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Below you'll find our top picks for the best banks and credit unions in California.
These institutions have stayed as our top picks for the last few months because they offer a variety of bank accounts with solid features and can be opened regardless of where you live in the state.
The Best Banks and Credit Unions in California
- Ally: Best bank for opening a savings account
- Bank of America: Best bank for opening a checking account
- Citi: Best bank for opening a savings and checking account
- Golden 1 Credit Union: Best credit union
Compare Financial Institutions in California
The best banks in California offer accesability throughout the state and a wide range of bank accounts.
All of the financial institutions on our list are protected by FDIC or NCUA insurance. Remember thatyour money is safe at a federally insured financial institution. When a financial institution is federally insured, up to $250,000 per depositor is secure in a bank account.
Best bank for opening a savings account
Ally Savings Account
Start saving
Ally Bank, FDIC Insured
Insider’s Rating
4.75/5
Perks
Earn 4.20% Annual Percentage Yield with a $0 minimum account opening requirement
Fees
no monthly service fee
Annual Percentage Yield (APY)
4.20%
Minimum Opening Deposit
$0
Pros
- High APY
- No minimum opening deposit
- No monthly service fees
- Savings buckets help you save for different goals
- Surprise savings transfers help you save extra money from your checking account
Cons
- No physical branch locations
- No way to deposit cash
Insider’s Take
The Ally High Yield Savings Account is a great option for anyone who wants savings tools to help save for specific financial goals, or prioritizes an account that doesn't charge standard bank fees.
Ally Savings Account review External link Arrow An arrow icon, indicating this redirects the user."
Product Details
- Create separate savings buckets in a savings account
- Link to your Ally checking account and enroll in surprise savings transfers to have extra money transferred to savings three times per week
- Interest compounded daily, paid monthly
- FDIC insured
Best bank for opening a checking account
Bank of America Advantage SafeBalance Banking® Account
Start banking
On Bank of America's website
Insider’s Rating
3.5/5
Perks
Earn $200 bonus for eligible new customers who open a Bank of America Advantage SafeBalance Banking® account with qualifying activities (offer expires May 31, 2024)
Fees
$4.50 monthly service fee
Annual Percentage Yield (APY)
N/A
Minimum Opening Deposit
$25
Bonus
New Bank of America customers may receive a $200 bonus when you open a Bank of America Advantage Banking account with a Bank of America associate who enrolls you in offer, and set up direct deposit for $2,000 or more within the first 90 days of opening the account (offer expires May 31, 2024)
$200
Pros
- No overdraft fees
- 3,900 branch locations and 15,000 ATMs
- $0 monthly fees when requirements are met
- May receive a cash bonus
Cons
- $25 opening deposit
- $2.50 out-of-network ATM fee
- Doesn't reimburse out-of-network ATM fees charged by providers
- No paper checks
- No interest earned
Insider’s Take
Bank of America is a worthwhile option if you want a bank with a large national presence that makes it relatively easy to waive monthly fees. But you can find higher savings rates at the best online banks, and many don't charge monthly fees at all.
Bank of America Advantage SafeBalance Banking® Account review External link Arrow An arrow icon, indicating this redirects the user."
Product Details
- New Bank of America customers may receive a $200 bonus when you open a Bank of America Advantage Banking account with a Bank of America associate who enrolls you in offer, and set up direct deposit for $2,000 or more within the first 90 days of opening the account (offer expires May 31, 2024)
- Access to 4,600 branch locations and 16,000 ATMs
- You can waive the $4.95 monthly service fee if you maintain a minimum daily balance of $500 or more, are under the age of 25, or if you are a Preferred Rewards client
- The minimum deposit required to open a SafeBalance Banking account is $25
Best bank for opening a checking and savings account
Citi Regular Checking
Start banking
Citi, FDIC Insured
Insider’s Rating
3.75/5
Perks
Earn $300 cash bonus by opening an eligible checking account with qualifying direct deposit and completing required activities (offer ends 7/8/24)
Fees
$15 monthly service fee
Annual Percentage Yield (APY)
See Website for Details
Minimum Opening Deposit
None
Bonus
Earn $300 cash bonus by opening an eligible checking account with qualifying direct deposit and completing required activities (offer ends 7/8/24)
$300
Pros
- No opening deposit
Cons
- $2.50 out-of-network ATM fee
- BBB gives Citi an F in trustworthiness
Citi Regular Checking review External link Arrow An arrow icon, indicating this redirects the user."
Product Details
- Earn $300 cash bonus by opening an eligible checking account with qualifying direct deposit and completing required activities (offer ends 7/8/24)
- Over 650 branches
Best credit union
Golden 1 Credit Union Regular Savings Account
Start banking
Golden 1 Credit Union, Member NCUA
Insider’s Rating
4/5
Fees
no monthly service fee
Annual Percentage Yield (APY)
0.05% to 0.20%
Minimum Opening Deposit
$0
Pros
- $1 opening deposit
- No monthly service fee
- Unlimited number of monthly withdrawals with no excess withdrawal fee
Cons
- Mediocre APY
- Compounds interest monthly, not daily
Golden 1 Credit Union Regular Savings Account review External link Arrow An arrow icon, indicating this redirects the user."
Product Details
- Any California resident or employee can become a Golden 1 Credit Union member
- Earn a higher APY with a balance of $10,000 or more
- Interest compounded monthly, paid monthly
- Federally insured by the NCUA
Best Banks in California FAQs
What is the best bank for checking accounts in California?
The best bank for checking accounts in California is Bank of America, which has the third-highest number of bank branches in California. It doesn't charge overdraft fees, and may give you a sign-up bonus.
What bank is most popular in California?
The most popular bank in California is probably either Chase or Wells Fargo, because they have the most branches in the most cities.
Who is the best bank to bank with in California?
Bank is America and Citi are probably the best banks in California to open a checking account, because they have large branch networks and offer welcome bonuses to qualifying customers. Golden 1 is the best credit union, as it's easy to join and has a solid branch network around the state.
Best Banks in California Reviews
Best banks and credit unions in California
-
Ally Bank
-
Bank of America
-
Citi
-
Golden 1 Credit Union
Editor's rating
4.5/5
Category
Best for a savings account
Annual Percentage Yield (APY)
Varies depending on account
Editor's rating
3.5/5
Category
Best for a checking account
Annual Percentage Yield (APY)
Varies depending on account
Editor's rating
3.25/5
Category
Best for checking and savings account
Annual Percentage Yield (APY)
Varies depending on account
Editor's rating
4/5
Category
Best credit union
Annual Percentage Yield (APY)
Varies depending on account
Ally Bank, Member FDIC
On Bank of America's website
On Citi's website
On Golden 1 Credit Union's website
Best Bank for Opening a Savings Account
Ally pays 4.20% Annual Percentage Yield (APY), and doesn't charge any monthly bank maintenance fees.
The Ally Savings Account has been a power player in the high-yield savings space for a few years now, and it consistently nabs top awards for online banking. Although it's an online bank, you can use over 40,000 Allpoint ATMs for free around the US.
Ally makes it easy to save for specific goals. You may decide to open a separate account for each goal, but Ally has a bucket feature that allows you save for multiple goals in one account. Assign each one a nickname, like "Emergency Fund" or "Travel Account" to track your progress and stay motivated.
While Ally is extremely competitive, other banks offer similar online high-yield savings accounts. Ally is certainly one of the best out there, but depending on your needs and your existing banking, you may find you prefer a different bank, such as Capital One 360, Varo, or Discover.
Ally Bank Review
Best Bank for Opening a Checking Account
Bank of America is the third-largest bank in California by branch locations. You can receive a $100 sign-up bonus for opening a checking account with Bank of America. The bank also doesn't charge any overdraft fees.
However, keep in mind that the bank charges an out-of-network ATM fee and you won't earn interest on the money you deposit into the bank's standard checking account.
Bank of America Review
Best Bank for Opening a Checking and Savings Account
Citi is one of the largest banks in California by branch locations. The bank pays large sign-up bonuses if you open certain checking and savings accounts together and meet deposit requirements.
If you open a checking and savings account and meet the deposit requirements, you may receive a bonus. You can also receive a bonus if you choose to only open either a savings or checking account.
Monthly service fees for Citi checking and savings accounts vary depending on which accounts you choose. You'll also need to meet certain requirements to waive these fees.
Citibank Review
Best Credit Union
Golden 1 is a good choice if you're looking for a credit union in California. It's easier to join than some of the other major credit unions in the state, like SchoolsFirst. There are also more locations around California than other prominent credit unions, such as First Technology Federal Credit Union.
To join Golden 1, you just have to either live or work in California, and you can open a Golden 1 savings account with $1.
There are 70 branch locations around California, and around 240 Golden 1 ATMs. You also have free access to 30,000 CO-OP ATMs nationwide, which is convenient if you travel out of state.
Golden 1 pays lower rates on some accounts than online banks, but higher than many brick-and-mortar banks.
Like many credit unions, Golden 1 compounds your interest monthly rather than daily, which affects how much you'll earn in the long run. If your biggest priority is earning a good rate, then you may want to use a bank rather than a credit union, or search for a credit union that compounds daily.
Golden 1 Credit Union Review
Are These Banks and Credit Unions Trustworthy?
The Better Business Bureau grades companies based on responses to customer complaints, advertising, and transparency about business practices. Here are the BBB scores for our favorite banks and credit unions in California:
Institution | BBB grade |
Ally | A |
Bank of America | A- |
Citi | F |
Golden 1 | A+ |
Allyreceived anA rating from the BBB because it has four unresolved complaints. Bank of America has an A- rating due to government action against the bank. Citi has an F due to lack of response to customer complaints and government action against the bank.
Bank of America does have some recent settlements:
- Bank of America paid over$100 million to customers in a settlementwhen accused of repeatedly charging a $35 overdraft fee for the same transaction, withholding credit card rewards, and enrolling customers in credit card accounts without them knowing or authorizing it (2023).
- The Consumer Financial Protection Bureau fined Bank of America forfreezing customers' accounts because its automatic fraud filter incorrectly detected fraud on accounts. The CFPB claimed that the bank made it difficult for customers to un-freeze their accounts (2022).
Citi was also involved in one recent public controversy. In November 2023, the Consumer Financial Protection Bureau claimed Citibank intentionally discriminated against Armenian-American credit card applicants. The CFPB ordered the bank to pay $25.9 million in fees and to applicants who were impacted.
Why You Should Trust Us: Experts' Advice on Choosing the Best Financial Institution
We consulted banking and financial planning experts to inform these picks and provide their advice on finding the best financial institution in California for your needs.
We're focusing on what will make a bank most useful, including customer service, fees, rates, and more.
- Tania Brown, certified financial planner and vice president of coaching strategy atOfColor:
- Sophia Acevedo, banking editor, Business Insider
- Roger Ma, certified financial planner withlifelaidout®and author of"Work Your Money, Not Your Life"
- Mykail James, MBA, certified financial education instructor,BoujieBudgets.com
How do you know if a bank is right for you?
There are a lot of options when it comes to choosing a bank, and the right bank for any one person depends primarily on what they need and expect. If it's important that you visit a bank in person, you'll need convenient brick-and-mortar locations.
If you plan to access your account online, you'll want strong security and a user-friendly site or app – and you might consider an online bank. You might also be concerned about fees: If there's a monthly maintenance fee for checking or savings, would you qualify to waive it?
A few other things to consider:
- How much interest does the savings account earn? More than average?
- Which provider issues the debit card? Some places don't accept MasterCard or Amex.
- How will this bank serve you in the future, when you have different goals and needs?
- How is their customer service?
- How tricky is it to transfer money in and out of your account?
Methodology: How Did We Choose the Best Banks in California?
Business Insider's mission is to help smart people make the best decisions with their money. We understand that "best" is often subjective, so in addition to highlighting the clear benefits of a financial product or account — a high APY, for example — we outline the limitations, too. We spent hours comparing and contrasting the features and fine print of various products so you don't have to.
We looked at the banks and credit unions with the most branches in the state. Then we zeroed in on those that offered appealing features, like sign-up bonuses or high interest rates. None of the biggest banks in California paid high rates on savings accounts, so we chose an online bank, Ally, as our top choice for a savings account.
For the best credit union, we chose one that is easy for California residents to join and has branches in multiple parts of the state.
See our full ratings methodology for checking, business checking, savings, and money market accounts »
Personal Finance Reviews Editor
Laura Grace Tarpley (she/her) is an expert in mortgage rates, refinance rates, lenders, bank accounts, and borrowing and savings tips for Personal Finance Insider. She worked on Business Insider's "The Road to Home" series, which won a Silver award from the National Associate of Real Estate Editors.She has written about personal finance for over seven years. Before joining the Business Insider team, she was a freelance finance writer for companies like SoFi and The Penny Hoarder, as well as an editor at FluentU.
Compliance and Operations Associate
Evelyn He is a Compliance and Operations Associate on the Personal Finance team to ensure content accuracy and editorial independence so readers get up-to-date and objective financial advice.The compliance team's mission is to provide readers with fact-checked and current stories so they can make informed financial decisions. The team also works to minimize risk for partners by ensuring language is clear, precise, and fully compliant with regulatory and partner marketing guidelines that align with the editorial team.
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