Despite not ranking in our list for best online banks, Capital One has attractive 360 consumer account options and a highly-rated mobile app, as well as being one of the 10 largest banks in the U.S. according to the Federal Reserve. If you're considering an online bank, this Capital One 360 Bank review can help you determine if this no-fee, competitive-interest-rate option is right for you.
Capital One 360 Bank Review Overview
Capital One 360 Bank is a full-service financial institution with account offerings to fit most banking needs, including 360 Checking, 360 Performance Savings and 360 CDs. These are some of the pros and cons to keep in mind when deciding if Capital One 360 Bank will meet your banking needs:
Capital One 360 Pros and Cons
- No monthly fees, overdraft fees or minimum balance requirements
- No minimum opening deposit requirements
- Savings account and CD have competitive interest rates
- Welcome bonuses and special offers
- Limited account offerings
- Limited cash deposit options for some account holders
- No reimbursement of out-of-network ATM fees
No monthly fees, overdraft fees or minimum balance requirements
You don't have to maintain a minimum balance to avoid monthly account maintenance fees with Capital One. The bank doesn't charge maintenance fees on 360 Checking, Performance Savings or CDs. It also doesn't charge an overdraft fee if your 360 Checking account balance dips below $0.
No minimum opening deposit requirements
Some banks require a minimum deposit to open an account. With Capital One, you can open any 360 account for any amount, whether checking, savings or a CD.
Savings account and CD have competitive interest rates
Some banks also require a minimum balance to earn a better interest rate. Capital One pays the same competitive high-yield interest rate on a Performance Savings account regardless of the balance. 360 CD interest rates are tiered but based on the CD term rather than the deposit amount, and like 360 Savings interest rates, they are competitive.
Welcome bonuses and special offers
Capital One sometimes runs promotions to attract new customers. The following are a few past Capital One 360 welcome bonus offers:
- Capital One 360 Checking: New checking account customers who funded a new account with any amount and received two direct deposits into the account of $250 each or more within 75 days of account opening received a bonus of $250.
- Capital One 360 Performance Savings: Customers who opened a new savings account, deposited $20,000 or more from an external bank within 15 days of account opening and maintained a minimum $20,000 balance for 90 days received a $150 bonus.
Existing Capital One customers may receive special bonus offers for opening a new account. For instance, 360 Checking account holders might receive a cash bonus offer for opening a 360 Performance Savings account and meeting specific account requirements.
Limited account offerings
New Capital One 360 customers can only open three types of consumer deposit accounts: 360 Checking, 360 Savings and 360 CDs. 360 Money Market accounts are only available to established Capital One customers.
Limited cash deposit options for some account holders
Account holders without access to a physical branch can only make cash deposits at a Capital One-branded ATM or a CVS store. You must have the mobile app to make a cash deposit at CVS.
No reimbursement of out-of-network ATM fees
Capital One doesn’t reimburse out-of-network ATM fees. However, it provides access to over 70,000 in-network ATMs if you need to withdraw cash.
Capital One 360 Review
Capital One is a national bank, but it operates more like an online bank to accommodate its many customers who don't have access to a physical branch. It's on Money's list of best national banks for customer satisfaction based on its excellent rating in JD Power's U.S. Direct Banking Satisfaction Study of 2022. Its suite of offerings is limited but includes the following:
- 360 Checking
- 360 Performance Saving
- 360 CDs
It no longer offers new customers money market accounts but has interest-bearing joint checking and savings account options for kids. Regardless of the account type, you'll earn interest on your money without paying fees or worrying about maintaining minimum account balances.
Capital One 360 Checking
Capital One 360 Checking is an interest-bearing account, and your money will earn interest regardless of your account balance. The bank has no overdraft fees, which isn't the case with many financial institutions. You have a few options for how Capital One handles transactions that will overdraw your account.
Its free transfer option automatically pulls money from a linked 360 savings or money market account to cover overdrafts. You can also elect to have Capital One auto-decline any transaction that will leave you with a negative account balance. If you don’t choose an overdraft option, Capital One may approve some transactions that result in a negative account balance and decline others.
Other useful 360 Checking account features include:
- Accessing your paycheck up to two days early with early direct deposit
- Using the mobile app to deposit checks, lock your debit card if lost or stolen and add cash to your account at any CVS store
- Sending and receiving money with Zelle
Capital One 360 Performance Savings
Capital One's 360 Checking isn't high-yield, but its 360 Performance Savings is. You earn the same competitive high-yield APY and pay no monthly maintenance fee regardless of your account balance. Capital One compounds and credits savings account interest monthly.
You can set up manual or automatic transfers to fund your account or deposit checks with the Capital One mobile app. If you need to withdraw money, you can use the mobile app to transfer money to a checking account or visit a physical branch. 360 Performance Savings accounts do not come with a debit or ATM card.
Capital One 360 CDs
Capital One 360 CDs have excellent rates on terms from six months to five years. Unlike many banks, Capital One allows you to open a CD for any amount. If you close a 360 CD before its maturity date, you can expect a penalty of three to six months of interest, depending on the CD term, which is much lower than the 12-month penalty charged by some banks.
CD interest accrues daily and compounds monthly. Depending on your CD term, you can receive interest disbursements monthly or yearly if you would rather not wait for the end of the CD term.
If you don't live in one of the few states with Capital One physical branches, you'll still find Capital One very accessible. You can easily open any Capital One 360 account online, most in about five minutes.
You also don't need to visit a physical branch to do your banking. You can complete most checking and savings transactions online, with the Capital One app or at a Capital One-branded ATM. You can make fee-free withdrawals from a 360 Checking account at more than 70,000 ATMs. To deposit cash, visit a Capital One-branded ATM or use the mobile app at any CVS to add cash to your account. Capital One’s app allows you to set up face and fingerprint recognition and enable two-factor authentication for added security.
Using the mobile app, you can:
- View your statements and transaction history
- Deposit checks
- Set up money transfers to other accounts
- Pay bills
- Lock a lost or stolen debit card
- Send and receive money with Zelle
- Monitor your credit score with Capital One's CreditWise feature
If you encounter a problem or have questions with a Capital One 360 account, you can reach a customer service representative any time of day via the chat feature. You can contact a representative by phone between 8 a.m. and 11 p.m. EST.
Capital One 360: What to watch out for
Despite Capital One's competitive rates and lack of fees, there are a few notable things to consider before opening a Capital One 360 account:
- If you don't live near a physical Capital One branch, you can only make cash deposits using a Capital One-branded ATM or visiting a CVS store. Capital One might not be a convenient option for you if you have a lot of cash deposits.
- Savings withdrawals can also be a hassle if you don't live near a physical branch or have a checking account to which you can transfer funds you need to access since the Performance Savings 360 account doesn't come with an ATM or debit card.
- It doesn't reimburse out-of-network ATM withdrawal fees charged by out-of-network ATM owners as some banks do.
- It has limited account offerings. It currently doesn't offer a money market account to new customers and only has one checking and savings account option other than its account offerings for kids.
- The savings account for kids only lets you include one adult account holder, which can be inconvenient for partners.
Is Capital One 360 right for you?
If you prefer banking online and want a bank with a reliable mobile app, competitive rates and no fees, Capital One 360 is a good option to consider. It's an excellent option if you tend to rack up overdraft fees or have trouble maintaining minimum account requirements.
If you're new to online banking, you may be wondering how to pick a bank that's reliable, secure and provides satisfactory customer service in a digital space. Based on customer reviews of its mobile app and its exceptional rating in JD Power's U.S. Direct Banking Satisfaction Study of 2022, you should find Capital One 360 Bank a good option for your first experience with an online bank.
Capital One 360 Bank FAQ
Is Capital One 360 Bank safe?
- All Capital One 360 checking accounts, savings accounts and CDs are insured by the Federal Deposit Insurance Corporation (FDIC).
- Capital One deposit accounts and credit cards come with several fraud protection measures, including card lock, $0 liability protection, security alerts and more.
- It requires identity verification to complete some account changes and transactions. It also uses Multi-Factor Authentication security that requires proof of identity in two or more ways.
- Data is encrypted.
- The mobile app has two-factor authentication and face and fingerprint recognition.
Is Capital One 360 a real bank account?
Does Capital One 360 have hidden fees?
Can you deposit cash into a Capital One 360 account?
How we evaluated Capital One 360
We considered the following features in our evaluation of Capital One 360:
- Fees: We reviewed Capital One account disclosures on the Capital One website to determine how clearly fees were disclosed and which fees customers can expect.
- Minimum balance requirements: We verified that a minimum balance isn't required for any Capital One 360 bank account.
- Special offers and bonuses: We researched current and past Capital One 360 Bank special offers and bonuses.
- Accessibility: We considered how accessible Capital One 360 Bank is to customers based on the number of physical and ATM locations and customer reviews of its online banking experience and mobile app.
- Security: We researched the Capital One mobile app and account security features.
Summary of Money's Capital One 360 Review
With Capital One 360, you can expect high CD rates, competitive savings rates and no fees, including overdraft fees or minimum account requirements.
Even if you never step foot in a Capital One physical branch, you can safely and efficiently do all of your Capital One banking. Between the online features and the highly rated Capital One mobile app, you'll have the necessary functionality to make deposits and withdrawals, pay bills, transfer money and more.