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Ally Checking Account Review
Ally Bank is a banking institution known for operating entirely online and for providing loans and deposit accounts.
Ally is an online-only bank, but it has physical ATMs. It’s part of the Allpoint ATM network, so you have free access to over 43,000 Allpoint ATMs around the US. If you use an out-of-network ATM and the ATM provider charges a fee, Ally will reimburse up to $10 per month.
The Ally mobile app has received 4.7 out of 5 stars in the Apple store, and 3.7 out of 5 stars in the Google Play store.
Live customer service is available 24/7, both by phone and online chat.
Your money is FDIC insured for up to $250,000, or $500,000 if you have a joint account.
Is Ally Trustworthy?
We use ratings from the Better Business Bureau so you can see how a bank deals with customer issues.
Ally received an A- rating from the BBB because it has several unresolved complaints on the BBB website.
A good BBB rating isn’t necessarily the be-all and end-all. Talk to current customers or read online customer reviews to see if a financial institution might be a good fit.
Ally doesn’t have any recent public controversies
Ally Checking Account Pros and Cons
See Insider’s picks for the best checking accounts.
Ally Spending Account – Product Name Only
You may like the
Ally is also one of the best banks for avoiding overdraft fees. In 2021, the bank eliminated overdraft fees on all accounts.
If you set up a savings or money market account with Ally, you can request free overdraft protection. When you overdraw your checking account while enrolled in this service, the money is automatically transferred from your savings or money market account. This way, you won’t risk your transaction being denied.
This account is good for people who don’t have a problem banking digitally. There are no physical branch locations, so if you’re happy doing everything online, through an app, or over the phone, you may find Ally is right for you.
Ally Spending Account – Product Name Only Features
Setting up an
Ally doesn’t require an opening deposit or a minimum account balance. You don’t have to pay a monthly service charge, either.
You’ll receive a 0.10% APY if your balance is under $15,000, and 0.25% if your balance is $15,000 or more. This interest is compounded daily and paid monthly. (To see which banks currently pay the highest rates, see Insider’s picks for the best high-yield checking accounts.)
With Ally, you can deposit checks digitally, but you can’t deposit cash. You have access to over 43,000 Allpoint® ATMs, and if an out-of-network ATM provider charges you a fee, Ally will reimburse you up to $10 per month.
You can set up bill payments directly from your Ally account, and you can link the account to Zelle to transfer money directly between your checking account and others’ bank accounts.
Ally has early direct deposit, so you may receive your paycheck up to two days early. Ally also offers spending buckets to help manage your spending for different categories, like groceries or rent.
How the Ally Spending Account Compares
Ally Spending Account vs. Capital One 360 Checking
Neither Ally nor
Capital One does have physical branch locations (although they are limited). If there’s a branch near you, you may prefer Capital One if you like in-person banking.
If you have more than $15,000, you may prefer to go with Ally, which pays 0.25%.
Capital One offers several options for overdraft protection. You may choose to transfer money from your savings or money market account (like you would with Ally), settle for having your purchase denied, or no-fee overdrafts. No-fee overdraft is a service where Capital One approves check payments, bill payments, or recurring debit payments even if it would create a negative balance for your account. To qualify, you’ll need to receive at least $250 in direct deposits during two of the three previous months.
At Ally, you can link your checking account to another account or sign up for CoverDraft. CoverDraft will allow you to overdraw up to $100 ($250 if you have direct deposit set up), and you’ll have 14 days to restore your account balance without paying any overdraft fees.
Capital One does provide access to ATMs, but unlike Ally, the bank doesn’t reimburse out-of-network ATM fees. Capital One also isn’t known for having customer service as strong as Ally’s.
Ally Checking Account vs. Chime
Both Chime and Ally are online-only banking institutions. Both offer conveniences like mobile check deposit and early direct deposit.
However, Ally has an interest-earning checking account, while
You also might prefer Ally if you’d like to open a money market account or CDs. Chime doesn’t offer these types of accounts.
Ally Spending Account FAQs
Does Ally charge monthly service fees on its checking account?
Is the Ally Spending Account good?
Ally has an excellent online checking account that stands out because it doesn’t charge typical bank fees. There are zero monthly services and overdraft fees. You may also receive up to $10 in out-of-network ATM reimbursements per month.
How can I get early direct deposit on my Ally Spending Account?
If you have already set up direct deposit and received at least two qualifying direct deposits, you’ll automatically qualify for early direct deposit. If you don’t have direct deposit yet, you’ll need to talk to your employer about setting up direct deposit. Once you’ve received two qualifying direct deposits, you may qualify for early direct deposit.
What is the interest rate on the Ally Spending Account?
The Ally Spending Account pays 0.10% APY on daily balances under $15,000 and 0.25% APY on daily balances of $15,000 or more.
Does the Ally Spending Account have buckets?
Yes, the Ally Spending Account has spending buckets. Spending buckets allow you to set aside money for specific expenses. You can create up to 30 buckets.
Why You Should Trust Us: How We Reviewed the Ally Spending Account
For our Ally Spending Account review, we used our checking account methodology. At Personal Finance Insider, we rate products on a scale from zero to five stars. We also compare and contrast the features and fine print of various products to help determine if the account may be right for you. Our checking methodology, specifically, takes into account the minimum opening deposit, monthly service fees, overdraft protection options, ATM network/fees, customer support availability, mobile app ratings, and ethics of a company.