Iowa is a growing, thriving state with plenty of things to offer residents. With so many choices available, it can be tough to decide on the best bank. Once you’ve made sure your bank of choice is insured by the Federal Deposit Insurance Corporation, there are other factors to look at, including whether you’ll find branches in your area and what fees you’ll be charged. This list can help you decide.
11 Best Banks in Iowa
Before you open a new bank account, take a look around at the best banks in your area. Here are a few to consider.
1. Hills Bank
Hills Bank has branches in the Cedar Rapids, Marion, Iowa City, and Mount Vernon areas, but you can access funds nationwide through thousands of SHAZAM and MoneyPass ATMs. There are three tiers of checking accounts, but Free Checking has no maintenance fees and no minimum balance requirements.
Fees:
- No monthly fees
- $27 overdraft fee
Balance requirements:
- No minimum balance
- No minimum opening deposit
ATMs:
- Free at Hills, SHAZAM, and MoneyPass locations
- No fee for out-of-network transactions
Interest rates:
- Up to 0.40% on savings accounts
- Up to 4.43% on fixed-rate CDs
Additional perks:
- In-person banking services available at branches throughout Iowa
- Competitive rates on CDs
2. Bank Iowa
Bank Iowa is an Iowa-only bank with branches in five areas, including Iowa City, but there are no branch-based banking services in Cedar Rapids. You’ll find five checking account options, including two with no monthly maintenance fee or minimum balance.
Fees:
- No monthly maintenance fees
- $35 overdraft fee
Balance requirements:
- No minimum balance
- $10 minimum opening deposit
ATMs:
- Free access at Bank Iowa ATMs and SHAZAM locations nationwide
- $2 for out-of-network withdrawals
Interest rates:
- Up to 0.19% on savings
- Up to 1.28% on money markets
- Up to 2.56% on CDs
Additional perks:
- Checking accounts come with complimentary identity theft services
- Competitive rates on personal and home loans
3. GO2Bank
If an online bank can meet all your banking needs, GO2Bank might be the best bank. You can easily manage your funds through the mobile banking app, and you’ll also have access to a nationwide network of ATMs and retailers for deposits and withdrawals. As long as your paycheck is automatically deposited, you’ll pay no monthly maintenance fees, but otherwise, it’s only $5 per statement cycle.
Fees:
- No monthly fee with direct deposit
- $15 overdraft fee for every transaction not paid within 24 hours
Balance requirements:
- No minimum balance
- No minimum opening deposit
ATMs:
- Free access at AllPoint locations nationwide
- $3 for out-of-network withdrawals
Interest rates:
- Up to 4.50% annual percentage yield on savings account
Additional perks:
- Deposit cash at more than 90,000 retailers nationwide
- Earn up to 7% cash back on gift card purchases
4. Regions Bank
If you limit your travel to the southern and Midwestern U.S., Regions Bank might be a contender for your business. This regional bank covers Iowa, along with Alabama, Arkansas, Florida, Georgia, Illinois, Indiana, Kentucky, Louisiana, Mississippi, Missouri, North Carolina, South Carolina, Tennessee, and Texas.
As long as you have at least one $500 check deposited directly each month, you can get free checking. But banking services like loans and a financial advisor upon request make this bank really stand out.
Fees:
- $8 monthly (waived with qualifying activity)
- $50 minimum opening deposit
Balance requirements:
- $1,500 minimum balance or $500 direct deposit to qualify for free checking
- $36 overdraft fee
ATMs:
- More than 2,000 ATMs
- $2.50 per withdrawal at out-of-network ATMs
Interest rates:
- Up to 0.01% APY on savings
- Up to 4.75% on CDs
Additional perks:
- Wide range of banking products
- Wealth management services available
5. Northwest Bank
Based in Spencer, Iowa, Northwest Bank is a family-owned bank with locations in both Iowa and Nebraska. Northwest is considered one of the best banks in Iowa for its quality customer service and great rates on checking. Currently, Northwest Bank is offering a $100 bonus on each new checking account as long as you sign up for new products like e-statements, Zelle, and BillPay.
Fees:
- No monthly fee
- $28 overdraft fee
Balance requirements:
- No minimum balance
- $10 minimum opening balance
ATMs:
- Free at MoneyPass ATMs nationwide
- $2 per withdrawal at out-of-network ATMs
Interest rates:
- 0.01% APY on qualifying checking accounts
- .001% APY on savings
- Up to 2.25% APY on money markets
- 0.03% on CDs
Additional perks:
- $100 cash bonus to qualifying new accounts
- 1.50% cash back on debit card purchases ($8 limit)
6. Chime
Another online and mobile banking option is Chime, which offers all the amenities of bigger banks without the cost. Online banking options include a checking account with autosave features to help you meet your financial goals. Chime’s savings accounts offer 2% APY, which is competitive with what other banks in Iowa are offering.
Fees:
- No monthly fee
- No charges for overdrafts
Balance requirements:
- No minimum balance
- No minimum opening deposit
ATMs:
- Fee-free at Allpoint and MoneyPass ATMs
- $2.50 fee for each out-of-network ATM transaction
Interest rates:
- 2% APY on savings accounts
Additional perks:
- Pay accessible up to two days early
- Automatically round up each debit card purchase to build your savings account
7. CIT Bank
Another online banking option is CIT Bank, which has no local branches. CIT’s bank accounts come without monthly charges, including no overdraft fees, but there is a downside. CIT Bank’s ATM network is nonexistent. You’ll be reimbursed up to $30 a month in out-of-network costs, though.
Fees:
- No monthly fee
- No charges for overdrafts
Balance requirements:
- $25,000 minimum balance or $100 monthly deposit
- $100 minimum opening deposit
ATMs:
- Up to $30 in ATM costs refunded per month
Interest rates:
- Up to 0.46% APY on savings
- Up to 1.55% APY on money market
- 5% APY on CDs
Additional perks:
- Great rates on CDs
- Savings Builder account motivates you to save at least $100 monthly
8. Fidelity Bank & Trust
Fidelity Bank & Trust is a community bank with a hometown feel. It has more than 30 branches in Northeast Iowa, Northwest Illinois, and Southwest Wisconsin. The bank offers robust online and mobile banking options, as well as money management help through its investment services team.
Fees:
- No monthly fee
- $30 overdraft fee
Balance requirements:
- No minimum balance
- $50 minimum opening balance
ATMs:
- Free at Fidelity Bank locations across Northeast Iowa
- Free at SHAZAM ATMs nationwide
Interest rates:
- 0.05% APY on qualifying checking accounts
- 0.05% APY on savings
- Up to 0.50% APY on money markets
- Up to 4.77% on CDs
Additional perks:
- myPIC debit card lets you add your photo to your card
- Specialized Christmas and children’s savings account options available
9. Bank of America
Even though it’s a large national bank, Bank of America brings some of the benefits you get from a small bank. Customers can enjoy fee-free account types as long as they sign up for Preferred Rewards. But one of the biggest benefits is the nationwide network of branches and ATMs.
Fees:
- $12 monthly fee (waived with qualifications)
- $10 overdraft fee
Balance requirements:
- $1,200 minimum balance or qualifying deposits to waive fee
- $100 minimum opening balance
ATMs:
- Free at Bank of America ATMs nationwide
- $2.50 fee for each out-of-network ATM transaction
Interest rates:
- 0.04% APY on savings (with preferred rewards)
- Up to 4.20% on CDs
Additional perks:
- In-person service at branches and with virtual assistant at ATMs
- Preferred Rewards programs offer discounts on accounts and loans
10. Bankers Trust
Based in Des Moines, Bankers Trust has banks in Iowa and Arizona. There are multiple accounts to meet your banking needs, including some checking accounts with tiered interest rates. New customers may be eligible for a $250 bonus by choosing a participating checking account.
Fees:
- No monthly fee with at least 12 debit card transactions
- $10-$30 overdraft fee
Balance requirements:
- No minimum balance
- $25 minimum opening deposit
ATMs:
- Fee-free at Allpoint and MoneyPass ATMs
- $2 fee for each out-of-network ATM transaction
Interest rates:
- Up to 0.60% on checking
- Up to 1.45% on savings
- Up to 4.55% on CDs
Additional perks:
- $250 bonus for new BreakFree or Direct Checking account
- Education center provides training and information
11. MidwestOne Bank
If customer service is a priority, MidwestOne Bank is one of the best banks in Iowa. This regional bank has 45 branches across Iowa, as well as Minnesota, Wisconsin, Colorado, and Florida. You’ll also find great rates on auto and personal loans with MidwestOne.
Fees:
- No monthly fee
- $35 for overdrafts
Balance requirements:
- No minimum daily balance
- $100 minimum opening deposit
ATMs:
- Fee-free at MoneyPass ATMs
- $1 fee for each out-of-network ATM transaction
Interest rates:
- Up to 0.75% APY on savings
- Up to 1.00% APY on money market
- Up to 2.47% APY on CDs
Additional perks:
- Bank Your Change automatically rounds up debit purchases to put toward savings
- Competitive rates on personal loans
Bottom Line
The best banks in Iowa offer great customer service and easy access to your funds. To ensure you make the right choice, consider not only these factors, but also the range of financial products, convenience, and technological innovation each bank provides. As you compare different banks, keep in mind your specific financial needs, preferences, and goals, such as low fees, high interest rates, or specialized services.
Once you’ve found the best bank, it’s essential to regularly review your account and stay informed about new offers and changes in rates and amenities. By doing so, you can maximize your financial benefits and adjust your banking relationship as your needs evolve. Ultimately, the best bank for you will consistently deliver on all fronts, helping you achieve financial stability and success in Iowa.
