4 Best Military Banks and Credit Unions

The best military banks and credit unions give veterans, reservists, active-duty personnel and employees of the Department of Defense access to various benefits like no monthly fees, discounts on loans, ATM fee reimbursements and more.

We compared multiple military banks and credit unions, including regional and nationwide financial institutions, and reviewed their fees, interest rates, ATM networks, branch locations and other features to find the four best banks and credit unions for military members and their families.

Best for CDs

Navy Federal Standard CDs

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Navy Federal Credit Union is the best military credit union for CDs thanks to its Special EasyStart Certificate, which earns up to 4.00% APY over a 12-month term. Open it with as little as $50 and add money at any time, up to a $3,000 maximum. Navy Federal also offers standard certificates with terms from three months to seven years, plus competitive checking rates for members who set up direct deposit. Just note you can only hold one Special EasyStart Certificate at a time.

1-year APY	3.7%
3-year APY	3.5%
5-year APY	3.5%
Minimum deposit to open	$1,000

• Why we like it

  Navy Federal Credit Union is the best military credit union for CDs thanks to its Special EasyStart Certificate, which earns up to 4.00% APY over a 12-month term. Open it with as little as $50 and add money at any time, up to a $3,000 maximum. Navy Federal also offers standard certificates with terms from three months to seven years, plus competitive checking rates for members who set up direct deposit. Just note you can only hold one Special EasyStart Certificate at a time.

• Pros and cons

  Pros

  • High APY on the Special EasyStart Certificate
  • Low $50 minimum deposit for Special EasyStart
  • Early direct deposit, up to a day early
  • ATM fee reimbursements on eligible checking accounts

  Cons

  • Limited to one Special EasyStart Certificate per member
  • Interest on savings compounds monthly

• More details

  3-month APY	1.25%
  1-year APY	3.70%
  18-month APY	3.60%
  2-year APY	3.50%
  3-year APY	3.50%
  5-year APY	3.50%
  7-year APY	3.50%

1-year APY	3.7%
3-year APY	3.5%
5-year APY	3.5%
Minimum deposit to open	$1,000

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Best for military benefits

Chase Total Checking®

6 Standard

New Chase checking customers enjoy a $400 bonus when you open a Chase Total Checking® account and make direct deposits totaling $1,000 or more within 90 days of coupon enrollment. T&Cs apply.

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Chase is the best bank for military benefits because it waives fees for personal and business accounts for military members. Chase also provides benefits under the Servicemembers Civil Rights Act (SCRA), including reduced interest rates, early termination of auto leases and protection from foreclosures and repossessions. Chase's Survivor Program also cancels outstanding debt for eligible spouses and dependents of Chase military customers who lose their lives in the line of duty or from wounds received in action. Chase has a large branch network for in-person banking, but its savings accounts don't earn competitive interest rates.

APY	N/A
Fee	$15 per month

• Why we like it

  Chase is the best bank for military benefits because it waives fees for personal and business accounts for military members. Chase also provides benefits under the Servicemembers Civil Rights Act (SCRA), including reduced interest rates, early termination of auto leases and protection from foreclosures and repossessions. Chase's Survivor Program also cancels outstanding debt for eligible spouses and dependents of Chase military customers who lose their lives in the line of duty or from wounds received in action. Chase has a large branch network for in-person banking, but its savings accounts don't earn competitive interest rates.

• Pros and cons

  Pros

  • Waived monthly fees for military on qualifying accounts
  • Early direct deposit
  • Survivor Program cancels debt for eligible spouses and dependents
  • Large nationwide branch network

  Cons

  • Low savings APY
  • Family members opening separate accounts don't get the same fee waivers

• More details

  Annual Percentage Yield (APY)	N/A
  Intro or bonus offer	New Chase checking customers enjoy a $400 bonus when you open a Chase Total Checking® account and make direct deposits totaling $1,000 or more within 90 days of coupon enrollment.
  Fee	$15 per month
  To waive the fee	Do any ONE of the following: • Set up monthly direct deposits of $500 or more • OR have a $1,500 balance or more each morning • OR have a combined balance of $5,000 or more in your Total Checking account and any other linked qualifying Chase accounts or investments • OR Link this account to a qualifying checking account
  Nonsufficient funds fee	$34
  ATM transaction fee	$0
  Overdraft fee	$34
  Foreign transaction fee	3%
  Paper statement fee	$6

APY	N/A
Fee	$15 per month

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Best for digital banking

USAA Classic Checking

8.2 Great

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USAA is the best military bank for digital banking thanks to a highly rated app packed with more features than other accounts on this list, including free budgeting tools and support for Siri, Google Assistant and other voice-activated tools. USAA also integrates with all major digital wallets — Apple Pay, Google Pay and Samsung Pay — and works with Zelle. On the downside, USAA's savings and CD rates aren't competitive, and it only has a handful of brick-and-mortar branches, so meeting with a banker in person isn't easy for most members.

APY	0.01%
Fee	$0 per month

• Why we like it

  USAA is the best military bank for digital banking thanks to a highly rated app packed with more features than other accounts on this list, including free budgeting tools and support for Siri, Google Assistant and other voice-activated tools. USAA also integrates with all major digital wallets — Apple Pay, Google Pay and Samsung Pay — and works with Zelle. On the downside, USAA's savings and CD rates aren't competitive, and it only has a handful of brick-and-mortar branches, so meeting with a banker in person isn't easy for most members.

• Pros and cons

  Pros

  • Early direct deposit, up to a day early
  • Up to $15 in out-of-network ATM fees reimbursed monthly
  • Cash deposits accepted at USAA ATMs
  • Works with all major digital wallets and Zelle

  Cons

  • Very limited branch network
  • Low savings APY
  • CD APYs not very competitive

• More details

  Annual Percentage Yield (APY)	0.01% on balances of $1,000+
  Fee	$0 per month
  Nonsufficient funds fee	$29
  ATM transaction fee	$0
  Overdraft fee	$29
  Foreign transaction fee	1%
  Paper statement fee	$2

APY	0.01%
Fee	$0 per month

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Best ATM network

PenFed Free Checking

9 Excellent

Pentagon Federal, or PenFed, is a strong pick for ATM access thanks to a network of more than 85,000 ATMs, including convenient locations inside retailers like 7-Eleven, Walgreens and CVS. PenFed also offers an interest-bearing checking account and competitive savings APYs. On the downside, it has relatively few branches compared to other credit unions on this list, and you'll need to meet specific requirements to avoid some fees.

Fee	$0 per month

• Why we like it

  Pentagon Federal, or PenFed, is a strong pick for ATM access thanks to a network of more than 85,000 ATMs, including convenient locations inside retailers like 7-Eleven, Walgreens and CVS. PenFed also offers an interest-bearing checking account and competitive savings APYs. On the downside, it has relatively few branches compared to other credit unions on this list, and you'll need to meet specific requirements to avoid some fees.

• Pros and cons

  Pros

  • Large ATM network of 85,000+ locations
  • Interest-bearing checking account
  • Competitive APY on Premium Online Savings
  • Anyone can join with a $5 minimum deposit

  Cons

  • Limited branch network
  • Count on monthly fees unless you meet waiver requirements
  • Savings interest compounds monthly rather than daily

• More details

  Annual Percentage Yield (APY)	N/A
  Fee	$0 per month
  Nonsufficient funds fee	$30
  Foreign transaction fee	2%

Fee	$0 per month

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5 factors to consider when choosing a bank for military members

When selecting the best military bank account for you, pay special attention to the following factors.

• Fees. Checking accounts and credit cards sometimes have monthly or annual fees for civilians, but these fees are often waived for military members.
• Interest rate. Some military credit unions let you earn interest on balances in your checking and savings accounts, but others only offer interest on savings and their rates aren’t always competitive.
• ATM network. Military banks and credit unions have different ATM networks. Some are nationwide, while others are only regional. Some credit unions like Service Credit Union let you use ATMs overseas without extra fees, but others will charge you for withdrawals from international ATMs.
• Benefits. Some banks and credit unions offer unique benefits for military members, such as fee waivers and discounted rates on personal loans and business loans for veterans.
• Physical branches. Most military banks and credit unions have physical branches you can visit to conduct your banking in person, but digital banks exist exclusively online.

4 online alternatives for military members

Although the banks and credit featured in this guide each have something to offer, military members aren’t limited to choosing one of these institutions. Depending on your needs and lifestyle, a civilian-centric online bank might make more sense for your needs. Here are five banks that offer free banking regardless of your military affiliation.

• SoFi. The SoFi Checking and Savings account is a hybrid account. Earn up to 3.1% APY on its savings account after meeting some requirements.
• Chime®. A fintech with banking parters, Chime offers digital checking and savings accounts, and a variety of other services like tax filing, overdraft services and early direct deposit.
• Ally Bank. With Ally you won’t pay monthly maintenance fees and all accounts earn interest. But business accounts aren’t available.
• Axos Bank. An online bank with multiple checking and savings accounts to choose from, Axos is accessible to military families and beyond, offering high APYs and rewards checking options.

Bottom line

The best military banks and credit unions each have their specific strengths and weaknesses. Consider the factors that matter to you most, and weigh your options carefully. And if you’re not satisfied with any of these options, compare our picks for the best online banks.

To make sure you get accurate and helpful information, this guide has been edited by Bethany Hickey as part of our fact-checking process.

Written by

Michael Benninger

Staff writer

Michael Benninger is lead editor of banking at Forbes Advisor and a former writer at Finder, specializing in banking. His work and analysis has been featured in Business Insider, Yahoo Finance, GoBankingRates and the Los Angeles Times, among other top media. He holds a B.A. in business administration and marketing from Rowan University in New Jersey. See full bio

Michael's expertise

Michael has written 18 Finder guides across topics including:

• Kids’ banking products
• Cash management accounts
• Fintechs and neobanks