This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Online Banks Grow More Competitive





Though the practice isn't in danger of the becoming extinct just yet, going to your local bank branch to conduct business is appearing increasingly quaint today. And unfortunately for branch-based banks, the high-tech experience offered by online banks is becoming more refined.

Online banks are nothing new, but there have been significant changes recently among some of the major players in the market. Barclays Bank, a venerable UK institution, started offering online savings accounts and CDs in the U.S. last year while ING Direct, one of the pioneering online banks, recently became Capital One 360.

Now EverBank has announced a face-lift, including new features on its website and some lower fees for its online checking and savings accounts.

EverBank's rebranding

As a retail bank, EverBank has been serving Florida customers through its branch system since the 1960s. However, with the advent of the Internet age, it began offering some online account options. Recently, the bank revised its website and changed some services with the aim of creating a more user-friendly banking experience.

The new EverBank features include increased functionality for its mobile website, as well as improved navigation on its full site. In addition, EverBank has eliminated the online bill pay fee for its Yield Pledge Checking and Small Business Checking accounts. The monthly maintenance fee for Yield Pledge Money Market and Savings Accounts has also been phased out.

Other changes in online banking

The changes at EverBank come on the heels of other big developments in the world of online banking. Most notably, ING Direct -- a longtime innovator in online banking -- was sold to Capital One in 2012. In February 2013, ING online savings accounts and checking accounts officially became part of Capital One 360. While the website and brand are different, Capital One told MoneyRates.com that customers shouldn't expect its service or bank rates to change anytime too.

Another big development in online banking is the introduction of Barclays Bank. As a UK retail bank, Barclays has a long and distinguished history. In May 2012, it started offering deposit accounts in the U.S. but decided to forgo the traditional branch system. Instead, it is offering online savings accounts and CDs, both of which have proven to be popular. In November 2012, Barclays announced deposits in its high-yield online savings accounts and certificates of deposit had reached $1 billion in less than six months.

Because of these new entities and better technologies entering the mix, online-only banks are becoming more of a mainstream option. Many consumers are now realizing that they may find better savings account rates online, and that virtual banking offers almost everything branch-based banks do -- minus the lines in the lobby.

null

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,416.85 +225.48 1.31%
S&P 500 2,021.25 +19.09 0.95%
NASDAQ 4,683.4070 +45.4130 0.98%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs