AAA Members Earn More Interest at Discover Bank
I’m a member of AAA, paying once a year for benefits like roadside service, travel assistance, and in some cases, discounts. AAA members can now earn a higher interest rate at Discover Bank than non-members. Currently, the rate for AAA members is 5 basis points (0.05 percentage points) higher than the standard Discover Bank online savings interest rate.
A difference of 0.05 in the annual percentage yield (APY) isn’t exactly what I would call significant. It is a benefit, though, and AAA members who are looking to open a high yield savings account should know about it before they shop around. For AAA members, like me, who already have a Discover Bank Online Savings Account without the higher rate, the benefit is not available. I cannot convert my Discover Bank account to the higher-rate account available to AAA members. This is only available for AAA members who open a new account.
If you find this AAA benefit worthwhile, you must open a new account using this AAA link and transfer funds from your old Discover Bank account to the new one. For me, this is not worth the effort. For a typical balance of $1,000, the additional 0.05 percentage points amount to $0.50 over the course of a year. The yearly cost of basic AAA membership in my area is $65.50. I would need a balance of $131,000 in my Discover Bank account to make this jump worthwhile, assuming I was not taking advantage of any other AAA benefits.
Potential Discover Bank customers should read this review before opening an account.