Discover Savings Account Review – High Interest Rate & No Monthly Fees

Discover bank offers one of the better savings accounts in the market. Let’s take a look at this account to see if it’s worth signing up for. Keep in mind that unlike other sites we do not use bank account affiliate links, meaning our reviews are honest and not biased by financial incentives.

Account At A Glance

  • Interest Rate: 2.1% APY
  • Minimum Balance: None
  • Maximum Balance: None
  • Hard/soft pull: Soft
  • ChexSystems: No
  • Credit card funding: None
  • Monthly fees: None
  • Insured: FDIC

Fees

The full fee disclosure can be found here.

  • No monthly maintenance fee (and no minimum balance requirement)
  • No fee for official bank check or for expedited delivery
  • No early account termination fee. Account can be closed via secured message.
  • $15 fee per transaction if you exceed the 6 qualifying transaction limit
  • Wire transfers:
    • No fee for incoming transfers
    • $30 for outgoing wire transfers
  • Insufficient funds fee $30 per item (limit of one per day)

Interest Rate

Interest is calculated daily. The current interest rate is 1.50% APY. This is competitive when it comes to basic saving account rates, but is still lower than the current top rate of 1.75% APY and significantly less than 5% APY’s being offering by rewards checking accounts.

Here is the rate history:

  • February 24th – current: 1.5% APY
  • January 2018 – February 24th: 1.4% APY
  • October 30th, 2009: 1.85%

Sign Up Bonus

Discover has somewhat recently started offering sign up bonuses for their saving account products. The current bonus is $150 or $200 and requires a deposit of $15,000 – $20,000. The good thing about these bonuses is that there is no minimum deposit length unlike a lot of other savings account bonuses.

Our Verdict

The Discover savings account is worth considering for people that are interested in the sign up bonus of $150/$200 currently being offered. As mentioned, there are other savings accounts offering a higher interest rate (currently a difference of 0.25%) and I’d really recommend checking out rewards checking accounts to get rates of up to 5% APY. Hopefully you found this review helpful, if you have any questions then please ask us in the comments below.


18
Leave a Reply

avatar
 

  Subscribe  
newest oldest most voted
Notify of
Tikky
Tikky

DP – Hey Doc I noticed that the current APY saving rates are up to the following now. Anyone else want to confer?

1.30% DP and AAA Savings
1.35% AAII Savings

R.
R.

1.40% from Jan 2018.

R.
R.

1.60% now.

Phil Baker
Phil Baker

Earlier this year my Discover statement showed a completely unknown (to me) name as the joint holder of the account and my wife’s name was eliminated. It took them weeks to straighten out. What if I hadn’t noticed it and the “joint holder” withdrew all of the money? Would I be out of luck or would the bank be responsible to give me my money back? I still haven’t gotten any answers on how/why this happened. Am presently looking for another place to deposit my money.

Justin
Justin

They have quite a slow transfer system this is for an initial transfer from wells fargo in which I was not required to verify with microdeposits:
Initiated transfer- 05Apr2018
Requested transfer- 05Apr2018
Received Transfer- 06Apr2018
AVAILABLE- 11Apr2018!

arizonapv
arizonapv

Discover let me know that they are changing their terms for their Money Market Account Minimum Deposit Requirements:
A minimum balance fee of $10 will be imposed starting with the third statement cycle if the average daily balance for the statement cycle falls below $2,500 for each Money Market Account. The average daily balance is calculated by adding the principal in the Account for each day of the period and dividing that figure by the number of days in the period. Effective Aug 8, 2018

Looney Tunes
Looney Tunes

Yes, on their Money Market account, not on their Savings account.

dcguy
dcguy

For AAA members who open the Money Market Account using the affiliated link, the minimum balance to avoid the fee is $1,500 that is imposed with the third statement cycle if the average daily balance for the statement cycle falls below $1,500. So AAA members get a lower requirement.

Natalie
Natalie

Does anyone know what would keep someone from opening this account, waiting the 1-2 months to receive the sign-up bonus, then closing it? It says there are no early termination fees, so I’m wondering what the repercussions would be for doing this. Ideally I’d like to sign up but I hear mixed things about Discover, so if they suck I’d rather keep the bonus but go elsewhere.

dcguy
dcguy

I opened the Savings Account last month and received the sign-up bonus a few days after the account was opened. The flyer mentioning the bonus said that the required deposit amount had to be added by November 22 which has passed. I could close the account now with no early closure charge. The bonus was only available for new account owners, so any future bonuses would no longer be available for me if I opened any new accounts later. Other than that, I don’t see any other issues.

SPeterson
SPeterson

Is it possible to open more than one savings account, for this offer?
Any thought?

dcguy
dcguy

You should be able to open more than one account, but the bonus will be given only one time.

CJ
CJ

Up to 2% now

Bill
Bill

On another page you have a link to an AAII page on the Discover site with an extra 0.05% interest rate. Is there a simple way to get my account updated to the higher rate?

Kay
Kay

I have the same question.

Ben D.
Ben D.

Discover online savings account now up to 2.1% APY.

Back to Top ↑