Who is State Farm Bank?
Our State Farm Bank review found that their banking option was created in 1998 with a focus on consumer-driven financial products. They do not have state branches as the majority of their customer relationships are online. State Farm is a mid-sized bank that is separate from the insurance side of the company.
State Farm Bank offers a variety of different accounts. They have checking account, online savings as well as an educational savings account, CDs, IRAs and money market accounts. Loans and credit cards are also offered through State Farm Bank.
This State Farm Bank review uncovered a list of pros for siding with State Farm’s financial institution. Due to the variety of different accounts State Farm Bank offers, there are many benefits of becoming a customer.
- A checking account comes with part of an online savings account.
- You can avoid a monthly fee by using direct deposit.
- State Farm Bank offers CDs in terms from 3 months to 5 years.
- Online and mobile banking.
- Offer up to $10 in ATM surcharge rebates per statement cycle.
- If you sign up for direct deposit, there is no minimum balance required in the account.
- Overdraft protection is offered with all their accounts.
- Account holders for checking and money market accounts only need to be 13 years old. They need to have an adult on the account, but this would be a great way to help teach your kids about money.
The bank only operates online, making it easier for them to provide top interest rates on savings accounts. The web-based platform is easy to use and consumers can deposit money, pay bills, transfer money, and manage other accounts all on one website.
This State Farm Bank review also covers a few nagging cons. Before you decide to sign up for an account through State Farm Bank, there are a few negative aspects of the accounts.
- There is a minimum opening balance of $1,000 for any money market account.
- The minimum opening balance required for any term CD is $500.
- To open a checking account, there is a minimum balance of $100
- In order to earn interest on the accounts, you have to keep a minimum balance in the account.
- While minors can open an account, it must be done through the phone or through a State Farm agent.
The interest rates through State Farm are competitive, but not the best online bank rates. If you are looking to earn the most interest on your money, there are other online banks that offer higher interest rates on your money.
Is State Farm Bank a Good Choice for You?
In conclusion, our State Farm Bank review has found the State Farm Financial institution to have a great reputation with its loyal customers. They are prompt to reply to calls and it doesn’t take a long time to set up an account with State Farm Bank.
They do offer a variety of different accounts and if you like the idea of having all your accounts grouped together, this might be the option for you. But, if you are looking to earn the most interest on your account, there are other banks that offer higher interest rates, lower minimum opening deposits and lower required balances in order to earn interest.
State Farm Bank
One State Farm Plaza E-6
Bloomington, IL 61710
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