Bask Bank review: Earn high interest or airline miles with your savings

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What if you could earn airline miles by putting money into a savings account?  With Bask Bank, you can do just that.

This online bank offers a high-yield savings account with a competitive 5.10% APY and a unique Mileage Savings account that earns American Airlines AAdvantage miles. Bask Bank also provides CDs with terms of up to 24 months but has limited product offerings compared to some competitors.

Let's dive into this bank’s offerings, including its fees, mobile app, and customer service, to help you determine if Bask Bank is the right fit for you.

About Bask Bank 

Bask Bank, a division of Texas Capital Bank, N.A., is a nationwide online bank with a history dating back to 1999. Bask Bank first launched a partnership with American Airlines that allowed customers to earn AAdvantage miles via a special savings account.

In 2020, Bask Bank expanded its product lineup to include a high-yield savings account and a selection of certificates of deposit (CDs). While the bank is currently developing a checking account, it's not yet available.

As a part of Texas Capital Bank, Bask Bank is FDIC-insured, providing depositors with coverage up to $250,000 per person per account. 

Bask Bank accounts 

Bask Bank offers a range of savings products to help customers maximize their earnings. While the bank plans to introduce an interest checking account soon, its present offerings include two types of savings accounts and six different CD terms, all featuring competitive interest rates and minimal fees. 

Bask Bank savings accounts

Bask Bank high-yield savings account 

Bask Bank's Interest Savings account is a high-yield savings option with a 5.10% APY, making it one of the most competitive accounts on the market. According to FDIC data, this account offers an APY more than 11 times the national average of 0.45%.

This account has no monthly fees or minimum balance requirements, though unfunded accounts may be closed if they remain without a balance for 15 business days. 

Earning American Airlines miles with Bask Bank’s Mileage Savings account

Bask Bank's partnership with American Airlines offers frequent fliers the opportunity to earn miles through their savings. The Mileage Savings account allows customers to earn 2.5 American Airlines AAdvantage® miles for every $1 saved annually. 

This account could pay off if you frequently travel with American Airlines and want to maximize airline points. Like the Interest Savings account, the Mileage Savings account has no monthly fees or minimum balance requirements, though the same rules apply regarding account closure for unfunded accounts. 

Miles earned through the Mileage Savings account accrue daily and are paid out monthly, based on the account's average balance and the number of days in the month. To calculate your earnings, multiply the average monthly balance by 2.5, divide the result by 365, and then multiply by the number of days in the month. 

For example, an average daily balance of $60,000 in January would yield 12,740 AAdvantage miles, calculated as follows: [$60,000 x 2.5] ÷ 365 × 31.

Earned miles are awarded by the fifth business day of the following month and should appear in your AAdvantage account within 6-8 weeks. 

Miles earned through Bask Bank do not count toward elite status or AAdvantage Million Miler status unless otherwise specified. Additionally, these miles are considered taxable interest income, with a taxable APY of 1.05%.

Bask Bank Certificate of Deposit (CD) Accounts

Bask Bank also offers a selection of certificates of deposit (CDs) with competitive rates. The bank currently provides six CD terms:

• 3-month CD: 5.35% APY
• 6-month CD: 5.35% APY
• 9-month CD: 5.30% APY
• 12-month CD: 5.30% APY
• 18-month CD: 5.00% APY
• 24-month CD: 4.75% APY

Bask Bank requires a minimum deposit of $1,000 for all CD terms. Penalties for early withdrawals can also be steep. CDs terms under 12 months have penalties of 90 days of interest based on the amount of principal withdrawn. CDs longer than one year have penalties of 180 days of interest based on the amount of principal withdrawn.

Bask Bank's CD rates are highly competitive compared to other online banks. However, some banks may offer a lower minimum initial deposit at comparable rates. 

Here's a comparison of Bask Bank's CD rates with Marcus (which has a $500 minimum initial deposit) and BMO Alto (which has no minimum initial deposit):

It’s also worth noting that Bask Bank has a limited selection of term lengths. Some competitors, like Discover Bank and Capital One 360, offer a wider range of CDs. Some also offer specialty CDs, such as bump-up and no-penalty CDs.

Bask Bank fees 

One advantage of banking with Bask Bank is its minimal fee structure. The bank charges few fees, making it a solid choice for those who want to avoid being nickel-and-dimed. 

Bask Bank does not charge monthly account fees, overdraft fees, or incoming wire fees for its savings accounts. However, there are a few fees to be aware of:

• Outgoing domestic wire fees: $20-$35
• Outgoing international wire fees: $35-$50

Wire fees range depending on whether the transaction is initiated online or manually. 

For CDs, the only potential fee is an early withdrawal penalty. The penalty for withdrawing funds before the CD's maturity date depends on the term length:

• For 6-month to 12-month CDs: 90 days of interest on the amount of principal withdrawn
• For CDs longer than 12 months: 180 days of interest on the amount of principal withdrawn

The excess amount will be deducted from the principal if the penalty exceeds the interest earned at the withdrawal time. Overall, Bask Bank's fee structure is designed to be customer-friendly, with minimal charges and no surprise costs.

Bask Bank online and mobile banking experience 

As an online bank, Bask Bank has focused on providing its customers with a seamless digital banking experience. The bank's mobile app, available on iOS and Android devices, has received high ratings from users. It has a 4.6 out of 5 rating on the Apple App Store and a 4.5 out of 5 rating on Google Play.

The Bask Bank app offers a range of features designed to simplify account management. Customers can set up transfers, arrange direct deposits, and make mobile check deposits. Bask Bank plans to introduce bill pay functionality soon, further enhancing the app's capabilities.

Account security

To ensure the security, Bask Bank employs several measures:

• Two-factor authentication for account logins
• Optional security alerts to notify customers of password changes or failed login attempts
• A secure message portal for communicating with customer service
• Account monitoring to detect and alert customers of unusual activity

As a division of Texas Capital Bank, Bask Bank is FDIC-insured. Customers' deposits are insured up to $250,000 per person per account. 

Bask Bank customer service 

Bask Bank provides several ways for customers to get in touch with their support team:

• Phone: Customers can speak with a representative by calling Bask Bank's customer service line. Phone support is available Monday through Friday from 7 a.m. to 7 p.m. CT and Saturdays from 9 a.m. to 4 p.m. CT. Phone support is not available on Sundays.
• Email: Customers can email Bask Bank's customer support team at [email protected].
• Online: Customers can fill out a contact form on Bask Bank's website to message customer service.
• Via your online account: Existing customers can log into their online banking portal to send a secure message to customer support.

It's worth noting that Bask Bank does not currently offer a live chat option for customer support.

Customer reviews of Bask Bank's service are mixed. While some customers praise the bank's customer support, others have reported difficulties when attempting to open an account or get help for another issue. Bask Bank has a 2.8 out of 5 rating on TrustPilot and 1.73 of 5 stars on the Better Business Bureau.

How Bask Bank stacks up against the competition

When considering an online bank, it's important to compare its offerings with similar online banks. Here's how Bask Bank compares to some of its competitors in terms of rates, minimum deposits, and fees.

While Bask Bank offers high rates, it has a more limited range of services than some competitors. Bask Bank's minimum deposit requirements and fee structure are comparable to its competitors. There are no monthly maintenance fees and low minimum deposits for savings accounts. 

Is Bask Bank right for you? 

When deciding whether Bask Bank is the best choice for your banking needs, there are several factors to consider. 

Who should consider Bask Bank?

This online bank may be a good choice for:

• Those looking for a high-yield savings account to grow their money: Bask Bank's Interest Savings account offers one of the most competitive APYs, at 5.10%.
• Those who regularly fly with American Airlines: Bask Bank's Mileage Savings account can help you earn AAdvantage miles simply by saving money. This unique account allows you to earn 2.5 miles per $1 saved annually.
• CD investors: Bask Bank offers competitive APYs on its certificates of deposit (CDs), ranging from 4.75% to 5.35% for terms between 6-24 months. 
• Fee-averse customers: Bask Bank has minimal fees, with no monthly maintenance fees or minimum balance requirements for its savings accounts. 

Who may want to consider other options

• Full-service banking customers: Bask Bank may not be the best choice if you're looking for a one-stop shop for all your banking needs. The bank currently offers limited services, primarily focusing on savings accounts and CDs
• Those who want branch access: Bask Bank is an online bank without physical branches. If you prefer to visit a local branch, you may want to consider other options.

How we rated this bank 

Every bank review we publish has undergone a rigorous editorial process to ensure accuracy and objectivity. Learn more about our methodology here. 

Here are some of the factors that influenced this bank’s overall score: 

• Interest rate: Bask Bank offers highly competitive interest rates on savings accounts and CDs with no minimum balance requirements, and their unique Mileage Savings account allows customers to earn American Airlines miles. 
• Fees: Bask Bank's fee structure is generally favorable. There are no monthly maintenance or overdraft fees, although there are some fees for services like wire transfers and early CD withdrawals.
• Requirements: Minimum deposit and balance requirements are reasonable, but accounts may be closed if left unfunded for 15 business days. 
• Product mix: The product mix is limited, offering only savings accounts and short-term CDs, which may not meet the needs of customers seeking a full-service bank. 
• Customer service: Customer service options are adequate but lack Sunday support and live chat, and customer reviews are mixed. 
• Digital experience:  The digital experience is strong, with user-friendly online and mobile banking platforms and high app ratings. 
• Access: As an online-only bank, Bask Bank scores low in ATM and branch access, and the lack of ATM or debit cards for savings accounts further limits accessibility to funds.

Frequently asked questions about Bask Bank

Bottom line

Bask Bank is a strong choice for those seeking solid rates or the opportunity to earn American Airlines miles. The bank's competitive interest rates, minimal fees, and user-friendly mobile app make it an attractive option for many. 

However, Bask Bank's limited product offerings and lack of certain features, such as a checking account and live chat support, may not make it the best fit for those looking to do all their banking in one place. 

Editorial disclosure: Opinions expressed are author's alone, not those of any bank, credit card issuer, or other entity. This content has not been reviewed, approved, or otherwise endorsed by any of the entities included in the post.