Bread Savings, previously known as Comenity Direct, has a high-yield savings account and CDs
Bread Savings; Insider
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The bottom line: Bread Savings is an excellent choice for earning a competitive interest rate on a Bread Savings High-Yield Savings Account or Bread Savings High-Yield CD. However, keep in mind that the online-only bank doesn’t have a checking account or ATM network, so you’re left with limited ways to access your money.
Overall bank rating
FeatureInsider rating (out of 5)Savings4.25CD3.75Trustworthiness4Total4
Pros and cons
ProsCons
Earn a competitive interest rate on a savings account or CD
No monthly service fees
Free domestic incoming wire transfers on savings account
No checking account or money market accountNo ATM networkMixed mobile app ratingsMust 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 are zero monthly services fees, and you’ll earn a competitive interest rate that’s higher than what many traditional and 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.
Bread Savings High-Yield CD review
Bread Savings is among our top picks for 1-year CDs, 2-year CDs, and 3-year CDs. However, other banks may offer a wider variety of term options or permit lower minimum opening deposits.
How Bread Savings works
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. Comenity Direct has recently been rebranded because its parent company, Bread Financial, has expanded to include lending options. Current customers can continue to use their high-yield savings accounts or CDs regularly, as no major changes have occurred in the rebranding.
The Bread Savings mobile app has mixed app ratings. It has 4.5 out of 5 stars in the Apple store but just 2.2 out of 5 stars in the Google Play store.
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.
Bread Savings deposits are FDIC insured for up to $250,000 in individual bank accounts.
Bread Savings trustworthiness and BBB score
The Better Business Bureau rates businesses by assessing a company’s responses to customer issues.
The BBB gave Bread Savings a A+ rating.
However, in July 2022, the BBB opened an investigation into Bread Financial because it received customer complaints stating they could not access Comenity credit card accounts. According to the BBB website, Bread Financial said that due to its rebranding and software system, an upgrade was preventing customers from accessing their accounts. Bread Savings posted an FAQ on their website to explain the situation. The BBB has reached out again to see how the company will address customer issues, and will update Comenity Bank’s profile once it has more information.
A good BBB rating doesn’t mean your relationship with a bank will be perfect. Consider talking to current customers or reading online customer reviews to see if Bread Savings is a good match.
Bread Savings vs. Marcus
We compared Bread Savings to Marcus, an online-only institution with a high-yield savings account and CDs.
Bread Savings
Marcus High Yield Savings
Savings APY
Bread Savings High-Yield Savings Account
Savings APY
Marcus by Goldman Sachs High Yield Online Savings Account
CD APY
Bread Savings High-Yield CD
CD APY
Marcus by Goldman Sachs High-Yield CD
Bread Savings High-Yield Savings AccountMarcus by Goldman Sachs High Yield Online Savings Account
You might prefer Bread Savings if you are strictly looking to earn a high interest rate on a savings account or a CD. Bread Saving pays a competitive interest rate that’s higher than what Marcus currently pays.
Marcus may be a better choice if you’re looking for greater variety of CD terms. You can also open a Marcus No-Penalty CD, which is a CD that doesn’t charge you a fee for withdrawing funds before your CD matures.
If you’d like to open a checking account, you’ll want to consider other banks. Marcus and Bread Savings both only have high-yield savings accounts and CDs.
Bread Savings vs. Salem Five Direct
Salem Five Direct is the online operation of the Massachusetts-based bank Salem Five. See how the two institutions match up below.
Bread Savings
Salem 5 Direct
Savings APY
Bread Savings High-Yield Savings Account
Savings APY
Salem Five Direct eOne Savings
CD APY
Bread Savings High-Yield CD
CD APY
Salem Five Direct High-Yield CD
Bread Savings High-Yield Savings AccountSalem Five Direct High-Yield CD
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.
If you’d prefer to earn a competitive interest rate on a savings account or CD, Bread Savings might be a more suitable choice. Bread Savings CDs also have a much lower minimum opening deposit. At Salem Five Direct, you’ll need at least $10,000 to open a CD.
Frequently asked questions
What is Bread Savings?
Bread Savings is an online-only bank. It has a high-yield savings account and CDs ranging from one year to five years.
How do I set up a Bread Savings bank account?
You may open a Bread Savings bank account online from anywhere in the US. To be eligible, you must be at least 18 years old, be a US citizen or permanent resident, and have a US ID.
How do I withdraw money from Bread Savings?
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.