Laurel Road Banking 2023 Review
Laurel Road Banking 2023 Review
Laurel Road: A Comprehensive Banking Review
Laurel Road, an online banking institution, is gaining popularity for its diverse range of financial products, including student loan refinancing, mortgages, personal loans, and credit cards. As experts in the field, we have delved into the various banking options offered by Laurel Road to provide you with a comprehensive review.
High Yield Savings Account: A Rewarding Choice
Laurel Road’s high yield savings account stands out with a competitive 5.00% Annual Percentage Yield (APY) rate. This rate applies to the entire account balance, with the only caveat being a possible cap on the opening deposit at $500,000. Furthermore, this account offers a $0 minimum opening deposit and zero monthly service fee, making it an accessible choice for a wide range of customers.
Linked Savings Account: Unlocking Refinancing Discounts
For individuals with student loans from Title IV schools who choose to refinance with Laurel Road, there is an opportunity to lower the refinance rate. By opening a Laurel Road Linked Savings Account, customers can benefit from discounts based on their average daily savings account balance for the previous month. The more substantial the balance, the higher the discount:
- 0.30% discount for balances of $20,000 or more
- 0.20% discount for balances of $10,000 to $19,999
- 0.10% discount for balances of $1,000 to $9,999
- 0% discount for balances of $999 or less
Although the APY for this account is a modest 0.03%, the savings from the refinance discount could potentially outweigh the “losses” from the low APY.
Loyalty Checking Account: Earn Rewards
Laurel Road’s Loyalty Checking Account provides an excellent opportunity for customers to earn cash rewards. By making qualifying direct deposits, individuals receive a $20 cash reward every month for the first year and $10 per month thereafter. Additionally, new account holders have the chance to earn a $300 bank account bonus by making qualifying direct deposits totaling at least $2,500 within 60 days of opening the account. The account offers a $0 minimum opening deposit, no monthly service fee, and access to a network of 40,000 KeyBank and Allpoint ATMs.
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Linked Checking Account: Combining Convenience with Savings
The Laurel Road Linked Checking Account offers similar features to the Loyalty Checking Account, including mobile check deposit, online bill pay, and access to the same ATM network. However, customers must choose either the Linked Checking or the Loyalty Checking account; they cannot open both simultaneously. The Linked Checking Account also provides attractive refinancing discounts based on qualifying monthly direct deposits:
- 0.55% discount with direct deposits totaling $7,500 or more
- 0.25% discount with direct deposits totaling $2,500 to $7,499
- 0.00% discount with direct deposits totaling $2,499 or less
Similar to the Loyalty Checking Account, this account offers a 0.01% APY and a $20 overdraft fee, capped at three daily charges.
A Reliable Online Banking Experience
Laurel Road, an online-only banking institution, operates without physical branches. However, it compensates for this by offering live support via phone or chat from 8 a.m. to 9 p.m. ET on weekdays. As a subsidiary of KeyBank, a Member FDIC bank, Laurel Road ensures that deposits are FDIC-insured up to $250,000 per person, per account ownership type. Although its mobile app has fewer reviews compared to other online banks, it still maintains a satisfactory rating in both the Apple Store and Google Play Store.
Moreover, Laurel Road has established a trustworthy reputation. It holds an A+ rating from the Better Business Bureau, indicating its commitment to customer satisfaction and transparent business practices. While Laurel Road itself has not experienced any data breaches in the last five years, its parent company, KeyBank, encountered a data breach in 2022. The breach exposed mortgage customer records, underscoring the importance of remaining vigilant in protecting personal information.
Laurel Road Banking FAQs
To address common inquiries, we have compiled a list of frequently asked questions:
How Laurel Road Banking Compares
Laurel Road vs. Bask Bank
Laurel Road and Bask Bank share similarities such as FDIC insurance, zero monthly fees, no account minimums, and the option to add a joint account owner. However, the two banks differ in several key areas. Bask Bank offers two types of savings accounts and high-yield CDs, while Laurel Road offers a high-yield savings account and a savings account tailored for student loan refinance discounts. Ultimately, the choice between the two depends on individual preferences.
Laurel Road vs. SoFi
Laurel Road and SoFi are both pioneers in the online banking industry. While they share certain qualities, including zero monthly fees, no minimum opening deposit, and welcome bonuses, there are distinct differences. SoFi offers a hybrid checking/savings account, while Laurel Road provides separate checking and savings options. Furthermore, SoFi offers a larger ATM network, zero overdraft fees, and various cashback rewards. However, Laurel Road’s high yield savings account boasts a more attractive interest rate.
Why You Should Trust Us: How We Reviewed Laurel Road Banking
In ensuring an unbiased and comprehensive review, we have meticulously assessed Laurel Road’s accounts and services using Insider’s bank account methodology. Our evaluation considers factors such as customer support, mobile apps, ethics, and specific features (overdraft fees and interest rates) depending on the type of account analyzed. With our expertise, we aim to equip individuals with the necessary insights to make informed choices about banking with Laurel Road.
