Bank of Internet Interest Checking 2.80% APY, Savings 3.51% APY

Is anybody using this bank?

I didn’t pay much attention to Bank of Internet until recently when I noticed their interest rates: Checking 2.80% APY and Savings 3.51% APY, the combination of the two could be the best for those who need both products (exclude those so-called reward checking of course).

Bank of Internet Interest Checking 2.80% APY, Savings 3.51% APY

For those who are not familiar with Bank of Internet, which is a publicly traded company (Nasdaq: BOFI) doing its entire business online, the following is a brief summary from the FDIC:

Bank of Internet at a Glance

Bank of Internet USA has been FDIC insured since July 4, 2000.
It was established on July 4, 2000.
Its main office (headquarters) is located at:
12777 High Bluff Drive #100
San Diego, California 92130
County of San Diego

Bank of Internet’s FDIC certificate number is 35546. Safe & Sound Ratings rank BofI at 3 stars out of 5 (Performing). Bank of Internet routing number is 122287251.

Bank of Internet Interest Checking Account

BofI High Interest checking Account requires $500 initial deposit to open an account. However, if you want to avoid monthly account fee ($7.50), you will have to maintain an average daily account balance of at least $5,000, which is quite high for a checking account, even though the rate beats many savings accounts. Other than that, the account seems to have some nice features, such as:

  • Up to $8 monthly ATM reimbursement
  • Free online bill pay
  • Unlimited check writing
  • Free initial checks
  • Free Visa Check Card

What I like about this checking account is that to earn the 2.80% return, you don’t have to use the check card to make 10 purchases a month, which is usually one of the requirements for rewards checking accounts (such as the Venture Bank Wise-Choice Checking Account).

Bank of Internet Savings Account

The Savings Account also makes a good alternative to other popular online banks. Currently paying 3.51% APY, the high yield savings account requires just $100 initial deposit. Best yet, there’s no monthly account maintenance fee and no minimum balance requirement. To make deposits to the Savings Account, you can use either direct deposit or ACH fund transfer. In addition, you can also use the bank’s Bill Payment Service to transfer fund to a third party.

As I mentioned yesterday, for a savings account, I don’t need many fancy features. A good rate will keep me happy and as a customer :)

BTW, check out what other high-yield savings accounts have to offer:

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6 Responses to “Bank of Internet Interest Checking 2.80% APY, Savings 3.51% APY”

  1. Kelly |  Jan 20, 2009 at 5:46 pm

    Coulee Bank offers 5.01% APY on their Rewards Checking. It is FREE and available nationwide. Apply online at

  2. Erik |  Feb 09, 2009 at 7:00 pm

    Check out the best rates on short term deposits at big banks versus those at select community banks from Community banks continue to offer higher yields on short term deposits to serve as economic engines.


    Florida Central Credit Union 6.01 FL
    First Robinson Savings Bank 6.01 IL
    Union State Bank/Bank of Atchison 6.01 KS
    Communications Federal Credit Union 5.25 OK
    Connexus Credit Union 5.15 WI
    Keystone Bank 5.15 AL
    First New England Federal Credit Union 5.15 CT
    Three Rivers FCU 5.01 IN
    Legence Bank 5.01 IL
    Community Bank of Pleasant Hill 5.01 MO
    Community Bank of Raymore 5.01 MO
    United Heritage Credit Union 5.01 TX


    • ING decreased their highest rate offered by 25 basis points, from a 2.50% APY on a 1 year CD to a 2.25% APY on a 4 year CD.
    • Schwab decreased their 18 month CD rate by 15 basis points, from a 2.65% to 2.50% APY.
    • E*Trade decreased their 5 year CD rate by 30 basis points, from a 1.70% to 1.40% APY.
    • E-Loan increased their 6 year CD rate by 50 basis points, from a 3.50% to 3.70% APY
    • Washington Mutual decreased their 5 year CD rate by 50 basis points, from a 3.00% to 2.50% APY.
    • AARP Financial Savings Center decreased their savings rate by 50 basis points, from a 2.00% to 1.50% APY.
    • Wachovia increased their 17 month CD rate by 15 basis points, from a 1.85% to 2.00% APY.
    • E-Loan currently has the highest rate at 3.70% APY on a 6 year CD.
    • E*Trade currently has the highest savings rate at 2.50% APY.

    Courtesy of BancVue.

  3. Bill |  Jul 31, 2009 at 10:30 am

    Just don’t deal with these folks. I’m a “depositor” of $200K+. I’ve spent two weeks opening a savings account. A check has cleared my local bank a week ago. They have my money. Since the money cleared locally, these jokers won’t even verify if I have an account yet. I can’t get a logon setup until they send me something (who knows what) via US mail. This is from Bank of INTERNET??? — I think a more accurate name would be No Tech No Branch Bank. They are totally technically inept. You can open an account and logon at most institutions instantly or at the very latest within 48 hours.

    To top it off their phone “support” is beyond rude giving me suggestions such as “check your mail”. When it involves +$200,000 — I AM CHECKING MY MAIL! I’m on the verge of calling the banking commission.

    Do yourself a favor – do this one thing and you’ll understand all of these complaints instantly. Call their number and ask a few questions. Call Ally or anyone else and ask a few questions. The DIFFERENCE will be extremely APPARENT! These guys don’t CARE, they’re INEPT, they’re RUDE, and they have no idea how to fix it. Here’s the quote from their “about us” section on the website – what a load of crap:

    “Our goal is to provide our clients with an exceptional banking experience in order to foster long-term relationships. We respectfully invite you to open an account with us so that you can experience what sets us apart from our competition.”

    Yep, it sets them apart – way apart – they stink.

    • Shaun |  Jan 05, 2011 at 6:43 pm

      I am a “depositor” of $75K+, I don’t see what your problem is with Bank of Internet. Haven’t you heard that their rates are among the best. Why did YOU choose them… the rate, right?

  4. Ike M Complex |  Aug 12, 2009 at 10:28 pm

    Bank of the Internet is an oxymoron. My experiences have been much live Bills. If you are chasing interest rates don’t take your money out of your interest bearing account until you have a bank login. You can not fund your account very fast. Here is how they work.
    1. You set up an account online and either create an EFT or mail a paper check.
    2. 7-10 days later they mail you your account info and a signature card.
    3. WHEN they receive your signature card back they will process your EFT or cash your initial check and send you an email says they have done this and to expect your login in the mail in a few days.
    4. I am not sure what happens beyond this point.
    5. ? – ? days later BOI will send you your login info.
    6. Login and transfer your large deposit.
    7. Remember although the FDIC frown on interest rate chasing, it does help shore up banks that are low on capital.

  5. You Are Kidding |  Nov 23, 2009 at 12:24 pm

    You are kidding, right? Best online savings accounts? Even with their name, you cannot do business with them over the Internet. You have to use Snail Mail if you don’t want to pay Wire Transfer fees. They don’t support ACH transactions except for initial account set up (they don’t bother to share that tidbit of info until it’s too late).

    Stay away from these folks unless you want to bank like your parents did in the 1990′s.