Online Savings Accounts & Current Rates

[huffydeb2003]

Shore Bank has increased their online savings rate to 3.50% APY effective 6/4/08.

[BTC]

I just got an email from FNBO Direct. Their yield is back up to 3.50%.

[m3racer]

Originally Posted by BTC

I just got an email from FNBO Direct. Their yield is back up to 3.50%.

Woo Hoo!!! It's about time for some rate increases.

[poundwise]

Updates, June 9th

Increases --

OnBank from 3.49 to 3.50
Shore Bank from 3.30 to 3.50
FNBO from 3.25 to 3.50
Ultima Bank from 2.70 to 2.80

Decrease --

AmTrust Bank from 2.75 to 2.50

[Aleta]

I wonder if this an upward trend in rates increasing or just banks having to raise money?

[weissheit]

Originally Posted by Aleta

I wonder if this an upward trend in rates increasing or just banks having to raise money?

Maybe a little of both, depending upon the bank. Of all the banks that changed their rates only AMTrust is a big player in the mortgage market and they dropped their rates.

[sweeps]

AARP down to 3.50%

Can someone say bait and switch?

[Aleta]

As soon as I signed up, the rates went down. I think you are locked in there for about 8 months. The last I looked it was 4%. The rates have changed too often already. For what they are offering, I'll stay with FNBO which is also offering 3.50.

[weissheit]

Regarding AARP's drop of rates by 1% in less than a month. Those who got 4.5% & 4.05% at least for now should just look at is as a great rate on a short term CD. I imagine that once word got out that AARP & Huntington Bancshares had teamed up for such a generous offer above market rate then the program became a victim of its own success. Based on what I am seeing 3.5% has become the best rate the market can sustain. Its not great, but it much better that what brick-n-mortar offers right now and its a liquid cash account. Many brink-n-mortar banks have this rate for CDs and require a 3+ years lock up. And we all know rates will be going higher in the very near future. I remember my mother cashing in her last 10 year CD she took out in the mid-late 80's for something like 12%. The renewal rates where nothing near it. Good luck.

[ScrimpAndSave]

I looove my ing account!

[inanewellington]

A query: are the rates listed in this thread real or nominal returns on the various accounts?

[sweeps]

Originally Posted by inanewellington

A query: are the rates listed in this thread real or nominal returns on the various accounts?

Um, nominal returns. Banks wouldn't advertise an account that offered a -1% real return rate

[braxton]

What bank with interest bearing checking would you guys recommend:
-Citibank
-ING Direct
-eTrade

I think they all have minimum balances, if there are any other suggestions for interest bearing checking accounts, i'd love to hear them.

[weissheit]

Originally Posted by braxton

What bank with interest bearing checking would you guys recommend:
-Citibank
-ING Direct
-eTrade

I think they all have minimum balances, if there are any other suggestions for interest bearing checking accounts, i'd love to hear them.

providentdirect.com No minimums, ATM access, 3.5% APY, brink-n-mortar access in Mid-Atlantic region, EFTs & you can easily transfer funds to a no-fee checking acct.

If you insist on having the online acct be a checking account then century direct has one at 3.41% APY

[eisor]

Originally Posted by braxton

What bank with interest bearing checking would you guys recommend:
-Citibank
-ING Direct
-eTrade

I think they all have minimum balances, if there are any other suggestions for interest bearing checking accounts, i'd love to hear them.

If you aren't just basing it on interest rate, I really enjoy my ING Direct account. I have a checking & savings and they are both very very easy to use.

[poundwise]

Originally Posted by braxton

What bank with interest bearing checking would you guys recommend:
-Citibank
-ING Direct
-eTrade

I think they all have minimum balances, if there are any other suggestions for interest bearing checking accounts, i'd love to hear them.

I don't think it is any contest. Century Bank Direct has the highest interest on checking and savings of any online bank offering both. With a free debit card w/ATM fee reimbursement, paper checks w/first order of checks free, free online bill pay, etc., etc. I would definitely recommend them.

Even so, I have listed the offerings that I am aware of below for your consideration.


A comparison:

ING Direct Electric Orange Checking link
Checking: 1.75
Savings: 3.00
Pros: No min, No fee, Easy transfers,
Con: No paper checks


UnivestDirect Any Time Online Checking link
Checking: 1.75
Savings: 3.00
Pros: $1 min, No fee, Easy transfers, Debit card
Cons: Checks cost $18


SalemFiveDirect link
Checking: 3.00
Pros: No min, No fee, No need for separate checking and savings, Debit card, Free 1st order of checks


Schwab Bank High Yield Investor Checking link
Checking: 2.01
Pros: No min, No fee, Free standard checks, Debit card
Cons: No savings account offered by Schwab Bank


E*TRADE Financial Max-Rate Checking link
Checking: 3.25
Savings: 3.15
Pros: High interest, No fee, Debit card, Free first order of checks
Cons: Must maintain $5K balance to earn stated interest and avoid fee


Century Bank Direct Checking link
Checking: 3.35
Savings: 3.41
Pros: $100 to open, No fees, No minimum balance, Free initial order of checks, Debit card

(Century Bank Direct also offers a higher interest MMA with a $1K to open minimum.)

[poundwise]

Though not online checking, it should also be noted that some online savings banks also offer a bill pay account to be used in conjunction with the savings account. Notably: FNBO and HSBC.

[poundwise]

Changes today, June 24th:

HSBC up from 3.05 to 3.50
Ultima Bank up from 2.80 to 2.85

AARP down from 4.05 to 3.50


IndyMac Bank dropped from list (listed account formerly required $1K to earn stated interest, now requires $10K)

[billy1980]

Originally Posted by Broken Arrow

I was originally thinking GMAC, but HSBC is looking mighty enticing!

Great job on the list!

Great list Poundwise. I agree HSBC seems to do well in your survey, I believe their account options and first direct are the only ones on the list we have as branch options in the UK.

I would love a comparison like this on UK banks.

[weissheit]

Originally Posted by poundwise

I don't think it is any contest. Century Bank Direct has the highest interest on checking and savings of any online bank offering both. With a free debit card w/ATM fee reimbursement, paper checks w/first order of checks free, free online bill pay, etc., etc. I would definitely recommend them.

Century Bank Direct Checking link
Checking: 3.35
Savings: 3.41
Pros: $100 to open, No fees, No minimum balance, Free initial order of checks, Debit card

(Century Bank Direct also offers a higher interest MMA with a $1K to open minimum.)

I agree after considering the features you've noted (namely ATM fee reimbursement) in conjunction with there excellent rates in all account categories (checking, savings & money market) and the simplicity of having all your banking under one roof I think I will be migrating out of presidential and some of the other rate chasing savings accounts I opened after presidential stopped being competitive. While you still cannot keep up with inflation at these rates, at least century direct keeps you the closest!!