Peak Bank high-yield savings review

Peak Bank is a division of Idaho First Bank that offers high-yield CDs and a high-yield savings accounts online. If you have at least $100 to open an account, you could earn an exceptional savings rate—Peak Bank offers some of the best savings account rates available—with no monthly maintenance fees. Peak Bank's high-yield savings account features a competitive rate compared to other online banks.

Introduction to savings accounts

Savings accounts are a cornerstone of personal finance, offering a safe and accessible way to set aside funds while earning interest. Traditionally, savings accounts were offered by brick-and-mortar banks, providing a modest return on your money. However, the landscape has shifted with the rise of online banking and online banks, leading to the emergence of high-yield savings accounts. These accounts, often provided by the online division of established banks like Peak Bank (the online division of Idaho First Bank), deliver competitive interest rates that far surpass those of traditional savings accounts. By choosing a high-yield savings account, savers can benefit from higher interest rates, helping their money grow faster and supporting long-term financial growth. Understanding how these accounts work and the advantages they offer can empower individuals to make informed decisions about where to keep their savings for maximum benefit.

Benefits of high-yield savings

High-yield savings accounts stand out for their ability to help savers grow their money more efficiently. The most notable benefit is the competitive annual percentage yield (APY), which can significantly boost your interest earnings compared to traditional savings accounts. With high-yield savings, you typically won’t have to worry about monthly maintenance fees eating into your returns, making it easier to keep more of what you save. These accounts are designed for convenience, offering easy access to your funds through online banking and mobile banking apps, so you can manage your savings anytime, anywhere. High-yield savings accounts are also highly liquid, allowing for quick transfers or withdrawals when you need your money. Plus, deposits are protected up to $250,000 by the FDIC or NCUA, giving account holders peace of mind. For anyone looking to maximize their savings with minimal risk and hassle, high-yield savings accounts are a smart, flexible choice.

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Peak Bank overview

Peak Bank is the online division of Idaho First Bank, specializing in high-yield savings accounts and certificates of deposit (CDs) designed to help customers make the most of their savings. As part of a well-established financial institution, Peak Bank offers the security of FDIC insurance, protecting deposits up to $250,000. The high-yield savings account from Peak Bank is tailored for those seeking competitive interest rates without the burden of monthly maintenance fees. With a low minimum deposit required to open an account, Peak Bank makes it easy for savers to get started. The bank’s online platform and mobile banking app provide seamless access to account management, allowing users to check balances, transfer funds, and monitor their savings from anywhere. By focusing on simplicity, security, and strong rates, Peak Bank aims to deliver a straightforward and rewarding savings experience.

Our verdict

The Peak Bank high-yield savings account is one of the best online savings accounts, as far as rates go. The APY is strong, and it’s easy to open an account online. The advertised APY applies to new accounts, so be sure to check if you qualify for the promotional rate.

You might consider saving with Peak Bank if you:

• Are comfortable choosing an online bank vs. a traditional bank
• Want to get a solid APY for your money, without monthly maintenance fees
• Feel confident managing your account and meeting any minimum balance requirements
• Don’t need an ATM card or debit card to access savings
• Have at least $100 to get started

If you’re looking for CDs, you can also find them with Peak Bank. They offer a range of CD options, with no monthly fees. However, if you want to get the highest rate, you’re better off sticking with the high-yield savings account.

Opening a savings account with Peak Bank

Getting started with a high-yield savings account at Peak Bank is simple and convenient, thanks to their fully online application process. To open an account, prospective account holders can visit the Peak Bank website and select the high-yield savings account option. The application process involves providing essential personal and financial information, such as your Social Security number, address, and employment details, to meet banking regulations. Once your application is approved, you’ll need to make a minimum deposit, which can be completed via direct deposit, ACH transfer, or wire transfer from another bank account. After funding your new account, you can access it online or through the mobile banking app, making it easy to manage your savings, track transactions, and perform other banking tasks from your computer or smartphone. This streamlined process ensures that you can start earning interest on your savings quickly and efficiently.

Customer experience with Peak Bank

Peak Bank is committed to delivering a smooth and user-friendly banking experience, leveraging its online-only model to provide customers with convenient access to their accounts. Account holders can manage their savings 24/7 through the Peak Bank website or mobile banking app, making it easy to check balances, transfer funds, and monitor account activity at any time. For support, Peak Bank offers customer service via phone, email, and an online contact form, with assistance available on weekdays. The bank’s focus on competitive rates and minimal fees is designed to help customers reach their financial goals without unnecessary obstacles. As with any financial institution, individual experiences may vary, so it’s important to review all terms, conditions, and available services to ensure Peak Bank aligns with your personal banking needs. Overall, Peak Bank aims to provide a reliable, efficient, and rewarding savings journey for its customers.

Compared to other online savings accounts

Primis Bank personal savings account

The Primis Bank personal savings account features a solid APY and requires just $1 to open. There are no monthly maintenance fees, transaction limits, or minimum balance requirements, and incoming wire transfers are free. Primis doesn't have an account maximum and never caps your interest earnings either. 

Read our full editorial review of the Primis Bank personal savings account

Barclays tiered savings account

The Barclays tiered savings account aligns your balance with your APY. The more you save, the better the rate you'll earn and there are no monthly maintenance fees or minimum opening deposit requirements. Compared to other online savings accounts, Barclays holds its own with competitive rates. 

Read our full editorial review of the Barclays tiered savings account

Rising Bank high-yield savings account

Rising Bank offers a high-yield savings account with a competitive APY. You'll need $1,000 to open this account but there are no monthly maintenance fees. You can manage your money online or through the Rising Bank mobile app for added convenience. 

Read our full editorial review of the Rising Bank high-yield savings account

LendingClub high-yield savings account

LendingClub’s high-yield savings account pays a great rate when you deposit $250 per month or more. There’s no minimum deposit requirement to open the account and no monthly maintenance fees. If you’re interested in keeping all of your money in one place you could also open a LendingClub Rewards Checking account. Checking accounts generally offer easier access to your funds and are designed for everyday transactions, but they typically have lower interest rates compared to high-yield savings accounts, which are better suited for growing your savings.

Read our full editorial review of the LendingClub high-yield savings account

Interest rates

Getting a great rate on savings matters, since you want to grow your money as much as possible. The interest rate determines how much your savings will grow over time.

Peak Bank’s savings APY is one of the highest you’ll find at any online bank. The same rate applies across all balances, up to $10 million.

When comparing savings account rates, it’s important to look at the details. For example, will you need to meet a minimum balance requirement to earn the advertised APY? Or does the rate cap out at a certain balance threshold? Also, keep in mind that the APY reflects the effect of compounding, while the interest rate is the underlying rate used to calculate your earnings.

Those are helpful questions to ask so you know what you’re getting. At the end of the day, the best savings account for you is the one that gives you the best rate for your money, includes helpful features, and doesn’t charge a lot of fees. Interest earned over the calendar year will be reported for tax purposes, typically on Form 1099-INT.

Fees

Bank fees are best avoided if you can. The more you pay in fees, the less interest you get to keep.

Here's what you'll pay with Peak Bank.

Other service fees - Peak Bank high-yield savings account

If there's one potential downside to this account, it's the lack of transparency surrounding fees. Neither Peak Bank nor Idaho First Bank makes it easy to find a complete fee schedule online. 

ATM access

Peak Bank doesn't offer an ATM card or a debit card with its high-yield savings accounts. Whether that's a plus or minus for you depends on how often you need to withdraw cash from savings. 

Some banks do give you an ATM card with your savings or money market account. That's convenient if you need cash quickly for any reason. 

When considering savings accounts that include an ATM card, take a look at:

• How many fee-free ATMs you'll have access to
• Where ATMs are located near you
• What transactions you can complete at an ATM (e.g., withdrawals, deposits, etc.)

Also, take a look at what fees you might pay to use another bank's ATM and whether your bank reimburses foreign ATM surcharges. 

Account management

You’ll have access to online and mobile banking to manage your account. Peak Bank doesn’t have its own app; instead, you’ll use Idaho First Bank’s app to log in.

If you need to deposit money, you can:

• Schedule an ACH transfer from a linked bank account
• Set up an incoming wire transfer
• Use the mobile check deposit feature through the mobile app to deposit checks remotely

To withdraw funds from savings, you’ll need to use an ACH transfer to move money to another bank account.

Account deposit and withdrawal limits apply. You can find them in your account agreement. If you need help, you can reach Peak Bank customer service by phone or email. There’s no live chat support option available at this time.

FDIC insurance

FDIC insurance protects bank deposits if a bank should fail. That doesn’t happen often, but if it does, the FDIC helps the bank’s customers get their money back.

Peak Bank accounts are federally insured through the FDIC via Idaho First Bank, providing security for depositors. You don’t need to do anything to enroll in FDIC coverage; it’s automatic.

While Peak Bank allows you to keep up to $10 million in your account, the FDIC only insures $250,000. That limit applies at every member bank you have accounts with.

What to look for in a savings account

With so many options to choose from, it’s important to compare savings accounts to find one that best fits your needs. Be sure to review offerings from a variety of financial institutions, including banks and credit unions, as each may provide different interest rates, fees, and account features. Here are some questions to consider that can help you narrow down the list.

• Is an online savings account or a traditional savings account better?
• Does the bank have branches or ATMs?
• What APY does the bank offer?
• Are rates tiered by balance or will you earn the same APY, regardless of how much or how little you save?
• What’s the opening deposit requirement?
• Is there a minimum balance requirement to earn interest?
• Is interest capped in any way?
• What’s the minimum opening deposit requirement?
• Is there a monthly fee? If so, are there ways to avoid it?
• What other fees will you pay?
• What do you need to open an account?
• Do you need to open an account with new money to get the advertised APY?
• Is there a limit on the number of withdrawals you can make?
• Will you get online and mobile banking access?
• Does the account include an ATM card or debit card?
• If so, which ATMs can you use?
• Does the bank reimburse foreign ATM fees?
• Does the bank offer any built-in savings or money management tools?
• What options do you have for contacting customer service?
• What other types of accounts does the bank offer?
• What do other people like or dislike about the bank?

You can start by looking at what your current bank offers and then branch out your search to include competitor banks. Online banks can offer savings accounts with higher rates and fewer fees, but you may prefer a traditional bank if you’d like branch access.

Frequently asked questions

Is an online savings account a good place to save? 

Online savings accounts can offer some benefits that traditional savings accounts don't, including higher APYs and fewer fees. You don't get branch banking access, but that may not be as important to you if your priority is getting the best savings rate. 

Is Peak Bank a legitimate bank?

Peak Bank is a legitimate bank, and it's the online division of Idaho First Bank. The bank currently offers high-yield savings accounts and high-yield CD accounts online. 

Do online savings accounts have a catch?

Online savings accounts don't have a catch, per se, but some may have certain requirements you need to meet to earn interest or avoid a fee. For example, you may need to set up direct deposit to qualify for the highest advertised APY or maintain a minimum daily balance to avoid a monthly maintenance fee..