Ponce Bank Review
Ponce Bank has been in operation since as far back as 1960, with this New York-based bank being an extremely trustworthy institution. It is a medium-sized bank that has both physical branches and an online offering. There is a wide range of different bank account options that you get with Ponce Bank, including money market accounts, checking accounts, savings accounts, IRAs, and CDs.
Ponce Bank offers a low-cost structure for many of its accounts, as well as having a very popular mobile app. It also has some particularly standout account options that it offers in combination with SaveBetter. This review will look at each of the key aspects of the Ponce Bank online offering.
Promotions
- Minimal fees.
- Top-notch SaveBetter account offerings.
- Excellent mobile app.
- Wide range of account types.
Ponce Bank Account Types
There are a number of popular types of bank accounts that you will come across through Ponce Bank. Each of these accounts will have its own advantages and disadvantages that you can consider in a clear and concise way. It currently has some exceptional account options that stand out from the rest of the options. These are in collaboration with SaveBetter, bringing some stunning options to the fore.
Money Market Deposit Account (SaveBetter)
The Money Market Deposit account that Ponce Bank offers through SaveBetter allows you to earn an APY of 0.41% on your money. This is one of the best rates you will find for a money market account in the space today. Interest compounds on a daily basis and gets credited each month. You only need to deposit $1 when opening this account and there is no limit on the number of transactions you do. Finally, there are no monthly fees in place for this account option.
| Account Type | Key Features |
| Money Market Deposit Account (SaveBetter) | Earn 0.41% APY |
| $1 minimum opening deposit | |
| No monthly fee |
High-Yield Certificates of Deposits (SaveBetter)
There are three different types of short-term high-yield certificates of deposit (CDs) that you can take advantage of through Ponce Bank’s collaboration with SaveBetter. These CDs have a term length of five months, 13 months, and 48 months. The APY starts at 0.25% for the five-month CD, rising to 0.45% for the other two options.
The term will renew automatically upon maturing unless you elect to pay out and close the CD before the maturity date. The minimum opening deposit is just $1, which is lower than most CDs. Finally, there are early withdrawal penalties in place. This is one of the better high-yield CD offerings that you will come across thanks to the great APYs.
| Account Type | Key Features |
| High-Yield Certificates of Deposits (SaveBetter) | 5-month, 13-month, and 48-month term lengths |
| $1 minimum opening deposit | |
| Up to 0.45% APY |
Premium Interest Checking
This account type offers you free standard checks, as well as getting a higher interest rate if you have a balance of at least $1,500. There is also a competitive interest rate given to you if your balance is below the $1,500 mark. There is a $7 monthly charge if your balance is below $1,500. The APYs will range between 0.05% and 0.1%.
| Account Type | Key Features |
| Premium Interest Checking | Better interest if balance is $1,500 or more |
| $7 monthly charge if balance is less than $1,500 | |
| Free standard checks |
50+ Interest Checking
This is going to be an option tailored towards people who are at least 50 years old. It provides you with free standard checks and competitive interest rates of 0.05%. There is also no minimum balance that you need to adhere to, as well as no monthly fee being charged.
| Account Type | Key Features |
| 50+ Interest Checking | APY of 0.05% |
| No monthly fee | |
| No minimum balance |
Direct Interest Checking
This type of checking account allows you to accumulate interest and being able to make automatic payments or direct deposits. There are competitive interest rates of 0.05%, as well as no minimum balance and no monthly service charge.
| Account Type | Key Features |
| Direct Interest Checking | APY of 0.05% |
| No monthly charge | |
| No minimum balance |
Simply Free Checking
This is a free account that will be suitable for all types of people. It carries no minimum balance and there is also no monthly charge for you to pay.
| Account Type | Key Features |
| Simply Free Checking | No interest earned |
| No minimum balance | |
| No monthly charge |
Ponce Savings
This is an ideal starting point for savers. You will earn a competitive interest of 0.10% and there is a minimum required opening balance of just $50. There will be a monthly charge of $5 in place if your balance ever falls below the $100 mark.
| Account Type | Key Features |
| Ponce Savings | APY of 0.1% |
| $5 monthly charge if balance below $100 | |
| Minimum required opening balance of $50 |
Passbook Savings
This is a convenient way in which you can save more of your money. You will get interest on your balance of at least $500 from the first withdrawal date to your last withdrawal. There will only be a monthly charge of $3 in place if the balance on your account drops below $500. There is just a $100 minimum open deposit in place.
| Account Type | Key Features |
| Passbook Savings | APY of 0.05% |
| $3 monthly charge if balance below $500 | |
| Minimum opening balance of $100 |
Money Market
You will be able to earn higher rates of interest while still having access to your funds with this account option. You will earn better rates when you have higher balances. The interest rates are competitive when you have a balance of at least $500.
These rates will range between 0.10% and 0.2%. If your minimum balance falls below the $500 mark, you will need to pay a $1 monthly charge. The minimum opening deposit is just $50.
| Account Type | Key Features |
| Money Market | APY of 0.05%-0.20% |
| $10 monthly charge if balance below $500 | |
| Minimum opening deposit of $50 |
Certificates of Deposit (CD)
You will be able to use this type of product if you want to grow your investments at a fixed rate while also having your funds FDIC-insured. The interest rate will be fixed and will vary depending on the term length of the CD. The rates will start at 0.05% and rise up to 0.55%.
For 1-60 month CDs, you need to have at least $500 invested, with this rising to a $1,000 minimum for those CDs that have a 12-60 month duration. You will have a seven-day grace period after the date of maturity and there will then be automatic renewals.
| Account Type | Key Features |
| Certificates of Deposit | APY of 0.05%-0.55% |
| 1-60 month term lengths | |
| Automatic renewals |
Ponce Bank APY
There are different APY rates that you can get at Ponce Bank. They will vary depending on the account types you’re dealing with, as well as the size of your account balance. Here is a quick breakdown of what you can expect with the different account options:
| Account | 1 Year | 3 Years | 5 Years |
| Money Market Deposit Account (SaveBetter) | 0.41% | 0.41% | 0.41% |
| High-Yield CDs | 0.25% | 0.45% | 0.45% |
| Premium Interest Checking | 0.05%-0.10% | 0.05%-0.10% | 0.05%-0.10% |
| 50+ Interest Checking | 0.05% | 0.05% | 0.05% |
| Direct Interest Checking | 0.05% | 0.05% | 0.05% |
| Ponce Savings | 0.10% | 0.10% | 0.10% |
| Passbook Savings | 0.10%-0.20% | 0.10%-0.20% | 0.10%-0.20% |
What is a Ponce Bank account best for?
Perhaps the best strength of Ponce Bank is its low-cost structure. Most of the accounts either do not charge any fees or only charge monthly fees if your balance is below a certain amount. The minimum required balance to avoid fees is usually relatively small, so you can avoid fees for the most part with this offering. It also has a money market deposit account and high-yield CDs that provide some very good APYs with minimal restrictions or barrier to entry.
As a whole, Ponce Bank compares very favorably when compared to other online banking options. There is also a very good quality of service, whether you are trying to resolve issues online, or in person. Finally, the mobile app allows you to very quickly manage all of your banking needs in an easy and concise manner.
Overdraft fees
Ponce Bank does not currently charge an overdraft fee, which is ideal. A lot of competitors will have an overdraft fee in or around the $35 mark.
Opening an account at Ponce Bank
You are able to open an account with Ponce Bank either in person at one of its physical branches or online. The process of registering online is very simple and doesn’t take very long.
You just need to provide all of the standard types of personal information and contact details. Then you will have to choose the type of account you want to open. There will often be a need for you to upload some documents that showcase your identity and address. Ponce Bank ensures that this entire process is very efficient.
Pros and Cons
There are pros and cons associated with using Ponce Bank. The main standout of this offering is the low-cost structure. You will be hard-pressed to find a solution that has a better fee structure. It is very easy to avoid paying any monthly fees once you adhere to the minimum account balance rules. The money market deposit account and the high-yield CDs also offer account options for those people who are looking to get above-average returns on their money when compared to other online banks.
The mobile app is also one of the easiest of its kind to use. This allows you to carry out tons of useful functions with your online bank account. The interest rates are generally competitive and Ponce Bank is a respected institution, with many different account options to choose between.
In terms of the drawbacks of Ponce Bank, the rates are only about average for the industry. You can often find between rates and rewards elsewhere. Everything else really is to be liked, with no other red flags or issues arising.
| Pros | Cons |
| Low fee structure | Average rates |
| Great mobile app | Not many rewards |
| Some high-yield account options |
Comparison to similar bank accounts
| Ponce Bank | Bank of America | TD Bank |
| APY: 0.1% (Ponce Savings) | APY: Up to 0.05% | APY: Up to 0.15% |
| Minimum balance: $50 | Minimum balance: $100 | Minimum balance: $0 |
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Disclaimer: To protect your personal information from unauthorized access and use, we use security measures that comply with federal law. These measures include computer safeguards and secured files and buildings. We also maintain other physical, electronic, and procedural safeguards to protect this information and we limit access to information to those employees for whom access is appropriate.
