BMO Alto entered the online banking arena in April 2023, offering highly competitive annual percentage yields, or APYs, for savings accounts and CDs. As a division of BMO, one of the largest banks in the US, BMO Alto specializes in online services and can complement your banking portfolio as a secondary savings option. Its savings account and CDs currently earn some of the highest APYs available.
There are a few downsides: BMO Alto lacks a mobile banking app. And you can’t access your account through any of BMO’s retail locations, which only service customers with a BMO bank account. But if you don’t need to access physical branches and don’t mind managing your account through the website’s online platform only, BMO Alto may be worth considering.
What we like
- High savings rates
- No minimum deposits
- No fees
What we don’t like
- No mobile app
- No ability to access in-person help at BMO locations
- Only offers savings accounts and CDs
Who is BMO Alto best for?
BMO Alto is a good option if you want to get one of the best rates available on savings accounts and certificates of deposit and you simply want to park your money so it can grow. It’s a no-frills savings option that allows you to earn competitive APYs. And since it’s fully online, it’s available to anyone in the US.
Just be aware of this bank’s shortcomings. The best online banks tend to offer more products and services, such as checking accounts, money market accounts and other financial services. BMO Alto doesn’t offer either of these accounts, and the lack of a mobile app is also a shortcoming that places it behind other online banks and credit unions with more robust digital tools.
BMO Alto products
BMO Alto only offers a high-yield savings account with no minimum deposit requirements and no monthly maintenance fees. And unlike some other high-yield savings accounts, you’ll earn a 5.10% APY -- one of the most competitive rates around right now -- on your full savings balance.
But you won’t be able to withdraw cash with an ATM card or at a bank branch, like some other online banks. Instead, you’ll need to transfer money to another account with ATM or branch access to get cash. And since there’s no mobile app, there isn’t a mobile deposit feature, either.
Savings account features
| APY | 5.10% |
| Minimum deposit | None |
| Monthly fees | None |
*Rates as of April 11, 2024.
Pros
No minimum deposit
Unlimited withdrawals – no excessive transaction fees
Very competitive APY
Cons
No mobile app
No mobile deposit
No ATM card, which means no easy cash access
BMO Alto’s CD offerings range from six months to five years. Like most banks and credit unions right now, BMO Alto is paying the best rates for short-term CDs (one year or less). You don’t have to meet minimum deposit requirements to open a CD.
While the lack of a mobile app at BMO Alto is a downside for savings accounts, CDs are a different ballgame. Since you’re just parking your money in this account, not having a digital tool might not matter much. The bank offers some of the best earning potential available -- one of the reasons it won our 2024 Editors’ Choice award for best CDs. But you’re limited to high-yield CDs. BMO Alto doesn’t offer flexible CD options such as no-penalty or bump-up CDs.
CD rates
| Term | APY |
| 6 months | 5.15% |
| 12 months | 5.05% |
| 24 months | 4.65% |
| 36 months | 4.50% |
| 48 months | 4.50% |
| 60 months | 4.50% |
*Rates as of April 11, 2024.
CD account features
BMO Alto’s early withdrawal penalties are easy to understand, and they’re comparable to the rest of the banking industry:
| Term | Penalty |
| 11 months or less | 90 days of interest |
| 12 months or more | 180 days of interest |
Pros
No minimum deposit requirement
Some of the highest rates available
Wide range of term lengths
Cons
No specialty CD options
Banking experience
If you’re thinking about opening an account at BMO Alto, it’s important to know what you won’t find with the customer experience: no mobile app, no in-person assistance, no ATM access and no mobile deposit tools.
Additionally, while you can’t access your account at any BMO bank locations, Federal Deposit Insurance Corporation insurance limits apply across both of the divisions. So, for example, if you have cash deposited in a CD at BMO and you also open a CD at BMO Alto, you get only $250,000 of protection. The FDIC doesn’t treat them as separate accounts at separate institutions.
Customer service
BMO Alto offers 24/7 assistance via its customer service line at 855-266-8100.
