Customers Bancorp: Unveiling Their Reputation as a High-Yield Option
Customers Bancorp, the parent company of Customers Bank, offers a unique proposition: a high-yield savings account with a reputable backer. However, their reputation goes beyond just interest rates. Let's explore the good, the not-so-good, and how to decide if they's a good fit for you.
Strengths: High Yields and FDIC Insurance
- Competitive Rates: Customers Bank is known for offering some of the highest interest rates on savings accounts, particularly compared to national averages. This can be a major advantage if you prioritize growing your savings.
- FDIC Insured: All deposits at Customers Bank are FDIC insured, meaning they're protected by the government up to the legal limit (currently $250,000 per depositor). This adds a layer of security to your money.
- Partners with Raisin US: Customers Bank offers their high-yield savings accounts through the online platform Raisin US. This can be convenient for those who prefer to manage their finances online.
Areas for Consideration
- Limited Banking Services: Customers Bank primarily focuses on online savings accounts. They have a limited branch network, so physical access to banking services might be restricted.
- Newer Player: Compared to established national banks, Customers Bank is a relatively new player in the market. This may lead to some customers seeking the comfort of a more traditional institution.
- Mixed Online Reviews: Online reviews present a mixed picture. While some customers praise the high yields and online platform, others express concerns about limited customer service options or a lack of features compared to traditional banks.
Making an Informed Decision
Here's how to navigate this information and make an informed decision:
- Consider Your Needs: If maximizing your savings account interest rate is a top priority and you're comfortable managing your finances primarily online, Customers Bank could be a good fit. However, if you require a wider range of banking services or prefer a vast branch network, you might want to explore other options.
- Compare Options: Research and compare Customers Bank's savings account rates to those offered by national banks and online banks. Consider factors like minimum deposit requirements, account fees, and overall online banking features.
- Focus on Online Reviews: Since Customers Bank operates primarily online, prioritize reviews from platforms like DepositAccounts.com or Trustpilot. This can provide a more accurate picture of their online customer service and user experience.
The Bottom Line
Customers Bancorp offers a high-yield savings account with the security of FDIC insurance. However, consider their limited service offerings, newer presence in the market, and mixed online reviews. By conducting further research, comparing their rates to other institutions, and focusing on online customer experiences, you can make an informed decision about whether Customers Bancorp aligns with your banking needs.
