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Ally and Discover Bank are two popular online banks that are great options if you don’t want to deal with common bank fees.
To help you analyze the differences between each bank, we’re comparing savings, checking, CD, and money market accounts and determining which ones are the most appealing. We’re also comparing financial institutions in trustworthiness.
Ally pros and cons
Discover pros and cons
Ally vs. Discover checking account comparisons
Ally Interest Checking Account
Annual Percentage Yield (APY)
0.10% to 0.25% APY
Minimum Deposit Amount
$0
Ally Interest Checking Account
Annual Percentage Yield (APY)
0.10% to 0.25% APY
Minimum Deposit Amount
$0
Deposit Details
Annual Percentage Yield (APY)
0.10% to 0.25% APY
Minimum Deposit Amount
$0
Pros & Cons
Competitive APY
No initial deposit
No minimum account balance
No monthly service charge
Connect your account with Zelle
Easy-to-use mobile app
Early direct deposit
Reimburses up to $10/month in out-of-network ATM fees
Online bill pay
24/7 customer service
No overdraft fees
Overdraft protection
No physical branch locations
No way to deposit cash
Highlights
You can deposit checks right from your smartphone
Ally reimburse’s up to $10 per statement cycle for fees charged at other ATMs nationwide
Transfer money with your voice through Ally Skill™ for Amazon Alexa
Interest compounded daily, paid monthly
FDIC insured
Additional Reading
Read our review
Discover Cashback Debit Account
Annual Percentage Yield (APY)
None
Minimum Deposit Amount
$0
Discover Cashback Debit Account
Annual Percentage Yield (APY)
None
Minimum Deposit Amount
$0
Deposit Details
Annual Percentage Yield (APY)
None
Minimum Deposit Amount
$0
Pros & Cons
Earn up to 1% cash back on up to $3,000 in purchases per month
No monthly service fee
Over 60,000 ATMs
Early direct deposit
Enroll in free overdraft protection
Debit card can only be used in the US, Canada, Mexico, and the Caribbean
Only 1 branch location
Highlights
Earn 1% cash back on up on up to $3,000 per month in eligible debit card purchases
100% US-based customer service available 24/7
No opening deposit or minimum account balance
No monthly maintenance fees
Over 60,000 ATMs
FDIC insured
Additional Reading
Read our review
Ally vs. Discover savings account comparisons
Ally High Yield Savings Account
Annual Percentage Yield (APY)
2.25% APY
Minimum Deposit Amount
$0
Ally High Yield Savings Account
Annual Percentage Yield (APY)
2.25% APY
Minimum Deposit Amount
$0
Deposit Details
Annual Percentage Yield (APY)
2.25% APY
Minimum Deposit Amount
$0
Pros & Cons
High APY
No minimum opening deposit
No monthly service fees
Savings buckets help you save for different goals
Surprise savings transfers help you save extra money from your checking account
No physical branch locations
No way to deposit cash
Highlights
Create separate savings buckets in a savings account
Link to your Ally checking account and enroll in surprise savings transfers to have extra money transferred to savings three times per week
Interest compounded daily, paid monthly
FDIC insured
Additional Reading
Read our review
Ally vs. Discover CD comparisons
Ally High Yield Certificate of Deposit
Annual Percentage Yield (APY)
1.00% to 3.25% APY
Minimum Deposit Amount
$0
Ally High Yield Certificate of Deposit
Annual Percentage Yield (APY)
1.00% to 3.25% APY
Minimum Deposit Amount
$0
Deposit Details
Annual Percentage Yield (APY)
1.00% to 3.25% APY
Minimum Deposit Amount
$0
Pros & Cons
Competitive APY
No required opening deposit
Low early withdrawal penalties
No terms over 5 years
No physical branch locations
Highlights
Terms ranging from 3 months to 5 years
Early withdrawal penalty of 60 days interest penalty term of 24 months or less; 90 days interest for term of 25 to 36 months; 120 days interest for terms of 37 to 48 months; 150 days interest for terms of 49 months or more
Interest compounded daily, paid monthly
FDIC insured
Additional Reading
Read our review
Ally vs. Discover money market account comparisons
Out-of-network ATM reimbursements of up to $10 per month
24/7 customer service
Easy-to-use mobile app
Link to other Ally bank accounts
Not the highest money market account APY
No physical branch locations
$10 excess transaction fee (paused during COVID-19)
Highlights
Access to checks and a debit card
Interest compounded daily, paid monthly
FDIC insured
Additional Reading
Read our review
Ally vs. Discover bank trustworthiness and BBB rating
The Better Business Bureau rates businesses according to how they deal with customers’ issues and complaints.
Discover Bank has received an A+ rating from the Better Business Bureau. Meanwhile, Ally has a C- rating because it has a high volume of customer complaints and two unresolved complaints.
However, keep in mind that a good BBB rating doesn’t necessarily mean your relationship with the bank will be smooth. Talk to current customers or read online customer reviews to see if one of these banks might be a good option for you.
Neither financial institution has been involved in any recent public scandals.
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