ING Direct vs Emigrant Direct Bank

[2moretrees]

Re: ING Direct vs Emigrant Direct Bank

Can someone explain to me how much money I would need to place into Emigrant to make the extra interest worthwhile?

[goodtosave]

Re: ING Direct vs Emigrant Direct Bank

I guess it depends on what worthwhile means to you. It's different to each person.

Using APY.
It's 0.25 difference a year for $100 at today's rates.
It's 2.50 difference a year for $1000 at today's rates.

You can do the math.

Keep in mind also that Emigrant Direct allows you to access your funds the next business day if you are requesting the transfer on a business day before 3:30EST.

ING Direct requires two business days to get your funds.

With ING Direct, you also lose a day's of interest because ING Direct would withdraw your funds on the next business day but the deposit hits your checking the 2nd business day.

And ING Direct does the same thing when you transfer your funds from checking account to ING Direct Savings.

Bottomline is that you lose one day's interest every time you do a transaction with ING Direct.

[eddiehcruz]

Re: ING Direct vs Emigrant Direct Bank

I just transferred $62k on sunday, april 17 from ing, transfer to take place on april 18. when i looked up on ing website, i noticed that my bal was down to $27!, but my wells fargo acct doesn't show the transfer yet. what you said is definitely true! sonebody mentioned to me that you can go to an ing direct "cafe" available in some cities (like sta monica bl in los angeles) to withdraw your money in case of a riot or earthquake, i guess. ing rep said that this is not true!
i can't turn back now as the extra .25% will make up for the days' worth of interest that i have lost with that thieving ing bank. i like very much what you say about the one day transfer with emigrant. way to go, emigrant!

[eddiehcruz]

Re: ING Direct vs Emigrant Direct Bank

actually i'm losing 2 days of interest by transferring money from ing to emigrant. i'm going to leave 3 cents in my ing account just to piss them off.

[genchan]

Re: ING Direct vs Emigrant Direct Bank

actually i'm losing 2 days of interest by transferring money from ing to emigrant. i'm going to leave 3 cents in my ing account just to piss them off.

Ummmm, if you are so worried about 2 days of interest why are you even putting your money in Emigrant? <A HREF="http://www.resourcebankonline.com">Resource Bank</A> pays 3.31%

[goodtosave]

Re: ING Direct vs Emigrant Direct Bank

Resource Bank offers the 3.31% APY in a money market account with a min. of 10K. And you are also limited to 3 withdrawals a month. Can they keep up their competitive rates with ING Direct and Emigrant Direct.

My personal experience over the past 2 years with bricks and mortars banks are that their great rates don't last too long. I could be wrong with Resource Bank.

Here's the fine print with Resource Banks.

Balance Information: We use the daily balance method to calculate the interest on the account. This method applies a daily periodic rate to the principal in the account each day. You must maintain a minimum balance of $10,000.00 in the account each day to obtain the disclosed annual percentage yield.

Limitations: You must deposit $10,000.00 to open this account. This account allows unlimited deposits. You are limited to three withdrawals per month from this account. These withdrawals may be made by check, preauthorized or automatic transfers, and by order or instruction.

Account Fees: A minimum balance fee of $10.00 will be imposed monthly if the balance in the account falls below $10,000.00 any day of the month. If you exceed 3 withdrawals in a month, their will be a $10.00 charge for each excess withdrawal.

[jmjj215]

Re: ING Direct vs Emigrant Direct Bank

I use my ING account for my emergency fund - those unplanned life events - so I don't think I'd feel comfortable with a limit on the number of withdrawals I could make per month.

Of course, three emergencies in one month is kind of a shot in the dark..

[genchan]

Re: ING Direct vs Emigrant Direct Bank

I only mentioned Resource because eddiecruz had 62K to invest and thought Emigrant was the best place to place the money.

[eddiehcruz]

Re: ING Direct vs Emigrant Direct Bank

thank you for your advice. the money is safely at emigrant for now.

[genchan]

Re: ING Direct vs Emigrant Direct Bank

I just read in another thread that <A HREF="http://www.cnbt.com/products_peraccounts.htm">City National Bank</A> is offering a rate of 3.45% There are some minimum requirements that you have to do though:

<b>Minimum Monthly Activity Required To Earn Interest</b>:

(10) Visa check card POS (Point of Sale) transactions (excluding ATM transactions)
Receive Monthly Statement electronically
Provide a valid email address
Direct Deposit of Payroll or Government Benefit

3.45%apy paid on balances between $0 and $25,000 and 1.10%apy paid on all balances above $25,000 each month minimum monthly activity is met.

*No interest will be paid on the account if the minimum monthly activity is not performed and after 3 consecutive months the account will be converted to a Free Checking with electronic statement delivery.

Limitations: You must deposit $100.00 to open this account. No Monthly Minimum Balance to maintain. Available to Personal Accounts Only

Account Fees: No Monthly Service Charge

Balance Information: We use the daily balance method to calculate the interest on your account. This method applies a daily periodic rate to the principal in the account each day. The daily balance that we use when calculating interest is the collected balance. That means we only include those funds for which we have actually received payment when we determine the balance on which interest is paid.

Rate Information: Interest begins to accrue no later than the business day we receive credit for the deposit of noncash items (for example. checks). Interest will be compounded monthly and will be credited to your account monthly. If you close your account before interest is credited, you will not receive the accrued interest. The interest rate and annual percentage yield may change. At the Bank's discretion, we may change the interest rate on the account at any time.

[VJW]

Re: ING Direct vs Emigrant Direct Bank

What about Western Financial Bank ? They are now at 3.30%.

Anyone have any prior experience ?

VJ

[terry1156]

Re: ING Direct vs Emigrant Direct Bank

I never considered them because of the $5000 minimum fee. UFB Direct offers the same 3.30% with no fees or minimum

[genchan]

Re: ING Direct vs Emigrant Direct Bank

If the fed raises interest rates again this Tuesday as the newspeople think they are going to do, do you think that both Emigrant and ING will raise their interest rates? I seem to remember with the last rate hike ING raised thier rates, but Emigrant didn't. Am I mistaken?

Do you think that any bank will be offering 4% by the end of the year?

[robby]

Re: ING Direct vs Emigrant Direct Bank

The rate hikes are good if you have savings, not so good if you have debt. I don't know if we'll see 4% this year, but I bet we will see some places offering over 3.5%

[jmjj215]

Re: ING Direct vs Emigrant Direct Bank

4% would be oh so sweet! One more reason to be on the positive side of the interest equation (saving vs borrowing). Not borrowing money is a tough and bloody battle to fight these days though, very tough.