Consumerism Commentary visitor Diane asked about the bank that is currently topping the list of high-yield savings accounts, OneUnited, which is currently offering 5.30% APY.

I wonder about that Unity Gold E-Savings at OneUnited at the top of the list. That is 1% better than Emigrant where I am now, which translates into $500/year. Have you heard anything about it? If I understand the website correctly they only credit the account quarterly. Anyone have any dealings with it?

I have no experience with OneUnited, so if anyone else does, please feel free to leave a comment. I’ve read that people have had poor experiences with customer support and ACH transfers are often delayed beyond the standard 3-day period. The account requires a $1,000 minimum initial deposit and interest is only earned when the balance is above $1,000. They do credit your interest quarterly, so you could end up losing a substantial amount of interest if you close at the “wrong time,” like right before the interested is credited.

How important is that? Are you willing to deal with poor customer service in order to receive one of the highest rates?

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Consumerism Commentary reader Allison wrote in to let me know about Savings Square, a high-yield savings account offering competitive rates. The account is offered by Kirkpatrick Bank, FDIC insured. I hadn’t heard of the account until today. Here’s what Allison wrote about her experience with the account so far:

When I first set up my account, there was a problem with my first transfer of cash from my regular debit account to Savings Square. I finally called their HQ, and a wonderful representative explored reasons for the stall, called back multiple times exactly when she said she would, offered alternatives for getting the money to the account while the problem was being corrected, and followed up a few days after the correction to make sure I was happy with the end results. I’ve called them a couple more times with random questions, and they’ve always offered excellent service. At this point, there’s not much that will make me move my cash.

There are other positive reviews online, though most disappointment stems from the timing of transfers. While a 10-day hold on initial deposits is normal for the industry, customers have seen spotty performance with other transfers that should be executed within three days or one day.

Savings Square’s current APY of 4.8% puts them towards the top of the pack of high-yield savings account.

Update: Washington Mutual and HSBC Direct lowered the APY offered on their savings accounts, and I expect more to follow as the Fed lowers interest rates again tomorrow.

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