Capital One vs. Ally Bank [2026]: The Better Choice Depends on What You Need
Capital One 360 and Ally Bank both offer no-monthly-fee online bank accounts and high rates, but Capital One is better for families, while Ally may be better for saving.
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Capital One
Full-service banking with no monthly fees or overdraft charges
High ratings for its mobile app and customer satisfaction
Over 70,000 fee-free ATMs
Permits fee-free cash deposits at Walgreens or CVS
Whether you choose to bank with Ally or Capital One 360, you'll avoid most annoying banking fees and minimums, earn good interest rates, and have convenient access to your accounts through user-friendly digital platforms and large ATM networks. But though these full-service banks are similar, they're not equal. There are key differences between the two in terms of account options, banking benefits, and access.
The better bank for you will depend on how you prefer to manage your money and the accounts you want. Overall, Ally has the edge over Capital One for long-term saving and growing your money, but Capital One wins out for family banking. We recommend Capital One 360 for parents because it has bank accounts for kids and teens, and we also like the bank for in-person service (though the branch network is very limited compared to other banks).
Whether you choose to bank with Ally or Capital One 360, you'll avoid most annoying banking fees and minimums, earn good interest rates, and have convenient access to your accounts through user-friendly digital platforms and large ATM networks. But though these full-service banks are similar, they're not equal. There are key differences between the two in terms of account options, banking benefits, and access.
The better bank for you will depend on how you prefer to manage your money and the accounts you want. Overall, Ally has the edge over Capital One for long-term saving and growing your money, but Capital One wins out for family banking. We recommend Capital One 360 for parents because it has bank accounts for kids and teens, and we also like the bank for in-person service (though the branch network is very limited compared to other banks).
How we rate products
We know checking and savings accounts can be critical tools for managing your money. They're one of the financial tools you use the most. That's why the features offered by a bank matter so much and we've taken that into consideration in our evaluations.
We consider the annual percentage yield (APY), account features, minimum opening balance required, fees, customer service, and FDIC insurance. The best banks also offer a variety of account types and the support you need to you make the most of your money.
We intensively research all products and services we review, and our team members personally use a wide array of financial products. Our product rankings and scores are based on objective measurements and product features as well as expert opinions from our editorial team.
You want to open a savings account for your child.
You want in-person customer support (and live near a branch).
You want a CD term not offered by Ally.
Capital One is a hybrid bank with a full-featured digital platform and a network of fewer than 300 in-person branches (for comparison, Bank of America has over 3,600 branches). If you become a customer, you can manage your accounts entirely online, visit a branch, or both. Capital One branches are mostly along the East Coast.
Capital One offers a wide variety of banking products, including checking and savings accounts, credit cards, auto loans, and business banking solutions. Unlike many banks, including Ally, the company provides dedicated kids' and teens' accounts.
On the other hand, Ally Bank might be better for you than Capital One 360 if:
You want a penalty-free or bump-up CD or an MMA.
You need help saving more.
You want to open a checking and savings account.
You use ATMs often.
Ally Bank, one of the largest online-only banks in the U.S., offers deposit accounts, credit cards, investment accounts, and loans. Ally is known for paying high interest rates on savings accounts and stands out for its flexible CDs and automated savings features.
Automated savings features, including savings buckets
24/7 customer service
Many CD terms and types
ATM fee reimbursements
Cons
No branch locations
No bank accounts for kids and teens
Poor mobile app reviews on Google Play
Ally Bank and DEI
Ally Bank has long been a champion of DEI in banking and has prided itself on its wide-reaching social impact, but the bank has de-emphasized such initiatives and quotas since April 2025. This doesn't mean Ally no longer cares about diversity, equity, and inclusion, but it may mean that we'll be seeing this lens a little less in news about the bank.
4.3
FinanceBuzz writers and editors score products and companies on a number of objective features as well as our expert editorial assessment.
Our partners do not influence our ratings.
Enjoy $400 as a new Chase checking customer
When you open a new Chase Total Checking® account with qualifying activities.1 <p>Offer not available to existing Chase checking customers, or those whose accounts have been closed within 90 days or closed with a negative balance within the last 3 years. You can receive only one new checking account opening related bonus every two years from the last coupon enrollment date and only one bonus per account. Coupon is good for one-time use. To receive the bonus: 1) Open a new Chase Total Checking account, which is subject to approval; AND 2) Have your direct deposits totaling $1,000 or more made to this account within 90 days of coupon enrollment. Your direct deposit needs to be an electronic deposit of your paycheck, pension or government benefits (such as Social Security) from your employer or the government. Person to Person payments (such as Zelle®) are not considered a direct deposit. Micro-deposits do not qualify as a direct deposit for the bonus. Micro-deposits are small deposits, typically less than $1, that are sent to your account to verify it is the correct account. After you have completed all the above requirements, we'll deposit the bonus in your new account within 15 days. To receive this bonus, the enrolled account must not be closed or restricted at the time of payout. Eligibility may be limited based on account ownership. Bonus is considered interest and will be reported on IRS Form 1099-INT (or Form 1042-S, if applicable). Offer availability subject to change. Other Chase checking bonus offers may exist concurrently.</p> FDIC Insured. Offer valid through 4/15/2026.
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Our partners do not influence our ratings.
Bank of America Advantage Banking
Up to $500 cash offer. Click ‘Learn More' for more details. Bank of America, N.A. Member FDIC.
FinanceBuzz writers and editors score products and companies on a number of objective features as well as our expert editorial assessment.
Our partners do not influence our ratings.
AWARD WINNERBest Online Checking
SoFi Checking & Savings - Earn Up to $300 When You Set Up Direct Deposit
Limited-Time Offer: Earn a $50 or $300 bonus with eligible direct deposit and up to 4.00% APY on Savings (3.30% APY2 <p>New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Eligible Direct Deposits received during the Direct Deposit Bonus Period) OR $300 (with at least $5,000 total Eligible Direct Deposits received during the Direct Deposit Bonus Period). Cash bonus will be based on the total amount of Eligible Direct Deposit. If you have satisfied the Eligible Direct Deposit requirements but have not received a cash bonus in your Checking account, please contact us at 855-456-7634 with the details of your Eligible Direct Deposit. Direct Deposit Promotion begins on 12/7/2023 and will be available through 12/31/2026. Full terms at <a href="https://www.sofi.com/banking/">sofi.com/banking</a>. SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC.</p><p>SoFi members with Eligible Direct Deposit can earn 3.30% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Eligible Direct Deposit amount required to qualify for the 3.30% APY for savings (including Vaults). Members without Eligible Direct Deposit will earn 1.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 12/23/25. There is no minimum balance requirement. Fees may reduce earnings. Additional information can be found at <a href="http://www.sofi.com/legal/banking-rate-sheet">http://www.sofi.com/legal/banking-rate-sheet</a>.</p> with +0.70% APY Boost) for up to 6 Months on new accounts. Terms Apply.3 <p>Earn up to 4.00% Annual Percentage Yield (APY) on SoFi Savings with a 0.70% APY Boost (added to the 3.30% APY as of 12/23/25) for up to 6 months. Open a new SoFi Checking and Savings account and pay the $10 SoFi Plus subscription every 30 days OR receive eligible direct deposits OR qualifying deposits of $5,000 every 31 days by 3/30/2026. Rates variable, subject to change. Terms apply at <a href="https://www.sofi.com/banking/#2">sofi.com/banking#2</a>. SoFi Bank, N.A. Member FDIC.</p> FDIC Insured.4 <p><b style="font-family: Rubik, -apple-system, BlinkMacSystemFont, "Segoe UI", Roboto, "Helvetica Neue", Arial, sans-serif;">SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per depositor per legal category of account ownership, as described in the FDIC’s regulations. Any additional FDIC insurance is provided by the SoFi Insured Deposit Program. Deposits may be insured up to $3M through participation in the program. See full terms at <a href="http://sofi.com/banking/fdic/sidpterms">SoFi.com/banking/fdic/sidpterms</a>. See list of participating banks at <a href="http://sofi.com/banking/fdic/participatingbanks">SoFi.com/banking/fdic/participatingbanks</a>.</b></p>
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Our partners do not influence our ratings.
Use Cash App As Your All-in-One Financial Services Platform
Bank5 <p>Cash App is a financial services platform, not a bank. Banking services provided by Cash App’s bank partner(s). Savings provided by Cash App, a Block, Inc. brand.</p><p class="">Cash App is a financial services platform, not a bank. Banking services provided by Cash App’s bank partner(s). Direct Deposit provided by Cash App, a Block, Inc. brand.</p> without all the fees—save, send, and spend your money the way you want.6 <p class="">Your balance is eligible for FDIC pass-through insurance through our Program Banks Wells Fargo Bank, N.A. and/or Sutton Bank, Members FDIC for up to $250,000 per customer when aggregated with all other deposits held in the same legal capacity at each Program Bank above, if certain conditions are met. Cash App is a financial services platform, and not an FDIC-insured bank. Prepaid debit cards issued by Sutton Bank, Member FDIC. See <a href="https://cash.app/legal/us/en-us/card-agreement">terms and conditions</a>. </p> Get paid up to 2 days early – up to 2 days earlier than most banks7 <p>Your first deposit may take longer depending on your employer.</p>
75,000+ fee-free ATMs plus reimbursement of up to $10 in ATM fees monthly
70,000+ fee-free ATMs
Early direct deposit
For everyday checking accounts, we like Ally and Capital One about equally. In addition to having no fees or minimum deposit and balance requirements, they both offer early direct deposit so you can get your paycheck up to two days before it's scheduled to arrive.
ATMs
That said, Ally has a slightly more extensive ATM network than Capital One and reimburses out-of-network fees, so we recommend Ally if cash access is important to you. Ally is also the better option for people interested in savings accounts, and we'll cover this more next.
Family/teen banking
However, for teen banking, I'd recommend Capital One. The MONEY Teen Checking account is one of the best kids' bank accounts you'll find from a big bank, and it has no minimums or fees. We even prefer it to popular options like Greenlight for parents who want to avoid monthly subscription fees. But MONEY Teen Checking is best for kids over 13 (despite being available to kids eight and older) because the account doesn't offer much in the way of educational tools and parental controls over spending.
Interest
While Ally and Capital One both technically offer interest checking, their rates leave something to be desired. On checking, Ally pays a higher interest rate of 0.10% (as of 10/01/25) APY, while Capital One pays 0.10% (as of 09/15/25) APY. Some of the best checking accounts earn yields that blow these rates out of the water.
Ally vs. Capital One: Savings
Winner: Tie
Ally Bank
Capital One 360
Accounts
Savings Account
360 Performance Savings
Kids Savings Account
APY
3.40% APY8 <p class="">The APY of 3.40% is accurate as of 10/01/25. Rates are subject to change and may vary by account type and financial institution. </p>
3.40% APY on 360 Performance Savings9 <span>A rate of 3.40% Annual Percentage Yield (APY) applies to all account balances. Advertised rates are variable and effective as of 10/01/25. Rates are subject to change at any time before or after account opening.</span>
2.50% (as of 10/14/25) APY on Kids Savings Account
Fees
No monthly maintenance fee
No monthly maintenance fee
Minimums
None
None
Features
Savings buckets within one account
Recurring automatic transfers
Rounds Ups (booster)
Surprise Savings (booster)
Multiple accounts for different goals
Recurring automatic transfers
APYs and fees
For savings accounts, APYs and fees are the most important factors to consider because they determine how much your money grows — and how much growth you get to keep. Ally Bank and Capital One savings accounts earn respectable yields, though not quite the highest you'll find in the best savings accounts. They also don't charge monthly maintenance fees that could cut into your earnings or require a minimum deposit to open and earn interest.
Automated savings features
Features to help you save more are a bonus, and this is where Ally comes out on top with its buckets and "boosters." With an Ally Savings Account, you can use Buckets to organize your savings into different categories and enable Round Ups and Surprise Savings to automatically send money from your checking to your savings account.
Round Ups work by rounding up your debit card transactions to the nearest dollar and saving the extra, and Surprise Savings scans your checking for money you're not using. You can also schedule recurring transfers, but this isn't a unique feature for savings accounts today.
Good to know
To take advantage of Ally's many savings features, you also need a Spending Account, which could be a barrier if you're happy with your current bank account
With Capital One, you can create multiple Performance Savings accounts to separate funds for your different financial goals and schedule automatic transfers to save regularly.
Family saving
Capital One has fewer tools than Ally to automate your savings. But again, Capital One wins specifically for families because it offers a Kids Savings Account. This earns 2.50% (as of 10/14/25) APY, which is pretty high for a kids' savings account, and has no fees or minimums. It's a joint account controlled by parents, and you can open one for your child if they're at least 12.
Ally vs. Capital One: CDs
Winner: Ally
Ally Bank
Capital One 360
Accounts
High Yield CD
Raise Your Rate CD
No Penalty CD
360 CDs
Terms
High Yield CD
Three months
Six months
Nine months
One year
18 months
Three years
Five years
Raise Your Rate CD
Two years
Four years
No Penalty CD
11 months
Six months
Nine months
11 months
One year
18 months
Two years
30 months
Three years
Four years
Five years
APYs
High Yield CD: Up to 3.90% (as of 10/01/25) APY
Raise Your Rate CD: starts at 3.50% (as of 10/01/25) APY
No Penalty CD: 3.30% (as of 10/01/25) APY
From 3.60%-3.90% (as of 12/04/25)
Fees
No monthly maintenance fees, early withdrawal penalty between 60 and 150 days' interest for High Yield and Raise Your Rate CDs
No monthly maintenance fee, early withdrawal penalty between three and six months' interest
Minimum balance
None
None
CD terms
For CDs, available terms are just as important as APYs because they determine whether an account can fit into your saving strategy. Both Capital One and Ally offer 10 CD terms to choose from, but Capital One only offers one type of CD, while Ally offers three — High-Yield CDs, Raise Your Rate CDs, and a No Penalty CD.
CD rates
When you directly compare rates between Ally and Capital One, the two banks tend to take turns with the lead. Their rates are similar across terms, but there are times when Ally takes the lead and other times when Capital One does. Occasionally, the two have the same rates.
Ally also offers a loyalty interest bonus to customers who renew their CDs and a Ten Day Best Rate Guarantee that ensures your account locks into the highest rate offered for 10 days after opening. However, you might prefer Capital One for CDs if you don't see the exact term you're looking for with Ally for standard CDs (such as two years, 30 months, or four years). If you're deciding between these banks and know you want a CD, make sure to compare available rates when you're ready to open an account.
Editor's note
Ally Bank has historically had better CD rates than many banks, but Capital One has grown more competitive on this front in 2025.
Ally Raise Your Rate CD
Raise Your Rate CDs are bump-up or bump-rate CDs that let you increase the rate your account earns once during your term if the available rate for new accounts with Ally goes up after you open. Typically, CDs earn fixed interest rates for the duration of their term.
Ally No Penalty CD
The No Penalty CD is also unlike most standard CDs. It doesn't require a long-term commitment; you can withdraw your money penalty-free in as little as six days after funding your account. Generally, CDs charge penalty fees equal to a percentage of the interest earned for withdrawing funds before the term is up.
Ally vs. Capital One: Money market accounts
Winner: Ally
Ally Bank Money Market
Capital One 360
APY: 3.40% (as of 10/01/25) APY
Fees: None
Minimums: None
Spending: Debit card and checks
N/A
Ally Bank has a money market account, while Capital One 360 doesn't. Ally's MMA earns a pretty good APY and stands out from other MMAs for allowing unlimited monthly withdrawals and capping other transactions at 10 per month (compared to six for many MMAs). Ally also reimburses up to $10 in out-of-network ATM fees each statement period for MMA withdrawals. Ally's account doesn't have a minimum deposit or balance you have to meet to open and earn interest, which is also unusual, and there's no monthly maintenance fee to worry about either.
Tip
Money market accounts earn variable interest rates that can change at any time, like savings account rates. But unlike savings accounts, they often come with cash access in the form of debit cards, ATM cards, and/or checkbooks. Many people use MMAs for emergency funds or as a secondary checking account for funds they might need to dip into more frequently than savings but less than regular spending money.
Access and customer support
Winner: Tie
Branches and ATMs
Capital One has 257 local branches for customers looking for in-person support. Ally Bank doesn't operate any branches. Ally has 75,000+ fee-free ATMs (plus fee reimbursements), while Capital One has 70,000+.
Customer reviews
Ally Bank has an A+ rating with the Better Business Bureau (BBB). Its consumer rating is 1.4 out of 5 stars on Trustpilot, which is not unusual for a bank.
Capital One 360 has an A+ rating with the BBB. Its consumer rating is 1.3 out of 5 stars on Trustpilot. While these consumer ratings are low, remember that angry customers often yell the loudest. Read reviews for yourself to get an idea of what customers are unhappy with and whether these patterns may affect you.
Customer support
To get in touch with a customer service representative with Ally, you can call, live chat, or send a secure message through your online portal. To contact support with Capital One, you can call, send a secure message, or visit a branch.
FAQs
Is Capital One 360 FDIC insured?
Yes, Capital One 360 is FDIC insured. The Federal Deposit Insurance Corporation (FDIC) insures its accounts up to standard limits of $250,000 per depositor, per account ownership category. Capital One's FDIC certificate number is 4297.
Is Ally Bank FDIC insured?
Yes, Ally Bank is FDIC insured. The FDIC insures its accounts up to standard limits of $250,000 per depositor, per account ownership category. Ally Bank's FDIC certificate number is 57803.
Bottom line
Both Capital One and Ally offer appealing checking and savings account options with helpful online banking features to make it easy to manage your accounts. If you want phone support, a penalty-free CD, or an MMA, Ally is your best bet. If you want in-person customer support or checking or savings accounts for kids and teens, Capital One 360 is the right choice for you.
FinanceBuzz writers and editors score products and companies on a number of objective features as well as our expert editorial assessment.
Our partners do not influence our ratings.
AWARD WINNERBest Online Checking
High APY of up to 4.00% on Savings (3.30% APY2 <p>New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Eligible Direct Deposits received during the Direct Deposit Bonus Period) OR $300 (with at least $5,000 total Eligible Direct Deposits received during the Direct Deposit Bonus Period). Cash bonus will be based on the total amount of Eligible Direct Deposit. If you have satisfied the Eligible Direct Deposit requirements but have not received a cash bonus in your Checking account, please contact us at 855-456-7634 with the details of your Eligible Direct Deposit. Direct Deposit Promotion begins on 12/7/2023 and will be available through 12/31/2026. Full terms at <a href="https://www.sofi.com/banking/">sofi.com/banking</a>. SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC.</p><p>SoFi members with Eligible Direct Deposit can earn 3.30% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Eligible Direct Deposit amount required to qualify for the 3.30% APY for savings (including Vaults). Members without Eligible Direct Deposit will earn 1.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 12/23/25. There is no minimum balance requirement. Fees may reduce earnings. Additional information can be found at <a href="http://www.sofi.com/legal/banking-rate-sheet">http://www.sofi.com/legal/banking-rate-sheet</a>.</p> with +0.70% APY Boost) for up to 6 Months on new accounts. Terms Apply.3 <p>Earn up to 4.00% Annual Percentage Yield (APY) on SoFi Savings with a 0.70% APY Boost (added to the 3.30% APY as of 12/23/25) for up to 6 months. Open a new SoFi Checking and Savings account and pay the $10 SoFi Plus subscription every 30 days OR receive eligible direct deposits OR qualifying deposits of $5,000 every 31 days by 3/30/2026. Rates variable, subject to change. Terms apply at <a href="https://www.sofi.com/banking/#2">sofi.com/banking#2</a>. SoFi Bank, N.A. Member FDIC.</p>
Paycheck access up to 2 days early with direct deposit10 <p>Early access to direct deposit funds is based on the timing in which we receive notice of impending payment from the Federal Reserve, which is typically up to two days before the scheduled payment date, but may vary.</p>
No monthly maintenance or overdraft fees11 <p>We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Checking & Savings Fee Sheet for details at <a href="http://sofi.com/legal/banking-fees/">sofi.com/legal/banking-fees/</a></p>
Streamlined savings and savings goals with Vaults
Access to a large ATM network12 <p>We’ve partnered with Allpoint to provide you with ATM access at any of the 55,000+ ATMs within the Allpoint network. You will not be charged a fee when using an in-network ATM, however, third-party fees may be incurred when using out-of-network ATMs. SoFi’s ATM policies are subject to change at our discretion at any time.</p>
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