TD Bank Review: Savings & Checking Account, CDs and MMAs

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TD Bank Bank Review

About TD Bank

The bank traces its roots in Portland, Maine back in 1852 and has undergone numerous changes in ownerships thru mergers and acquisitions. It was in September 2009 that the rebranded name TD Bank came into being after uniting TD Banknorth and Commerce Bank.

Today, the bank focuses (as they claim) on delivering award-winning customer service and hassle-free products to customers. TD Bank serves the Northeast, Mid-Atlantic, Metro D.C., the Carolinas, Florida (and the rest of the United States).

TD Bank is still a traditional brick-and-mortar bank in many of its locations. They are present in more than 1,200 sites all over the East Coast. However, they have already made online and mobile banking available to their customers.

They have retained Commerce Bank’s old location in Cherry Hill, New Jersey as the seat of their headquarters. And since the TD Bank Group is a Toronto-based company, its branch network extends as far as Canada.

Their website claims that they are ‘America’s Most Convenient Bank’ – this is the trademark that they have carried on for years. However, the low customer ratings on several platforms and the numerous customer complaints on the Better Business Bureau paint a different picture.

The marketing slant points towards their initiatives to have the longest banking hours. This is also applicable even in their Canadian branches. In fact, they boast of being ‘unexpectedly human’ in terms of being able to provide their customers a 24/7 access to live customer service, 365 days a year.

In terms of size, the bank is one of the 10 largest banks in the United States. This speaks well of their stability when it comes to assets to back up their deposit liabilities. Employing around 27,000 personnel, this is a huge organization. They report a customer base of about 9 million which is a testament to their viability as a financial institution. It’s an achievement borne out of their being in the banking business for a very long time.

TD-Bank review

On TD Bank Secure Website

Account Types

Minimum Deposit

PROS

CONS

Full Range Of Personal Banking Products

The bank offers a full range of personal banking products and services from checking, savings, CDs, IRAs, debit & credit cards and loans. But they also have offer small business and commercial banking as well as investment products and solutions.

A quick click at their products menu will show a long list of products they offer to the public. They even have solutions for merchants, taxation, business lifecycles and many more.

Customers can avail of various promotional offers that the bank comes up with from time to time. They give out bonuses for opening certain types of accounts or when a customer refers a friend to open an account.

These strategic undertakings somehow make up for the fact that they are not the cheapest bank in the area. As a traditional bank, they have to contend with huge overheads to keep the business running well.

The bank also has strong connections to the community.

They have projects, programs, and advocacies that benefit the local communities where they serve.

For example, the TD Ready Commitment program funds initiatives for local communities to improve the living situations of the residents. The bank has earmarked C$1B for community giving by 2030. This bank knows how to give back.

TD Bank Savings 

Here are the main products TD bank offers for savers:

TD Bank Savings Account

None

Initial Deposit

None

Minimum Balance

0.05 - 1.7%

APY

FeaturesTD Simple SavingsTD Preferred SavingsTD Growth Money Market
Minimum Daily Balance$0.01$0.01$0.01
Interest Rate BasisFixedTieredTiered
Standard APY0.05%0.05% to 0.15%0.03% to 0.20%
Rate BumpNot availableAvailableAvailable
Daily Balance to Waive The Monthly Fee$300$20,000$2,000
Monthly fee$5$15$12
ATM FeesNone at TD ATMsNone at TD ATMs; other ATM fees reimbursable if you maintain a $2,500 minimum daily balanceNone at TD ATMs
ChecksNot availableNot availableUp to 6 checks per month + online Bill Pay
Online/Paper StatementsFreeFreeFree

Their savings accounts have simple features so they are easy to understand. But they are a little inferior in terms of interest rates because you can find much better rates in other banks.

Yes, they have a bump rate scheme and interest tiers but the maximum of 0.20% is still low compared to what some banks are offering.

Also, there’s a high minimum daily balance for each of the three types of savings account to exempt yourself from the monthly charge. Again, there are banks out there that have eliminated ‘monthly fee’ from their dictionary.

The TD Simple Savings, for example, is a starter account – but not many people can afford the $300 minimum daily balance in their accounts.

TD Bank Checking Account

None

Initial Deposit

None

Minimum Balance

0.03 - 0.05%

APY

FeaturesTD Beyond CheckingTD Convenience Checking
Minimum Monthly Balance$2,500$100
Interest on DepositYesNone
Free ATM AccessYesNone
Monthly Account Fee3 ways to waived monthly feeWaived for $100 minimum daily balance
Fee ReimbursementAvailableNone
Promotional BonusesAvailableAvailable

There’s nothing really spectacular about this product except maybe the seasonal bonuses to attract new depositors. We noticed the big gap that separates the two types of checking accounts – one for the regular depositor and one for the high-end ones.

Of course, the product with the big minimum deposit carries the most benefits, the best one is that it yields interest to the account holder.

TD Bank CDs

$250

Initial Deposit

3 months - 5 years

CDs Terms

0.01 - 0.20%

APY

FeaturesTD Choice PromotionalTD No-catchTD Step-rate
Term3, 6, 9,12,18 months to 2, 3, 5 years6 & 12 months3 & 5 years
Standard APY0.10% to 0.20%0.15%0.33% to 0.45%
InterestTieredYesYes
Monthly FeeNoneNoneNone
Bump RateAvailable with eligible TD Checking accountNot availableNot available
Minimum Opening Deposit$250$250$250
FreebieNoneOne penalty-free withdrawal per termOne penalty-free withdrawal at each anniversary
Auto-Renew FeatureAvailableAvailableAvailable
Other BenefitsNoneNoneYearly rate increase

TD Bank’s CDs are mostly run-of-the-mill so don’t expect them to veer away from the standard features. All types require a high minimum opening deposit but the interest rates are not really breathtaking.

At best, the term options for the TD Choice CD would afford the flexibility that some customers may be looking for. Otherwise, other banks offer way more competitive CDs for their interest rates, minimum deposits, and other benefits.

Pros

Cons

TD Bank – The Benefits

Here are the main benefits we found:

24/7 Customer Service 

Unlike many traditional banks, TD has around-the-clock live customer service available for customers.

When many banks are turning to automated responses or form responses, customers can still interact with customer service representatives through their 24/7 hotline.

Special Accounts For Students / Seniors

Students from 17 through 23 can open their own checking accounts without any minimum opening deposit and minimum daily balance requirement.

The same offer is available for depositors who are 60 years of age or older. Plus, their money earns interest.

Varied Products

The full range of common products and services is a big plus.

This means you don’t have to keep some of your money in a different bank. It’s a physical bank but you can also bank via mobile and online – that’s extra convenient for many.

Longest Working Days & Hours

It’s very rare to find a bank that opens way beyond the normal operating hours of most businesses.

But TD Bank’s doors are open for customers even when the other banks have long shut theirs. They are also open on weekends and during most holidays.

TD Bank – The Drawbacks

Like any other bank, we should always take into account the downsides:

Low Interest 

If you want some returns for your money (especially the high minimum daily deposit you must maintain), TD Bank falls short in this area.

Many banks give much better rates for the same amount of money (or even less) that you keep in the bank.

We’re guessing that this is the price you pay for having real branches and staff who work longer.

High Minimum Deposits 

This is the downside of banking with brick-and-mortar banks – they need a certain level of deposit liabilities to sustain the overhead.

For customers, it forces you to keep most of your money in accounts that don’t give so many benefits.

High maintaining balance plus low-interest rates? Not a good combination.

Fees 

You can escape some of them but once more it will require that you put so much money in your account.

For example, many banks do not charge ATM fees but TD still does for non-TD ATMs.

Low Customer Reviews

For a bank that hypes its customer service, there’s an abundance of bad reviews from dissatisfied customers on many fronts.

Even their mobile app took a beating. This could be something that the bank needs to address.

Alternatives Banks For Consideration

Here are our alternatives to TD Bank:

Chime Bank is an internet banking platform in America and offers services through a mobile application. The site provides a savings account with an automatic saving feature to save as you spend and get paid.

The chime visa debit card rounds up the money in the account to the nearest dollar after each purchase, and the remaining cents will move into your savings account. For clients to save as they get paid, a percentage of each paycheck may be deducted and transferred into the savings account. Chime bank accounts have several debit card benefits: no hidden charges, no minimum deposits, free ATM charges, cashback, no monthly payments, no overdraft fees, and FDIC insurance coverage up to $250,000.

The site will request clients to fill in their personal details before they can open an account. it may include name, social security number, phone number, email, and account info; eligible clients must be US citizens, aged 18 years and above. The Bank is not for customers who like in-person services because there is no live office or physical building.

The Bank has a highly rated application best known for its high-quality graphic designs and interface that ensures a smooth running on most device operators like android and ios. 

Aspiration packaged their company very differently from their bank competitors. Technically, they are an SEC-registered financial broker-dealer that partnered with a bank to provide banking products and services.

To start off, they describe themselves as a green company – which connotes their care for the environment and the American way of life. This is very clear on their website which states that they don’t use the customer’s money to fund fossil fuels or lobbyists who promote agendas that work against the people. One can see very well that this is not your run-of-the-mill bank.

Furthermore, they claim that they never intended to build a bank but a better world. So, this exclusively online bank brings the focus not on their products but on how the customers can do good – while banking with them. Different but very catchy. 

Summary

If you live on the East Coast, particularly in any of the states that they serve, you could use TD Bank. It’s even a better fit if you want the old brick-and-mortar banks where the human interface is important.

There’s also a premium on customer service. The extended banking days and hours can be great when you have a full schedule most of the time. Yes, online banks are open and up 24/7 – but some services are better when there’s a warm body attending to you.

If you don’t care much about APYs and fees and high monthly balances, this is a good bank. But if those are things that are of top importance in your criteria list, find another bank. Or, do some pencil-pushing because maybe the occasional bonuses they offer can offset these items that you are parting off with.