You guys know I love online banks. They offer better rates and easy ways to manage savings. That’s why starting an online account was one of my tips for quick ways to improve your finances.
But I’ll be honest: I hadn’t heard of Radius Bank before this campaign, so I was a bit skeptical. Could anything live up to the hype (I created) around Capital One 360?
Short answer? Yep.
First of all, it turns out that I could be earning 50% more (1.5% instead of 1%) on all of our savings accounts if I switched to Radius. That alone is making me rethink my devotion to Capital One 360.
But I was also impressed by Radius’s Hybrid Checking option.
You can open an account with as little as $10. Once the account is open, there’s no balance minimum. Buuuuut if you do feel like beefing up the account to $2,500 or more, you’ll get 0.85% interest. That’s 12 times the national average!
Of course, not everyone wants to keep $2,500 in a checking account. Many would prefer to keep those funds in savings, where the interest rates are higher. On the other hand, savings accounts come with a monthly limit on withdrawals, so Hybrid Checking is a great way to keep your money a little more liquid without sacrificing a good APY.
One concern I always have with online banks is how immediately I can access my money. I want a respectable interest rate for my long-term purposes, but what if I need some cash now? Well, fear not: Radius has ATMs worldwide, making it easy to withdraw your funds as needed.
Can’t find a Radius ATM near you? Well, the bank will never charge you for using another company’s ATM — and the fee you pay that other institution may be eligible for a rebate.
Hybrid Checking has plenty of features that are pretty standard in the banking world: bill pay, internal/external account transfers, direct deposit, mobile check deposit, mobile wallet, etc. But definitely not standard are the personal financial management (PFM) tools in the bank’s app.
Radius’s software allows you to have a more holistic view of your finances. You can link external accounts, letting you analyze spending trends and even calculate your net worth. You can use the app to create a budget — and it will help you stick to that budget by setting overall spending caps or limits on specific types of activities/merchants. That’s definitely not something my Chase or Capital One 360 apps offer!
Another cool management tool: You can turn off your card. So if you leave your debit card somewhere or think it’s lost, you can turn it off with a quick swipe. Once it’s back in your hot little hand, just go back into the app and swipe it back on. Talk about peace of mind!
The final feature that I really liked is how easy it is to pay a friend. I’ve done person-to-person payments through Capital One 360, but only to another account holder. Nowadays I can pay anyone through Chase or Capital One 360… As long as both I and the recipient enroll in Zelle. Sorry, not interested.
Radius makes things a lot simpler: Enter the email address or mobile number of the payee (verifying the transaction with your PIN), then the recipient enters his/her debit card or bank information to collect the funds. Simple and straightforward!
I’ve always assumed that one online bank is as good as the next, that they all offer essentially the same product at about the same rates. Clearly, I was mistaken. And clearly I need to seriously reconsider my online banking.
Had you heard of Radius Bank before? Is your interest piqued?