Do I have to bank with USAA while I am active duty? Would you recommend it?
I am leaving for BMT soon and will be setting up direct deposit. I currently am with Bank of America but was wondering if most people in the military bank with USAA? Are there advantages? This will be for a checking and savings account.
I also wanted to know if it is better to have USAA in case I get stationed overseas....If I get sent to Germany, Korea, etc. does it matter which bank I have?
- NWIPLv 76 years agoFavorite Answer
You can use whatever bank you want to use. It is not a requirement to use USAA as it isn't owned by the military. Honestly depends on what you are looking for. Lots swear by USAA but I had problems with it from the beginning. The one major issue was that there are very few branches to actually go and bank, you have to either mail in your deposit or be approved for the deposit app through your cell phone. They do give up to $25 back on using the ATM.
Navy Federal can be a better option, they are opening more branches and are available world wide including places like Japan, Germany, etc... You do have the option for cell phone deposit or going into the branch. The active duty account will refund up to $20 for using the ATM if you can't find one as long as it is a credit union approved.
You can keep your BofA account and use it as a savings instead or for when you travel.
- DanielLv 76 years ago
You can bank with whoever you want.
One downside of USAA is that they really don't have any branches. That might not be a big deal to many (I haven't lived near my bank in 17 years, and just mail stuff in to them and use affiliated ATMs).
A plus for USAA is that they have their hands in a lot of things. Although I don't use them for banking (mostly because I don't feel like switching a ton of direct payment accounts over), I use them for insurance, investments, and loans. You can also get some discounts through them by being a member.
If you use them for auto insurance, you can usually stick with them if you go overseas. There are only a few companies that will cover you outside the US.
- GEORGE BLv 76 years ago
USAA is a "mutual" company. That means it is owned by its members and insurance policy holders.
If convenience is a consideration then a large banking chain is probably a better choice.
When it comes to insurance, investments, buying and financing a home or a car, then checking with USAA should always be done. Those are areas in which they almost always offer the best deal.
Me? 54 years with USAA
- MAJ KevLv 76 years ago
Banks in order for their serive to military personnel:
1 - USAA
2 - Navy Federal
3 - any other on-base credit union
4 - 38,345 - every other bank in the world, to include the First National Bank of Baghdad, before BoA
38,346 - BoA
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- Living the DreamLv 76 years ago
You can bank with whichever bank you choose. The advantage to USAA is that they're not Bank of America. That bank is horrible. Almost every other bank in the world is better than them.
- 6 years ago
Cash withdrawal without a fee. B of A is not part of The Co-op ATM network. I do believe that you will have to start with the credit union they can get your pay to the most quickerley...it is a word in Texas..do not argue the point kid! You can change your deposits to B of A after. Go with the flow
- WraethLv 76 years ago
Have to no. Highly recommended yes. That or Navy Federal Credit Union.
BoA has a history of screwing soldiers. Especially when overseas. Not to mention theyre owned by Saudis...which is the biggest reason for me personally to drop them.Source(s): US Army Scout USAA member since 2003. NFCU member since 2009.
- Purple HazingLv 66 years ago
I would recommend it, because when you get a car loan with another bank, the interest rate would be too high so you go to USAA and get them to take the loan for you with a lower interest rate. Their credit cards would also have a lower interest rate as well.