Professional Documents
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By LEE HUFFMAN
Updated Jul 16, 2020
TABLE OF CONTENTS
EXPAND
Pros Explained
Cons Explained
Who Is Barclays Bank Best For?
What Does Barclays Bank Offer?
Other Financial Products Offered
Barclays Bank Customer Service
How to Bank With Barclays
Verdict
Methodology
Pros
Cons
No brick-and-mortar branches
No checking accounts
Personal loans by invitation only
Pros Explained
Competitive interest rates – Savers looking for a high rate of interest on
their savings accounts and certificates of deposit (CDs) will find them with
Barclays.
No monthly fees or minimum opening deposit requirements –
Barclays does not require a minimum deposit when opening a new savings
account or CD. There are no monthly service charges either, so you don’t
have to meet a minimum balance requirement.
Lucrative credit card rewards – Barclays has numerous credit cards that
offer rewards, cash back, and special financing promotions.
Cons Explained
No brick-and-mortar branches – If you have a question about your
account, you cannot speak to someone in person. Instead, you’ll need to
call Barclays or send it a message online or through its mobile app.
No checking accounts – Consumers looking to have one bank for all of
their needs should look elsewhere. Barclays does not offer checking
accounts or many of the lending products you’d find at a traditional bank.
Personal loans by invitation only – Although Barclays does some
lending, you cannot apply for a personal loan unless the bank sends you
an invitation.
Savings Account
Barclays’ high-yield savings account offers a competitive annual percentage yield
(APY) of 1.00% that is substantially higher than the national average of 0.06%
(as of July 6, 2020), though a bit less than the best online savings accounts
currently going.1 It does not have a minimum deposit requirement, and there are
no monthly service fees. You can transfer funds online to and from other banks
or set up direct deposit into your account.
If you withdraw your CD before maturity, there is a penalty. For CD terms under
24 months, the penalty is 90 days simple interest. For terms of 24 months or
longer, the penalty is 180 days simple interest. When the penalty is greater than
the interest earned, the remaining amount will be deducted from your principal.
There are two mobile apps available, depending upon the type of products you
have with Barclays Bank — bank accounts versus credit cards. The deposit
mobile app is available for both Apple (3.8 stars, 851 ratings) and Android (1.9
stars, 356 ratings), yet there are fewer than 1,000 downloads for either version.2 3
A mobile app for credit cards is also available and has been rated far more often.
You can download it for Apple (2.3 stars, 2,300 ratings) or Android (4.2 stars,
10,171 ratings).4 5
Deposits into your savings account or CD can be made through online transfers
from linked banks, remote deposits from the mobile app, or direct deposit. The
app also allows you to view history, initiate transactions, and contact customer
service.
Verdict
Barclays Bank is an appealing online bank to earn interest on your savings. It
offers competitive interest rates without monthly fees or minimum balance
requirements. The bank is best as a complement to your existing bank because
Barclays does not offer checking accounts, loans, or other services you’d find at
a full-service bank.
The credit cards offered by Barclays can be a good fit for your wallet if its travel
and lifestyle partners are appealing to you. A majority of its credit cards offer the
ability to earn cash back or rewards on your daily purchases.
Methodology
Investopedia is dedicated to providing consumers with unbiased, comprehensive
reviews of banks. We collected more than 20 data points across more than 80
banks — including products available, interest rates, fees, and accessibility — to
ensure that our content helps users make the right decision for their savings and
banking needs.