Skip to Main Content

Salem Five Direct Bank Review 2022

Published March 2022 by Mary Wisniewski

AT A GLANCE
4.4

Bankrate Score

bank-logo

ATM fee refunds

High APYs

Low Minimum Deposit

Salem Five Direct is an online bank that offers savers competitive yields.

  • Savings
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    5.0
  • Checking
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    5.0
  • CDs
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    • start icon
    3.3
  • MORE HIGH-YIELD OPTIONS
    MORE HIGH-YIELD OPTIONS
    Capital One

    Member FDIC

    Savings account

    0.70 % APY

    $ 0

    Min. balance for APY

    Goldman Sachs Bank USA

    Member FDIC

    Savings account

    0.70 % APY

    $ 0

    Min. balance for APY

    Goldman Sachs Bank USA

    Member FDIC

    CD

    2.10 % APY

    2yr

    Term

    $ 500

    Min. deposit

    Overall

    4.4

    Bankrate Score

    Salem Five Direct is best for savers who are comfortable banking online and who are seeking a competitive rate.

    What we like

    • The bank offers competitive annual percentage yields (APYs) on its savings account.

    • It provides generous ATM reimbursement on its checking account.

    • Its mobile app is favorably reviewed.

    What we don't

    • The bank offers a smaller selection of CDs.

    • CDs have a higher minimum requirement to open than many banks or credit unions.

    Savings accounts

    5.0

    Bankrate Score

    OTHER SAVINGS OFFERS YOU MAY LIKE
    Capital One

    Member FDIC

    Savings account

    0.70 % APY

    $ 0

    Min. balance for APY

    The eOne Savings account offers savers a competitive yield and requires just $10 to open. There are no monthly fees either.

    The account isn’t available to everyone. To be eligible for an eOne Savings account, you must apply online not already have a Salem Five Bank checking or savings account, excluding the eOne Checking account.

    What we like

    • You only need to deposit $10 to open this account.

    • The yield is competitive.

    • There are no monthly fees.

    What we don't

    • The account isn’t available to everyone.

    Checking accounts

    5.0

    Bankrate Score

    OTHER CHECKING OFFERS YOU MAY LIKE
    SoFi

    Member FDIC

    Checking account

    1.25 % APY

    $ 0

    To open

    $ 0

    To avoid fees

    Salem Five Direct’s eOne Checking account requires only a $10 minimum balance and charges no monthly fee. You will earn a little bit of interest on your daily balance, and the bank doesn’t charge you fees for using non-Salem ATMs. It will also reimburse you up to $15 each statement cycle should the ATM operator charge you a fee.

    What we like

    • The eOne Checking account accrues some interest.

    • The eOne Checking reimburses out-of-network ATM fees up to $15 per statement cycle.

    • You only need $10 to open this account.

    What we don't

    • You can find accounts with even lower minimum balance requirements at other banks.

    • The account is limited to those who apply online and don’t have a Salem Five checking account already.

    CD rates

    3.3

    Bankrate Score

    OTHER CD OFFERS YOU MAY LIKE
    Goldman Sachs Bank USA

    Member FDIC

    CD

    2.10 % APY

    2yr

    Term

    $ 500

    Min. deposit

    Salem Five Direct offers three CD terms: one year, 18 months and three years. At $10,000, the minimum balance required to open a CD is higher than a lot of other online banks.

    What we like

    • The CD APYs are higher than the national averages.

    What we don't

    • The bank doesn’t offer a wide selection of terms.

    • Salem Five Direct requires a steeper minimum balance to open a CD.

    Bank experience

    Salem Five Direct representatives can be reached toll-free by phone, but the bank also has a chat function on its website to help answer customer questions.

    Its app has earned positive reviews in the Apple App Store and on Google Play. The app includes Zelle functionality, so you can easily send money to people you know. The app also includes card controls to quickly turn your debit card off within the app should the card go missing or be stolen.

    About Salem Five Direct

    Salem Five Direct is an online division of Salem Five, a bank that was founded in 1855 in Salem, Massachusetts. The division was the first online bank, started in 1995.

    Salem Five Direct offers certificates of deposit, savings accounts and checking accounts. Its fees are low, and its rates are competitive.

    Mary Wisniewski Twitter Created with Sketch. @MARYMWISNIEWSKI

    Mary Wisniewski Twitter Created with Sketch. @MARYMWISNIEWSKI

    Mary Wisniewski is a banking editor for Bankrate. She oversees editorial coverage of savings and mobile banking articles as well as personal finance courses. She occasionally writes on fintech trends — a beat she has covered for more than a decade. Mary is a frequent speaker at a variety of leading digital banking events and podcasts, including: Money Next Summit, the Money Experience Summit, the Future of Fintech, Fintech South, Breaking Banks and more. She was named as one of 200 revolutionists in fintech and one of top 100 fintech influencers in 2019. She was also a judge for the Finovate Awards in 2020 and 2019. Previously, Mary covered fintech for American Banker and edited op-eds for the publication's BankThink section. She was also a blogger and editor at Bank Innovation and served as a fashion editor for National Jeweler, where she reported on fashion shows and jewelry news. Her work has appeared in American Banker, Bankrate, the Associated Press, Star Tribune, Billboard, MSN and more. Her stories are referenced in numerous industry reports, like this one by Deloitte. Mary grew up in the Michigan suburbs and now lives in Los Angeles with a maltipoo, a record player and roller skates.