Pentagon Federal Credit Union Review
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At a glance

Overview
Pentagon Federal Credit Union offers above-average rates on a wide range of banking products including savings accounts and certificates of deposit (CDs, though they’re called share certificates at credit unions). The financial institution also offers mortgages and auto, student and personal loans. However, you won’t find as many physical branches as you will for other nation-wide banks and credit unions, so if you’re looking for in-person banking, you may want to look elsewhere if there’s not a branch near you.
Highlights:
Free CheckingHighlights:
CDs
Checking
Savings
MMA
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APY, or annual percentage yield, is the yearly return on a bank or investment account.
APY, or annual percentage yield, is the yearly return on a bank or investment account.
Bankrate Savings rating = 4.4/5
Bankrate scores are objectively determined by our editorial team. Our scoring formula weighs several factors consumers should consider when choosing financial products and services.

APY, or annual percentage yield, is the yearly return on a bank or investment account.
APY, or annual percentage yield, is the yearly return on a bank or investment account.
Bankrate Savings rating = 4.5/5
Bankrate scores are objectively determined by our editorial team. Our scoring formula weighs several factors consumers should consider when choosing financial products and services.

APY, or annual percentage yield, is the yearly return on a bank or investment account.
APY, or annual percentage yield, is the yearly return on a bank or investment account.
Bankrate Savings rating = 4.4/5
Bankrate scores are objectively determined by our editorial team. Our scoring formula weighs several factors consumers should consider when choosing financial products and services.
Offers featured here have been sponsored which impacts how, where, and in what order the products appear. Not all offers are displayed on this page.
Overall
PenFed serves around 2.9 million members worldwide as one of the largest federal credit unions, based on assets and membership. It has a rich history in serving members of the armed forces, those affiliated with the military and employees of the federal government. PenFed has members in all 50 states, the District of Columbia and several U.S. territories. However, anyone can join the credit union by opening a savings account and depositing $5. PenFed is insured by the National Credit Union Administration (NCUA).
Pros
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The Premium Online Savings account offers an annual percentage yield (APY) that’s well above the national average.
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The APY on money market certificates are also much higher than that you’ll find with traditional savings accounts, and the bank has IRA certificates.
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Checking or savings accounts can be opened with a low minimum deposit ($5 for the savings account and $25 for the checking account).
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Tens of thousands of free ATMs are available.
Cons
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The yield on even the high-yielding savings account is low compared to some of the best high-yield savings accounts. The yield on the regular savings account is lower than the national average.
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The credit union’s network of around 50 branches extends across just 13 states.
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There’s no customer service on Sunday.
Pentagon Federal Credit Union (PenFed) banking
Pentagon Federal Credit Union (PenFed) savings overview
Pros
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The Premium Online Savings account offers an above-average APY on all balance tiers, while some high-yield savings accounts at other banks and credit unions have minimum balance requirements to earn the advertised APY.
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There are no monthly service fees to worry about on the savings accounts.
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Customers can set up free online recurring transfers with the Premium Online Savings account.
Cons
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The Regular Savings account pays an APY that’s lower than the national average.
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The Premium Online Savings account doesn’t provide ATM access.
Pentagon Federal Credit Union (PenFed) CD overview
Pros
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A wide selection of CD terms are available.
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Rates are above average.
Cons
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No-penalty certificates are not available.
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Some of the best CDs have lower minimum opening deposit requirements.
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The early withdrawal penalties are higher than what you’ll see at some other financial institutions.
Pentagon Federal Credit Union (PenFed) checking overview
Pros
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The Free Checking account requires no minimum balance and charges no monthly fees.
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Members have free access to more than 85,000 ATMs.
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The Free Checking account works with Apple Pay, Samsung Pay and Google Pay.
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An overdraft line of credit is available for added protection.
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Direct deposit customers may be able to receive their paychecks up to two days early.
Cons
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The charge per instance of nonsufficient funds is $30 with no daily limit on the number of occurrences.
Bank fees
Fee | Charged |
---|---|
Non-sufficient funds fee | $30 |
Monthly maintenance fee | $10, can be waived |
Out-of-network ATM fee | $1.50 |
International transaction fee | up to 2% of transaction amount |
Customer experience
Consumers who choose PenFed will have access to about 50 branches, but those who aren’t in proximity to a branch can take advantage of robust digital features and do their banking online.
The mobile app is highly rated in both Apple’s App Store and the Google Play Store. It can be used to set travel notifications on debit/credit cards, deposit checks, pay bills and more.
Members also have ample access to free ATMs with tens of thousands of free ATMs available, including those in the Allpoint and Co-op networks.
PenFed has phone hours from 8 a.m. to 8 p.m. Eastern on every day except Sunday.
Review methodology
We assign a score to each type of account and its features, weigh them carefully based on importance to account holders and determine an overall score. Read our full review methodology.
Pentagon Federal Credit Union (PenFed) customer reviews

Pentagon Federal Credit Union (PenFed) has 60 reviews
Dive into community reviews below and see what others think about Pentagon Federal Credit Union (PenFed).
In July 2024, Bankrate collaborated with a third-party vendor to survey 1,200 bank account holders nationwide. Bankrate and our vendor collected and summarized account holder responses to five rating questions on a 5-point scale as well as open-ended reviews of the banking experience. Responses are based on individual account holder product details, and therefore cannot be verified for accuracy. Reviewers received an incentive for their feedback. Their ratings are unedited and have not been reviewed or approved by the associated bank or credit union, nor do these responses reflect Bankrate's own expert review of these banking products.