Capital One Bank
Capital One Bank
is best known for their credit card services, and the amusing television commercials used to advertise them. However, they have now branched out into online banking services, offering
high yield money market savings accounts. Their credit card services have been well received by consumers and critics, by and large. The money market offering is relatively new, so it's hard to gauge how well it's worked out for people, but at first blush, the features look good.
Features
The new offering includes some attractive features, especially considering that it comes from a big national bank. Unlike many money market accounts which require huge account balances in order to get a decent rate, the minimum balance is $1. The rate paid is up there with rates paid on high yield savings accounts at many Online banks, and there is no big minimum balance required to get it.
Liquidity
Further, as a money market account, Capital One's offering offers much better liquidity and easier access to your money than standard savings accounts. Checks and ATM access are included free, along with easy online access and cash transfers.
Security
The accounts are fully FDIC insured, and Capital One has a rock-solid financial foundation, so your money will be as safe in these accounts as anywhere else. Further, accessing your account and records online over an encrypted connection doesn't run the danger of identity thieves finding your account information by sifting your bank statements out of the garbage.
Bottom Line
Capital One's entree into online banking looks promising. We'll keep our eye out for more service offerings.