Discover Bank Review | Checking + Savings + CDs (2024)

Welcome to my comprehensive review of Discover Bank! As one of the top online banks in the United States, Discover Bank offers a range of financial products, including checking accounts, savings accounts, and certificates of deposit (CDs). In this review, I will delve into the features and benefits of Discover Bank, explore customer reviews and ratings, and provide insights into opening a Discover Bank account.

Key Takeaways:

• Discover Bank is a full-service digital bank offering checking accounts, savings accounts, and CDs.
• Customers can enjoy a cash-back checking account, high-yield savings account, and competitive CD rates.
• Discover Bank provides a user-friendly mobile app for convenient account management.
• While Discover Bank has limited account options, it boasts attractive APYs and minimal fees.
• Opening a Discover Bank account is a simple online process that offers various funding options.

If you’re interested in online banking reviews and want to discover the best online banks, read on to explore the benefits and features of Discover Bank!

Discover Bank Checking Accounts

When it comes to checking accounts, Discover Bank offers a variety of options to meet your banking needs. One of their standout offerings is the Discover Cashback Checking account, which allows you to earn cash back on your everyday purchases. With this account, you can earn 1% cash back on up to $3,000 in debit card purchases each month.

What sets the Discover Cashback Checking account apart is that it does not charge any monthly maintenance fees or have minimum balance requirements. This means that you can enjoy the benefits of earning cash back without worrying about additional costs eating into your rewards. It’s a great way to make your money work for you.

Discover Bank also provides other checking account options with different features and benefits. Whether you’re looking for a basic checking account or one that offers additional perks, Discover has you covered. Their checking accounts are designed to provide flexibility and convenience in managing your finances.

“Discover Bank’s cashback checking account allows you to earn rewards on your everyday purchases, without any monthly fees or minimum balance requirements.”

While Discover Bank offers competitive checking account options, it’s essential to note that they have a more limited selection compared to some other banks. However, their commitment to customer satisfaction and value-driven products make them an appealing choice for many individuals.

To illustrate Discover Bank’s checking account options, here is a comparison table:

Checking Account	Features	Benefits	Fees
Discover Cashback Checking	Earn 1% cash back on up to $3,000 in debit card purchases per month	No monthly fees or minimum balance requirements	No fees
Discover Checking Account	Basic checking features	Access to Discover Bank’s online banking platform	No fees
Discover Teen Checking Account	Designed for teens (ages 13-17)	Account monitoring features for parents	No fees

As you can see, Discover Bank offers a range of checking accounts to cater to different financial needs. Whether you’re a cashback enthusiast or looking for a simple checking account, Discover Bank has options that can help you manage your finances effectively.

In the next section, we will explore Discover Bank’s savings accounts, which offer competitive rates and attractive benefits for savers.

Discover Bank Savings Accounts

When it comes to savings accounts, Discover Bank offers an excellent option with their high-yield savings account. With an industry-leading APY of 3.30%, this account allows you to earn more on your savings compared to the national savings average.

One of the standout features of Discover Bank’s savings account is that it comes with no monthly maintenance fees and no minimum balance requirements. This means that you can save without worrying about any hidden charges or restrictions on your account.

Whether you’re saving for a specific goal or simply looking to grow your savings over time, the high APY on Discover Bank’s savings account can help you reach your financial objectives faster. Plus, with no fees to eat into your earnings, you can maximize the returns on your hard-earned money.

However, it’s important to note that Discover Bank has a limited number of savings account options compared to other banks. While this may not be a deal-breaker for many savers, it’s worth considering if you prefer a wider array of choices when it comes to your savings accounts.

Discover Bank Savings Account Summary:

Features	Details
Annual Percentage Yield (APY)	3.30%
Monthly Maintenance Fees	None
Minimum Balance Requirements	None

With Discover Bank’s high-yield savings account, you can enjoy competitive APY, no fees, and the flexibility to save on your own terms. Start growing your savings with Discover Bank today.

Discover Bank CDs

Discover Bank offers a range of certificates of deposit (CDs) with varying terms and APYs. When it comes to building a solid financial foundation, CDs can be an excellent option for those looking to save and grow their money. Discover Bank CDs provide competitive rates, allowing you to earn more on your savings compared to traditional savings accounts. Let’s explore the key features and benefits of Discover Bank CDs.

Competitive CD Rates

Discover Bank offers competitive CD rates, ensuring that you can maximize your earnings. With APYs as high as 4.30% on certain terms, you’ll have the opportunity to watch your savings grow over time. Whether you’re saving for a specific goal or looking to diversify your investment portfolio, Discover Bank CDs provide attractive returns.

No Account Opening or Monthly Maintenance Fees

Unlike some other financial institutions, Discover Bank doesn’t charge any account opening fees or monthly maintenance fees for their CDs. This means that you can start saving without any additional costs eating into your earnings. By eliminating these fees, Discover Bank makes it easier for you to focus on your financial goals.

Early Withdrawal Penalties

It’s important to note that there are early withdrawal penalties if you withdraw funds from your Discover Bank CD before it matures. The specific penalty varies based on the term of your CD. It’s crucial to carefully consider your financial needs and goals before making any early withdrawals to avoid penalty charges. It’s recommended to review the terms and conditions of your CD to fully understand these penalties.

To give you a better idea of the penalty structure, here’s a breakdown of Discover Bank’s early withdrawal penalties for CDs:

Term Length	Penalty
Less than 1 year	3 months of simple interest
1 year to less than 4 years	6 months of simple interest
4 years to less than 5 years	9 months of simple interest
5 years or longer	18 months of simple interest

Note: These penalties are subject to change, so it’s always a good idea to review the most up-to-date terms and conditions provided by Discover Bank.

Discover Bank CDs offer an excellent opportunity to grow your savings with competitive rates and no account opening or monthly maintenance fees. However, it’s essential to be mindful of the early withdrawal penalties before committing to a CD. By weighing the benefits and potential drawbacks, you can make an informed decision that aligns with your financial goals and circumstances.

Discover Bank Additional Financial Services

In addition to offering a wide range of banking products such as checking accounts, savings accounts, and CDs, Discover Bank also provides various additional financial services to meet the diverse needs of its customers. These additional services include:

• Retirement Accounts: Discover Bank offers retirement account options to help individuals plan for a secure financial future. Whether you’re interested in an individual retirement account (IRA) or a simplified employee pension plan (SEP IRA), Discover Bank can assist you in setting up and managing your retirement savings.
• Student Loans: Discover Bank understands the importance of education and provides student loans to assist students in funding their college education. With competitive interest rates, flexible repayment options, and a streamlined application process, Discover Bank can help make your educational aspirations a reality.
• Personal Loans: If you’re in need of additional funds for various personal expenses, Discover Bank offers personal loans with fixed interest rates. Whether you’re planning a home renovation, consolidating debt, or financing a major purchase, Discover Bank can provide you with the financial assistance you need.
• Home Loans: Discover Bank also offers home loans to help individuals achieve their dream of homeownership. Whether you’re a first-time homebuyer or looking to refinance your existing mortgage, Discover Bank provides competitive rates and personalized service to guide you through the home loan process.
• Financial Education: Discover Bank is committed to empowering individuals with financial knowledge and offers a variety of educational resources to help customers make informed financial decisions. From online articles and guides to interactive tools and calculators, Discover Bank’s financial education resources can help you enhance your financial literacy.

By offering these additional financial services, Discover Bank aims to provide comprehensive solutions to its customers, supporting their financial goals and aspirations.

Discover Bank is not only a banking institution but also a trusted partner in your financial journey.

I believe in the power of financial knowledge and the importance of having access to a wide range of financial services. That’s why I am confident in recommending Discover Bank to anyone seeking reliable banking and comprehensive financial solutions.

Take advantage of the vast array of services offered by Discover Bank and start making smarter financial decisions today.

Discover Bank Mobile App and Online Platform

Managing your Discover Bank accounts has never been easier thanks to the Discover Bank mobile app and online platform. These digital banking solutions provide convenient and secure access to your finances, allowing you to stay in control of your money wherever you go.

Discover Bank Mobile App

The Discover Bank mobile app offers a user-friendly interface that puts essential banking features right at your fingertips. Whether you’re on your smartphone or tablet, you can enjoy the following benefits:

• Deposit checks: Snap a photo of your check using the app’s mobile deposit feature for quick and easy deposits without visiting a branch.
• Locate ATMs: Find the nearest ATMs in your area using the app’s ATM locator, ensuring convenient access to cash whenever you need it.
• Pay bills: Easily pay your bills on time by setting up one-time or recurring payments within the app.
• Transfer money between accounts: Seamlessly move funds between your Discover Bank accounts or external bank accounts with just a few taps.
• Freeze or unfreeze debit cards: Misplaced your debit card? No problem. You can instantly freeze or unfreeze your card to protect against unauthorized use.

The Discover Bank mobile app combines convenience and security, allowing you to manage your finances efficiently and confidently. Stay on top of your account balances, monitor transactions, and take control of your financial well-being with ease.

Discover Bank Online Platform

In addition to the mobile app, the Discover Bank online platform provides another avenue for managing your accounts. Accessible through your computer’s web browser, this platform offers:

• Easy account information access: Quickly view your account balances, transaction history, and other account details at a glance.
• User-friendly interface: Navigate through the platform effortlessly, thanks to its intuitive design and layout.
• Secure login and authentication: Enjoy peace of mind knowing that your information is protected with advanced security measures.
• Convenient transaction capabilities: Initiate transfers, make bill payments, and perform other essential banking tasks without the need for physical paperwork.

With the Discover Bank online platform, managing your accounts is a breeze, even if you prefer to do your banking on a desktop or laptop. Stay connected to your finances and take advantage of the platform’s features to simplify your banking experience.

Discover Bank is committed to providing its customers with a seamless and user-friendly digital banking experience through its mobile app and online platform. These tools empower you to take control of your finances on your terms, offering convenience, accessibility, and security.

By embracing discover bank digital banking, you can save time, eliminate the hassle of traditional banking, and enjoy greater control over your financial future.

Discover Bank Customer Service

When it comes to customer service, Discover Bank prioritizes providing support and assistance to its customers. Whether you have a question about your account, need help with a transaction, or want to report a lost card, Discover Bank is here to help. Here are some key details about Discover Bank’s customer service:

Contacting Discover Bank

If you need to get in touch with Discover Bank, you have a few options:

1. Phone Support: Discover Bank offers 24/7 phone support. You can reach their customer service representatives at the following number: 1-800-388-3642.
2. Email and Mail Support: If you prefer written communication, you can contact Discover Bank via email or mail. All the contact information is available on the Discover Bank website.

Discover Bank understands that you may have questions or concerns outside of regular business hours, so they provide 24/7 customer service support to ensure you can always get the assistance you need.

No Physical Branch Locations

It’s important to note that Discover Bank does not have physical branch locations for walk-in service. As a digital bank, Discover Bank operates entirely online, allowing customers to conveniently manage their accounts from anywhere. While this virtual banking approach provides flexibility and accessibility, it means that in-person service is not available. However, rest assured that Discover Bank’s customer service representatives are ready to assist you with any account-related inquiries through phone and mail.

Customer Service Hours

Discover Bank offers around-the-clock customer service support, ensuring that help is always available when you need it. Whether it’s the middle of the night or a weekend, you can reach Discover Bank’s customer service representatives at any time. They understand that financial needs don’t adhere to a strict schedule, so they aim to provide continuous support and assistance.

Customer Service Hours
24/7

Discover Bank’s commitment to excellent customer service extends beyond regular business hours, providing peace of mind knowing that help is just a phone call away whenever you need it.

Pros of Banking with Discover Bank

Discover Bank offers numerous benefits that make it an excellent choice for individuals looking for a reliable and rewarding banking experience.

Generous APYs on Savings and CDs

One of the standout advantages of banking with Discover Bank is the generous Annual Percentage Yields (APYs) offered on their savings accounts and certificates of deposit (CDs). Discover Bank’s APYs are highly competitive and can help you maximize your savings over time.

Cash-Back Checking Account Options

Discover Bank provides cash-back checking account options, allowing you to earn rewards on your debit card purchases. With Discover’s cash-back program, you can enjoy the convenience of everyday spending while earning cash back. This feature sets Discover Bank apart from many other financial institutions.

No or Minimal Fees on Many Accounts

When it comes to fees, Discover Bank is known for being customer-friendly. Many of their accounts have little to no monthly maintenance fees, making them cost-effective choices for banking. Discover Bank’s commitment to keeping fees low helps you keep more of your hard-earned money.

“Discover Bank’s high APYs, cash-back checking account options, and minimal fees make it an attractive choice for those looking to maximize their savings.”

Comparing Discover Bank with Other Banks

Bank Name	APY	Checking Account Options	Minimum Balance Requirements	Fees
Discover Bank	3.30% (Savings) 4.30% (CDs)	Cash-back checking and other options	No minimum balance requirement	No or minimal fees
Bank X	2.50% (Savings) 3.50% (CDs)	Multiple checking options	$500 minimum balance	Maintenance fees for some accounts
Bank Y	2.10% (Savings) 3.10% (CDs)	Basic checking and premium options	$1,000 minimum balance	Maintenance fees for certain accounts

This table provides a comparison of Discover Bank with other banks, highlighting the advantages of Discover Bank’s high APYs, cash-back checking options, no minimum balance requirements, and minimal fees.

Cons of Banking with Discover Bank

While banking with Discover Bank offers numerous benefits, it’s essential to consider the drawbacks before making a decision. One significant drawback is the limited number of account options available, which may not meet the needs of customers with complex financial requirements. Discover Bank only offers one type of checking account, savings account, and money market account.

Additionally, Discover Bank operates exclusively through its online platform, which may not be suitable for customers who prefer in-person banking services. While their digital banking model provides convenience and accessibility, some individuals may value the personalized experience and face-to-face interactions offered by traditional brick-and-mortar banks.

Cons of Banking with Discover Bank
1. Limited account options
2. Lack of physical branch locations

By offering only a single type of checking, savings, and money market account, Discover Bank may not cater to the diverse needs and preferences of individuals seeking more specialized financial products. Customers who require a range of account options may find other banks more suitable.

Furthermore, Discover Bank’s online-only model may be disadvantageous for customers seeking the personalized service and in-person assistance found in traditional banking institutions. The absence of physical branch locations may deter individuals who value direct, face-to-face interactions with bank representatives.

Despite these cons, Discover Bank still provides a reputable digital banking experience with competitive features and benefits. However, individuals should carefully evaluate their own banking priorities and preferences before deciding if Discover Bank aligns with their financial needs.

Opening a Discover Bank Account

Opening a Discover Bank account is a simple and convenient process that you can easily complete online. Whether you’re looking to open a checking account, savings account, or certificate of deposit (CD), Discover Bank offers a range of options to meet your financial needs. Here’s a step-by-step guide on how to open a Discover Bank account:

Step 1: Gather Personal Information

Before you begin the account opening process, make sure you have the necessary personal information readily available. This includes your full name, birthdate, address, and social security number. Having these details on hand will help streamline the application process.

Step 2: Visit the Discover Bank Website

To start opening your Discover Bank account, navigate to the official Discover Bank website. Look for the account opening section or a prominent button that says “Open an Account.”

Step 3: Choose the Account Type

Once you’re on the account opening page, you’ll need to select the specific type of account you wish to open. This could be a checking account, savings account, or CD. Read through the features and benefits of each account option to determine which one best suits your needs.

Step 4: Provide Personal Information

After selecting your desired account type, you’ll be prompted to enter your personal information. Fill out the required fields accurately and double-check for any errors before proceeding. Rest assured that Discover Bank utilizes secure encryption to protect your sensitive data.

Step 5: Enter Offer Code (if applicable)

If you have a special offer code, enter it during the application process to take advantage of any promotions or benefits that may be available to you. If you don’t have an offer code, you can simply proceed without entering one.

Step 6: Review and Submit Your Application

Once you’ve provided all the necessary information, take a moment to review your application for accuracy. Ensure that all fields are filled out correctly and that you understand the terms and conditions of opening a Discover Bank account. Once you’re satisfied, submit your application online.

Step 7: Fund Your Account

After your application is approved, you’ll need to fund your new Discover Bank account. Discover Bank offers various funding methods, including wire transfer, online transfer, or mailing a check. Choose the option that is most convenient for you to get your account up and running.

And just like that, you’ve successfully opened a Discover Bank account! Enjoy the benefits of Discover Bank’s digital banking platform and start managing your finances with ease.

Pros and Cons of Opening a Discover Bank Account

Pros	Cons
High APY on savings and CDs	Limited account options compared to other banks
Cash-back checking account option	No physical branch locations for in-person banking
Minimal to no fees on many accounts

Discover Bank CD Rates Comparison

When it comes to maximizing your savings through certificates of deposit (CDs), comparing rates from different banks is essential. Discover Bank offers competitive CD rates compared to other online banks. However, to ensure you get the best CD rates for your specific financial goals, it’s worth exploring options from various financial institutions. Consider factors such as the term length, minimum deposit requirements, and early withdrawal penalties when making your CD rates comparison.

By carefully evaluating the different CD rates available, you can make an informed decision that aligns with your savings objectives. Whether you’re saving for a short-term goal or looking to maximize returns on a long-term investment, finding the best CD rates is crucial.

Key Factors to Consider in a CD Rates Comparison

• Term length: The duration for which you are willing to invest in the CD.
• Annual percentage yield (APY): The interest rate you will earn on your CD investment.
• Minimum deposit requirements: The minimum amount you need to deposit to open a CD.
• Early withdrawal penalties: The fees charged if you withdraw funds before the CD matures.

By carefully assessing these factors, you can select a CD that aligns with your financial needs and goals. Remember, the right CD rate will vary depending on your individual circumstances, making it important to evaluate the options available.

When conducting your CD rates comparison, prioritize choosing a reputable bank known for its financial stability and customer satisfaction. Take into account factors such as the bank’s reputation, customer reviews, and overall trustworthiness.

Is Discover Bank Safe?

When it comes to banking, safety is a top concern for many individuals. Rest assured, Discover Bank prioritizes the security of your funds. Discover Bank is FDIC insured, providing you with peace of mind knowing that your deposits are protected.

FDIC insurance ensures that if Discover Bank were to close for any reason, your deposits would still be safe and protected up to $250,000 per depositor, per account ownership category. This means that even in the rare event of a bank closure, you can expect to have your funds refunded.

With FDIC insurance, you can confidently entrust your money to Discover Bank, knowing that your hard-earned savings are safeguarded against any unforeseen circumstances.

Benefits of Discover Bank’s FDIC Insurance

Benefits	Description
Deposit Protection	FDIC insurance guarantees the safety of your deposits up to $250,000 per depositor, per account ownership category.
Peace of Mind	Knowing that your funds are protected by the FDIC provides you with peace of mind and financial security.
Bank Closure Protection	In the event of a bank closure, FDIC insurance ensures that you will still have access to your funds.

With Discover Bank’s FDIC insurance, you can feel confident in the safety and security of your deposits. Your financial well-being is a top priority for Discover Bank, and their commitment to protecting your funds is unparalleled.

“Discover Bank’s FDIC insurance provides an extra layer of protection for your hard-earned money, ensuring that your deposits are safe even in the event of a bank closure.”

Withdrawing from a Discover Bank Account

When it comes to withdrawing money from your Discover Bank account, you have several options at your disposal. Whether you prefer the convenience of digital transactions or the traditional method of mailing a check, Discover Bank has you covered. Here are the various methods you can use to withdraw funds:

1. Wire Transfer

One of the fastest ways to withdraw money from your Discover Bank account is through a wire transfer. This method allows you to transfer funds electronically to another bank account. Simply provide the necessary bank information and initiate the wire transfer through Discover Bank’s online platform or by contacting customer service.

2. Phone Transfer

If you prefer a more personal touch, you can also initiate a phone transfer to withdraw funds from your Discover Bank account. Simply call Discover Bank’s customer service line and provide the necessary details to complete the transfer. This method allows you to speak directly with a representative who can guide you through the process.

3. Mailing a Check

If you prefer a physical form of payment, Discover Bank allows you to request a check withdrawal. Simply provide your account details and specify the amount you wish to withdraw. Discover Bank will mail the check to the address associated with your account.

It’s important to note that there may be withdrawal penalties for certain accounts, such as certificates of deposit (CDs), if you withdraw funds before the specified maturity date. It’s always recommended to review the terms and conditions of your specific account to understand any applicable penalties.

As shown in the table above, different withdrawal methods have their own advantages and considerations. Take the time to evaluate which option best suits your needs and preferences.

Who Should Consider a Discover Bank Account?

Discover Bank accounts are suitable for individuals who are looking for high APYs, minimal fees, and a range of financial services. Discover Bank may be a good fit for those who prefer online banking and value convenience. Additionally, customers who are interested in cash-back checking accounts or competitive CD rates may find Discover Bank appealing.

With Discover Bank, you can enjoy:

• A variety of account options to meet your specific financial needs.
• Generous APYs on savings accounts and CDs to help you grow your money faster.
• Cash-back checking accounts that reward your spending.
• Convenient online banking, allowing you to manage your accounts anytime, anywhere.
• Access to additional financial services such as retirement accounts, student loans, personal loans, and home loans.
• 24/7 customer service support for any account-related inquiries you may have.

Whether you’re a savvy saver, a frequent spender, or someone who values digital convenience, a Discover Bank account could be a great choice for you. Consider opening an account with Discover Bank and start enjoying the benefits and features it has to offer.

Conclusion

In conclusion, Discover Bank offers a range of banking products with competitive rates and minimal fees. The high Annual Percentage Yields (APYs) on savings and Certificates of Deposit (CDs) make Discover Bank a standout option for savers. Additionally, the cash-back checking account adds further value to the bank’s offerings.

While Discover Bank has some drawbacks, such as limited account options and the absence of physical branch locations, its user-friendly and feature-rich online platform provides convenient banking solutions. Customers can easily manage their accounts, deposit checks, pay bills, and access financial education resources through Discover Bank’s mobile app and online platform.

If you prioritize high-yield savings and a seamless digital banking experience, Discover Bank is definitely worth considering. With its attractive rates, minimal fees, and comprehensive suite of financial services, Discover Bank caters to individuals who value convenience and want to maximize their savings potential.

FAQ

What types of accounts does Discover Bank offer?

Discover Bank offers checking accounts, savings accounts, and certificates of deposit (CDs).

What is the cashback feature on Discover Bank’s checking account?

Discover Bank’s cashback checking account provides 1% cash back on up to ,000 in debit card purchases each month.

Does Discover Bank have any monthly maintenance fees or minimum balance requirements?

Discover Bank’s cashback checking account has no monthly maintenance fees or minimum balance requirements. However, other types of checking accounts may have different requirements.

What is the APY on Discover Bank’s savings account?

Discover Bank’s high-yield savings account offers an industry-leading APY of 3.30%.

Does Discover Bank charge any monthly maintenance fees on its savings account?

Discover Bank’s savings account has no monthly maintenance fees.

Are there any early withdrawal penalties for Discover Bank’s CDs?

Yes, there are early withdrawal penalties if you withdraw funds from a Discover Bank CD before it matures.

What additional financial services does Discover Bank offer?

Discover Bank provides retirement accounts, student loans, personal loans, home loans, and financial education resources.

Does Discover Bank have a mobile app and online platform?

Yes, Discover Bank offers a mobile app and online platform for convenient account management.

How can I contact Discover Bank customer service?

Discover Bank provides customer service support 24/7 through phone and mail.

What are the advantages of banking with Discover Bank?

Discover Bank offers generous APYs on savings and CDs, cash-back checking account options, and minimal to no fees on many accounts.

Are there any drawbacks to banking with Discover Bank?

One drawback is the limited number of account options available compared to other banks. Discover Bank also does not have physical branch locations for walk-in service.

How do I open a Discover Bank account?

You can open a Discover Bank account online by providing personal information and funding your account.

How do Discover Bank’s CD rates compare to other banks?

Discover Bank’s CD rates are competitive compared to other online banks, but it’s always a good idea to compare rates to find the best option for your financial goals.

Is Discover Bank FDIC insured?

Yes, Discover Bank is FDIC insured, which means your deposits are protected up to 0,000 per depositor, per account ownership category.

How can I withdraw money from my Discover Bank account?

You can withdraw money from your Discover Bank account through various methods, including wire transfer, phone transfer, or mailing a check.

Who should consider opening a Discover Bank account?

Discover Bank accounts are suitable for individuals who prioritize high APYs, minimal fees, and a range of financial services. Online banking convenience and cash-back checking accounts may also appeal to customers.

Our Friends

• https://fortune.com/recommends/banking/discover-bank-review/
• https://www.nerdwallet.com/reviews/banking/discover-bank
• https://www.creditdonkey.com/discover-cd-review.html