U.S. Bank review 2024: A top regional bank

In a nutshell

U.S. Bank is based in Minneapolis, Minnesota and has over 2,000 branches in 26 states.

• Its holding company, U.S. Bancorp, is number 150 on the Fortune 500 list.
• It is one of the largest full-service, regional banks in the United States with brick-and-mortar branches and various offerings including checking, savings, and certificate of deposit accounts.

U.S. Bank checking

US Bank offers two checking accounts: Bank Smartly Checking and Safe Debit Account. Customers can access both in the U.S. Bank mobile app.

The Bank Smartly Checking Account has a monthly fee of $6.95. Fees can be waived if the average account balance is $1,500 or greater, the customer has a U.S. Bank consumer credit card, or there are monthly direct deposits totaling $1,000 or greater.

This account also has mobile check deposits, contactless payments, automated bill pay, Zelle instant transfers, and account alerts and reminders.

The Safe Debit Account has a monthly fee of $4.95 which cannot be waived. This checking account does not have checks, and it’s best for those who do not need to write checks. Minus the checks, customers who have a Safe Debit Account can deposit, withdraw, and make payments in the same way as customers with the Bank Smartly Checking account.

U.S. Bank savings

US Bank offers three savings accounts: the Standard Savings Account, the Elite Money Market Account, and the Retirement Money Market Account.

The Standard Savings Account is geared towards those who are new to savings accounts, carry a lower balance, have multiple savings goals, and want instant access to their money. The account has a $25 minimum opening deposit requirement and a $4 maintenance fee. This fee can be waived if the customer maintains a $300 minimum daily balance, has a collected balance of $1,000 average monthly, is 12 years old or younger, or opens a U.S. Bank Smartly Checking account and enrolls in the Smart Rewards Primary tier or above. The Annual Percentage Yield (APY) and the interest rate is 0.01% on any balance.

The Retirement Money Market Account is suitable for those who are looking for tiered interest rates, tax advantages, and no monthly fees. The minimum opening deposit requirement is $100 or an automatic monthly deposit of $25. This account does not have monthly fees.

US Bank CDs

U.S. Bank offers three kinds of Certificate of Deposit accounts: Standard, Step Up, and Trade Up.

The Standard CD account has a minimum deposit requirement of $500. The APY for a CD with a term of 60 months, or five years, is 0.25%. This account’s term length can be one month to five years.

The Step Up CD has a term length of 28 months, which is slightly over two years. This account has only one choice in terms of its length and it offers an interest rate increase every seven months throughout this CD’s 28-month term. The APY is 0.05% for the first seven months, and then increases to 0.25%, 0.45%, and 0.65% every seven months.

US Bank money market accounts (MMAs)

As far as Money Market Accounts (MMAs), U.S. Bank offers the Elite Money Market Account where customers can earn up to 4.50% APY. The APY is tiered based on the balance of the account. For instance, if you have up to $9,999, the APY will be 0.01%. If you have $25,000 and above, the APY is 4.5%.

The Elite Money Market Account is best for those who want higher interest rates and easy access to their funds. The account offers up to a 4.50% APY when the customer deposits at least $25,000 into a new Elite Money Market Account. The minimum deposit requirement is $100. The monthly maintenance fee is $10. The fee can be waived if the customer enrolls in a U.S. Bank Smartly Checking account and enrolls in the Smart Rewards Primary tier or above or maintain a $10,000 minimum daily balance.

With this account, the Annual Percentage Yield (APY) and the interest rate depends on the balance in the account. For balances below $25,000, the APY and the interest are 0.01%. For balances above $25,000 the APY and interest rate are 4.50% and 4.40% respectively.

To open an account, a minimum opening deposit of $100 is required. Inorder to earn the rates, you must maintain the minimum daily balance needed for each tier.

Personal loans

U.S. Bank offers three types of personal loans. These are called the personal loan, the home improvement personal loan, and the simple loan. To check your credit, apply for a loan and see what rate you are offered.

With the personal loan offer, U.S. Bank checking customers can borrow up to $50,000. Those without a U.S. Bank checking account may be able to borrow up to $25,000. The minimum borrowing amount is $1,000.

The home improvement personal loan is tailored to those who want to make home renovations. Similar to the personal loan, U.S. Bank checking customers with credit approval can borrow up to $50,000. Those who do not have a U.S. Bank account can borrow up to $25,000.

The simple loan is for those looking to get funds during an emergency or, simply, a smaller amount of cash for a planned expense. This type of loan is for U.S. Bank checking customers who qualify, and customers can borrow anywhere from $100 up to $1,000.

U.S. Bank mortgages

If you’re looking to purchase a house and are wondering what U.S. Bank offers in this category, U.S. Bank has three mortgage offerings. These are: Conventional Fixed-Rate Loans, FHA Loans, and VA Loans.

With the Conventional fixed-rate loans, you lock in a rate and keep that over the term of the mortgage. The conventional rate for a 30-year term is 6.38% and 6.52% APR as of 12/14/2023.

FHA loans are government-backed loans that offer consistent rates, low down payment requirements (as low as 3.5%) and have flexible qualification guidelines — one of them being that they allow for lower credit scores, although they do ask for a score of at least 640.

Veteran Affairs (VA) loans have options where you do not have to put up much or anything for your down payment. To qualify for a VA loan, you must be an active-duty or former member of the armed forces with at least 90 days of consecutive service during wartime, 181 days of service during peacetime, or 6 years of service in the National Guard or reserves. This loan also is an option for spouses of service members who died while they were serving or because of a service-related disability.

U.S. Bank offers a loan calculator on their website which can be helpful to see what kind of loan may be best for you.

U.S. Bank credit cards

U.S. Bank offers a variety of credit cards, ranging from cash back, travel cards and cards with no annual fee.

For shopping, the U.S. Bank Shopper Cash Rewards Visa Signature Card is a cash back card where you can earn up to 6% cash back plus $250. The $250 is contingent upon spending a minimum of $2,000 in net purchases on the new card within 120 days after opening it. The card doesn’t have an annual fee the first year and is $95 annually thereafter.

If you’re looking for rewards, with the U.S. Bank Altitude Go Visa Signature Card you can earn 20,000 bonus points which are worth $200. This card also has a 0% intro APR for the first 12 billing cycles. With this card, you get four times the amount of points on dining, takeout and restaurant delivery, two times as many points at grocery stores, grocery delivery, streaming services, gas stations and EV charging stations, and you get the normal amount of points on all other eligible purchases. You also receive a $15 credit for annual streaming service purchases such as Netflix and Spotify. This card has a $0 annual fee.

U.S. Bank business banking

The business banking services at U.S. Bank include business checking, lending, credit cards, merchant services, cash management and payroll services.

There are various checking account offerings, including the Silver Business Checking Account Package, the Gold Business Checking Account Package, the Platinum Business Checking Account Package, the Non-Profit Checking Account, and the Premium Business Checking Account.

U.S. Bank auto loans

U.S. Bank has two auto loan offerings, auto financing pre-approval and auto loan refinancing. With auto financing pre-approval, you apply for a loan to use at participating dealers. You can get an APR starting at 7.26% for up to 60 months at participating dealers. Approval requirements include having a car that is less than a year old, a loan amount of $40,000 or more, the amount financed, model year, loan-to-value (LTV) percentage. Monthly payment and annual percentage rate (APR) will vary based on these factors and the term, the amount financed, your credit history and applicable fees.

When it comes to refinancing an auto loan, the auto refinancing has an APR as low as 7.91% for up to 60 months. Requirements include having a loan of $30,000 or more, a term of 60 months or less, a minimum credit score of 800 or higher and a car that is less than two years old.

U.S. Bank’s customer experience

The Better Business Bureau gives U.S. Bank an A- accreditation. According to J.D. Power, “U.S. Bank has received the highest score in California in the J.D. Power 2023 U.S. Retail Banking Satisfaction Study of customers’ contentment with their primary bank,” according to a press release issued by U.S. Bank in April 2023.

In July 2022, the Consumer Financial Protection Bureau (CFPB), however, sued U.S. Bank because the bank “harmed its customers in the form of unwanted accounts, negative effects on their credit profiles, and the loss of control over personally identifiable information.” “Customers also had to waste time and energy closing unauthorized accounts and resolving consequences stemming from them, including seeking refunds for improperly charged fees,” said the FDIC in a statement.

How does U.S. Bank compare?

U.S. Bank vs. Chase

Both are large national banks with a large footprint, although Chase has a presence in all states and U.S. Bank is mostly in the West and Midwest United States.

Chase has a wider variety of checking accounts geared towards people who are beginners and students, those who are accustomed to banking, and more experienced bankers. U.S. Bank offers two checking accounts. One is a basic account and the other is an account that doesn’t include paper checks and has lower monthly fees.

For their savings accounts, their APYs are comparable. For their CD accounts, U.S. Bank offers higher APYs than Chase.

Chase’s strong suit is the variety of checking accounts, services, and its wide national footprint, and U.S. Bank’s strength is its mortgages for veterans with no mortgage insurance requirement and has flexible qualification guidelines.

U.S. Bank vs. Citi

Both banks have pros and cons. Both have similar pros in that Citi offers simple savings, checking, and CD accounts, and U.S. Bank offers these same services, geared for beginners.

Citi has a large ATM presence throughout the U.S., whereas U.S. Bank is regional with its core presence on the West Coast and Southwest.

U.S. Bank’s strength is that U.S. Bank has a flexible veteran option for mortgages and Citi does not.

U.S. Bank vs. Bank of America

For their savings accounts, both banks offer a 0.01% APY, however Bank of America has higher monthly maintenance fees than U.S. Bank. Bank of America’s fee is $8 and U.S. Bank’s fee is $4. Both banks offer ways to waive these fees. The minimum opening deposit is also higher at Bank of America ($100) than at U.S. Bank ($25).

U.S. Bank has many options for beginners and those who are new to banking. Bank of America offers checking accounts that offer a variety of options for students or those who have additional checking and savings accounts with the bank.

As for other services, Bank of America does not offer MMAs and U.S. Bank does. However, Bank of America has more small business offerings.

Methodology

By employing this comprehensive review methodology, we aim to empower consumers like you to make informed decisions when choosing a consumer bank that aligns with your financial goals and preferences. We evaluate key factors such as interest rates, fees, minimum balance requirements, access to funds, and more to help you make informed decisions. Please note that our reviews are based on publicly available information, and we recommend verifying the latest details directly from the respective financial institutions.

Frequently asked questions (FAQs)

Is U.S. Bank FDIC insured?

Yes, U.S. Bank is an FDIC-insured bank. That means that, as stated on the bank’s website, eligible U.S Bank consumer and business deposits are insured unconditionally by the United States government.

Is U.S. Bank a good or bad Bank?

U.S. Bank is favorably rated by Fitch Ratings with an A+. The grade, however, is a downgrade from the previous year. According to Fitch, “The downgrade reflects USB’s interest rate risk profile, which is more closely aligned with ‘A+’ rated peers.”

Is U.S. Bank a good bank for beginners?

U.S. Bank has checking and savings accounts that are geared towards folks who are beginners. The bank also has their “standard” line of credit cards and certificate of deposits that are especially for those who are new to these kinds of accounts.

Who owns U.S. Bank?

U.S. Bancorp, the parent company of U.S. Bank, is traded on the New York Stock Exchange.