Betterment is built for first-time investors, specializing in automated investing. But it also comes with a free checking account and a high-yield savings account.
It’s not a full-service bank, so those looking for personal loans, credit cards, etc. won’t find everything they need. But for the basics, Betterment can be one of the best.
Here’s everything you need to know about banking with Betterment.
All rates and fees are current as of Aug. 29 2025, and are subject to change.
Betterment at a glance
Betterment
| Checking accounts: | $0 monthly fees and no minimum deposit |
| Savings accounts: | $0 monthly fees and $10 minimum deposit |
- Year Founded: 2008
- Company Headquarters: New York City, NY
- CEO: Sarah Levy
Pros
- Checking account with no maintenance fees
- Savings account offers up to 4.65% APY (new customer offer; terms apply)
- Savings account offers up to $2 million in FDIC insurance
Cons
- Few account options
- No customer support on the weekends
- No brick-and-mortar branches
Who is Betterment good for?
Again, Betterment is an investment-first financial institution. It’s a strong pick for those looking to invest in things like retirement, bond, and crypto accounts who are also looking for a solid checking and/or savings account.
It’s also well worth considering for anyone looking to earn interest from excess funds. Betterment’s Cash Reserve account offers a better return than many competing high-yield accounts on the market—including even some of the best certificates of deposit. That is, if you take advantage of the new customer offer. The ongoing APY is respectable, but not quite as sky high.
Finally, those with a lot of savings to stash may appreciate how Betterment’s Cash Reserve account works. As Betterment is not itself a bank, but spreads customers’ money across a network of partner banks, it’s able to provide up to $2 million in FDIC insurance. If you’re keeping your money with just one bank, you’re typically capped at $250,000 per depositor per eligible category.
Who shouldn’t use Betterment?
Betterment lacks account options that are common with many other institutions, including CDs, money market accounts (MMAs), auto loans, mortgages, etc. If you’d like to do all your banking under one roof, Betterment may not be the answer.
Additionally, Betterment is entirely online. This means you won’t be able to hop over to a local branch to service your account. If you’re not comfortable with a 100% digital experience, don’t go with Betterment.
Betterment rates and products
Betterment offers two banking products: a checking account and a Cash Reserve account (which essentially functions as a savings account). They’re fee-free and require no minimum balance.
| Betterment product | APY |
|---|---|
| Checking account | None |
| Savings account | Normally 4.00%; Up to 4.65% for new customers |
| Checking account | |
|---|---|
| APY | None |
| Savings account | |
| APY | Normally 4.00%; Up to 4.65% for new customers |
Bank details checked Aug. 29, 2025.
Checking account
Betterment’s checking account is comparatively bare bones. It doesn’t currently offer a welcome bonus; it doesn’t earn interest; it doesn’t allow for wire transfers. But it also has no monthly maintenance fees and no minimum opening deposit. It even waives ATM fees and foreign transaction fees worldwide.
Bank details checked Aug. 29, 2025.
Savings account
Betterment calls its high-yield savings option a Cash Reserve account. As of this writing offers an impressive variable 4.00% APY. But even better is its limited-time 4.65% APY for new customers through Jan. 15, 2026. That’s one of the highest returns you’ll find anywhere for a deposit account.
Betterment’s savings account also comes with other noteworthy features such as unlimited withdrawals (many institutions cap withdrawals from savings at six per month).
Bank details checked Aug. 29, 2025.
Other services Betterment offers
Betterment’s main focus is on helping you to grow your money by investing. Here are other services Betterment offers aside from its checking and savings accounts:
- Automated investing: Betterment uses technology to build you a custom variety of stocks and bonds. It does most of the boring part for you—all you need to do is set goals.
- Retirement planning: Betterment will work with you to find the best way to prepare for your future with various investment options. You can open a traditional, Roth, or SEP IRA.
Online banking
Online banking is the only option when it comes to Betterment checking and savings. It’s a fully digital experience, so banking in-person is out of the question.
That said, Betterment offers what appears to be a good online banking experience, with features like recurring deposits and customizable savings goals.
The Betterment platform and customer support
You can service your checking and savings accounts either through Betterment’s website or its mobile app, which receives a rating of 4.8 stars in the Apple App store and 4.7 stars in the Google Play store across more than 89,000 reviews combined.
If you need help with your account, customer support is available at 718-400-6898 from Monday to Friday between 9 a.m. and 8 p.m. Eastern Time (no weekend support).
Is Betterment secure?
Betterment takes all the expected precautions to keep your money secure, including encryption for sharing data online, password hashing, and multi-factor authentication. It also demands special passwords for third-party apps that you link to your Betterment account, such as tax software.
Funds kept with Betterment are FDIC insured up to $250,000 for checking accounts and $2 million for savings accounts (the latter is possible because Betterment can spread funds stored in a Cash Reserve account across multiple program banks).
Betterment user reviews
When a customer writes an online review, it’s oftentimes motivated by frustration. A bad experience tends to compel users to write a review more often than a seamless experience.
That said, Betterment receives an average rating of 1.7 out of 5 stars with just over 40 reviews on Trustpilot. Negative reviews tend to center around investment fees, slow transfers of funds, and limited customer support.
Reddit users tend to be more positive, commenting on the unlimited ATM fee reimbursements, uncomplicated offerings, and the convenience of using a debit card internationally without transaction fees.
Compare Betterment alternatives
If you aren’t sure Betterment has everything you need, here’s a look at other competing financial institutions. Capital One and SoFi are both popular options among those comfortable with online banking (Capital One does have a limited number of branches and cafe locations).
 Betterment |  Capital One |  SoFi® (Member FDIC) |
|---|---|---|
| Checking account top APY | Checking account top APY | Checking account top APY |
| Does not earn interest | 0.10% | 0.50% |
| Savings account top APY | Savings account top APY | Savings account top APY |
| 4.65% | 3.50% | Up to up to 3.80%%.1 Get a 0.70% Boost on Savings APY to up to 4.50% for up to 6 months on new accounts with eligible Direct Deposit. Terms apply.2 |
| CD top APY | CD top APY | CD top APY |
| N/A | [EDIT.VALUE] | N/A |
| Checking account monthly fee | Checking account monthly fee | Checking account monthly fee |
| $0 | $0 | $0 |
| View offer at MoneyLion | View offer at MoneyLion | View offer at SoFi |
Bank details checked Aug. 29, 2025
Is Betterment right for you?
Betterment may be right for you if you’re simply in need of a checking and savings account. It could be particularly ideal if you’re searching for a generous return from a high-yield savings account.
Betterment is also likely good for individuals or couples looking to insure their deposits without having to manually spread money across separate bank accounts. For its Cash Reserve account, Betterment offers FDIC insurance up to $2 million per individual and $4 for joint accounts—that’s because it can store the savings with multiple program banks.
Frequently asked questions
Is Betterment a bank?
No. Betterment is an online investment platform—but it does partner with NBKC Bank to offer banking products.
Do Betterment checking accounts earn interest?
No, Betterment checking accounts do not earn interest.
Are there withdrawal limits on Betterment Cash Reserve?
There are no withdrawal limits on Betterment Cash Reserve accounts. You can withdraw as many times as you like each month.
Can I transfer money to others through Betterment?
You can transfer money to others from Betterment through third-party apps like Cash App. Betterment itself doesn’t offer this capability natively.
What are the customer service hours for Betterment?
Betterment is available by phone at 718-400-6898. Customer service is available from Monday to Friday between 9 a.m. and 8 p.m. Eastern Time.
SoFi disclaimer
1:
SoFi members who enroll in SoFi Plus with Eligible Direct Deposit or by paying the SoFi Plus Subscription Fee every 30 days or SoFi members with $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 3.80% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Eligible Direct Deposit amount required to qualify for the stated interest rate. Members without either SoFi Plus or Qualifying Deposits, during the 30-Day Evaluation Period will earn 1.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 1/24/25. There is no minimum balance requirement. If you have satisfied Eligible Direct Deposit requirements for our highest APY but do not see 3.80% APY on your APY Details page the day after your Eligible Direct Deposit arrives, please contact us at 855-456-7634. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet. See the SoFi Plus Terms and Conditions at https://www.sofi.com/terms-of-use/#plus.
2: 0.70% Savings APY Boost
Earn up to 4.50% Annual Percentage Yield (APY) on SoFi Savings with a 0.70% APY Boost (added to the 3.80% APY as of 8/5/25) for up to 6 months. Open a new SoFi Checking & Savings account with Eligible Direct Deposit by 1/31/26. Rates variable, subject to change. Terms apply at sofi.com/banking#2. SoFi Bank, N.A. Member FDIC.