Best banks and credit unions in North Carolina for March 2022

We choose Ally, First Citizens Bank, First National Bank, Mechanics & Farmers Bank, and State Employees Credit Union as the best banks and credit unions in North Carolina. 

Our favorite financial institutions are federally insured by the NCUA and FDIC, which means your money is safe in even the rare event that a bank shuts down. These banks also stand out because they have minimal bank fees and offer appealing features.

Savings rates at the largest banks in North Carolina

Below, you'll find the savings rates from the biggest banks in North Carolina. In March 2022, the national average for interest rates on savings accounts is 0.06% APY, according to the FDIC.

None of these banks offered a competitive interest rate, so we didn't end up choosing any of these banks for our best savings account category. However, you may still decide one of these banks is a good fit for you.

Best bank for opening a savings account

Why it stands out: Brick-and-mortar banks in North Carolina pay pretty low interest rates, around the national average. If you'd like to open a high-yield savings account, Ally is an excellent online option. It pays a competitive rate and doesn't charge standard bank fees.

You may also like the Ally High Yield Savings Account if you'd like to open a bank account that comes with budgeting tools. The account lets you separate money into individual savings goals through savings buckets. 

Ally customer service is available over the phone and through live chat 24/7. 

What to look out for: As an online-only institution, you'll have to transfer money from another bank account if you'd like to deposit cash. 

Best bank for opening a checking account

Why it stands out: First National Bank offers a solid free checking account. If you open the First National Bank Freestyle Checking Account at a local branch, you won't need to make an initial deposit. If you open it online, you'll need to deposit at least $50. The bank has a solid ATM network — you'll have access to 800 ATMs in 7 states on the East Coast.

What to look out for: You might have to deal with fees if you accidentally take too much from your account. There's a $37 overdraft fee if you overdraw from your account. The bank has overdraft protection that lets you link to another bank account, but you'll have to pay a $10 transfer fee if you use it.

Best bank for opening a checking and savings account

Why it stands out: First Citizens Bank is a great choice if you prefer traditional banking. It's the third-largest financial institution in the state, and it offers a free savings and checking account. 

The First Citizens Bank Free Checking Account is one of the bank's strongest products. It has a budgeting tool that helps you track expenses, create a budget, and monitor debt.

The First Citizens Bank Online Savings Account has a $50 minimum opening deposit, and you won't need to fulfill any minimum balance requirements. 

What to look out for: You might have to deal with overdraft fees if you take out more money than you have in your checking account. First Citizens Bank offers overdraft protection, but you'll have to pay a $12 transfer fee if you utilize it.

There's a also $3 excess withdrawal fee if you exceed two withdrawals per month from your savings account.

Best credit union

Why it stands out: State Employees Credit Union is a good option if you'd like to bank with a credit union over a bank. It has over 273 locations and 1,100 free ATMs, making it one of the biggest financial institutions throughout the state. 

The State Employees Credit Union Share Account earns a slightly higher rate than most brick-and-mortar bank accounts. Its CDs also pay a decent rate and require a low minimum opening deposit of $250. 

The credit union's checking account has a low minimum opening deposit, but there's a $1 monthly service fee that can't be waived.

What to look out for: To be eligible for membership at SECU, you or an immediate family member need to be working or formerly employed by one of the following:

• The state of North Carolina
• A state agency in North Carolina
• The North Carolina public board of education
• North Carolina National Guard
• Social Services, Health, Mental Health, and Civil Defense of North Carolina counties
• Any agencies or departments part of the North Carolina State Personnel Act

To become a member, you'll need to open a share account with at least $25. 

Best local financial institution

Why it stands out: Mechanics & Farms Bank is a Black-owned bank with eight branches in Charlotte,  Durham, Greensboro, Raleigh, and Winston-Salem. 

Local banks are an ideal option if you're looking for an institution with close ties to its community. Mechanics & Farmers Bank hosts financial literacy workshops in each city with a branch. Employees and management also attend around 80 community events yearly. 

The Mechanics & Farmers Bank Dash Checking Account is the bank's standout account. The account doesn't charge monthly service fees and has a low minimum opening deposit.  It lets you earn up to Mechanics & Farmers Bank Dash Checking Account on balances below $10,000 if you meet the following criteria monthly: 

• Make at least 15 debit transactions that total a minimum of $350
• Log into mobile or online banking 
• Get an e-statement
• Receive at least $500 in direct deposits

If you meet these requirements, you'll also be eligible for up to $15 in out-of-network ATM refunds.

What to look out for: The bank's savings account requires a minimum opening deposit of $100 and has a $6 monthly service fee if you don't keep at least $200 in your account daily. 

Other institutions that didn't make our list and why

• Truist Bank: Truist Bank has the most branches in the state, but its accounts don't stand out as much as our top picks. It savings accounts pay low interest rates, and checking accounts have monthly service fees. Read the full review of Truist Bank here. 
• Wells Fargo: Wells Fargo has a substantial branch and ATM network throughout the US. However, it has received a poor BBB rating and has been involved in several public controversies, including settlements that claimed the bank engaged in racial discrimination and unauthorized account creation. Read the full review of Wells Fargo here.
• Bank of America: Bank of America has a variety of accounts and a large branch and ATM network, but you'll need to meet certain requirements to waive monthly maintenance fees. Read the full review of Bank of America here.
• PNC Bank: You aren't eligible for the PNC high-yield savings account in North Carolina, which is the bank's strongest product. Read the full review of PNC Bank.
• First Bank Everywhere Savings Account: First Bank has a variety of accounts, including age-specific accounts for college students and seniors. However, most bank accounts have monthly service fees, unless you qualify to waive them.
• Woodforest National Bank: Woodforest may be a worthwhile option if you want to open accounts with low minimum opening deposits. It won't be a great choice if you frequently use mobile banking, though. Read the full review of Woodforest National Bank. 
• Southern Bank Regular Savings: Southern Bank has a decent-sized branch and ATM network, but its savings accounts earn a low interest rate and may have monthly service fees.
• Fifth Third Bank: Fifth Third Bank has a free checking account, but its savings account isn't as strong. Read our full review of Fifth Third Bank. 
• Coastal Credit Union : Coastal Federal Credit Union has a free checking account and solid savings accounts, but some of our top picks make it easier to qualify for membership.
• Truliant Federal Credit Union: Truliant has free checking and savings accounts, but our top picks offer more competitive interest rates and unique features. 
• Latino Community Credit Union: This Hispanic American-led financial institution might be worth considering if you'd like financial literacy services that are specifically for immigrant and low-income Latinos. However, when it comes to bank accounts, our top picks offer more unique perks and higher rates. Read our full review of Latino Community Credit Union. 

Are these banks and credit unions trustworthy?

We use ratings from the Better Business Bureau to evaluate how financial institutions address customer issues and handle transparency. 

All of our top picks have at least an A rating from the Better Business Bureau, except for Ally. Ally has a C grade because there have been 315 complaints filed against the business and two unresolved customer complaints. 

A good BBB rating won't guarantee your relationship with a business will be perfect. Consider talking to current customers or reading online customer reviews. 

On the bright side, none of the financial institutions featured have recent public scandals.

Frequently asked questions

Why trust our recommendations?

Personal Finance Insider's mission is to help smart people make the best decisions with their money. We understand that "best" is often subjective, so under each section, we outline the advantages and limitations of each account or institution. We spent hours comparing and contrasting the features and fine print of various products so you don't have to.

How did we choose the best banks in North Carolina?

We reviewed the 10 biggest banks and credit unions in the state and financial institutions included in our Black-owned banks and credit unions guide and Hispanic American-owned banks and credit unions guide. 

We sought out accounts with minimal banks and unique features. For example, some of the accounts featured offer a competitive interest rate or budgeting tools to help track your spending.

For our best credit union and best local bank, we chose financial institutions that offered great customer service, easy membership requirements, and low minimum opening deposits. 

What is the No. 1 bank in America?

It depends on what you're looking for. Wells Fargo has the most branches in the US, followed closely by Chase and Bank of America. If you're looking for high savings rates and low fees, then you'll probably want to go with an online bank. (See our picks for the best online banks here.)

What's the safest bank to put your money in?

As long as an institution has federal insurance, your money should be safe. Banks need to be insured by the Federal Deposit Insurance Corporation (FDIC). Credit unions need to be insured by the National Credit Union Administration (NCUA).

An individual account is insured for up to $250,000, and a joint account is insured for up to $500,000. This means you won't lose all of your money should the bank go under.

Experts' advice on choosing the best financial institution

To learn more about what makes a good bank or credit union and how to choose the best fit, four experts weighed in:

• Tania Brown, certified financial planner at SaverLife
• Roger Ma, certified financial planner with lifelaidout® and author of "Work Your Money, Not Your Life"
• Mykail James, MBA, certified financial education instructor, BoujieBudgets.com
• Laura Grace Tarpley, editor of banking, Personal Finance Insider

We're focusing on what will make a bank most useful, including customer service, fees, rates, and more. Here's what they had to say about finding a bank. (Some text may be lightly edited for clarity.)

How can someone determine whether a bank is the right fit for them?

Mykail James, CFEI:

"The No. 1 thing about a checking account is you should know what provider the debit card is coming from. And a lot of people don't think about that, because there are places that don't accept MasterCard or don't accept an Amex."

Laura Grace Tarpley, Personal Finance Insider:

"I would look for the bank that charges you the least in fees. This means either no monthly fees, or you qualify to waive the monthly fees. If you never overdraw from your account, then a bank's overdraft fees won't matter much to you. But if you occasionally overdraw, then I'd look at the fees or overdraft protection options."

What should someone look for in a brick-and-mortar bank?

Tania Brown, CFP:

"How can that bank grow with you? If you are 25, single or newly married, and all you need is a checking account, that's going to look very different 15 years from now when you may have had a couple of jobs, you may have an IRA roll over, or you may want a financial adviser."

Mykail James, CFEI:

"How accessible it is. So where are the branches? And if I am to go out of town or something, how accessible is my money to me?"

What should someone look for in an online bank?

Tania Brown, CFP:

"With an online bank, absolutely online customer service, because you do not have the advantage of walking inside and talking to a human being. How often are you able to get them? What are their hours?"

Roger Ma, CFP:

"How onerous the transfer process is, transferring money in and transferring money out. Is it same day, next day? Is it pretty easy to sync a brick-and-mortar checking account to this particular high-yield savings account?"

Mykail James, CFEI:

"When it comes to online banks, you want to be a little bit more strict about what type of interest rates they're providing. That's the biggest thing, because online banks are supposed to have the higher interest rate because they don't have the overhead of the brick-and-mortar. You want to make sure that it's well above the national average. What type of securities do they provide? Do they have two-factor identification? If it's an online bank, they should definitely have — at the bare minimum — two-factor authentication in how easy it is to change your passwords and things like that, because you want to be a little more hypersensitive about the cyber security for a strictly online bank."