When you bank with CIT Bank, you’ll see that they are an online bank only. They have no physical branches like a traditional bank would. However, they do offer the normal financial products like: checking and savings accounts that come with high rates.
Most of the accounts also come with no monthly fees included so that’s great! But, most of their customers wonder, “why is CIT Bank an online bank only?” Read below for more information on CIT Bank.
CIT Bank History
With CIT Bank, they are an online bank for CIT Group Incorporated, they have more than 100 years of experience with businesses. Founded in Pasadena, South California, they have more than $30 billion in assets as of today. Their consumer banking can be branched abroad for CIT Bank and OneWest Bank. Those branches are in charge of business, real estate, and other financial services clients will need. Since CIT Bank is solely an online bank, they have higher interest rates that will definitely catch your eye.
CIT Bank only has one office location in Pasadena. However, it’s not a branch where you’ll be able to go in and conduct banking businesses or open any accounts. They will require you to all of that online since it’s only their headquarters base. Opening an account online is super simple, one of the perks that comes with online banks is that they’re very technologically advanced.
Accounts CIT Has to Offer
There are many different types of accounts that CIT Bank has to offer their clientele. I’ll go over all of them below.
With the eChecking account, it’s a checking account that comes with tiered interest. Plus, there aren’t any monthly charges or minimum balance necessary. You’ll need at least $100 as an opening direct deposit to open an account. Then, you can receive a free Mastercard Debit Card and CIT will reimburse you for no more than $15 on ATM Fees from other banks every month. Keep in mind, their checking account will not allow you to use paper check writing.
The Savings Builder account is one of the highest savings APY’s on the platform. However, it does come with some conditions as well. As the name states, it’s an account for you to save money and earn rewards if your account is active enough. Receive a good 1.75% APY Rate once you’ve opened an account with at least $100 as the opening deposit. Then, you’ll have to keep depositing a minimum of $100 every month. You can also gain this great rate if you uphold a balance of at least $250,000 in this account.
Now, the Money Market account, it’s a type of savings account that also has high rate offers as well. But, they don’t have an account balance requirement, that’s what makes it different from the other savings account. Most people use this type of account if they aren’t necessarily good at saving a specific amount of money every month. On the bright side, you’ll still get their APY rate no matter how much you have in your account. You’ll need to deposit at least $100 to open the account.
Lastly, the Certificate of Deposits (CD) accounts. CIT Bank has a variety of CD terms to choose from. They offer terms from 6 months to 5 years. All of them have a $1,000 minimum to open an account. There’s a special 11-Month No-Penalty CD Term that lets you withdraw your funds early with no additional penalty. This one really catches most of the customers attention. Then, there are Jumbo CD offers that will require you to have at least $100,000 to deposit into your account.
Opening an Account
When you open a new account with CIT Bank, it will only take you a couple minutes online. Keep in mind that you have to be a U.S. citizen to be able to open a new account. They will require you to provide the proper credentials such as:
- Full name
- Address
- Phone number
- Social Security Number (or another form of taxpayer ID)
You will then need to find your account with an electronic transfer. This transfer can be made from a connected checking or savings account, bank wire, etc. Then, CIT Bank makes 2 micro deposits as a test your funding account. It’s another way to check verification. In the first 3 days your account works, there will be an email asking you to confirm the micro deposit. Once, they are confirmed, the bank will be able to get your transactions.
All of your accounts will be managed through the online website or their mobile banking app. It will come with some features like:
- Check account balances
- Transfer funds between banks
- Check your transaction history
- Look at your statements
- Make check deposits with their app
- You can send or get money with Zelle
- Turn on travel notifications or pause your debit card
Advantages and Disadvantages of CIT Bank
The good thing about CIT Bank is that they offer higher interest rates when you compare it to a traditional bank. Plus, they have no monthly charges on any of their accounts. CIT Bank has low opening deposits which will be about $100 for a checking or savings account, and $1,000 for a CD. You can even receive no more than $15 monthly in ATM Fee reimbursements as well. Since they don’t have their own ATM, you can use any ATM you want with no additional fees If you need to deposit a check, you’ll be able to use their mobile app and use the remote check feature.
One of the downsides of this bank is that there aren’t any physical branches that you can visit. You cannot use check writing from your checking account. Plus, there isn’t a way for you to make any cash deposits with no ATMs. If you want to open a CD account with them, their rates are typically lower than other online banks. They don’t offer any IRAs either. Expect to wait a while when you call their customer services. Like every bank, CIT Bank has their own pros and cons with their accounts.
Plus, their members can have their money held between OneWest Bank and CIT Bank since they’re the same financial institute. The money that you hold with both banks will be counted towards the $250k FDIC insurance limitation together. But, they will not be able to go to an OneWest Bank branch to ask for any banking assistance. OneWest Bank is still a separate bank from CIT Bank, they only share the same financial institution.
Customer Services
All of CIT Bank members will be able to contact customer service representatives with two different phone numbers:
855-462-2652 (within the U.S.)
626-535-8965 (outside the U.S.—toll call)
They will be available:
- Monday to Friday: 8:00 am – 9:00 pm (ET)
- Saturday: 9:00 am – 5:00 pm (ET)
- Sunday: 11:00 am – 4:00 pm (ET)
If you’re still confused on how to open an account, this is how you will be able to contact them. CIT Bank will not give you a contact email or live chat options for new clients. Different ways to get in touch with CIT will be:
- Online and Mobile Banking: Current members will be able to send CIT Bank secured emails with their online account. This option will be open at all times.
- Automated Phone Line: Current members can also view their account balance when they want to with CIT’s automated phone services 855-462-2652.
- Mail In: You can mail your bank forms and checks to their PO Box:
- CIT Bank, N.A.
P.O. Box 7056
Pasadena, CA 91109-9699
- CIT Bank, N.A.
- Email Forms: Email bank forms and documents to [email protected]
- Fax: CIT’s fax number is 866-914-1578.
Conclusion
Overall, online banks are slowly taking over the banking platform. Since online banks normally have higher rates but no physical branch locations, they charge less for their accounts. Traditional banks will normally charge more for their accounts with a decent rate and a location you can visit for assistance.
Being an online bank would have a wider range of availability for their customers across the nation. It’s not a bad idea to open a new account with CIT Bank. However, there are always lots of other online and traditional banks out there that you’ll be able to try out if this one isn’t for you.