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Business Insider's personal finance team reviewed Bread Savings (previously Comenity Direct) and found it to be a standard offering. When compared to the best online banks, Bread Savings lacks bank account variety and a strong ATM network. You're also left with limited ways to access your money since the bank doesn't offer a checking account.
The bank still might be worth considering for earning a good interest rate on a high-yield savings account or a CD. These accounts pay significantly higher than average bank account interest rates and even beat plenty of other online financial institutions.
Today's Bread Deposit Rates
Bread Savings Overall Rating
| Feature | Business Insider rating (out of 5) |
| Savings | 4.25 |
| CD | 3.5 |
| Trustworthiness | 2.5 |
| Total | 3.5 |
About Bread Savings
What You Need to Know About Bread Savings
Bread Savings is an online-only bank with a high-yield savings account and CDs. The bank doesn't have ATMs, debit cards, or credit cards. You'll need to link an external bank account and transfer funds if you'd like access to money from your account.
Bread Savings was previously known as Comenity Direct. In 2022, Comenity Direct was rebranded because its parent company had expanded to include lending options. The parent company changed its name to Bread Financial, and Comenity Direct was rebranded shortly after as well.
Bread Savings deposits are FDIC insured for up to $250,000 in individual bank accounts.
You can open Bread Savings bank accounts online. You need to be at least 18 years old to open accounts. You'll also need to provide a Social Security number and U.S. address. Other banks are more suitable if you do not have Social Security number. The best banks for immigrants and non-U.S. citizens let you use alternative IDs if you don't have a Social Security number or U.S. ID.
Bread Savings Digital Experience and App Usability
Bread Savings doesn't have a physical location, so you'll have to rely on the bank's online and mobile banking to primarily manage your accounts.
The banking mobile app allows you to perform standard banking actions, such as making mobile check deposits and transferring funds.
The Bread Savings mobile app has decent ratings. It has 4.6 out of 5 stars in the Apple store but just 4.0 out of 5 stars in the Google Play store. That said, the best mobile banking apps have significantly more customer reviews and have also been evaluated in the 2024 J.D. Power U.S. Bank Mobile App Satisfaction Study.
Bread Savings Customer Support Availability and Satisfaction
To speak to a Comenity Direct representative, call weekdays from 7 a.m. to 9 p.m. CT, or on weekends and most holidays from 9 a.m. to 5 p.m. CT. You can also send a message through online banking.
If customer support availability and satisfaction are priorities for you, other banks may be a better fit. Some banks offer 24/7 customer support through live chat or telephone. More well-known banks like Capital One and Ally Bank have also ranked highly in the J.D. Power 2024 U.S. Direct Banking Satisfaction Study.
Bread Savings Fees, Rates, and Financial Benefits
Understanding Bread Savings's Fee Structure
Bread Savings has a pretty straightforward fee structure. Its bank accounts do not have monthly bank maintenance fees, which is typical for most online banks.
There are still a few fees to look out for, though. The bank charges a $15 official check fee, a $25 outgoing wire transfer fee, and a $5 paper statement fee. These fees are pretty standard for an online bank.
With Bread Savings CDs, you also have to consider early withdrawal penalties. You'll only be charged a penalty if you withdraw money before your CD term ends. The penalties depend on the term you have, and are as follows:
- 90 days of simple interest for terms of less than 12 months
- 180 days of simple interest for terms between 12 months and 36 months
- 365 days of simple interest for terms of 48 months or more
Bread Savings' CD early withdrawal penalties are higher than competitors, so if you are concerned about needing to make an early withdrawal, you may prefer a bank with lower penalties or one that offers a no-penalty CD.
Bread Savings High-Yield Savings Account and CD Rates and How They Compare
Bread Savings offers great interest rates for high-yield savings accounts and CDs. While a handful of other financial institutions offer even more competitive accounts, the bank still ranks in the upper middle of all banks.
Is Bread Savings Trustworthy?
The Better Business Bureau rates businesses by assessing a company's responses to customer issues. The BBB gives Bread Savings an A+ rating.
Bread Savings doesn't have any recent public controversies.
Pros of Banking with Bread Savings
- Earn a competitive interest rate on a savings account or CD
- No monthly service fees
- Free domestic incoming wire transfers on savings account
Cons of Banking with Bread Savings
- No checking account or money market account
- No ATM network
- Must transfer money to an external bank account to access savings
Bread Savings High-Yield Savings Account Review
Bread Savings is a great choice if you have at least $100 to open an account. There is no monthly service fee, and you'll earn an interest rate that's on par with what many of the best high-yield savings accounts currently pay.
The main drawback to the Bread Savings High-Yield Savings Account is you'll have limited access to your account. If you'd like to take out money, you'll have to transfer funds to an external bank account. Other banks may offer checking accounts or savings accounts with ATM cards or debit cards to provide more account accessibility.
Bread Savings High-Yield CD
Bread Savings offers high CD rates for terms ranging from three months to five years. However, other banks permit lower minimum opening deposits. Bread Savings CDs need a minimum of $1,500 to open. Usually, banks only require $1,000 to open a CD.
Compare Bread Savings
Bread Savings vs. MySavingsDirect
MySavingsDirect is an online operation of Emigrant Bank. It has a high-yield savings accounts and CDs like Bread Savings.
You'll lean more toward Bread Savings if you want to get a competitive interest rate on a savings account. The MySavingsDirect Savings Account pays 4.35% APY, which is lower than the Bread Savings account. That said, rates can change at any time, so keep that in mind, too.
MySavingsDirect will be more appealing for an account that's easy to open. You'll only need $1 to open the MySavingsDirect Savings Account. The Bread Savings High-Yield Savings Account has a $100 minimum opening deposit.
The same trend can be seen for CDs at the two banks. Bread Savings offers higher CD rates, but the MySavingsDirect MyTerm CDs have lower minimum opening requirements.
Bread Savings vs. Salem Five Direct
Salem Five Direct is the online operation of the Massachusetts-based bank Salem Five. Salem Five Direct will stand out to you more if you would like to access your savings quickly. Salem Five Direct has a checking account, so you can transfer money immediately between bank accounts or use an ATM to withdraw money. It also may be a better choice if you're strictly looking for a high interest rate on a savings account.
If you'd prefer to earn a competitive interest rate on a CD, the best option for you will depend on the term you want. Bread Savings CDs have a much lower minimum opening deposit. At Salem Five Direct, you'll need at least a $10,000 to open a CD.
Why You Should Trust Us: How We Reviewed Bread Savings
At Business Insider, our mission is to help you make informed decisions about your money. With our bank reviews, we aim to provide helpful insight by thoroughly researching and reviewing banking products.
Business Insider's personal finance team is editorially independent. Our business team doesn't tell the team's writers and editors what to write. Our editorial standards page has more information about how we choose and review products.
We review bank accounts by using our bank account methodology. We rate bank accounts on a scale from one to five stars. Bank accounts with a one-star rating require significant improvement. Meanwhile, accounts that receive a five-star rating are considered top tier.
We analyze different features for each type of bank account. For example, we'll look at early withdrawal penalties for CDs but not high-yield savings accounts because the latter doesn't have that fee. Our bank account methodology break downs which categories we look at for each bank account.
Each category we review is scored from 0 to 5. We use a weighted average to get our star rating, which means we weigh certain features, like interest rates and fees, at a higher weight percentage than others. We understand that these areas can more heavily impact a person's overall banking experience.
Bread Savings FAQs
Bread Savings is an online-only bank. It has a high-yield savings account and CDs ranging from three months to five years.
You may open a Bread Savings bank account online from anywhere in the U.S. To be eligible, you must be at least 18 years old, be a U.S. citizen or permanent resident, and have a U.S. ID.
Bread Savings accounts do not come with ATM cards or debit cards. If you need to withdraw money from a Bread Savings account, you'll have to transfer money to an external bank account.
