Bask Bank is a relative newcomer, popping onto the banking scene around the start of the pandemic in 2020. Despite its newbie status, it’s got a lot to offer. In this post, we’ll delve into what makes this bank a unique contender, and we’ll be giving our honest thoughts as to whether this bank is worth it for you. Without further ado, let’s jump right into it.
What is Bask Bank?
Bask Bank is a division of Texas Capital Bank that is completely online, they are headquartered in Dallas, Texas. Texas Capital Bank is an established FDIC-insured, which makes Bask Bank also FDIC-insured.
What makes Bask Bank special?
Bask Bank is a bank that’s geared towards travelers as well as customers that aren’t too fond of having another credit card added to their already plentiful stash of current cards. Furthermore, they reward users for having money rather than spending money. How do they do this, you ask? Through the features, or lack thereof, that they offer.
AAdvantage miles as a reward
If you’re a frequent traveler, you’d probably appreciate the chance to earn miles instead of points, especially when those miles would be worth more than the points in cash. With Bask Bank, you’re in luck. There are a couple of ways to earn miles, referred to as Bonus Miles, through this bank:
- Via opening a new account
- Via deposits made into an existing account
Lack of a credit card option
This can either be seen as a good thing or a bad thing, depending on whether you want another line of credit to your name or not. However, in tandem with the lack of a credit card option is the fact that users will be rewarded with AA miles for depositing money rather than for the act of spending on credit. This incentivizes the customer to save rather than spend, which is a completely different mindset to take on.
Is Bask Bank worth it?
Now, we’ve touched a bit on the fact that Bask Bank rewards deposits rather than spending on a line of credit. This factors into whether we think Bask Bank is worth it. And it’s this feature alone that we think makes Bask Bank worth it.
Most banks offer credit cards and offer points for spending on that credit card. The business model makes sense. Banks make money off fees and penalties for paying late, paying less than the full balance, etc. However, from a consumer standpoint, it incentivizes you to spend, whether you think so or not. It’s a deep subconscious effect that most people don’t notice and probably never will. In the long run, with a credit card, you end up paying more not only in fees, but in purchases that you would not have made otherwise if you didn’t have a credit card that allows you to.
This is where Bask Bank truly shines. It’s a unique model, at least at the current moment, that forces you as a customer to open a savings account. In exchange, you get rewarded for depositing money into the account, sort of akin to getting paid interest on a savings account. And that reward comes in the form of AA Bonus Miles. You don’t have to worry about getting yourself to spend just to get rewarded.
That in itself is worth more than probably most of the rewards points out there. You’re cultivating a saver’s mindset that’ll save you more money in the long run than any credit card bonus points.
It doesn’t mean you can’t get the best credit card out there in addition to opening a Bask Bank account. In fact, we encourage it for any money that you would otherwise be spending anyways. But with a Bask account, you’ll be rewarded for your savings more so than most savings accounts out there.
How much can you earn for account deposits?
For every dollar you deposit into your account, you get 1.2 AAdvantage miles. To get you started with an influx of miles to your name, Bask Bank does offer the following account opening bonus below.
Bask Bank promos and account bonuses
Here is the current bonus offer.
Loyalty Point Bonus
Currently, if you meet the following criteria, you’ll get a nice 5,000 Loyalty Point bonus for opening an account:
- You’re a first time Mileage Savings Account customer with Bask Bank
- You qualify for opening an account at Bask Bank
- You deposit a minimum of $25,000 within 15 calendar days of opening your account
- You’re able to maintain that $25,000 balance at minimum for 90 days
This offer is available between September 15th through December 15th of 2022. In order to claim your Bonus Miles, you must provide Bask Bank with a Aadvantage account number. Your Loyalty Points will be transferred to your account within 10 business days once you’ve met all of the conditions above. It may take 6 to 8 weeks to reflect properly on your linked Aadvantage account. Each Loyalty Point is equivalent to 1 Aadvantage mile.
At this time, there are no other account bonuses available. The above offer replaces the previous account opening bonus of 1,000 Loyalty Points or Bonus Miles. In the past, they’ve had the following bonuses:
- account opening bonus of 1,000 Bonus Miles (expired)
- a referral bonus (expired)
- a feedback bonus (expired)
- an account balance bonus tiered at $25K, $50K, and $100K (expired)
We’ll update this post should any of them come back or any new offers appear.
What types of accounts do Bask Bank offer?
Bask Bank offers three different accounts, an interest-focused account, a mileage-focused account and a certificate of deposit account.
Bask Interest Savings Account
By opening a Bask Interest Savings account will yield you 3.85% APY which is very high compared to the usual savings accounts.
Bask Mileage Savings Account
For Bask Mileage Savings account users, you can earn 2 miles per dollar every year. For the travel lover, this would be a great option.
Are there any account fees with Bask Bank?
Bask Bank’s savings account has no penalties or fees associated with it. You will not get penalized for not meeting a minimum balance nor pay any maintenance fees. The only required minimum balance is if you wish to qualify for the Loyalty Point Bonus for opening an account. This makes it a great account option for those who are unable to keep a certain balance in the account.
Pros and cons of Bask Bank: The pros
- a bank that’s geared toward travelers
- a savings account that has a generous bonus for opening one
- rewards for saving/depositing money instead of spending money
- a reward of 1.2 AAdvantage miles per dollar deposited
- a great starter bank for anyone who doesn’t feel ready for the responsibility of a credit card
- no maintenance fees or minimum account balance required
Pros and cons of Bask Bank: The cons
- requires an American Airlines AAdvantage account to qualify
- if you don’t use or like American Airlines, even as a frequent traveler, rewards are useless
- no credit card option, if that’s what you’re looking for
- mileage earnings are reported as income to the IRS, though this is the same for all banking rewards
There’s a lot to like about Bask Bank. It’s a great starter bank especially if you already travel or are planning to travel frequently. Furthermore, if you aren’t too keen on taking on the responsibility of more credit cards, Bask Bank is a great option, as it is low stress with it’s lack of penalties and fees, coupled with a great AAdvantage mileage rewards program.