With E
Eagle Bank
East West Bank
Eastern Bank
Eastern Colorado Bank
Eastern Michigan Bank
Eclipse Bank
Edmonton State Bank
Elements Financial
Embassy Bank For Lehigh Valley
Embassy National Bank
Empire State Bank
Endeavor Bank
Englewood Bank & Trust
Enterprise Bank
Enterprise Bank & Trust
Enterprise Bank & Trust Co.
Enterprise Bank of SC
Envision Bank
Ephrata National Bank
Equitable Bank
Erie Bank
ESSA BANK & TRUST
Eureka Savings Bank
Exchange Bank
Exchange Bank (CA)
Exchange Bank of NE Missouri
Excite Mobile Banking
Banks Starting With F
Banks Starting With G
Gate City Bank
Gateway First Bank
Generations Bank
Genesis Bank
Geo D. Warthen Bank
Georgia Banking Company
Georgia Community Bank
German American Bank
Gibsland Bank & Trust
Glens Falls National Bank
Glenwood State Bank
Golden Valley Bank
Gorham Savings Bank
Grand Ridge National Bank
GrandSouth Bank
Grandview Bank
Great Plains National Bank
Great Plains State Bank
Greater Community Bank
GreenLeaf Bank
Greenville Savings Bank
Grove Bank
Grove Bank & Trust
Grundy Bank
GTE Financial
Guadalupe Bank
Guaranty Bank
Guaranty Bank – MS
Guaranty Bank & Trust
Guaranty Bank (SFC)
Guardians
Gulf Capital Bank
Guthrie County State Bank
Banks Starting With H
Habib American Bank
Haddon Savings Bank
Hanmi Bank
Hanover Bank
Happy State Bank
Harrison County Bank
Hawthorn Bank
Hearthside Bank
Heartland Bank (NE)
Hendricks County Bank
Heritage Bank (KY)
Heritage Bank MN
Heritage Bank of Commerce
Heritage Bank of Schaumburg
Heritage Community Bank
Heritage Community CreditUnion
Heritage Southeast Bank
Hickory Point Bank and Trust
Highland Bank
Hillcrest Bank
Hilltop Bank
Hinsdale Bank and Trust
Holcomb Bank
Home Bank
Home Federal Bank of TN
Home National Bank
Home Savings Bank
Home State Bank
Home State Bank, IL
Home Trust & Savings Bank
Home-Federal Bank
Homeland Community Bank
HomeStreet Bank
HomeTrust Bank
Horizon Bank
Hoyne Savings Bank
Huntingdon Valley Bank
Huntington Bank
Huntington FSB
Huron Community Bank
Hyperion Bank
Banks Starting With I
Idaho Trust Bank
iGObanking
Illiana Financial
Illinois Bank & Trust
InBank
IncredibleBank
Independence Bank – Montana
Independent Bank
Infinity Bank
INSOUTH Bank
Integrity Bank for Business VA
Interamerican Bank
International Finance Bank
Intracoastal Bank
INTRUST Bank
Investar Bank
Investors Bank
Iowa State Bank
Iowa Trust and Savings Bank
Ireland Bank
Iron Workers Bank
Iroquois Federal Savings
Isabella Bank
Israel Discount Bank of NY
Ixonia Bank
Banks Starting With J
JBT
JCBank
JD Bank
Jefferson Bank
Jersey Shore State Bank
John Marshall Bank
Johnson Financial
Jones Bank
Jonesburg State Bank
Banks Starting With K
Kalamazoo County State Bank
Karnes County National Bank
Katahdin Trust Company
Kearny Bank
KEB Hana Bank USA
Kennebunk Savings Bank
KeyBank
KeySavings Bank
KeysBank
Keystone Bank
Kingston National Bank
Banks Starting With L
Ladysmith Federal
Lafayette State Bank
Lake City Bank
Lake Forest Bank
Lake Shore Savings
Lakeland Bank
Lakeside Bank
Lakeside Bank Chicago
Lamar National Bank
Landmark National Bank
Laona State Bank
LCFB
Lea County State Bank
Lead Bank
Leader Bank
Ledyard National Bank
Lee Bank
Lee Bank Mobile Banking
Legacy National Bank
Legend Bank
Level One Bank
Lexicon Bank
Liberty Bank
Liberty Bank for Savings
Liberty Capital Bank
Liberty National Bank
Liberty National Bank (OH)
Liberty Savings Bank
Libertyville Bank
LifeStore Bank
Lisle Savings Bank
Llano National Bank
Logansport Savings Bank
Lone Star National Bank
Lone Star State Bank of WT
Longview Bank
Longview Bank & Trust
Louisiana National Bank
Lowry State Bank
Loyal Trust Bank
Lubbock National Bank
Lumbee Guaranty Bank
Luther Burbank Savings
Luzerne Bank
Lyons National Bank
Banks Starting With M
M AND P BANK
M C Bank
M&F Bank
M&M Bank
M&T Bank
M1 Bank
MA Bank
Mabrey Bank
Machias Savings Bank
Magnifi Financial
Magnolia State Bank
Magyar Bank
Main Street Bank
Malvern National Bank
Manasquan Bank
Maple Bank
Marblehead Bank
Marion Center Bank
Marquette Bank
Marquette Savings Bank
Mars Bank Mobile Banking
Marthas Vineyard Bank
Maspeth Federal Savings
MCBank
McClain Bank
McHenry Savings Bank
McIntosh County Bank
MCNB Banks
Meade County Bank
Meadows Bank
Mediapolis Savings Bank
MemoryBank
Mercer County State Bank
Merchants & Farmers Bank Green
Merchants Bank
Merchants Bank of Indiana
Merchants National Bank
Meredith Village Savings Bank
Meridian Trust
Merrimack County Savings Bank
Metairie Bank
Metro City Bank
Metropolitan Bank
Metropolitan Commercial Bank
Mi BANK
Mid America Bank
Mid America Bank – Kansas
Mid Penn Bank
Middlefield Bank
Middletown Valley Bank
MidFirst Bank
Midland States Bank
MidSouth Bank
MIDWEST BANK
Midwest Bank – Minnesota
Midwest BankCentre
Midwest Bk
Midwest Community Bank
Midwest Heritage
MidWestOne Bank
Milford Federal
Millennium Bank
Minnesota Bank & Trust
MINNSTAR BANK
Minster Bank
MNB Bank
Monifi
Monona Bank
Monson Savings Bank
Montecito Bank & Trust
Montgomery Bank Mobile Banking
Monticello Banking Company
Morgan Stanley
Mound City Bank
Mountain Valley Bank
Mountain View Bank of Commerce
MPH Bank
Banks Starting With N
Nano Banc
Natbank, N.A.
National Bank of Arizona
National Bank of Blacksburg
National Bank of Indianapolis
National Capital Bank
NBC Oklahoma
NBT Bank
Nebraska State Bank & Trust Co
NebraskaLand Bank
Needham Bank
Neighborhood National Bank
Nokoosa Port Edwards Bank
Nevada State Bank
New Frontier Bank
New Mexico Bank & Trust
New Millennium Bank
New York Community Bank
Newburyport Bank
Newtown Savings Bank
NexTier Bank
NGNB
Nicolet National Bank
Noah Bank
NobleBank & Trust
North Dallas Bank & Trust Co
North Shore Bank, FSB
North Star Bank
North State Bank
Northbrook Bank
Northeast Bank
NorthEast Community Bank
Northern Trust
Northfield Bank
NorthSide Community Bank
Northumberland National Bank
Northwest Bank
Northwest Bank & Trust Co
Northwest Bank (PA)
Northwestern Bank
Northwestern Bank (IA)
Norway Savings Bank
Banks Starting With O
Oak Bank
Oakwood Bank
Oakworth Capital Bank
OCEAN Bank
Ocean Financial
Oconee Federal
Ohio State Bank
Old Dominion National Bank
Old Missouri Bank
Old National Bank
Old Plank Trail Bank
Old Point National Bank
Old Second Bank
OMB
One Florida Bank
OneWest Bank
Open Bank
Opportunity Bank of Montana
Orange Bank & Trust Company
Origin Bank
Osgood State Bank
Ozarks Federal Savings & Loan
Banks Starting With P
Pacific Alliance Bank
Pacific City Bank
Pacific Premier Bank
Pacific West Bank
Park Bank
Park National Bank
Park Ridge Community Bank
Parkway Bank
Partners Bank
Pathfinder Bank
Patterson State Bank
PCB Bank
Peapack-Gladstone Bank
Pegasus Bank
Penn Community Bank
Peoples Bank
Peoples Bank & Trust Co
Peoples Bank (IN & IL)
Peoples Bank (TX)
Peoples Bank (WA)
Peoples Bank IA
Peoples Bank of Alabama
Peoples Bank of East Tennessee
Peoples Bank of Altenburg
Peoples Bank of Graceville
Peoples Bank of Kankakee City
Peoples Bank of Kentucky
Peoples Bank of Paris Texas
Peoples National Bank
Peoples State Bank (WI)
Peoples State Bank Plainview
Peoples State Bank, Hville
Peoples Trust Company
PeoplesBank
Persons Banking Company
Peru Federal Savings Bank
Peshtigo National Bank
Philo Exchange Bank
Phoenixville Federal B&T
Piedmont Federal Savings Bank
Pinnacle Bank
Pinnacle Bank (CA)
Pinnacle Bank (GA)
Pinnacle Bank Texas
Pinnacle Bank Wyoming
Pinnacle Financial Partners
Pioneer Bank
Pioneer Bank (VA)
Pioneer Bank MN
Piscataqua Savings Bank
Pittsfield Cooperative Bank
PlainsCapital Bank
Planters Bank Mobile Banking
Platte Valley Bank NE
Platte Valley Bank WY
Plus International Bank
PNC Bank
Poca Valley Bank
Points West Community Bank
Ponce Bank
Port Washington State Bank
Prairie Community Bank
Preferred Bank
Premier Bank of the South
Premier Valley Bank
PremierBank Wisconsin
Primebank
PrimeSouth Bank
Primis
Progressive Bank
PromiseOne Bank
Prospect Bank
Prosperity Bank
Provident Bank
Provident Bank (CA)
Prudential Bank
PyraMax Bank
Banks Starting With Q
Quad City Bank & Trust
Quail Creek Bank
Quaint Oak Bank
Queenstown Bank
Quontic Bank
Banks Starting With R
R.Bank
Red River Bank
Redstone Bank
Redwood Capital Bank
Regions Bank
Reliabank
Reliance Bank
Reliance Bank (PA)
Renasant Bank
Republic Bank
Republic Bank of Chicago
Rhinebeck Bank
Richwood Bank
Riddell National Bank
Ridgewood Savings Bank
Rio Bank
Rising Bank
River Bank
River City Bank
River City Bank (KY)
Roanoke Rapids Savings Bank
Rochelle Bank
Rockland Savings Bank
Rockland Trust
Rockpoint Bank
Rocky Mountain Bank
Round Top State Bank
Royal Business Bank
RSI Bank
Banks Starting With S
S&T Bank
Sabine State Bank and Trust
Salem Five Cents Savings Bank
San Luis Valley Federal Bank
Sandhills Bank
Sandhills State Bank
Sandy Spring Bank
Sanibel Captiva Community Bank
Santa Cruz County Bank
Santander Bank
Saratoga National
Savings Bank of Walpole
Sawyer Savings Bank
Schaumburg Bank
Schuyler Savings Bank
Scottsdale Community Bank
Seacoast Bank
SECURITY BANK (OK)
Security Bank Laurel NE
Security Federal Bank
Security First Bank
Security National Bank IA
Security National Bank of SD
Security Savings Bank
Security State Bank – Wyoming
Seneca Savings
Settlers Bank
SFC Bank
Shore United Bank
Silicon Valley Bank
Simmons Bank
Skyline National Bank
SmartBank
SNB Bank, N.A.
Solutions Bank
Somerset Savings
South GA Banking Co
South Shore Bank
South Story Bank & Trust
SOUTHERN BANK
Southern Bank and Trust Co
Southern First Bank
Southern Independent Bank
Southern Michigan Bank and Trust
SouthPoint Bank
Southside Bank
SouthStar Bank
SouthState
Southwest Missouri Bank
Southwestern National Bank
SpiritBank
Spratt Savings Bank
Spring Bank
Spring Bank Brookfield WI
Springs Valley Bank & Trust Co
SSB Kenyon
St. Ansgar State Bank
St. Charles Bank
Starion Bank
State Bank Financial
State Bank of Cross Plains
State Bank of Southern Utah
State Bank of the Lakes
Stephenson National B&T
Stockman Bank of Montana
Suffolk Federal
Sullivan Bank
Summit Bank
Summit Community Bank
Sundance State Bank
Sunflower Bank, N.A.
Sunstate Bank
Surrey Bank
Susquehanna Community Bank
Susser Bank
Sutton Bank
Synovus Bank
Banks Starting With T
Tandem
TBK Bank, SSB
TC Federal Bank
TCBT
TD Bank N.A.
Terrabank
Territorial Savings Bank
Texas Bank and Trust Company
Texan Bank NA
Texas Capital Bank
Texas First Bank
Texas National Bank RGV
Texas National- Jacksonville
Texas Regional Bank
Texas Security Bank
The Andover Bank
The Bank
The Bank & Trust ssb
The Bank of Elk River
The Bank of Hemet
The Bank of Missouri
The Bank of New Glarus
The Bank of Princeton
The Bank of Southside VA
The Bank of Tampa
The Bank of Tescott
The Berkshire Bank
The Callaway Bank
The Citizens Bank
The Citizens Bank-Enterprise
The Citizens National bank KS
The Cornerstone Bank
The Dart Bank
The Dime Bank
The Farmers and Merchants Bank
The Farmers Bank
The Farmers Bank of Appomattox
The Federal Savings Bk
The Fidelity Bank (NC)
The First National Bank of LI
The Grant County Bank
The Gratz Bank FKA Linkbank
The Hamler State Bank
The Harbor Bank of Maryland
The Marblehead Bank
The Milford Bank
The MINT National Bank
The National Bank of Texas
The Neffs National Bank
The Peoples Bank
The Peoples Bank-Gambier OH
The Peoples State Bank
The Piedmont Bank
THE SAVINGS BANK
The State Bank
The State Bank Group
The Tri-County Bank
The Union Bank Co.
Think Bank
Third Coast Bank SSB
Thomaston Savings Bank
Thomasville National Bank
TIAA Bank
Timberline Bank
Touchstone Bank
Town and Country Bank
Town Bank
TowneBank
Tradition Capital Bank
Traditions Bank
Tri City National Bank
Troy Bank and Trust
Truist
Trustco Bank
TruStone Financial
TrustTexas Bank
Twin Valley Bank
Banks Starting With U
U.S. Century Bank
UBank
UBank TN
Ulster Savings Bank
Umpqua Bank
Unified Bank
Union Bank & Trust
Union Bank Monticello, AR
Union Bank
Union Savings Bank
Union State Bank
United Bank
United Bank & Trust
United Bank (AR)
United Bank of MI
United Business Bank
United Community Bank
United Community Bank, LA
United Cumberland Bank
United Security Bank
United Fidelity Bank
United Prairie Bank
United Southern Bank
Unity Bank
Unity Bank WI
Unity National Bank
Universal Bank
Universal City Studios
University Bank
Univest Bank and Trust Co.
URSB
U.S. Bank
US Metro Bank
USAA Federal Savings Bank
Banks Starting With V
Valley Bank
Valliance Bank
Varsity
Vectra Bank Colorado
Veritex Community Bank
Village Bank
Village Bank & Trust
Village Bank (VA)
Vinton County National Bank
Virginia National Bank
VisionBank
Banks Starting With W
WaFd Bank
Wallis Bank
Walpole Co-operative Bank
Washington Savings Bank
Washington Savings Bank Lowell
Waterford Bank, N.A.
Wauchula State Bank
Waumandee State Bank
Wayne Bank
Wayne Bank (PA & NY)
WCF Financial Bank
Webster Bank, former SNB sites
Wells Fargo Bank
WEOKIE
WesBanco Bank
West Alabama Bank
West Gate Bank
West Point Bank
West Shore Bank
West Texas National Bank
Western Bank
Western Commerce Bank
Western State Bank (KS)
Western States Bank
Westfield Bank
Westmoreland Federal Savings
WestStar Bank
Wheaton Bank
Willamette Valley Bank
Wilson Bank & Trust
William Penn Bank
Winchester Savings Bank
Windsor Federal Savings
Winnsboro State Bank (WSB)
Winter Hill Bank (WHB)
Winter Park National Bank
Wintrust Bank
Wisconsin Bank & Trust
Wood & Huston Bank
Woodford State Bank
Woodlands Bank
Woodlands National Bank
WoodTrust Bank
Woori America Bank
Wrentham Cooperative Bank
WSFS Bank
Wyoming Bank & Trust
Wyoming Community Bank
Banks Starting With Y
Yakima Federal Savings
Yampa Valley Bank
Banks Starting With Z
Zions Bank
Frequently Asked Questions
How do you receive money from Zelle?
If someone sends you money via Zelle, you’ll receive an email or text about their payment. Once you do, click on the link in the email or text. Then, download the Zelle app in the Apple App Store or Google Play if you haven’t already.
Click, “get started” and enter your email address or phone number, depending on how the funds were sent to you. Select “continue” and find your bank. As soon as you add your billing address on the next screen and click “continue,” you’ll be able to receive the transfer and any other transfers in the future.
What are the pros and cons of Zelle?
Just like any other digital payment provider, Zelle comes with pros and cons you should consider, including:
Pros
No fees to send or receive money
Available to customers at almost 10,000 U.S. banks and credit unions
Quick transfers, often within minutes
Chance to earn interest on money kept in checking and savings accounts connected to Zelle
Convenience of no contactless payments
Cons
Can’t cancel a payment after you send it if the recipient is already signed up with Zelle
Inability to link Zelle to a credit card
May require a smartphone
No chance to maintain a cash balance
Only for U.S. customers
Is there a fee for using Zelle?
Zelle doesn’t charge fees to send or receive money. But it’s a good idea to contact your bank or credit union to find out whether any additional fees may apply.
Is Zelle safe?
Since Zelle was created by banks and uses data encryption, it’s safe in most cases, especially when you compare it to alternative options like Venmo and Cash App. Despite this, Zelle doesn’t offer fraud protection for authorized payments.
This means if you use Zelle to make an online purchase, there’s not much you can do if you never receive the item. To avoid all safety concerns, only use Zelle to pay people you know and trust.
What’s the difference between Zelle, PayPal, and Venmo?
PayPal and Venmo are digital payment providers, which are similar to Zelle. However, unlike Zelle and Venmo, PayPal allows you to send and receive payments internationally. Many online retailers use PayPal as well.
Venmo is unique in that it’s a combination of a digital wallet and social media as you can comment with emojis when you send and receive payments. Zelle is not a digital wallet because you can only use it to transfer money from one account to another. While Zelle is generally free to use, PayPal and Venmo do charge fees in some situations.