American Express National Bank offers some of the top interest rates on the market for both checking and savings accounts. However, the drawback is that eligibility is restricted to American Express credit card holders. If you’re already in that boat (or thinking about jumping in), you should include Amex in your research.
Account details, annual percentage yields (APYs) and rates are accurate as of July 19, 2023.
American Express National Bank basics
- Checking accounts: American Express® Rewards Checking.
- Savings accounts: American Express® High Yield Savings Account.
- Money market accounts: None.
- Certificates of deposit (CDs): Traditional CDs with terms between one and five years.
- Other accounts: Personal loans.
- Bank branches or online only: Online only.
- Member FDIC.
Pros
- Checking rewards: Earn 1.00% APY on your checking account funds without needing to maintain a particular balance. In addition, you can earn one Membership Rewards® point for every $2 of eligible purchases with your debit card, which is a nice perk if you have an Amex credit card, but don’t want to use it on all spending.
- No service fees or minimum balance: You don’t need to worry about whether you have enough cash to open (or keep open) an account here and there aren’t monthly parasitic fees to drag down your finances.
- Competitive rates: The High Yield Savings Account offers 4.00% APY while CDs earn up to 4.75% APY.
Cons
- Eligibility restrictions: Only American Express U.S. card holders who have had their card for at least three months are eligible to apply for checking and savings accounts. Business checking customers aren’t eligible.
- No in-person branches: American Express National Bank doesn’t have a national branch presence so you’re not able to do banking in person.
- Limited account offerings: There is only one account option for each banking product.
About American Express National Bank
Wondering if American Express National Bank is right for you? The account features and online functionality are on point, but they’re not accessible to everyone.
Eligibility
While American Express has competitive account features, you need to start with its credit card first. American Express National Bank accounts are only available to consumer card holders who have had their credit account open for at least three months.
If you’re not an existing card member and want a new bank ASAP, you’ll need to get a different banking institution for at least 90 days until you can qualify.
Accessibility
American Express National Bank is completely online; available 24/7 through a web browser and the American Express app so you can take care of all your banking needs from any location. The app has 4.9-star rating in the Apple App Store and a 4.1-star rating in the Google Play Store.
Opening a new account should only take a few minutes. And whenever you need physical cash, you have fee-free access to 37,000 ATMs in the nationwide MoneyPass network.
Fees and minimums
American Express doesn’t charge any monthly fees for their deposit accounts. And, with checking, you don’t have to worry about a minimum opening deposit or a minimum monthly balance to keep the account in good standing.
The same holds true for both the High Yield Savings Account and their CD options. This is actually quite unique considering their high APYs. Many banks require a minimum opening deposit of $500 or more to access the best rates. But at American Express, you can access them with any account balance you want.
Rewards Program
Using American Express for both your banking and your credit card lets you streamline your rewards program among all of your accounts. Just as you earn rewards points with every eligible credit card purchase, the benefit extends to your debit purchases as well. That means you can increase your savings with everyday purchases even without charging them to your credit card.
Learn more: AmEx membership rewards.
How American Express National Bank stacks up
With high interest rates and no account minimums, American Express National Bank stands out against many of its competitors. However, the fact that only existing card holders can open accounts here means that, if you’re not already a card holder, you have a whole other aspect to consider, comparing credit cards.
Other financial institutions don’t have that requirement.
American Express National Bank vs. Discover Bank
Discover Bank has comparable rates and terms, but you’ll need to meet the minimum balance requirements in order to get them. The Discover Checking account offers up to 1% cash back, but it only applies to $3,000 of eligible purchases each month. See website for details. Discover’s CDs have competitive rates, but the minimum deposit is $2,500.
American Express National Bank vs. Capital One 360
The Capital One 360 Checking Account is another online option. But the cash back earned on your account is a mere 0.10%, compared to 1% at American Express. However, the Capital One 360 Performance Savings Account has a competitive yield and you don’t have to be a cardholder to get it.
American Express National Bank vs. Chase Bank
Chase offers three different checking account options, but each one comes with a monthly fee unless you meet one of three criteria involving deposit totals or account balances. The same holds true for both savings account options, plus, the interest rate is a paltry 0.01% for basic savings.
Frequently asked questions (FAQs)
Yes, the American Express National Bank is a real bank. You’re likely familiar with its credit card brand, American Express. This portion of the business handles both personal and business banking accounts like checking and savings.
American Express Company issues credit cards and American Express National Bank manages deposit accounts.
Yes, American Express National Bank is insured by the Federal Deposit Insurance Corp. (FDIC). That means each depositor is insured for up to $250,000 in each account category.
No, it is online-only. You can only access your account online or through the mobile app. American Express does participate in the free MoneyPass ATM network so you can access cash from your accounts.
