CIT Bank Review: Is It Good?

CIT Bank offers a high interest rate. But is CIT reliable and safe? Read this review to find out if what you heard is true.

	CIT Bank Money Market Account Get Deal
	Overall Score	4.5
	Savings	4.5
	Checking	4.5
	Money Market	5.0
	Customer Service	4.0
	Mobile App	4.5

5-point scale (the higher, the better)

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Pros and Cons

• High yield
• No monthly service fees
• Low opening deposits

• No physical locations
• No check writing

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Bottom Line

Solid online bank with excellent rates and no monthly fees

CIT Bank is popular for its high-yield savings products. It offers several different savings accounts and CDs with some of the highest interest rates on the market and no monthly fees.

As an online bank, it has fewer overhead costs. In return, it passes along the savings to customers in the form of higher APYs.

In this review, you'll learn how CIT Bank's Savings Accounts, CD Rates, and Money Market Accounts can help grow your savings fast.

• About CIT Bank
  
• Is CIT Bank Trustworthy?
  
• Pros & Cons
  
• What CIT Bank Offers
  
  • Savings Builder High-Yield Savings
    
  • Money Market Account
    
  • Certificate of Deposits
    
  • Checking Accounts
    
  • Custodial Accounts
• Fees
  
• Locations
  
• Customer Service
  
• Common Complaints
  
• How to Open an Account
  
• How It Compares

Shortcut: Most people have a regular savings account with very low interest. That's a big mistake. You could earn a lot more with CIT Bank.

If you don't mind banking online, a CIT savings account is a great choice if you're looking for high interest rates and no service fees.

About CIT Bank

CIT Bank (short for Commercial Investment Trust) offers checking accounts, money market accounts, and savings products at higher interest rates and no monthly fees. But it has no physical locations.

CIT Bank is the online bank of CIT Group, a financial holding company with over 100 years' history. It's a Fortune 1000 company and a SBA Preferred Lender. CIT is headquartered in Pasadena, California, and has $50 billion in deposits. CIT Bank is fully FDIC insured.

Read on for our full CIT Bank review.

Is CIT Bank trustworthy?

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CIT Bank is FDIC insured (FDIC# 58978). Your money is protected up to the FDIC limit of $250,000 per depositor, per ownership category. Even though it's an online-only bank, CIT Bank follows the same rules and legal regulations as traditional banks.

CIT uses layers of security to make sure your personal information is safe. It has anti-virus protection, firewalls, and 128-bit Secure Socket Layer encryption.

Pros & Cons of CIT

PROS:

• Higher interest rates than traditional banks
  
• No monthly fees on any bank accounts
  
• Low opening deposits ($100 for checking & savings accounts and $1,000 for CDs)
  
• Minimal fees
  
• Up to $30 monthly in ATM fee reimbursements
  
• Remote check deposits
  
• 24/7 mobile banking on iOS and Android

CONS:

• No physical locations
  
• No check writing from the checking account
  
• CD rates not as high as other online banks
  
• No IRA accounts
  
• May experience long wait times on phone calls

Counterpoint: If you need access to physical branches, we recommend a Chase checking account. Chase has more than 4,700 branches and 16,000 ATMs nationwide.

What CIT Offers

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CIT Bank offers a variety of account options to cover basic banking needs. It's popular for their high yield savings products, offering rates better than many other online banks. Now, they offer an eChecking account. So you can now do your checking and savings in one place, if you wish.

Member FDIC
CIT Bank Money Market Account
Click Here to Get Deal
• Earn over 7x the national average
• New customers can apply online with a minimum of $100 to open an account
• Fund the account with electronic transfer, mail in check, or wire transfer
• No monthly service fees
• Deposit checks remotely and make transfers with the CIT Bank mobile app
• FDIC insured

CIT Savings Builder

CIT Savings Builder account offers one of the top savings interest rates currently on the market. It's best for active savers or high balance savers. It's ideal to build your emergency fund.

You can earn 0.45% APY in a couple of ways:

• Keep a balance of $25,000+, OR
  
• Open an account with $100, and deposit $100 minimum per month

If you fail to meet the requirements, your rate will drop to the base tier APY that month. If you do meet the requirements next month, it will go back up to 0.45%.^[1]

There are no fees to open or maintain the Savings Builder account.

Read our review about how the Savings Builder account works.

Member FDIC
CIT Savings Builder - Earn 0.45% APY
Click Here to Learn More
Earn up to 0.45% APY. Here's how it works: Maintain a minimum balance of $25k OR make at least a $100 minimum deposit every month. Member FDIC

Compare Savings Accounts

Member FDIC
Online Savings Account - Earn 0.50% APY
Get Deal
• No fees
• No minimum opening deposit
• No minimum balance required

Member FDIC
High Yield Savings - 0.61% APY
Get Deal
• 0.61% APY on all balance tiers
• No minimum balance requirements
• No fees to open or maintain account
• Free ATM card upon request
• FDIC Insured

Betterment Cash Reserve - Earn up to 0.40% APY
Start Saving
• FDIC insurance covering up to $1,000,000 at program banks
• Access cash in 1-2 business days
• No minimum balance
• No fees on balance
• Unlimited withdrawals

Money Market Account

The CIT Bank Money Market Account offers a high rate on all account balances. So this account is best if you can't commit to saving a certain amount each month.

Member FDIC
CIT Bank Money Market Account
Click Here to Get Deal
• Earn over 7x the national average
• New customers can apply online with a minimum of $100 to open an account
• Fund the account with electronic transfer, mail in check, or wire transfer
• No monthly service fees
• Deposit checks remotely and make transfers with the CIT Bank mobile app
• FDIC insured

Compare Money Market Accounts

Member FDIC
Money Market Account
Get Deal
• Earn 0.35% APY for balances under $100,000
• Earn 0.40% APY for balances $100,000 and over

Member FDIC
High Yield Money Market - 0.60% APY
Get Deal
• 0.60% APY on all balance tiers
• No minimum balance requirements
• No fees to open or maintain account
• Free Visa debit card
• Free online bill pay, free limited checks, and free limited online check images
• FDIC Insured

UFB Premium Money Market - Earn 0.20%
Get Deal
• Earn 0.20% APY on balances of $25,000 and above
• Member FDIC

CIT CD Rates

CIT CD rates are competitive with other online banks. It offers a few options to fit different needs. All CD products have no account fees.

• Term CDs: Term are available from six months to five years. Your rate is locked in for the entire term. The minimum deposit is $1,000.

• No-Penalty CDs: This no-penalty CD product has one fixed term of 11 month. A special feature is that you can withdraw your full balance with no penalty. This is good if you suddenly need your money. The minimum deposit is $1,000.

• Jumbo CDs: Jumbo CDs could be a good choice if you have $100,000 to save. It awards slightly higher APYs for keeping a higher balance. Duration available from two to five years.

CDs require you to lock your savings for a set period of time. Typically, withdrawing money from a CD before maturity will incur a withdrawal penalty.

Note that CDs are not available as IRA or trust accounts. However, they are available as custodial accounts.

CIT Bank Term CDs

Get Deal

• Up to 0.50% APY
• $1,000 minimum opening deposit
• No monthly maintenance fee
• FDIC insured

Term	CD Rates
6 Month	0.30% APY
1 Year	0.30% APY
13 Month	0.30% APY
18 Month	0.30% APY
2 Year	0.40% APY
3 Year	0.40% APY
4 Year	0.50% APY
5 Year	0.50% APY

CIT Bank No Penalty CD

Get Deal

• 0.30% APY
• Option to withdraw full balance and interest after 7 days of CD funding date
• $1,000 minimum to open an account
• 11 months
• No monthly maintenance fee
• FDIC insured

CIT Bank Jumbo CDs

Get High Yield Jumbo CD

• Up to 0.50% APY
• $100,000 minimum opening deposit
• No monthly maintenance fee
• FDIC insured

Term	CD Rates
2 Year	0.40% APY
3 Year	0.40% APY
4 Year	0.50% APY
5 Year	0.50% APY

Compare CD Rates

Member FDIC
Certificate of Deposit
Get Deal
• 0.50% APY for 12-month term
• 0.55% APY for 36-month term
• 0.60% APY for 5-year term

High Yield CD - Earn up to 0.80%
Get Deal
• 0.80% APY for 45-month term
• 0.70% APY for 13-month term
• 0.60% APY for 6-month term

CD
Get Deal
• $500 minimum opening deposit
• No maintenance fees
• FDIC insured
Term	CD Rates
11 month	0.10% APY
12 month	0.10% APY
18 month	0.10% APY
36 month	0.10% APY

eChecking Account

CIT recently launched the new checking account with tiered interest. You need $100 to open. There are no maintenance fees.

CIT isn't part of any ATM networks, but it doesn't charge any ATM fees. And plus, you get up to $30 in ATM reimbursements per month.

Other account features include:

• Free MasterCard debit card with EMV chip technology

• Mobile check deposit and online bill pay

• Overdraft protection when you link up a CIT Savings or Money Market account. There is no fee to have money transferred to cover the transaction.

• Make purchases and transfer money via Samsung Pay, Apple Pay, and Zelle. There is no charge to use Zelle.

• Set up travel alerts and stop/restrict debit card use

Member FDIC
CIT Bank eChecking
Click Here to Learn More
• Earn 0.25% APY with $25,000 minimum balance
• Earn 0.10% APY on balances under $25,000
• Deposit of $100 minimum to open an account
• Debit card
• Monthly ATM fee reimbursement (up to $15 per statement cycle)
• FDIC insured

Compare Checking Accounts

Member FDIC
HSBC Advance Checking - $200 Welcome Deposit
Get $200 Welcome Deposit
Expires 3/31/2021
• Get a $200 Welcome Deposit for eligible new customers who open a new HSBC Advance checking account and complete the following qualifying activities.
• Open your new HSBC Advance checking account online by March 31, 2021; and
• Make recurring monthly Qualifying Direct Deposits totaling at least $500 from a third party to your HSBC Advance checking account(s) for 3 consecutive calendar months from the second full calendar month after account opening
• You will automatically receive the $200 Welcome Deposit in your new HSBC Advance checking account approximately eight weeks after completing all qualifying activities. It's that simple.
• Deposit products are offered in the U.S. by HSBC Bank USA, N.A. Member FDIC.

Member FDIC
Chase Total Checking® - $200 Bonus
Get $200 Coupon
Expires 4/14/2021
• Enjoy a $200 bonus when you open a new Chase Total Checking® account and set up direct deposit
• Access to 16,000 Chase ATMs and more than 4,700 branches
• Chase Mobile® app - Manage your accounts, deposit checks, transfer money and more -- all from your device.
• Open your account online now
• Available online nationwide except in Alaska, Hawaii and Puerto Rico. For branch locations, visit locator.chase.com.

Member FDIC
Rewards Checking - Up to 1.25% APY
Get Deal
• Up to 1.25% APY
• No minimum balance requirements
• No fees to open or maintain account
• Overdraft Protection

Custodial Accounts (UTMA)

Any CIT account can be set up as a custodial account for a minor. This means the account is in the child's name, but you control it until the child reaches 18. You can also designate up to age 25 if you wish.

You can contribute as much as you can to it. But keep in mind that there are gift tax rules. For 2019, the annual exclusion is up to $15,000 per year without being taxed.

There are also some tax advantages. A portion of the interest earnings are tax-free.

Fees and Charges

CIT waives many common banking fees. All deposit accounts have:

• No fee to open account
  
• No maintenance fees
  
• No account closing fee
  
• No fees for incoming wire transfer
  
• No mailed check fees
  
• No online transfer fees

Some fees you may encounter are:^[2]

• $10 outgoing wire transfer fee ($0 for accounts $25,000+)
  
• $10 excessive transaction (for Money Market Account)
  
• $30 bill pay stop payment
  
• $30 overdraft fee
  
• $10 debit card replacement (1 free card per year)
  
• 1% of transaction amount for international ATM withdrawals

CIT Bank Location

CIT is an online-only bank with no physical branches. There is only one physical location at their headquarters in Pasadena:

However, this is only their headquarters' office. There's no way to open accounts or do banking in person.

CIT Bank Customer Service

CIT Bank's phone number is 855-462-2652. Here are the hours they are available by phone:

• Monday - Friday: 9:00 am - 9:00 pm (ET)
  
• Saturday: 10:00 am - 6:00 pm (ET)
  
• Sunday: Closed
  
• Home Loans Division: Monday - Friday, 9:00 am - 8:00 pm (ET)

You can access your account online and by Automated Telephone Banking 24/7.

Is Online Banking Right for You?

Online banks offer a lot of benefits, including:

• Higher interest rates than traditional banks
  
• Often no monthly fees or balance requirements
  
• Convenience - manage your account 24/7 online
  
• Easy to open an account online

However, you have to be comfortable with doing everything purely online. Some downsides include:

• No physical branches
  
• No personal relationships with your banker
  
• Limited services available
  
• More hassle to transfer funds
  
• More limited withdrawals (for example, you can't withdraw crisp $100 notes)

CIT Bank Common Complaints

Here are some common complaints from customers.

• Customer service: You can only reach customer support by phone call or email. Customers report long wait times when they phone in with issues.

• Hold times on incoming funds: An ACH transfer may be held for up to 5 business days. Checks deposited to your account may be held for 7 business days.^[3]

• Electronic transfers out may take a few days: Make sure you give yourself plenty of time if you need to transfer funds to an external account.

How to Open a CIT Bank Account

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All CIT accounts must be opened online. Here are the steps using its online system.

1. Start here to open a new account. You must be a U.S. citizen or a permanent resident and provide the following info:
   • Social Security number
     
   • Driver's license or other valid state ID
     
   • Primary home address
     
   • Valid email address
     
   • Valid phone number

2. Fund your new account with one of these methods:
   • Transferring funds electronically from an external checking or savings account. CIT's Routing/Transit number is 124084834.

   • Mailing a check to CIT Bank, N.A. Attn: Deposit Services, P.O. Box 7056, Pasadena, CA 91109

   • Wiring funds to your new account

3. CIT will first make two "test" micro deposits to your funding account. Within 3 business days, you'll get an email asking you to verify the amounts. As soon as you have verified, your transaction will be processed.

CIT Savings Builder - Earn 0.45% APY

Click Here to Learn More

Earn up to 0.45% APY. Here's how it works: Maintain a minimum balance of $25k OR make at least a $100 minimum deposit every month. Member FDIC

CIT Bank Mobile App

CIT offers a mobile app for both iOS and Android, so you can bank on-the-go from anywhere.

On the mobile app, you can:

• Log-in via fingerprint or password
  
• Transfer funds between CIT accounts and other banks
  
• Deposit checks by taking a photo
  
• Set up one-time or recurring bill payments
  
• Check balances and transaction history
  
• Send and receive money through Zelle
  
• Make secure payments with Apple Pay and Samsung Pay
  
• Manage debit card preferences

In addition to the mobile app, you can also enroll in text banking. This allows you to check your account balance and recent transactions by texting a simple command.

How CIT Bank Compares

© CreditDonkey

CIT vs Ally

Ally Bank is an online-only full-service financial institution with checking, savings, IRAs, and investment services. It uses the Allpoint ATM network across the country. Ally is well known for the excellent 24/7 personal support with real human reps and competitive rates.

Ally Bank charges no account fees for any of its accounts.

CIT Bank vs Citibank

Though their names are similar, CIT Bank and Citibank are two different financial institutions.

Citibank is one of the largest banks in the world. It has over 700 locations in the US (mostly in California and New York) and 1,800 branches overseas. You may consider it if you travel abroad often and still want access to branches and ATMs.

Citibank offers checking and savings packages. Like most traditional banks, the accounts have a monthly service fee that can be waived with certain direct deposit or balance requirements.

In comparison, CIT Bank is online only. All of CIT's deposit accounts are free with no monthly fees. It's a good choice if you want higher savings rates and don't need in-person service.

CIT vs Capital One 360

CIT vs Discover

In addition to credit cards, Discover also offers a full range of online banking services, including cashback checking, high yield online savings, and student loans.

What Else Does CIT Bank Offer?

In addition to banking products, CIT provides some other services, including:

• Home loans: Offers both mortgages and refinance loans at both fixed rates and adjustable rates. There is also a Low Down Payment Program that allows borrowers to qualify for a house loan with as little as a 3% down payment.

  If you have a CIT bank account, you can get a lower mortgage rate with relationship pricing.

• Business loans: You can get a business loan up to $150,000 from 6-18 months.

• Equipment financing: Businesses can get equipment financing up to $250,000 without financials, or up to $1 million with financials from 12-72 months.

CIT Bank doesn't offer auto loans.

What the Experts Say

It's not easy finding an institution to bank with. As part of our series on banking and saving, CreditDonkey asked a panel of industry experts to answer some of our readers' most pressing questions:

Bottom Line: Is CIT Good?

CIT is a solid online bank offering good deposit products, including eChecking account and savings options. It offers top tier interest rates higher than many other competitor online banks and credit unions.

The Savings Builder is a premier high yield savings account with relatively low deposit requirements. And even if you only have $100, you can earn competitive interest in their money market account.

Or if you have at least $1,000 set aside and aren't concerned about liquidity, you can take advantage of higher yields with an 18-month CD.

References

1. ^ CIT Bank Savings Builder
2. ^ CIT Bank Schedule of Fees, Retrieved 12/14/2010
3. ^ CIT Bank Agreement for Personal Accounts (p. 12), Retrieved 12/14/2020