Choosing a suitable bank for your needs can be a little daunting and overwhelming when considering the many options available on the market. Depending on your age and income, you could be looking for a bank that can tailor its offerings to suit your needs. You’ll have to think about the product offerings, interest rates, fees, customer support, and so much more. Let’s know more Capital One Vs Wells Fargo Which One Is Better.
Amongst the many banks available in the U.S, we’re going to zoom in on Capital one and Wells Fargo. Capital one may have the upper hand, with a wide selection of credit card options and the best terms and rates. While Wells Fargo provides a more comprehensive product line, that includes checking and savings accounts, loans, mortgages, and multiple investment options. Let’s see how these two banks compare by examining their products and services and weighing the pros and cons of each.
Capital One as The Bank of Choice
Having started purely as a credit card company, Capital one now provides a wide variety of banking products and services that rival any traditional bank. Let’s see some of the pros of using Capital one for banking:
Advantages
- Capital one provides better rates with no maintenance fees
- Their checking account lets you earn interest
- Seeing that they started off with credit cards as their main product, they still provide the widest variety of credit card options
- Provides access to loan refinancing, auto finance, and kids accounts in addition to their checking and savings accounts
Wells Fargo as the Bank of Choice
Wells Fargo has a more extensive range of products. You can make your pick from checking accounts, two types of savings accounts, loans, mortgages, and investment accounts. Here are some pros of banking with Wells Fargo:
Advantages
- You don’t have to use different banks for different banking products. You can have a mortgage and a checking or savings account all with Wells Fargo
- The fee waiver requirements are easy to meet
- They provide 24/7 customer support
- With 5 663 retail branches and 13 000 ATMs in the country, this bank is easily available from nearly anywhere in the country
Capital One vs Wells Fargo: Comparing Rates
Checking and Savings Accounts
The average interest rate percentage for a Wells Fargo Savings Account is between 0.10% and 1.76%. Although it rarely reaches the latter, most account holders will have rates of 0.10% or lower. Capital One, on the other hand, has a 360 Online Savings Account with an interest rate of 1.00% no matter the account balance. Capital ones 360 Checking Account has higher interest rates of 0.20% to 1.00% with a balance of $100 000 or more. Whereas Wells Fargo’s Preferred Checking Account and Portfolio Account only provide interest rates no higher than 0.05%.
Certificate of Deposits (CDs)
Depending on the type of CD you choose with Wells Fargo, the rates will start from as little as 0.01% to 1.20% for Fixed Rate CDs while Step Rate CD ranges from 1.49% to 2.24%. Capital one CD rates start from 0.60% and go as high as 3.10%.
Capital one vs Wells Fargo: Comparing Fees
In General, all Wells Fargo accounts come with monthly fees, but they also come with waivers. For example, a Standard Savings Account has a $5 monthly fee with the possibility to be waived by having a maintained balance of $300. Also, an Everyday Checking Account with Wells Fargo carries a $10 monthly fee but, with a daily $3000 balance, this fee can be avoided. Wells Fargo does exempt all primary account holders who are 24 years and younger from fees.
Capital one does not charge its clients monthly maintenance fees on all deposit accounts and checking accounts, and also does not require minimum deposits.
Conclusion: Who Wins the Battle of the Banks
Essentially both banks provide the same/similar services, so making a choice between the two will have to come down to individual needs. Capital one has the widest variety of credit cards, highest interest rates, and lowest fees, but, they are not as accessible and diverse in their product offering as Wells Fargo.
In addition to having the same product offerings as Capital one, Wells Fargo also has Mortgages, home loans, and personal loans that Capital one does not have. So, if you’re looking for more simple banking products like CD or savings accounts and credit cards, then Capital one should be your go-to. And if you are looking for an accessible bank with extensive products like mortgages, retirement accounts, and home loans, then Wells Fargo is a good way to go.
In comparison, Wells Fargo seems like a well-rounded banking option, if you can avoid the banking fees and waiver the costs by keeping to the minimum balance amount required.
