Peak Bank Review: Online Bank With A High Savings APY

What Is Peak Bank?

Peak Bank is an online banking division of Idaho First Bank, an FDIC-insured institution with physical branches in two states — Idaho and Oregon. According to Peak Bank, its mission is to “empower customers to reach their financial summit”, and offers tools and resources to help them “manage their money more effectively.”  

What Does It Offer?

Peak Bank has a limited product offering, with a high-yield savings account and three high-yield CDs. Here’s a closer look at each: 

Envision High-Yield Savings Account 

Peak Bank’s Envision Savings account offers up to 4.01% APY for new accounts and has no monthly maintenance fees. A minimum balance of $100 is required to open an account. It’s a tiered interest account, but you can currently earn 4.01% on balances up to $499,999. On any balance over $500,000, the rate drops to 3.14%, which is still attractive. These rates are variable and are subject to change at any time.

Note: The account is available only to personal customers — Peak Bank does not offer business or commercial accounts. 

High-Yield CDs

Peak Bank offers high-yield CDs with three different terms: 12, 24, and 36 months. All terms have a minimum balance requirement of $500, with penalties imposed if you withdraw early. 

While the current rates offered are lower than what you can get in the high-yield savings account, if you have the flexibility to lock-in your money, the CDs allow you to secure a competitive rate for a specific period. 

Are There Any Fees?

Peak Bank does not charge any monthly maintenance or transaction fees on its savings or CD accounts. However, you will incur penalties if you withdraw from your CD prior to maturity. 

How Does Peak Bank Compare?

If you’re looking for a simple online savings account with a high APY and you don’t need other products, such as a checking account, credit card, or investments, then Peak Bank might be a good fit. Alternatives like CIT Bank and Live Oak Bank have slightly lower savings APYs at the time of writing, but they offer a broader range of products. CIT Bank offers a checking account, home loans, self-directed investing, and financial planning services. Live Oak Bank offers business and commercial accounts, in addition to its personal savings and CD products. 

How Do I Open An Account?

You can open an account with Peak Bank by clicking the “Open Account” button on its website homepage. If you are an existing Peak Bank customer, you can log in with your email address and password to begin the account-opening process. 

You have two options for funding your Peak Bank account. You can connect an external bank account using Plaid or make an ACH transfer. Plaid is a secure, third-party money transfer service used by thousands of banks and fintechs worldwide. Keep in mind that the maximum amount for ACH transfers is $5,000, and transfers can take up to 5 days for the funds to become available in your Peak Bank account.  

Because Peak Bank is an online-only bank, checks can only be deposited through its mobile app. You cannot make deposits at Idaho First Bank branch locations. 

Is It Safe And Secure?

Yes, Peak Bank should be considered safe to use. It’s backed by Idaho First Bank, which is a small, but established bank doing business in Idaho and Oregon. It’s an FDIC-member institution, which means that your Peak Bank deposits are insured up to the prescribed limits. Peak Bank uses the highest levels of encryption to protect your personal information, and transfers into your account are made via ACH and Plaid, which is a secure, third-party money transfer system used by thousands of financial entities. 

How Do I Contact Peak Bank?

If you have require assistance, you can contact Peak Bank’s customer service team by calling 866-484-5705, or by email at customerservice@peak.bank. There is also a secure messaging feature available on both the desktop portal and mobile app. 

Is It Worth It?

With only two products, Peak Bank seems geared toward Idaho First Bank customers seeking higher yields on their savings without fees. That said, as long as you don’t need access to ATMs for cash withdrawals, Peak Bank’s savings APY is one of the highest among online banks. If you want better rates on CDs or an online bank that can manage more of your day-to-day financial needs, you’ll want to look elsewhere. 

Check out Peak Bank here >>