CIT Bank Review 2024
Updated May 28, 2024 at 10:09 am
Our Methodology Newsweek Vault’s banking experts have done hundreds of hours of research to present you with all the latest information about your banking options. Whether you’re interested in opening a new checking account or savings account, our research spans all the top online banks, credit unions and brick-and-mortar branches.
We assessed the following five key factors to help you choose the best account for your personal finance needs.
•Associated fees
•ATM access
•Balance requirements
•Customer service
•Interest-earning potential
CIT Bank Overview
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Expert Take: CIT Bank offers a variety of competitive, FDIC-insured deposit accounts along with financing options for consumers and small businesses alike. The online bank could be a solid pick for those who value flexibility, no fees, and high APYs on savings and certain CDs. But CIT Bank isn’t a good fit for fans of in-person banking or those looking for credit cards and auto loans.
Pros
- Above-average interest rates on many accounts and some CD terms
- No monthly maintenance fees on savings accounts, checking accounts or CDs
- Up to $30 in ATM reimbursements per month
Cons
- Limited customer support
- Can’t make cash deposits
- Steep minimum balance requirement to earn higher APYs
If you hate bank fees and like earning higher-than-average interest rates on your savings accounts and CDs, CIT Bank could be a smart option for your banking needs.
CDs: Customers can choose between a variety of CD terms from 6 months to 5 years. No-penalty CD and jumbo CD options are also available. But while there are some highly competitive CD terms available from CIT Bank, the APYs on a few of the bank’s other CD options are disappointing.
Checking: The online bank offers two online interest checking options. You can open either account with a small $100 deposit. But you’ll need to maintain at least a $25,000 minimum balance if you want to earn the bank’s higher interest rate.
Savings: CIT Bank gives its customers several options to choose from when it comes to online savings accounts. The account with the highest APY, Platinum Savings, requires you to maintain a minimum balance of $5,000 or more to earn the highest APY available. Money Market: Customers can also open a money market account account with CIT Bank. But you can likely find higher APYs elsewhere if you shop around.
Vault’s Viewpoint on CIT Bank
As an online bank, CIT is able to keep its overhead low and pass those savings along to its customers in the form of above-average interest rates on several of its deposit accounts. Customers looking for a place to grow their savings can choose from savings accounts, money market accounts and several different certificates of deposit (CDs). The financial institution also offers an interest checking account.
As far as savings accounts are concerned, the interest rates the bank offers are competitive with some of the best savings accounts available. And the interest rates on some of CIT Bank’s CDs are not far off from the best CD rates as well. Yet if you shop around you’ll probably find better interest rates on money market accounts and on certain CD terms elsewhere.
CIT Bank’s deposit accounts also stand out for another reason: no monthly service fees. Although the bank does not have its own ATM network, you may qualify for up to $30 per month in reimbursement for other banks’ ATM fees if you use your debit card to withdraw cash from your checking account.
CIT Bank Certificates of Deposit
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Expert Take
If the idea of locking in a specific interest rate on your savings for a set period of time appeals to you, a CD might be a good fit. CIT Bank offers a decent variety of CDs for its customers to consider.
Like many banks, the best interest rates that CIT Bank offers belong to a couple of its short-term CDs. CIT Bank’s long-term CDs (2-year to 5-year terms) feature less attractive interest rates. Some are even lower than the national average.
Pros
- No monthly maintenance fees or account opening fees
- Daily compounding interest
- No-penalty CD option available
Cons
- $1,000 minimum deposit
- Below-average interest rates on some CD terms
- Limited customer support
| CIT Bank CDs | ||
| CD Term | APY | National Average (As of December 2023) |
| 6-Month | 3.00% | 1.49% |
| 11-Month (No-Penalty) | 3.50% | Not Available |
| 1-Year | 0.30% | 1.86% |
| 13-Month | 3.50% | Not Available |
| 18-Month | 3.00% | Not Available |
| 2-Year | 0.40% | 1.57% |
| 3-Year | 0.40% | 1.41% |
| 4-Year | 0.50% | 1.33% |
| 5-Year | 0.50% | 1.40% |
Source: Federal Deposit Insurance Corporation (FDIC)
CIT Bank Savings Account
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Expert Take
CIT Bank offers its customers three savings account options, all of which charge no monthly fees. Platinum Savings is CIT Bank’s savings account that features the highest APY of up to 4.55% that the online bank has to offer—an interest rate that competes with some of the best savings accounts available. On the negative side, you’ll need to maintain a minimum balance of $5,000 or more to earn the higher interest rate on this account.
The bank also offers another attractive savings option: Savings Connect. This account features a slightly lower but still attractive interest rate (4.20% APY). But there’s no minimum balance requirement.
Both of the savings accounts above feature no monthly maintenance fees for customers. And you can open either type of account with a $100 minimum opening deposit.
The third savings account that CIT Bank offers is its Savings Builder Account. You’ll need at least a $25,000 monthly balance or monthly deposits of $100 or more to earn interest on this account. The APY on the account is also much less competitive than you’ll receive on the Platinum Savings or the Savings Connect.
CIT Bank also offers its customers a money market account. This account charges no fees and has interest rates that are higher than the national average. But you’ll find other online banks that offer a better deal. You also don’t have the option to write checks on your money market account like you may have at other banks.
Pros
- Competitive interest rates on Platinum Savings and Savings Connect accounts
- No monthly maintenance fees
- Only a $100 minimum opening deposit needed for two savings accounts
Cons
- Savings Builder account features a lower APY
- Higher interest rates on money market accounts available elsewhere
- $5,000 minimum balance required to earn higher APY on Platinum Savings account
CIT Bank Checking Accounts
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Expert Take
For most people, having a checking account is an essential step in their monthly money management plan. But when you can also earn some interest on the cash you keep in your checking account, it’s a bonus.
The CIT Bank eChecking account offers customers the chance to receive interest on the cash in their checking account at one of two levels. Customers who keep less than $25,000 in their checking account will receive a lower interest rate. Those to maintain a balance of over $25,000 will earn the best rate.
Of course, even the higher interest rate on the eChecking account is nowhere near the APY on the bank’s Platinum Savings or Savings Connect accounts. So you can earn more money when you keep the bulk of your cash in a savings account and transfer funds to your checking account on an as-needed basis.
The eChecking account also features no monthly account maintenance fee and comes with up to $30 in ATM reimbursement credits per month. On the negative side, CIT Bank has no ATM network of its own.
The eChecking account has another unusual feature: You cannot write any checks from the account. That could be a deal breaker for some customers depending on their banking needs.
Pros
- Low $100 minimum deposit
- No monthly maintenance fees
- Interest-bearing account
Cons
- $25,000 balance required to earn higher APY
- No check-writing capabilities
About CIT Bank
CIT Bank is an online division of First Citizens Bank. The two banks merged together in January 2022. Today, CIT Bank continues to operate as an online-only financial institution.
For an online-only bank, CIT offers its customers a fairly wide variety of financial services. Customers can take advantage of several different deposit account options such as savings accounts, money market accounts and CDs—several of which feature highly competitive interest rates. The bank offers interest-bearing checking accounts as well. Those looking for financing may also be interested in the bank’s mortgage or business loan options.
CIT Bank Fees
One of the standout benefits of CIT’s deposit accounts (savings, checking, money market accounts and CDs) is they all feature zero monthly maintenance fees. The online bank also charges no online transfer fees (ACH) and no overdraft fees. Eligible customers can also enjoy up to $30 in ATM reimbursement per month.
Who is CIT Bank Best For?
CIT Bank may be a good fit for people who are interested in earning competitive interest rates on their savings accounts or CDs (depending on the CD term). The online bank also offers solid solutions for fans of free checking accounts, savings accounts, and certificates of deposit.
Who Should Consider an Alternative to CIT Bank?
Despite the benefits that CIT Bank has to offer, the online bank may not work well for those who prefer in-person banking. Even those who are comfortable with digital banking might not love the customer service limitations.
Customers can only speak with a live representative Monday through Friday from 9:00 a.m. to 9:00 p.m. ET and on Saturdays from 10:00 a.m. to 6:00 p.m. ET. By comparison, some other online banks offer 24 hour phone support. There’s also no online chat feature available.
Plus, those who need the ability to write checks will want to search out an alternative to CIT Bank. The bank’s eChecking account doesn’t come with check-writing capabilities. And depending on the CD term that interests you, the bank may not offer the best rates available.
How Does CIT Bank Stack Up to Its Competitors?
If you’re considering opening a deposit account with CIT Bank, make sure to compare the financial institution to others. Here’s how the online bank stands up to its competition.
CIT Bank vs. Citizens Bank
For people who prefer face-to-face banking over online banking, Citizens Bank could be a decent option to consider over CIT Bank. Citizens Bank has branches in 14 states up and down the East Coast and Washington, D.C. Customers can visit these branches to open a variety of deposit accounts, including checking accounts, savings accounts, and CDs. Citizens Bank also offers numerous other financing solutions, such as credit cards and loans.
But when you compare interest rates and fees, CIT Bank comes out ahead. CIT Bank offers higher APYs on several of its savings account products and CDs compared to Citizens Bank. Plus, you have to jump through hoops to qualify for fee waivers on some of Citizen Bank’s deposit accounts. That’s not the case with CIT Bank where deposit accounts feature no monthly maintenance fees.
CIT Bank vs. Ally
Like CIT Bank, Ally Bank has no physical branches. Customers of Ally Bank have access to similar deposit accounts such as those available from CIT Bank. Ally offers a checking account, savings account, money market account, and several CD options. And both banks offer competitive interest rates on their savings accounts and some CD terms along with zero fees.
Ally Bank also gives customers a few key benefits that are missing from some of CIT Bank’s accounts. Checking account customers with Ally have unlimited check-writing capabilities. The bank even gives its customers free standard checks to use. Plus, Ally offers 24-hour phone support and online chat.
CIT Bank vs. Synchrony
Both CIT Bank and Synchrony Bank are online banks that offer their customers competitive interest rates on savings accounts and certain certificates of deposit. Like CIT, Synchrony has a money market account as well. Synchrony’s money market rates exceed CIT’s APY. But Synchrony doesn’t offer an online checking account at this time and CIT Bank does.
Neither online bank charges its customers any monthly maintenance fees. As far as financing is concerned, Synchrony offers credit card products to its customers. But the online bank doesn’t extend any installment loans like CIT Bank.
Frequently Asked Questions
Is CIT Bank FDIC Insured?
CIT Bank is an online division of First Citizens Bank. First Citizens is a member of the Federal Deposit Insurance Corporation (FDIC). This means that the deposits you make are insured for up to $250,000—per account type, per depositor.
Who Is CIT Bank Best For?
People who want to earn a competitive interest rate on their savings account or CDs and are comfortable with online banking may want to consider banking with CIT Bank. The online bank might also work well for those who are looking for an interest checking account or for people who want to avoid paying bank fees.
Is CIT Bank Safe?
Because CIT Bank is a member of the FDIC (through its merger with First Citizens Bank), your deposits with the bank are safe. FDIC insurance protects your cash deposits with a member bank for up to $250,000 per account ownership category.
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