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When I mentioned that ING Direct dropped its savings interest rate 20 basis points, from 4.5% to 4.3% following the Fed’s drop, there was no surprise. I felt that other banks would be soon to follow. HSBC Direct is next, dropping a steeper 55 basis points from 5.05% to 4.5%.

There are more options out there. FNBO Direct is offering its 6.0% APY promotional rate for only a few more days, and their current plan is to reduce that rate to 5.05% according to Bank Deals.

* E-Loan is offering 5.0%.
* Emigrant Direct is still offering 5.05%, but I expect that to change soon.
* Various brokerages offer tax-exempt money market funds that are not protected by FDIC and sometimes have fluctuating rates, but your money would be as safe there as in a savings account.

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Flexo, the owner and creator of Consumerism Commentary, has been blogging and writing for the internet since 1995 and has been building online communities since 1991. Find out more about him and follow him on Twitter.

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