Can I buy Crypto with Ally Bank?
Ally Bank does not provide a specific feature for purchasing cryptocurrencies, such as Bitcoin, directly through its online banking system. Despite the absence of dedicated cryptocurrency trading tools, Ally Bank allows fund transfers to licensed cryptocurrency trading platforms in the United States. To ensure your investments' security, opting for a U.S. digital asset exchange under the regulation of the Securities and Exchange Commission (SEC) is advisable.
How to Buy Crypto with Ally Bank
As outlined above, the recommended crypto platform for Ally account holders is eToro. They allow you to connect your Ally account and deposit USD via ACH Transfer (Plaid), Debit Card, Credit Card, Apple Pay, and Google Pay. As a US-based exchange, they are FinCEN-licensed and are a compliant & regulated platform to trade digital assets on.
Here is a simple step-by-step guide to getting started with our recommended broker, eToro:
- Open a free account on eToro and complete the verification requirements.
- Tap 'Deposit Funds', select a method, and transfer USD from Ally Bank.
- Go to the search bar, find the cryptocurrency you want to buy, and tap 'Trade'.
- Input the amount you want to invest in the token and tap 'Open Trade'.
Ally Bank Cryptocurrency Policy
Ally Bank actively supports cryptocurrency adoption by allowing its users to freely invest in the asset class by approving transactions to regulated and licensed digital asset exchanges in the US. There is nothing stated in Ally Banks policies that would prohibit customers from buying and selling crypto with the funds in their accounts or cards. However, the bank may freeze transfers to unregulated offshore platforms like Bitget.
Deposit and Trading Fees
When considering stepping into the world of cryptocurrency through Ally Bank, it's essential to comprehend any potential fees involved. Here's a rundown of typical costs that crypto enthusiasts may encounter with digital asset trading:
- Deposit Fees: Unlike crypto exchanges that provide zero-cost deposits, Ally Bank could levy specific transfer fees. It's wise to verify these costs with the bank. Deposits executed via a credit card linked to Ally Bank may face a fee that exceeds 2%.
- Transaction Fees: Most crypto trading platforms usually impose a spread, a minute percentage of each transaction. This spread fluctuates based on the crypto asset and platform, often hovering around 1%.
It's worth noting that fees can vary across platforms, so it's advisable to meticulously scrutinize the most recent fee information from your preferred crypto exchange and Ally Bank.
The Bottom Line
In conclusion, Ally Bank does not provide direct cryptocurrency investing options, but it does support its customers in investing in crypto assets through regulated third-party exchanges like eToro. As the top choice for Ally Bank account holders, eToro offers a secure, low-fee platform for trading various assets, including cryptocurrencies. By following the outlined steps, users can easily deposit funds from their Ally accounts and begin trading digital assets with confidence.