California is one of the largest states in the country, and its residents have a wealth of options when it comes to choosing a personal bank. The best banks in the Golden State offer a broad selection of products to meet various needs, competitive interest rates on savings accounts, manageable fees, and modern conveniences.
To help you make an informed decision, I have narrowed down the top banks in California. Read on to discover the banks with the best savings and checking accounts and the most accessible options for residents in the state.
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Best Personal Banks in California
- Axos – Best Personal California Banks Overall
- Chime – Best User-Friendly Interface
- SoFi – Best for Saving Accounts
- Bank of America – Best for Opening a Checking Account
- Upgrade – Best for Personal Loans
- U.S. Bank – Best Customer Service
- Discover – Best CD Rates
Axos – Best Personal California Banks Overall
Axos Bank, headquartered in California, is the best overall for its digital-first banking approach. Axos offers a competitive APY on its high-yield savings account, and customers benefit from convenient access, free domestic ATM fee reimbursements, and multiple checking accounts without monthly maintenance fees.
Axos is one of the few online business banks that make cash deposits easy for business owners. Account holders can use any compatible Allpoint or MoneyPass ATM to make deposits with no additional fee. Additionally, if you’re ever charged an ATM fee within the U.S., Axos will automatically refund it.
Pros
- No monthly fees or minimum opening deposit
- Unlimited fee-free transactions and free incoming wires
- Automatic refunds for all domestic ATM fees
Cons
- No APY on Essential Checking account
- Limited physical branch locations
- Lower APY on Money Market and CD accounts compared to other banks
>> Axos – Top Personal Bank California >>
Chime – Best User-Friendly Interface
For California residents, Chime Bank stands out as an excellent personal banking option due to its user-friendly features, extensive ATM network, and innovative financial tools. Chime has become a popular choice among online banks, offering benefits that appeal to tech-savvy users and those looking to avoid traditional banking fees.
One of Chime’s standout features is its early direct deposit, which allows users to access their paycheck up to two days earlier than traditional banks. This feature provides quicker access to funds and greater financial flexibility.
Chime offers access to over 60,000 fee-free ATMs through the Allpoint and MoneyPass networks, ensuring that California residents can easily find an ATM without incurring extra fees, making cash withdrawals convenient.
Pros
- No monthly maintenance, overdraft, or foreign transaction fees
- Access your paycheck up to two days early
- Competitive APY for faster savings growth
Cons
- Entirely online, which may not suit everyone
- Cash deposits must be made at Green Dot locations, potentially incurring fees
>> Apply for a Chime Bank Account Today! >>
SoFi – Best for Saving Accounts
One of SoFi’s primary attractions is its high-interest savings accounts. SoFi offers competitive interest rates that significantly outperform many traditional banks, making it an appealing choice for individuals looking to maximize their savings potential. Californians choosing SoFi can grow their savings faster and achieve their financial goals more efficiently.
SoFi goes beyond traditional banking by offering a range of member benefits designed to enhance customers’ financial well-being. These benefits include access to career coaching, financial planning, and exclusive events. By becoming a SoFi member, customers gain access to valuable resources and support that can help them achieve their personal and professional goals.
Pros
- Competitive interest rates on savings accounts, accelerating savings growth
- No monthly maintenance fees, overdraft fees, or minimum balance requirements
- A wide range of financial products, including student loan refinancing, personal loans, mortgages, and investment options
Cons
- Primarily an online bank, which may not suit those who prefer in-person banking
- Less convenient for depositing cash compared to traditional banks
- Some users may prefer face-to-face interactions for complex issues
>> Apply for a SoFi Bank Account Today! >>
Bank of America – Best for Opening a Checking Account
Bank of America (BofA) can be a strong option for personal banking in California for several reasons. As one of the largest and most established financial institutions in the United States, BofA offers a range of benefits to meet various banking needs.
If online banking isn’t your preference, you’ll appreciate Bank of America’s extensive physical presence. With nearly 450 branches across California, it’s easy to find an ATM when you need one and access in-person assistance.
While their savings APY might not be as competitive as those at online banks, Bank of America compensates with a broad array of products, including credit cards, home and auto loans, and investment services through Merrill.
Pros
- Convenient access to numerous branches and ATMs across the state
- Comprehensive product offerings, including checking/savings accounts, credit cards, loans, mortgages, and investments
- User-friendly online and mobile banking with advanced security features
Cons
- Monthly maintenance fees for certain accounts if balance or activity requirements are not met
- Lower interest rates on savings accounts and CDs compared to some online banks
- Multiple fees for various services, which can be confusing and add up if not monitored
>> Apply for a Bank of America Account Today! >>
Upgrade – Best for Personal Loans
Upgrade has emerged as a compelling option for personal banking in California, offering a blend of modern digital banking services with attractive features tailored to today’s consumers.
One of Upgrade’s standout features is its high-yield savings account, which provides competitive interest rates significantly higher than those typically found at traditional banks. This makes it an excellent choice for individuals looking to grow their savings efficiently.
Upgrade’s commitment to customer service further enhances its appeal. With a strong emphasis on providing excellent support, customers can access assistance through various channels, ensuring help is available when needed.
The bank’s transparent and straightforward approach to financial products makes it easy for users to understand the terms and conditions, avoiding common pitfalls like hidden fees and complex agreements.
As a personal banking option in California, Upgrade offers a combination of high returns on savings, accessible credit options, and excellent customer service, presenting a modern banking solution that aligns well with contemporary financial needs.
Pros
- Offers competitive interest rates on savings accounts, providing an excellent opportunity for your money to grow faster compared to traditional banks
- No monthly maintenance fees or minimum balance requirements
- Provides a range of financial products, including personal loans and the Upgrade Card, which combines features of a personal loan and a credit card for flexible spending and debt management
Cons
- Upgrade operates primarily online, so there are no physical branches for those who prefer in-person banking
- Depositing cash can be inconvenient since Upgrade lacks a network of ATMs for cash deposits, requiring alternative methods
>> Apply for an Upgrade Bank Account Today! >>
U.S. Bank – Best Customer Service
For three consecutive years, U.S. Bank has received the highest ranking for Customer Satisfaction in California by J.D. Power. It boasts the lowest monthly fee among national banks, which can be easily waived.
The bank’s digital banking tools provide a convenient banking experience; in fact, the industry benchmarking firm Keynova Group has previously ranked U.S. Bank’s mobile app as the best for three consecutive years.
In J.D. Power’s 2017 U.S. Retail Banking Satisfaction Study, U.S. Bank ranked second. This study evaluates factors such as a bank’s ability to handle customer issues, the frequency of its branches, its fee schedules, and its product offerings. The rating offers valuable insight into how well a bank serves its customers.
U.S. Bank offers a wide range of financial products, enhancing your confidence in banking with them. Beyond standard savings and checking accounts, you can also open money market accounts, obtain credit cards, and secure various loans.
Pros
- No monthly service fee for Silver Business Checking account
- Welcome bonus for new customers (terms apply)
- No fees at 4,700 U.S. Bank ATMs, and access to 2,900 branches
- No fees if an account is overdrawn by $50 or less
Cons
- Low cash deposit limits
- Terms and fees are not easily accessible via the bank’s website
- Limit of 125 fee-free transactions per month
>> Apply for a U.S. Bank Account Today! >>
Discover Bank stands out as a compelling option for personal banking in California, especially for those who prioritize online banking convenience and competitive interest rates. One of Discover Bank’s standout features is its high-yield savings account, offering interest rates significantly above the national average.
This makes it an attractive choice for individuals looking to maximize their savings. Additionally, Discover’s certificates of deposit (CDs) offer competitive rates, allowing customers to lock in higher interest for fixed terms. This combination of high returns on savings products sets Discover apart from many traditional banks.
Pros
- Discover offers competitive interest rates on savings accounts, significantly above the national average, helping your money grow faster
- No monthly maintenance fees, no overdraft fees, and no minimum balance requirements, making it easier to manage finances without unexpected charges
- Discover's certificates of deposit (CDs) provide high returns for fixed terms, which is beneficial for long-term savings
Cons
- Discover operates primarily online, which may not be suitable for those who prefer in-person banking services
- Depositing cash can be cumbersome, as Discover lacks a network of ATMs for cash deposits
>> Apply for a Discover Bank Account Today! >>
Best Personal Banks in California – Buyers Guide
Tips on Banking in California
Choosing a bank is a personal decision, and the right bank for someone else may not necessarily meet your needs. Consider what’s important to you in a bank, and compare available options to find the best fit.
If you prefer the personal support of a brick-and-mortar bank, compare banks in your area of California to find one that suits your needs.
Many traditional banks now offer digital banking, but they often lack the competitive APYs found at the best online banks. If you’re comfortable with online-only banking, opening an account with an online bank can help you avoid fees while accessing higher interest rates. The same applies to credit unions if you meet their membership requirements.
Remember, you don’t have to do all your banking in one place. Using two or more banks can be a great option if you like features from different banks.
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How to Choose the Right Bank in California
Selecting the right bank depends on your financial circumstances, preferences, and needs. Consider these factors when choosing a financial institution for your banking needs:
Accounts and Services
Ensure the banks you’re considering offer the accounts and services you need. Common account types include checking accounts, savings accounts, certificates of deposit (CDs), and money market accounts. Full-service banks may also provide additional products and services like credit cards, loans, and investment options.
You might prefer using multiple banks to leverage their different strengths. For instance, one bank might offer the best CD rates in California, while another provides more convenient in-person branch access.
Fees
Banks often charge one-time or ongoing fees for various services. These can include service fees for not maintaining a minimum balance, overdraft fees, non-sufficient funds (NSF) fees, excessive withdrawal fees, ATM fees, late payment fees, and wire transfer fees. High bank fees can erode your savings efforts, so it’s important to understand the fee structures.
Interest Rates
Online banks and credit unions generally offer higher interest rates on deposit accounts compared to traditional banks. Securing competitive APYs (annual percentage yields) can help maximize your savings efforts and build up funds towards your financial goals.
Convenience
Accessibility and ease of managing your funds are crucial. Look for a bank that offers convenient ways to manage your accounts, such as fee-free ATM access, a highly rated mobile banking app with 24/7 availability, online bill pay, and mobile check deposits.
Customer Service
Customer support is important for times when you need assistance with your accounts. If you prefer speaking with a real person, choose a bank with local branches or personal customer support by phone. Some banks also offer chat support, virtual assistants, and other digital support services. Select a bank with support options that align with your communication preferences.
>> Axos – Top Personal Bank California >>
Frequently asked questions
Traditional banks often have lower interest rates on savings accounts and higher fees compared to online-only banks. However, they offer the advantage of physical branches for in-person services and cash deposits.
To switch banks, open a new account at your chosen bank, transfer your funds, update any direct deposits or automatic payments, and close your old account. Ensure you leave enough funds in the old account to cover any pending transactions during the transition period.
Yes, online-only banks can be a great option due to their higher interest rates on savings accounts and lower fees than traditional banks. However, an online-only bank might not be the best fit if you prefer in-person banking services or need to deposit cash frequently.
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Bottom Line
Residents of California have plenty of excellent options when it comes to choosing a new bank or credit union. Axos, Bank of America, Chime, and SoFi are strong contenders for those seeking wide access and national coverage.
The best bank for you depends on your financial goals and lifestyle. Whether you value high interest rates, fee transparency, digital convenience, or robust customer service, California has excellent options to meet your needs.
>> Axos – Top Personal Banking Services in California >>
Aeron Rupar
