Fri. Nov 8th, 2024

Alliant vs. Ally: Which Institution Offers a Higher Interest Rate?<!-- wp:html --><p class="headline-regular financial-disclaimer">Our experts choose the best products and services to help make smart decisions with your money (<a href="https://www.businessinsider.com/personal-finance/personal-finance-editorial-standards" class="not-content-link" target="_blank" rel="noopener">here's how</a>). In some cases, we receive a commission from <a href="https://www.businessinsider.com/personal-finance/our-partners" class="not-content-link" target="_blank" rel="noopener">our partners</a>; however, our opinions are our own. Terms apply to offers listed on this page.</p> <p><strong>The bottom line:</strong> <a href="https://www.businessinsider.com/personal-finance/alliant-credit-union-review">Alliant</a> offers a more appealing checking account, but <a href="https://www.businessinsider.com/personal-finance/ally-bank-review">Ally</a> narrowly beats Alliant on savings accounts. For CDs, it could be a tight race between the two banks and may ultimately hinge on which term you want to open.</p> <p>If you're looking to make more interest on your money, you might be eyeing Alliant Credit Union or Ally since both offer competitive interest rates right now.</p> <p>We've compared each account below to see which bank accounts stand out the most, and so you can determine if one of these institutions may be a suitable option for you. We're also evaluating each bank's trustworthiness so you can know more about the institution's history.</p> <div class="insider-raw-embed"></div> <h2><strong>Pros and Cons: Alliant Credit Union</strong></h2> <p>ProsCons</p> <p>24/7 customer service by phone</p> <p>Anyone can become a member (Join <a href="https://www.fc2success.org/" target="_blank" rel="noopener">Foster Care to Success</a>, and Alliant will cover your $5 joining fee)</p> <p>No monthly service fees</p> <p>Competitive interest rates on savings account and CDs</p> <p>Interest-earning checking account</p> <p>Kids savings account option</p> <p>Alliant Certificate minimum opening deposit on CDsNo physical locations</p> <h2><strong>Pros and Cons: Ally</strong></h2> <p>ProsCons</p> <p>24/7 live customer service<br />over the phone or through live chat</p> <p>No monthly service fees</p> <p>$0 opening deposits on accounts</p> <p>Competitive interest rates on savings account and CDs</p> <p>Interest-earning checking account</p> <p>Savings account comes with tools to help you save</p> <p>Unique CDs, including no-penalty CDs, IRA CDs, and Raise Your Rate CDs</p> <p>No physical locationsNo <a href="https://www.businessinsider.com/personal-finance/joint-bank-account-vs-individual-bank-account" target="_blank" rel="noopener">joint bank accounts</a> for minors</p> <h2><strong>Alliant vs. Ally Checking Account Comparisons</strong></h2> <p>Ally and Alliant both offer a fee-free, interest-earning checking account. Alliant also has a teen checking account, if you're looking to open a bank account for a minor at least 13 years old. </p> <p> Alliant High-Interest Checking AccountAlly Interest Checking AccountAnnual percentage yield (APY)Alliant High-Interest Checking AccountAlly Interest Checking AccountMinimum opening deposit$5 (Alliant covers the fee)Ally Interest Checking AccountMonthly service feeNoneNonePerksEarn interest on your accountNo overdraft feesFree overdraft protection No incoming wire transfer feesRefunds up to $20/month in out-of-network ATM feesAccess to 80,000 free ATMs May deposit cash at Alliant ATMsEarn interest on your accountNo overdraft feesEarly direct depositSpending buckets to help manage expensesFree overdraft protection No incoming wire transfer feesRefunds up to $10/month in out-of-network ATM feesAccess to 43,000 free ATMsCaveatsNo physical locationsNo physical locationsDoesn't accept cash depositsNext steps<strong>Alliant High-Interest Checking Account</strong><strong>Ally Interest Checking Account</strong></p> <h3><strong>Winner: Alliant</strong></h3> <p>The Alliant High-Interest Checking Account lets you deposit cash at Alliant ATMs, and you'll have access to a larger ATM network than with the Ally Interest Checking Account. You'll also earn Alliant High-Interest Checking Account APY regardless of your account balance, while Ally has a tiered interest rate.</p> <h2><strong>Alliant vs. Ally Savings Account Comparisons</strong></h2> <p>Alliant and Ally pay higher interest rates than the average savings account. Alliant also has a Alliant Credit Union Kids Savings Account featured in <a href="https://www.businessinsider.com/personal-finance/best-banks-to-open-savings-account-for-child">our best kids savings account guide</a>. </p> <p> Alliant High-Rate Savings AccountAlly High Yield Savings AccountAnnual percentage yield (APY)Alliant High-Rate Savings AccountAlly High Yield Savings AccountMinimum opening depositNoneAlly High Yield Savings AccountMonthly service feeNoneNonePerksAdd "Supplemental savings accounts" to save for goalsATM card includedSavings buckets feature lets you separate savings to create specific goalsSurprise savings tool automatically transfers extra change from your checking account to help you saveCaveatsNeed to keep at least $100 in your account daily to earn interestNo physical branches No physical branchesNext steps<strong>Alliant High-Rate Savings Account</strong><strong>Ally High Yield Savings Account</strong></p> <h3><strong>Winner: Ally</strong></h3> <p>The Ally High Yield Savings Account narrowly wins over the Alliant High-Rate Savings Account because it offers a higher interest rate. You also don't need to keep a certain amount in your account to earn interest. You may still like the Alliant High-Rate Savings Account if you'd like easy access account, though — not many savings accounts offer ATM cards.</p> <h2><strong>Alliant vs. Ally Certificate Comparisons </strong></h2> <p> Alliant CertificateAlly High Yield Certificate of DepositTerm lengths3 months to 5 years3 months to 5 yearsMinimum opening depositAlliant CertificateAlly High Yield Certificate of DepositAnnual percentage yield (APY)Alliant CertificateAlly High Yield Certificate of DepositEarly withdrawal penalties7 days to 180 days interest60 to 150 days of interestTypes of CDsStandard CD, <a href="https://www.businessinsider.com/personal-finance/ira-cd-rates" target="_blank" rel="noopener">IRA CD</a>High-yield CD, <a href="https://www.businessinsider.com/personal-finance/ally-cd-review" target="_blank" rel="noopener">No Penalty CD, Raise Your Rate CD</a>, <a href="https://www.businessinsider.com/personal-finance/ira-cd-rates" target="_blank" rel="noopener">IRA CD</a>Next steps<strong>Alliant Certificate</strong><strong>Ally High Yield Certificate of Deposit</strong></p> <h3><strong>Winner: Tie</strong></h3> <p>Ally and Alliant both offer competitive CD rates, and the best option may ultimately depend on the term you choose. </p> <h2><strong>Alliant vs. Ally Money Market Account </strong></h2> <p>Alliant doesn't have a money market account, but Ally does. Ally Money Market Account pays a competitive interest rate and has a Ally Money Market Account opening deposit — most banks usually require at least $1,000 to open a money market account.</p> <p>It also provides you with a debit card and paper checks, making it a convenient savings tool for accessing money quickly if necessary.</p> <h3><strong>Winner: Ally</strong></h3> <p>Ally Money Market Account is our default winner for this category because Alliant doesn't offer a money market account. </p> <h2><strong>Alliant vs. Ally Trustworthiness and BBB Rating</strong></h2> <p>We use ratings from the Better Business Bureau, so you see how a bank deals with customer issues.</p> <p>The BBB gave Alliant an <a href="https://www.bbb.org/us/il/chicago/profile/credit-union/alliant-credit-union-0654-22003383" target="_blank" rel="noopener">A+ rating</a>. Meanwhile, Ally received an <a href="https://www.bbb.org/us/pa/ft-washington/profile/bank/ally-bank-0241-133953058/complaints" target="_blank" rel="noopener">A rating</a> from the BBB because it has three unresolved complaints.</p> <p>A high BBB rating doesn't necessarily guarantee your relationship with a bank will be perfect. Consider chatting with current customers or reading online customer reviews, too.</p> <p>Alliant and Ally haven't been involved in any recent public controversies. </p> <h3>Winner: Alliant</h3> <p>Alliant beats Ally in this category since it is more likely to respond to customer issues. Both institutions are trustworthy banking options overall, though.</p> <h2>Frequently Asked Questions</h2> <h3 class="faq-question">Is Alliant or Ally better? </h3> <p class="faq-answer">Deciding between Alliant or Ally will likely come down to several differentiating factors. </p> <p class="faq-answer">For instance, you'll favor Alliant if you're looking to open savings or checking accounts for minors since Ally doesn't offer bank accounts for kids.</p> <p class="faq-answer">If you're looking for a variety of CD options, you may lean more toward Ally. Alliant doesn't have no-penalty or step-up CDs.</p> <p class="faq-answer">You also may have to consider whether you prefer banking with an online bank or credit union. Credit unions usually require membership to open an account.</p> <p class="faq-answer">At Alliant, you can become a member by joining the <a href="https://www.fc2success.org/" target="_blank" rel="noopener">Foster Care to Success</a> (Alliant will cover the $5 joining fee). You may also join if you live near the bank's headquarters in Chicago; are an employee, retiree, or member of an eligible organization; or you have a family member that's an Alliant member.</p> <h3 class="faq-question">Which bank has the highest interest rate?</h3> <p class="faq-answer">Ally offers a higher interest rate on its savings account. Keep in mind interest can rates fluctuate on savings accounts, though.</p> <div class="read-original">Read the original article on <a href="https://www.businessinsider.com/personal-finance/alliant-vs-ally-comparison-review">Business Insider</a></div><!-- /wp:html -->

Our experts choose the best products and services to help make smart decisions with your money (here’s how). In some cases, we receive a commission from our partners; however, our opinions are our own. Terms apply to offers listed on this page.

The bottom line: Alliant offers a more appealing checking account, but Ally narrowly beats Alliant on savings accounts. For CDs, it could be a tight race between the two banks and may ultimately hinge on which term you want to open.

If you’re looking to make more interest on your money, you might be eyeing Alliant Credit Union or Ally since both offer competitive interest rates right now.

We’ve compared each account below to see which bank accounts stand out the most, and so you can determine if one of these institutions may be a suitable option for you. We’re also evaluating each bank’s trustworthiness so you can know more about the institution’s history.

Pros and Cons: Alliant Credit Union

ProsCons

24/7 customer service by phone

Anyone can become a member (Join Foster Care to Success, and Alliant will cover your $5 joining fee)

No monthly service fees

Competitive interest rates on savings account and CDs

Interest-earning checking account

Kids savings account option

Alliant Certificate minimum opening deposit on CDsNo physical locations

Pros and Cons: Ally

ProsCons

24/7 live customer service
over the phone or through live chat

No monthly service fees

$0 opening deposits on accounts

Competitive interest rates on savings account and CDs

Interest-earning checking account

Savings account comes with tools to help you save

Unique CDs, including no-penalty CDs, IRA CDs, and Raise Your Rate CDs

No physical locationsNo joint bank accounts for minors

Alliant vs. Ally Checking Account Comparisons

Ally and Alliant both offer a fee-free, interest-earning checking account. Alliant also has a teen checking account, if you’re looking to open a bank account for a minor at least 13 years old. 

 Alliant High-Interest Checking AccountAlly Interest Checking AccountAnnual percentage yield (APY)Alliant High-Interest Checking AccountAlly Interest Checking AccountMinimum opening deposit$5 (Alliant covers the fee)Ally Interest Checking AccountMonthly service feeNoneNonePerksEarn interest on your accountNo overdraft feesFree overdraft protection No incoming wire transfer feesRefunds up to $20/month in out-of-network ATM feesAccess to 80,000 free ATMs May deposit cash at Alliant ATMsEarn interest on your accountNo overdraft feesEarly direct depositSpending buckets to help manage expensesFree overdraft protection No incoming wire transfer feesRefunds up to $10/month in out-of-network ATM feesAccess to 43,000 free ATMsCaveatsNo physical locationsNo physical locationsDoesn’t accept cash depositsNext stepsAlliant High-Interest Checking AccountAlly Interest Checking Account

Winner: Alliant

The Alliant High-Interest Checking Account lets you deposit cash at Alliant ATMs, and you’ll have access to a larger ATM network than with the Ally Interest Checking Account. You’ll also earn Alliant High-Interest Checking Account APY regardless of your account balance, while Ally has a tiered interest rate.

Alliant vs. Ally Savings Account Comparisons

Alliant and Ally pay higher interest rates than the average savings account. Alliant also has a Alliant Credit Union Kids Savings Account featured in our best kids savings account guide

 Alliant High-Rate Savings AccountAlly High Yield Savings AccountAnnual percentage yield (APY)Alliant High-Rate Savings AccountAlly High Yield Savings AccountMinimum opening depositNoneAlly High Yield Savings AccountMonthly service feeNoneNonePerksAdd “Supplemental savings accounts” to save for goalsATM card includedSavings buckets feature lets you separate savings to create specific goalsSurprise savings tool automatically transfers extra change from your checking account to help you saveCaveatsNeed to keep at least $100 in your account daily to earn interestNo physical branches No physical branchesNext stepsAlliant High-Rate Savings AccountAlly High Yield Savings Account

Winner: Ally

The Ally High Yield Savings Account narrowly wins over the Alliant High-Rate Savings Account because it offers a higher interest rate. You also don’t need to keep a certain amount in your account to earn interest. You may still like the Alliant High-Rate Savings Account if you’d like easy access account, though — not many savings accounts offer ATM cards.

Alliant vs. Ally Certificate Comparisons 

 Alliant CertificateAlly High Yield Certificate of DepositTerm lengths3 months to 5 years3 months to 5 yearsMinimum opening depositAlliant CertificateAlly High Yield Certificate of DepositAnnual percentage yield (APY)Alliant CertificateAlly High Yield Certificate of DepositEarly withdrawal penalties7 days to 180 days interest60 to 150 days of interestTypes of CDsStandard CD, IRA CDHigh-yield CD, No Penalty CD, Raise Your Rate CDIRA CDNext stepsAlliant CertificateAlly High Yield Certificate of Deposit

Winner: Tie

Ally and Alliant both offer competitive CD rates, and the best option may ultimately depend on the term you choose. 

Alliant vs. Ally Money Market Account 

Alliant doesn’t have a money market account, but Ally does. Ally Money Market Account pays a competitive interest rate and has a Ally Money Market Account opening deposit — most banks usually require at least $1,000 to open a money market account.

It also provides you with a debit card and paper checks, making it a convenient savings tool for accessing money quickly if necessary.

Winner: Ally

Ally Money Market Account is our default winner for this category because Alliant doesn’t offer a money market account. 

Alliant vs. Ally Trustworthiness and BBB Rating

We use ratings from the Better Business Bureau, so you see how a bank deals with customer issues.

The BBB gave Alliant an A+ rating. Meanwhile, Ally received an A rating from the BBB because it has three unresolved complaints.

A high BBB rating doesn’t necessarily guarantee your relationship with a bank will be perfect. Consider chatting with current customers or reading online customer reviews, too.

Alliant and Ally haven’t been involved in any recent public controversies. 

Winner: Alliant

Alliant beats Ally in this category since it is more likely to respond to customer issues. Both institutions are trustworthy banking options overall, though.

Frequently Asked Questions

Is Alliant or Ally better? 

Deciding between Alliant or Ally will likely come down to several differentiating factors. 

For instance, you’ll favor Alliant if you’re looking to open savings or checking accounts for minors since Ally doesn’t offer bank accounts for kids.

If you’re looking for a variety of CD options, you may lean more toward Ally. Alliant doesn’t have no-penalty or step-up CDs.

You also may have to consider whether you prefer banking with an online bank or credit union. Credit unions usually require membership to open an account.

At Alliant, you can become a member by joining the Foster Care to Success (Alliant will cover the $5 joining fee). You may also join if you live near the bank’s headquarters in Chicago; are an employee, retiree, or member of an eligible organization; or you have a family member that’s an Alliant member.

Which bank has the highest interest rate?

Ally offers a higher interest rate on its savings account. Keep in mind interest can rates fluctuate on savings accounts, though.

Read the original article on Business Insider

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