Ally.com – The Online Bank That Doesn’t Charge Any Overdraft Fees!!!

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What is Ally.com?

Ally.com is a popular online bank that offers many of the services that regular banks do with much, much lower fees. They offer checking and savings accounts. They offer CDs (certificates of deposit), investment accounts, home mortgages, auto, and personal loans.

Banking with Ally.com!

Checking Accounts!

Ally offers both checking and savings accounts. While they don’t offer the highest interest rates in the banking world, they do offer rates that are still 5x higher than the national average and noticeably higher than the average brick-and-mortar bank. They offer interest rates of 0.10% (with a minimum daily balance lower than $15,000) and an interest rate of 0.25% (with a minimum daily balance higher than $15,000) and the interest compounds daily.

The features their online banking offers include:

• eCheck Deposit – which is their mobile deposit feature
• Transferring money through Ally Skill – This feature allows you to transfer your money to someone using only your voice and Amazon Alexa
• Transferring money using Zelle – Easily send and receive money using the Zelle
• Round up purchases – Save your money automatically using their’s round up feature that saves money for you by setting aside spare change rounded up to the nearest dollar after making a purchase.
• Your money is FDIC insured up to $250,000
• You can open up a checking account in the name of a trust
• Debit card controls – You can define how where and when a debit card is used

Savings Accounts!

They also offer savings accounts an interest rate of 0.50% and fees similar to their checking accounts. Similar to their checking account the interest of your savings account will compound daily.

Their savings account offers a bunch of smart features that make saving your money much easier!

• Use buckets to organize your money and visualize what you’re saving for. This feature is similar Sofi’s savings vaults that allows your to save money for several specific goals, like buying a car, getting married going on vacation and etc.
• Set up boosters to optimize and maximize your savings, even if the rate changes after you open the account
• Get personalized recommendations to help you save more
• Set up recurring automatic transfers from your Ally or other checking account
• Surprise Savings – They will check your linked checking accounts for “safe-to-save” money and then transfer it to your savings account for you

video from SAVING TO LIVE’S YouTube channel explaining “Buckets”

What are Ally.com’s fees?

As I mentioned earlier, banking with an online bank means you pay noticeably fewer fees compared to traditional brick-and-mortar banks. As of May 25, 2021, Ally decided to get rid of overdraft fees entirely. They are in the process of reimbursing some overdraft fees and soon just flat out won’t exist anymore. The fees they don’t have are:

• No monthly maintenance fees
• No minimum balance fees
• No ACH transfer fees
• No incoming domestic or international wire fees
• No official/cashier check fees
• 43,000 Allpoint fee-free ATMs and they will reimburse you up to $10 per statement cycle for third-party ATM fees
• NO MORE OVERDRAFT FEES AT ALL!

They do still charge some fees which include:

• Returned deposit item – $7.50
• Expedited delivery fee – $15
• Outgoing domestic wires – $25
• Account research fee. This fee is for when your request extensive research on your transaction history – $25/hr
• Excessive transaction fees (applies to Ally savings accounts) – Ally’s savings accounts only allow a limit of 6 withdrawals per statement cycle –$10

Disclaimer: I am not any sort of investment or financial professional giving any sort of legal advice. I’m just some guy trying to teach other people about how they might navigate the financial world.

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