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Pentagon Federal Credit Union Review 2022

Updated December 2, 2022
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At a glance

4.1
Rating: 4.1 stars out of 5
Bankrate Score
Caret Down

CDs

Rating: 4.7 stars out of 5

Checking

Rating: 4.6 stars out of 5

Savings

Rating: 3.9 stars out of 5

MMA

Rating: 2.4 stars out of 5

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Overview

PenFed is good for savers who are interested in getting above average rates and the option to choose from a wide variety of banking products. Consumers who prefer in-person banking may want to consider an institution with a larger branch network.

Highlights

  • Highly Rated App
  • Low Min Deposit
  • Top CD Rates
Compare offers
Bank logo
Member FDIC
Savings Account
3.60
%
APY
Rating: 4.1 stars out of 5
$0
Min. balance for APY
View offer Arrow Right
Bank logo
Member FDIC
Savings Account
3.00
%
APY
Rating: 4.1 stars out of 5
$0
Min. balance for APY
View offer Arrow Right
Bank logo
Member FDIC
Savings Account
4.35
%
APY
Rating: 4.1 stars out of 5
$0
Min. balance for APY
View offer Arrow Right

Overall

Pentagon Federal Credit Union is 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. It is insured by the National Credit Union Administration (NCUA).

Pros

  • Checkmark

    The Premium Online Savings account offers an annual percentage yield (APY) that’s well above the national average.

  • Checkmark

    The interest checking account earns a competitive yield when balance requirements are met.

  • Checkmark

    Checking or savings accounts can be opened with a low minimum deposit.

  • Checkmark

    Tens of thousands of free ATMs are available.

Cons

  • The yield on the basic savings account is low.

  • The credit union’s network of nearly 50 branches extends across just 13 states.

Pentagon Federal Credit Union (PenFed) bank products

3.9
Rating: 3.9 stars out of 5
Bankrate Score

Pentagon Federal Credit Union (PenFed) savings overview

The Premium Online Savings account earns a dividend rate that’s above the national average APY, and it requires only a $5 minimum deposit with no monthly fee.

PenFed’s Regular Savings account doesn't offer an impressive APY, but it can be opened at a branch and provides easy ATM access.

Pros

  • Checkmark

    The Premium Online Savings account offers an above average APY.

  • Checkmark

    There are no monthly service fees to worry about.

  • Checkmark

    Customers can set up free online recurring transfers with the Premium Online Savings account.

Cons

  • The Regular Savings account pays a much lower APY than the Premium Online Savings account.

  • The Premium Online Savings account doesn’t provide ATM access.

Compare Offer
Bank logo
Member FDIC
Savings Account
3.60
%
APY
Rating: 4.1 stars out of 5
InfoHover for more
$0
Min balance for APY

Bank experience

Consumers who choose PenFed will have access to nearly 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.

About Pentagon Federal Credit Union (PenFed)

Pentagon Federal Credit Union was established in 1935 in Washington, D.C., as the War Department Federal Credit Union. Today, PenFed is based in McLean, Virginia, and serves 2.8 million members worldwide.

PenFed offers a variety of banking products, including checking, savings and money market accounts as well as several types of share certificates.

Current and retired members of the armed forces and employees of the federal government are eligible to join the credit union, but membership is open to just about anyone.

Review methodology

With so many financial institutions to choose from, it can be hard to know who to trust. Bankrate’s ever-growing list of bank and credit union reviews is updated regularly. Our editorial team analyzes and reviews each institution across deposit products such as savings accounts, checking accounts, certificates of deposit (CDs) and money market accounts (MMAs). Banks are rated by important factors such as offered interest rates, fees, minimum balance requirements, access to funds and more.

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.