Choosing between big national banks like Bank of America and Citibank is not easy. At both you will find a wide range of accounts, services and perks.
These two are close in a few categories, but a winner does emerge.
Who wins
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| Checking |
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| Savings & money market accounts |
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| CDs |
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| Customer experience |
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| Other fees |
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| Overall |
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Rates tend to be quite low at big banks, but the trade-off is you enjoy greater convenience and top-shelf technology. If this is your preference, either Citibank or Bank of America could be good for you.
Here’s a closer look at how these banks compare.
Checking accounts
| BANK OF AMERICA CORE CHECKING ACCOUNT | CITIBANK BASIC CHECKING ACCOUNT | |
|---|---|---|
| Monthly fee | $12, but waived if: • You have a direct deposit of $250 at least once a month • You keep a balance of at least $1,500 • You are a student under age 23 |
$12, but waived if: • You have one direct deposit and one bill payment each month • You keep a balance of at least $1,500 (can include money in a linked Citibank savings account) • You are age 62 or older |
| Minimum opening deposit | $25 | $0 |
| ATM network | 16,000 free Bank of America ATMs Out-of-network ATM fee: $2.50 |
34,000 free Citibank ATMs Out-of-network ATM fee: $2.50 (waived if you're 62 or older) |
| Interest on balances | None | None |
» MORE: NerdWallet’s best checking accounts
ANALYSIS
With four accounts to choose from, Citibank has more checking options than Bank of America, which offers only two. At both banks, fees are pricey and the interest-bearing accounts aren’t worthy of attention.
The Citibank Account Package and the Bank of America Interest Checking account are similar, with tiny interest rates (starting at 0.01%) and a $25 monthly fee that can be waived with a minimum balance of $10,000. But the rates at these banks aren’t ideal for the large quantities of money needed, especially not the $50,000 required in deposits and retirement balances to waive the $30 monthly fee for Citigold Account.
Citibank’s Access Account — similar to its basic account — deserves a look by those who prefer to bank online and skip overdraft fees. The only drawback is you cannot write checks.
Savings accounts
| BANK OF AMERICA REGULAR SAVINGS ACCOUNT | CITIBANK SAVINGS PLUS ACCOUNT | |
|---|---|---|
| Monthly fee | $5, but waived if: • You keep a daily balance of $300 • You receive a monthly automatic transfer of $25 from a Bank of America checking account |
$4.50, but waived if: • You keep at least $500 in the account • You have at least $500 combined in the account and a linked checking account |
| Minimum opening deposit | $25 | $100 |
| Interest on balances | 0.01% APY | Rates vary by state; in California, for instance, it's 0.01% APY |
» MORE: NerdWallet’s best savings accounts
ANALYSIS
The accounts at both banks will hold your money, but their rates won’t help it grow. You can get returns upward of 1% at an online-only bank or a credit union, as well as better money market account rates elsewhere.
These banks’ basic savings accounts are fairly similar, but Bank of America has more savings options, with a custodial account for your child and a money market account. But again, that money market account has very low rates (starting at 0.03%).
Certificates of deposit (CDs)
| BANK OF AMERICA STANDARD TERM CDS | CITIBANK CDS | |
|---|---|---|
| Minimum opening deposit | $1,000 | $1,000 |
| Early withdrawal penalties? | Yes | Yes |
| Terms and rates | 120 terms offered 1 year: 0.05% APY 3 year: 0.12% APY 5 year: 0.15% APY |
16 terms offered 1 year: 0.15% APY 3 year: 0.35% APY 5 year: 0.50% APY |
ANALYSIS
Citibank’s CDs have higher rates, and so it wins the category. Bank of America offers more options, with terms available from 1 month to 10 years; a fixed-rate CD; and a CD that won’t charge an early withdrawal penalty.
Still, the rates at these banks fall below the national average. Shop around for more generous returns, or try a local credit union.
» MORE: What is a CD?
Customer experience
The technology and tools are great at both banks. Bank of America has more branches, and its BankAmeriDeals rewards program allows customers to earn cash back on purchases. Citibank has more than twice the number of ATMs.
Other fees
Both banks charge overdraft fees up to four times a day; Citibank charges $34, Bank of America $35. An extended overdraft fee of $35 is also applied to a Bank of America basic checking account when it is overdrawn for five consecutive business days. You’re allowed up to six withdrawals from a savings account each month. Some Bank of America savings accounts charge a $10 withdrawal limit fee up to six times a day when six monthly transactions are exceeded. For accounts with a minimum balance of $2,500 this fee can be waived.Next steps
Like most big national banks, these two aren’t too different. Citibank’s CDs are better, but consider online-only banking or a local credit union if rates are important to you. The ultimate tiebreaker in choosing the best bank comes down to your location, preferences and financial circumstances.
Melissa Lambarena is a staff writer at NerdWallet, a personal finance website. Email: mlambarena@nerdwallet.com.
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