USAA Federal Savings Bank offers low fees, access to more than 60,000 ATMs across the country and a full-featured mobile app. USAA membership is available to currently serving U.S. military members and the families of members or veterans.
While USAA CDs offer solid saving options with fixed, variable and adjustable-rate options, their interest-earning potential can’t compete with higher-yield options from other banks.
USAA Bank earned an overall rating of 3.3 out of 5 from Bankrate.
USAA Bank CD Rates
The biggest benefit of USAA Bank CDs is the ability to open a CD account with very little money down. In addition, interest from CD investments is compounded daily, and the accrued interest can be paid out before the CD reaches maturity. USAA CDs don’t offer any special features, such as the ability to automatically raise rates under certain conditions. The bank does offer multiple term lengths including seven, five, four and three years along with other CD terms such as 120, 91 and even 30 days.
Here are USAA’s CD rates as of July 31, 2020.
How USAA Bank compares to top-yielding banks
While USAA Bank offers CDs that are easy to access for members and come with a variety of terms and APY options, the bank’s CD APYs are very low compared with the best CD rates on the market.
Consider a five-year USAA CD: With a $1,000 deposit, members earn 0.45 percent APY. At Synchrony Bank, meanwhile, a slightly bigger deposit of $2,000 for five years nets an APY of 1 percent. And at Marcus by Goldman Sachs, clients can earn 1.05 percent APY over five years with a deposit of just $500.
USAA does offer low deposit requirements and daily compounded interest.
Other savings options
USAA Bank offers several other savings options, including:
- USAA Savings Account: With only a $25 balance required to open this account along with no monthly service fees, the USAA Savings Account is a great starter savings option.
- USAA Performance First Savings Account: If you have cash on hand — $10,000 or more — you can open a USAA Performance First Savings Account, which offers higher interest rates as your balance grows. For example, while an account balance between $25,000 and $49,999 offers 0.05 percent interest with USAA Savings, members get 0.1 percent with USAA Performance First.
- USAA Classic Checking: Members earn interest on checking balances of $1,000 or more; there’s no monthly fee and no minimum balance required.
- USAA Cashback Rewards Checking: This account requires a $25 minimum deposit and allows members to earn 10 cents back on every debit purchase. The USAA Cashback Rewards Checking account does not earn interest.
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