Quontic Bank Review 2022

Quontic is a digital bank that offers banking products and mortgages. Learn how Quontic Bank works to help decide if it's right for you.
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By Rebecca Lake

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A young, professional woman uses her computer to do her banking online.

Online banking may appeal to you if you’re interested in paying fewer fees and don’t necessarily need access to branches. Quontic Bank is an adaptive digital bank that offers the products and services you’d expect at a brick and mortar bank without the high fees.

But what does adaptive banking mean? And is it right for you? Our Quontic Bank review offers a closer look at how it works to help you decide if it’s the best place for your money.

What Is Quontic Bank?

Quontic Bank is an adaptive digital bank that aims to be an alternative to traditional banking. According to the bank’s website, Quontic combines “the humble spirit of a community bank, the swagger of a FinTech, and the boundlessness of a neobank.”

Quontic began as a community bank based in New York City in 2009 but has since evolved to an all-online banking model. The types of products and services offered include checking and savings accounts as well as mortgages products. Quontic is an FDIC member bank and is currently the only all-digital bank in the U.S. to be a Certified Community Development Financial Institution (CDFI).

Who Is Quontic Bank For?

As a digital bank, Quontic is focused on innovation and meeting the needs of its customers without conforming to the traditional banking mold. Quontic could be suitable for people who:

  • Are comfortable managing their bank accounts online or through a mobile banking app.
  • Don’t need branch banking access.
  • Want more than just the standard checking or savings account options.
  • Belong to an underserved community or are self-employed and are ready to buy a home.
  • Prefer to avoid the high fees that often go along with traditional banking.

Quontic is customer-centric and unique in offering inclusive banking and mortgage solutions. There are no branches but customers can access their money at more than 90,000 surcharge-free ATMs across the country. Loan specialists operate in all 50 states and online and mobile banking are readily available where you are.

Compare Quontic Bank to Others

Quontic isn’t the only option if you’re interested in switching from your brick-and-mortar bank or credit union to a traditional bank. Comparing Quontic Bank to other online banks can help you find the best solution for your money management needs.

Here are three other possibilities you might consider when looking for a digital bank.

Capital One 360

Capital One 360 offers an impressive range of banking products and services, including checking accounts, savings accounts, and CDs with no fees and no minimums. Additionally, Capital One offers credit cards and auto loans, products you won’t find at Quontic Bank.

One thing to note is that Capital One has a smaller ATM network — 70,000+ ATMs versus the 90,000+ in Quontic’s network. That could make a difference in terms of how convenient it is to access cash when you need it.

SoFi Money

SoFi isn’t a bank, per se. But this fintech platform offers a number of financial products and services, including SoFi Money, which is a cash management account that earns interest and includes no-fee overdraft coverage.

SoFi does partner with FDIC-insured banks to protect deposits. Mortgages are available, though not in every state.

Varo Bank

Varo Bank is another digital banking option for people who want to manage their money online without a lot of fees. You can open a checking account or a savings account with Varo with no minimum balance requirements.

Varo’s ATM network includes 55,000+ locations. The bank doesn’t offer mortgage loans at this time.

What Accounts Does Quontic Bank Offer?

Quontic offers banking and mortgage products that are designed to meet a variety of needs. On the banking side, you can choose from checking or savings accounts. There are three checking account options:

  • Bitcoin Rewards Checking
  • Cash Rewards Checking
  • High-Interest Checking

There are also three options for saving:

  • High Yield Savings
  • Money Market
  • Certificates of Deposit

Here’s a breakdown of what you can expect with each of these accounts.

Bitcoin Rewards Checking

Bitcoin Rewards Checking is a checking account that lets you earn back a percentage of what you spend in cryptocurrency. Specifically, you can earn 1.5% bitcoin on all eligible debit card purchases. Bitcoin earned is held in an NYDIG account separate from Quontic Bank until you decide to redeem it.

There are no overdraft or insufficient funds fees associated with this account. The minimum opening deposit requirement is $500. Bitcoin Rewards Checking is currently launching in select states only.

Cash Rewards Checking

Cash Rewards Checking pays you 1.5% cashback on eligible debit card purchases if you’d rather have cash in place of crypto. Cashback earned is deposited into your account each month at the beginning of a new statement cycle.

This checking account has a lower minimum deposit requirement of just $100. There are no ATM fees to withdraw cash at network ATMs. Other key features and benefits of this account include:

  • Online and mobile banking
  • Digital wallet app compatibility
  • Mobile check deposit
  • No monthly or overdraft fees

You might consider Cash Rewards Checking if you want a convenient way to save money on everyday spending.

High-Interest Checking

High-Interest Checking accounts earn a competitive APY on balances up to $150,000 when you meet minimum requirements. To earn interest with this account you’d need to make at least 10 qualifying debit card point of sale transactions of $10 or more per statement cycle.

The APY is tiered and the rate you earn is based on where your daily balance lands among the various tiers. The minimum opening deposit is $100 and again, there are no monthly fees, overdraft fees or ATM fees when you use a partner ATM.

High Yield Savings

The High Yield Savings account earns a competitive interest rate and APY with no monthly service fees. The same APY applies across all balances and it’s currently 15 times higher than the national savings rate average.

You only need $100 to open a High Yield Savings Account with QuonticBank. Interest is compounded daily based on your posted balance.

Money Market

The Money Market account also offers a competitive APY, though with this account rates are tiered based on your balance. The more you save, the better the rate you can earn.

You can open a Money Market Account with as little as $100. Quontic Bank allows up to six withdrawals from this account per month. A debit card is available upon request.

Certificates of Deposit

Quontic Bank offers a variety of CD accounts with terms ranging from six months to three years. The three-year CD earns the highest interest rate and APY.

You’ll need $500 to open a CD with Quontic. Early withdrawal penalties may apply if you take money from your CD before it matures.

Mortgage Loans

Quontic Bank offers traditional and more unique mortgage options for people who want to buy a home, refinance an existing mortgage, or leverage their home equity through a reverse mortgage. Mortgage loan options include:

  • Conventional mortgage loans
  • FHA loans
  • VA loans
  • Community development loans
  • Mortgage refinance loans (via conventional, FHA, VA, or community development loans)
  • Reverse mortgages
  • Wholesale mortgages

Conventional loans are what most people think of when they think of mortgages. These loans are typically designed for borrowers with higher credit scores. A down payment of 20% or more is required in order to avoid private mortgage insurance (PMI).

FHA loans are designed for borrowers with lower credit scores and/or lower incomes. It’s possible to get an FHA loan with a credit score as low as 580 and a down payment of just 3.5%. These loans also require a mortgage insurance premium that’s similar to PMI.

VA loans are available for veterans and their families. These loans have no down payment requirements and also have more relaxed credit score requirements compared to conventional or FHA loans.

Community development loans are meant for people who may have trouble pursuing a home loan through traditional routes. Quontic Bank offers these loans to people who are self-employed as well as foreign nationals and real estate investors. It’s possible to borrow up to $3 million with a community development loan from Quontic and income documentation requirements are flexible.

A reverse mortgage or Home Equity Conversion Mortgage (HECM) allows eligible seniors aged 62 or older to tap into their home equity. With a reverse mortgage, the lender pays money to the homeowner and when the homeowner passes away, those funds must be paid back. This could be an option for people who don’t necessarily want to use a home equity loan or line of credit (HELOC) to create an additional income stream for retirement.

Top Features of Quontic Bank

Compared to brick-and-mortar banks and even some online banks, Quontic has some noteworthy features and benefits. Some of the main highlights include:

  • Minimal fees. Quontic aims to keep fees as low as possible, with no monthly fees and no overdraft fees associated with its checking accounts.
  • ATM network. Quontic offers one of the largest surcharge-free ATM networks of any digital bank, with more than 90,000 locations to choose from.
  • Convenience and accessibility. Even though there are no branches to visit, Quontic makes it easy to access your money via ATM, online banking, or mobile banking.
  • Checking account variety. Quontic is one of only a handful of financial institutions offering checking account products that reward customers with bitcoin, cashback, and/or interest.
  • Competitive rates. Compared to other digital savings accounts, Quontic offers some of the most competitive rates around.
  • Mortgage options. While many online banks offer checking accounts and savings accounts, there aren’t as many that offer mortgages. Quontic can make it easier to get a mortgage, especially if you’re self-employed or have unique circumstances that make it difficult to document your income.

How to Get Started

Opening an account with Quontic Bank is quick and easy. From the main banking page, you can click ‘Open an Account’, then select the type of account you’d like. You should see all of the various checking, savings, money market, and CD options listed here.

Next, you’ll click ‘Get Started’ under the account you’d like to open. You’ll first be asked for your name, email address, and phone number. If you’re opening a joint account, you’ll need to provide the same information for the other applicant.

Quontic will send you a confirmation code that you’ll need to click on from your email account. From there, you can finish the account opening process.

If you’re opening your very first account with Quontic, you’ll need to link an account from another bank to make your initial deposit. That requires sharing your bank account number and routing number.

Overall, the process is fairly painless. It’s possible to get your account open in under five minutes.

Rating the Features

As part of our Quontic Bank review, here’s a little more on how the individual features rate.

User experience

Overall, the Quontic Bank website is easy to navigate and there isn’t a lot of junk cluttering it up. You can choose the banking or mortgage product you’re interested in from a dropdown menu to learn more or apply for an account with the click of a button.

Opening accounts isn’t difficult either and you can manage your accounts online or through the mobile banking app. There’s a resources section if you need answers to banking questions that includes a blog, how-to guides, and videos.

Fees and rates

Quontic Bank is designed to be as fee-friendly as possible, with no monthly service fees or maintenance fees and no overdraft fees. There is a $10 excess transaction fee if you make more than six withdrawals from a money market or high yield savings account. Early withdrawal penalties may also apply to CD accounts.

Transparency

Quontic is straightforward about how its products and services work, what you can expect from the bank and what you’ll pay. It’s very easy to find information about fees, interest rates for deposit accounts, and mortgage loan options.

Flexibility

If you’re looking for multiple ways to manage your money while enjoying added benefits, Quontic can offer that. For example, you might pair a Cash Rewards Checking account with a High Yield Savings Account. And there are multiple mortgage options that are designed to suit almost any situation.

Customer support

Customer service is available by phone Monday through Friday, 9:00 am to 6:00 pm EST. You can also email Quontic or get help via live chat, which is a nice bonus feature that you won’t always find at other online banks.

Pros and Cons of Quontic Bank

Any time you’re shopping around for a new bank, it’s important to consider the advantages and potential drawbacks. Here are some of the main pros and cons to be aware of with Quontic Bank.

Frequently Asked Questions (FAQs)

Is Quontic a real bank?

Yes, Quontic is a real bank that’s been around since 2009. The bank started as a community bank but has since adopted a digital banking model.

Is Quontic mortgage legit?

Yes, Quontic offers a variety of mortgage options including conventional loans, FHA loans, and VA loans. Refinance loans, community development loans, reverse mortgages, and wholesale mortgages are also available.

Is Quontic Bank FDIC-insured?

Quontic Bank is an FDIC member bank, which means your deposits are protected up to the coverage limits. Currently, the FDIC coverage extends to $250,000 per depositor, per account ownership type, per financial institution.

Bottom Line

Quontic Bank may be well-suited to your needs if you’re interested in adaptive banking. While there are no branches to visit, you can still enjoy the feel of a community bank that’s focused on meeting your needs. If you’re ready to get started, you can take the next steps and open an account with Quontic Bank today.

About Author
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Rebecca Lake
Rebecca Lake joins MoneyRates as a contributor writing about banking, credit and debt, home-buying, investing, small business, and other personal finance topics. Rebecca brings her expertise as a personal-finance journalist to MoneyRates.com, having written about money for over five years. Her work has appeared online at U.S. News and World Report and many other publications.