Podcast Summary: NerdWallet’s Smart Money Podcast

Episode: Banking in 2026: Best Banks to Consider and How to Avoid the Worst Fees
Date: January 19, 2026
Hosts: Sean Pyles, CFP® (B) and Elizabeth Ayoola (C)
Guest Nerd: Chanel Bissette (D)

Episode Overview

This episode dives into the state of banking in 2026, including recent trends, what makes the best banks stand out, how to avoid common and costly fees, and how the evolution of digital banking and AI impacts consumers. The hosts also share their personal “hot takes” on broader financial issues and answer the crucial question: How can everyday consumers make the most out of their banking experience?

Key Discussion Points & Insights

1. Opening Hot Takes: Systemic Financial Concerns

Sean and Elizabeth begin by sharing impassioned hot takes about the current state of wealth, retirement, and systemic inequality.

Sean’s Hot Take: Billionaire Wealth Inequality

• Frustration with Billionaire Class: Sean argues for more collective anger toward the ruling class of billionaires, linking it to erosion in quality of life for most Americans.
  • Quote: “We should all be a lot more actively pissed off about the ruling class of billionaires and the eroding quality of life…” (02:30)
• Shocking Wealth Stats: In 2025, billionaires added over $2 trillion to their net worth, with the top 1% gaining $8.35 million since 1989, while the bottom 20% gained just $8,500. (03:01–03:51)
• Call for Imagination: “We need to imagine something that’s better and actually take steps to bring it to life.” (04:44)

Elizabeth’s Hot Take: Mandatory Pensions for All

• Defined Benefit Plans: Argues that all employers—public and private—should offer traditional pensions in addition to 401(k)s.
  • Quote: “Defined benefit plans should be a mandatory offering for all—THAT’S in capital letters—private and public employers…” (08:32)
• Retirement Gap: Only 15% of private industry workers had access to pensions in 2024, versus 44% in 1974. (09:16–09:54)
• Systemic Risk: Lack of employer-sponsored retirement exacerbates financial insecurity and can increase societal inequalities.
• Call for Pressure on Employers: “We need to put more pressure on companies to give us more secure retirement options.” (13:00)

Discussion of Systemic Solutions: Both hosts agree on the need for bold social and government changes, but also emphasize practical tips for individuals.

2. Banking in 2026: Trends and Consumer Realities

The State of Banking (with Chanel Bissette)

• Keyword for 2025 Banking: “Ebbing” – Interest rates are dropping post-Fed cuts, meaning less on savings but cheaper loans. (19:16)
• Advice: Shop around—even if happy with your current bank. Rates and bonuses change frequently. (20:02)

Fee Trends and How to Avoid Them

• Escalating ATM Fees: Some banks join free ATM networks or reimburse monthly ATM fees, sometimes unlimited. (20:45)
• Overdraft Shifts: Mixed trends. Though the US government shelved plans to cap fees, more banks are introducing flexible, forgiving overdraft policies. (21:32)
• Tip: “You don’t have to settle. There are so many great banks that don’t charge monthly fees and have flexible overdraft programs.” (22:50)

Online & Digital-First Banks

• Growth of Digital Banking: Digital-only banks generally offer lower fees due to less overhead, alongside higher interest rates.
• Multi-Bank Strategies: “You can open multiple accounts at different banks…get the best of all worlds.” (24:43)
• Consumer Tips: Prefer digital for savings/interest; use brick-and-mortar for cash-intensive needs.

AI & Banking: Enhancements & Risks

• AI Personalization & Fraud: Increasing AI-driven personalization and fraud protection, but also more sophisticated scams.
  • Quote: “AI integration seems to be a couple of big focuses for banks… and greater emphasis on fraud protection.” (23:57)
• Customer Service Challenge: Banks relying solely on AI chatbots score lower in reviews. “We still have the opinion that talking with real humans is probably going to get you where you want to go…” (25:51)
• Looking Ahead: AI will likely be more used for internal data analysis/improvements than for direct consumer support in the near term.

Regulatory Changes & Consumer Protections

• CFPB Underfunding: The Consumer Financial Protection Bureau lost significant funding and staffing in 2025, weakening consumer protections against fraud and abuse.
  • Quote: “When the CFPB loses its resourcing…a lot more harm against consumers can happen under the radar.” (27:45)
• Self-Defense for Consumers: Research banks thoroughly, check for recent complaints, and search for any CFPB settlements or fines. (28:30)

3. NerdWallet’s Best Banking Awards for 2026

Chanel shares NerdWallet’s picks for top banking products, chosen based on interest rates, fees, customer service, and other consumer-friendly features.

Top Banking Winners

• Best Savings Account: Newtek Bank – Strong rates, no fees, solid customer service.
• Best CDs: Marcus by Goldman Sachs – Stellar interest rates.
• Best Overall Bank: SoFi – High rates, flexible overdraft, automatic savings roundups, large ATM network. (29:45)

Host Reactions: Neither Sean nor Elizabeth currently use these banks; Sean personally notes concerns regarding SoFi’s stance on student loan relief, despite their strong banking features. (30:30)

4. How to Choose the Right Bank

Key Features to Evaluate

• Top Must-Haves:
  • High interest rates (especially on savings)
  • No/low fees (“You’re literally leaving money on the table if you’re getting a low rate or paying a monthly maintenance fee.” – 31:37)
• Lifestyle Fit: ATM access, check-writing abilities, early direct deposit, “savings buckets” for goal-setting. (32:24)
• Special Preferences: Zelle transfer limits, support for digital or community banking, etc.

Personal Rules & Lessons

• Elizabeth: “Don’t stress me out, don’t steal my money, and give me my money when I need it.” (33:31)
• Chanel’s 2025 Lesson: Be intentional—“Your money should be earning you more money. Spend a little time doing some comparison shopping.” (34:21)

Notable Quotes & Memorable Moments

• Sean (re: inequality):
  “At this point, griping about billionaires is almost a cliché… but I think we need a reminder about how none of this is inevitable.” (02:30)
• Elizabeth (on retirement security):
  “Passing the entire responsibility of saving for retirement to employees, especially without offering…a certified financial planner…That is just cruel.” (10:59–11:15)
• Chanel (on bank choice):
  “There’s no one telling you you can’t [open multiple accounts]…You can definitely get the best of all worlds.” (24:43)
• Sean (on credit unions):
  “Keeping my money in my local community and out of the hands of big national banks is a personal priority of mine.” (32:59)

Timestamps – Key Segments

• Hot takes on inequality & pensions: 02:30 - 14:31
• Banking trends, rates, and fees: 19:16 - 22:50
• Digital banks & multi-bank strategies: 23:15 - 24:43
• AI in banking & fraud protection: 23:57 - 27:09
• CFPB undercutting & consumer risk: 27:09 - 28:54
• NerdWallet’s Best Banking Awards: 29:10 - 30:54
• How to choose the right bank: 31:12 - 34:21
• Lasting 2025 banking lessons: 34:21 - 34:43

Final Takeaways

• Stay informed: Banking products and features are changing rapidly; always be ready to shop around.
• Prioritize high yields and low/no fees—don’t accept the status quo if your money isn’t working for you.
• Combine digital and traditional banking for convenience and flexibility.
• Pay attention to consumer protections, especially as agencies like the CFPB lose influence.
• Advocate and vote with your dollars: Where you bank—and how you save—are powerful choices.

Want more details?
Read NerdWallet’s Best of Awards at nerdwallet.com/awards.

To ask your own money question:
Call/text the Nerd Hotline at 901-730-6373, or email podcast@nerdwallet.com.