Sallie Mae Bank review 2024: Fee-friendly savings options, but full-service banking falls short

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Sallie Mae is best known for its student loan offerings, but the company also provides a range of online banking products with competitive rates and minimal fees. This includes a high-yield savings account, money market account, flexible certificates of deposit (CDs), and the standout SmartyPig account with built-in goal-tracking tools.

But if you’re looking for a full-service bank, you may need to look elsewhere. Sallie Mae lacks checking accounts and ATM access, which could be a dealbreaker for customers. This bank is best for self-directed savers who don't mind more limited service and online-only banking.

Sallie Mae Bank accounts

Sallie Mae offers a handful of deposit accounts, including a high-yield savings account, money market account, and CDs. 
 

Savings accounts

Sallie Mae offers two main savings account options: the High-Yield Savings Account and SmartyPig Savings Account. Both accounts have no minimum balance requirements or monthly fees. 

The High-Yield Savings Account offers a competitive 4.50% APY, while the SmartyPig account earns 4.25% APY but includes unique goal-tracking features.

With the SmartyPig account, you can set multiple individual savings goals, set up automatic deposits, and easily track progress over time.

Money market account

Sallie Mae's Money Market account comes with a 4.65% APY, regardless of balance, with no minimum deposit or monthly fees. Account holders can write checks and make electronic transfers. However, there is no ATM access.

CDs

Sallie Mae offers a variety of CD terms from 6 to 60 months, with APYs ranging from 4.00% to 5.20%. There is a $2,500 minimum deposit required. There are no monthly fees, but early withdrawal penalties apply.

When your CD term ends, Sallie Mae will automatically renew it at current market rates. You will be given 30 days' notice to act and have a 10-day grace period to withdraw funds penalty-free.

Other Sallie Mae Bank products and services

Sallie Mae offers more than just banking products. The company is well-known for its private student loan options, which include undergraduate and graduate loans, as well as a variety of specialized loan products such as bar study loans and medical residency loans.

Sallie Mae also allows borrowers to obtain loans for certificate and career development programs — extending financing to situations other student loan lenders don’t normally cover.

Sallie Mae doesn’t currently offer a checking account option — making it difficult for customers to have Sallie Mae as their one-stop financial institution. The bank also doesn't provide any tools for investing, such as brokerage accounts.

Sallie Mae Bank fees 

Sallie Mae stands out against other large, national banks for its lack of fees. Here’s a breakdown:

• Monthly maintenance fees: None
• Minimum initial deposit requirements: None 
• Wire transfer fees: $20.00 for outgoing transfers
• Check order fees (for money market account only): $5 for standard delivery and $15 for expedited delivery after the first order
• Stop payment charge: $15 

Sallie Mae Bank banking experience

Online and mobile banking platform 

Sallie Mae does not offer local branches or ATM access, making it challenging to access your funds quickly. The SmartyPig account also doesn’t accept check deposits, although Sallie Mae's other savings and money market accounts do.

However, you can easily manage your account from your computer or phone, including making deposits, transfers, and withdrawals.  

Customer service 

Sallie Mae doesn’t offer an online chat but provides phone support, Monday through Friday between 9:00 a.m. and 6:00 p.m. There is no weekend or evening support available.

Sallie Mae also has no physical branches, though this is common for an online bank.

What customers are saying about Sallie Mae

Customers give Sallie Mae mixed reviews. While some praise the bank's competitive rates and low fees, others express frustration with customer service and the online banking experience.

The bank’s apps have especially low ratings: 1.4 out of 5 stars on the Apple App Store (out of 100 reviews) and 1.6 out of 5 stars on the Google Play Store (out of 700 reviews). Customers complain of lagging performance, difficulty logging into their accounts, and a dated interface that makes it difficult to complete transactions. 

It’s important to note that online reviews can skew negatively, as customers are likely to leave feedback after a bad experience. Sallie Mae has an A+ rating from the Better Business Bureau, which indicates a good track record of responding to customer complaints.

How Sallie Mae compares to other online banks 

While Sallie Mae offers competitive rates and low fees, it's important to see how the bank stacks up against other top online banks. Here's a quick comparison:

Sallie Mae offers some great, unique features, including SmartyPig's innovative tools for saving for financial goals. It charges very few fees and, with no minimum deposit and no monthly maintenance fees for most products, it's a good choice for people just getting started with savings.

Unfortunately, the bank falls short in some areas, including a lower APY on many of its products than other online banks and a higher minimum deposit requirement for CDs. There is also no ATM access and no local branches, which is a substantial downside for those needing fast access to their funds. 

Who is Sallie Mae best for? 

Sallie Mae's bank accounts can be a good fit for certain types of customers:

• Those looking to maximize savings with competitive rates and low fees
• Individuals who are comfortable with online-only banking and don't need branch access
• People who want to open multiple savings accounts to track different goals (SmartyPig)
• Customers who don't need ATM access or checking accounts

However, Sallie Mae may not be the best choice for:

• Those who prefer full-service banking with checking accounts, ATM access, and physical branches
• Customers who prioritize top-notch customer service and digital experiences
• People looking for the absolute highest yields on savings accounts or CDs

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: 

The bottom line 

To find the best bank for you, evaluate how the bank's offerings align with your specific needs and priorities. While Sallie Mae may not be ideal for customers who value top-notch service or require full-service banking, it can be a solid option for rate-focused savers comfortable with online-only banking.

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.