Best Online Savings Accounts of 2018
The best high-yield online savings accounts offer strong interest rates and great customer service, making them a popular option for savers. In addition, studies show online savings accounts come with lower fees.
“High-yield” is, unfortunately, a bit of a misnomer these days. A decade ago, interest rates were 4% and 5% among selected savings accounts and money market accounts. Today, the best rates are around 1%, but some banks offer rates hovering near 0%! This trend will continue until banks and credit unions need more cash from depositors.
What to Look for in a Savings Account
There are so many savings account bells and whistles. And some of them are great. It can be nice to be able to automatically roll “spare change” from your checking to your savings account, for instance. And having tools to automatically track your savings account balance on your phone is also great. But these are really extras. At the core, here are the five things you need to consider when looking at a savings account:
- Stability
- Fees
- Accessibility
- Interest Income
- Service
Let’s tackle these issues one by one here.
Stability: Look for FDIC Insurance
The first thing to look for in a savings account is FDIC protection. This ensures that your money will be available to you, even if the bank you choose fails. As we saw in the early 2000’s, even the banks with the best reputations can fail. So always be sure that your money is FDIC insured. Or if you choose a credit union, look for National Credit Union Administration insurance, which is similar to the insurance offered by the FDIC.
Fees: How Low Can You Go?
These days, there are so many fee-free options available that you really shouldn’t be paying for a savings account at all. But if you do choose one with conditional fees, see if you can meet the requirements for having those fees waived. Even fees as small as a few bucks a month will wear away at your savings over time.
Accessibility: Get Your Money When You Need It
Sure, you might find a bank that offers outstanding interest and no fees. But if it takes a week to transfer money from that bank to your checking account, it’s not a good place to store your emergency fund. Generally, the more likely you are to need the money at a moment’s notice, the more easily you should be able to access the money. Also, you may not want to have all your savings linked to your checking account, as that can cause unnecessary temptation to overspend.
The bottom line here is that you might need different levels of accessibility for different accounts. Maybe half your emergency fund is at a bank in town so that you can withdraw cash without ATM fees whenever you need it. Store the rest of it at an online bank with a good interest rate. It’ll take a couple of days to get your money, but not usually more than that. And then you can store savings for particular things like your next car somewhere that you can access the money within three to five days.
Interest Income: Higher Isn’t Always Better
Remember, this type of savings account is not for investing. And in today’s environment, you shouldn’t expect to find an account with stellar interest rates. The differences between banks are pretty small too, so don’t choose based on this factor alone. With that said, earning a bit of interest can offset some of what you’d otherwise lose to inflation. So do look at interest rates, especially when choosing a bank for longer-term, higher-balance savings that will earn more over time. But, of course, be sure to balance any increases in interest against potential increases in fees, which can quickly erode that extra interest income. Nevertheless, if your savings is at a brick and mortar bank earning below 0.25% APY, choose one of the better options below.
Customer Service and Tools: Look at Reviews
When evaluating customer service, there are two important factors to consider. The best banks offer all account maintenance and transfers through a professional, reliable, and easy-to-navigate website. Secondly, live customer service representatives should be knowledgeable, helpful, and available.
Good customer service is essential for a bank. If you have trouble logging in online and need your money, you need to be able to get someone on the phone to fix the problem. So check around for customer service reviews for the banks you’re considering. Then, be sure to take a look at additional tools that you might find helpful. These days many banks have apps for managing your money, take check deposits from your phone, or have financial advice available for free. These aren’t make-or-break features for most customers. But they can be the icing on the cake.
Once you’ve gotten through all of these steps, you should be able to find a savings account–or two or three!–that meets your particular needs.
Based on my own experiences and reviews from other Consumerism Commentary readers, here are the most-recommended accounts for short-term savings. All of the listed interest rates directly below from our partners and in the table above are current, although interest rates are subject to change by the banks. Although I have nine accounts listed below the table of rates, you don’t need to have accounts with that many different banks. Choose one that fits you the best.
The Best Online Savings Accounts
CIT Bank was founded in 1908 in St. Louis by Henry Ittleson. Throughout the 20th century CIT continued to grow in all sectors. An FDIC-insured institution, it serves consumers and small businesses with certificates of deposit, savings accounts, and custodial accounts. CIT Savings account offers 1.55% APY on all deposits. Click here for more details
At 1.85% APY, Synchrony Bank offers one of the highest rates available today on an FDIC-insured savings account. With no minimum balance required and no monthly service fees, it’s one of the most popular options. Click here for more details
Ally Bank was selected by Kiplinger Magazine as the best savings account for 2009. Formerly known as GMAC Bank, Ally Bank provides an interest rate for their online savings account of 1.80% APY. Click here for more details
TIAA Bank has a variety of products including a high yield checking account, a money market account, and world currency CDs. All of these accounts offer top-tier interest rates. For example, first time account holders of TIAA’s Yield Pledge Money Market account earn a new account bonus rate of 1.60% for the first year. After the first year, the ongoing APY is 1.10% – 1.50% for account balances. And their Yield Pledge Checking Account for first time account holders for balances up to $250,000 offers a new account bonus rate of 1.21% for the first year and the ongoing APY is 0.25% – 0.71%. Click here for more details
Discover Bank offers solid online savings account with a fast opening process. For example, I opened my account within twenty-four hours. The current interest rate for the Discover Bank Online Savings Account is 1.75% APY. Click here for more details
HSBC Advance offers no fees and no minimum balance requirement. Formerly HSBC Direct, it entered the race with one of the highest interest rates ever available at 6% APY. HSBC Advance Online Savings Account has an interest rate of 0.05% APY for $15,000. Click here for more details
Marcus: By Goldman Sachs specializes in online savings accounts and certificates of deposit. A high-yield online savings account offers 1.85% APY. One major advantage that GS Bank has is that they are backed by one of the most respected financial institutions in the world: Goldman Sachs. Not only should that make your investments more secure, but it also holds the promise of expanded features and opportunities in the future. Click here for more details
Online Savings Accounts Alternative
Lending Club Investing
offers a significantly higher return than most banks. Lending Club is a social lending site where you can invest in loans issued to individuals and businesses. The most recent average net annualized return for notes by grade A to C is between 4% and 6%. These investments are not FDIC insured, but Lending Club’s higher rates may be an alternative worth considering. Click here for more details.
Compare The Best Online Savings Accounts
What is your favorite online savings account? Share your thoughts in the comments below.
Article comments
Considering I’ve never heard of any of these banks except for discover and that was as a credit card not as a bank and with that said why should or would i choose discover bank when i have credit cards now that was gotten online and I’ve never been given a card and my access online has been refused as my applying for a discover card and being denined due to credit score . Now would you choose them to be over hugh amounts of your cash and savings?
Hello out there, I’m just putting some feelers out there to see if there’s anyone interested in making a pretty substantial amount of cash in a short amount of time. Only thing this requires is that you have an active bank account or credit card in the US. No cash is required up front to start. Which means your account can be on a zero balance and that’s completely fine. +1(314) 856 1730, lets talk about the next deal
You omitted 2 excellent and better options:
Purepoint Financial 1.3 %
Ally 11 month no penalty CD (essentially a Savings Account): 1.5 % (My Favorite)
There are minimum balances attached.
Run far away from Barclays! I’ve banked with them personally for a few years without any problems but when I recently tried opening a joint savings account with my husband we ran into trouble verifying his identity. Whoever is on the other end of depositresearch[at]barclaycardus.com is really rude an unhelpful. We had a misunderstanding about how many documents to send and, rather than email us back clarifying they just…..did nothing. I eventually had to followup and ask why I hadn’t heard anything in a month.
But the bigger problem is that it turned out that Barclays wanted a copy of his social security card, his passport, and utilities *sent over unencrypted email.* Just scanned and sent for any old hacker to access. Totally insane for a major international bank.
Anyway, since that’s how they treat customer security, I’m closing my personal account and going elsewhere. But seriously unprofessional in the dumbest way possible.
PayPal has a card that costs $5 per month to use, but you can put up to $5000 into a linked savings account that earns 5% interest. My only worry would be that once I got it, they might reduce the interest rate to the point that it wouldn’t cover the $5 per month at all.
Synchrony has 1.05% savings right now.
Redneck Bank (yes, it’s real) is paying 1.25% opened mine up last week!
I don’t have enough money in savings to justify the effort to constantly chase a fraction of a percent in interest rates. If you are putting this much effort into finding who currently has the best interest rate, are you not better off putting this effort into earning more elsewhere?
hsbc are a real sweet one. I tried starting July 1st for their promo offer. I couldn’t find any way to get through their fine phone system to talk to someone to open an account. I emailed and a day later got a response on how to navigate that all. I happen to have a life and important things to do along with the usual hassles like hsbc’s, so I can’t just drop what I am doing. I did spend an amount of time to try to contact them. Since it was the holiday weekend and I really didn’t even expect anyone to be there I called on the next monday. They told me promo over. I emailed and asked whether they could do anything and no help. I certainly am not the reason why I couldn’t get through to a human without an account or knowing the tricks, SOL. Lame people there. Let this be a warning on what kind of customer service you may be getting with them.
Unfortunately, Smarty pig just changed their rate to .75 yesterday. . . perhaps right after you posted this.
SmartyPig.com might be what you are looking for.
1% interest
Set goals
You can invite others to help you with your goals
I chose the last part of the URL.
You cannot make partial withdrawals from a goal. You withdraw the entire goal amount (whether you made it or not) at once, if I read it correctly.
You can make a bit extra % if you redeem your funds to a gift card.
Much more to read there.
I use smartypig and love it. have a goal for saving for new car, have a goal for saving for annual property taxes, etc. it’s perfect and helps me budget better!
i’m looking for an online bank that allows several “folders” or buckets to save for different goals similar to what ING used to offer. Does anyone know of a bank that does that?
Thanks!
I use a third party provider to monitor my credit and balances on my account. Synchrony is the only bank that does not allow this provider access to my account. When I contacted their customer service, this is the response I received: “At this time, we do not provide access to Synchrony Bank account(s) via these third-party tools. Please know that protecting any personal information provided to us is one of our primary objectives, and we continue to work closely with these third-party service providers to ensure they meet data security standards and are fully compliant with regulatory requirements before enabling these sites to access your account details.”
I have accounts with four of the top ten largest market share credit card issuers. They sync fine with my credit monitor company. Synchrony is a farce if they think that their standards are any higher than the other companies that hold 98.7% of the market share.
And when presented with my issue, their customer service instructed me to send a fax or a letter. They refused to direct a manager speak to me. Lowes should sever all business ties with this company.
Emigrant Direct Bank (MySavingsDirect) offers a whooping 1.04% APR (1.05% APY) with no fees, and the minimum to open is $1.
I thought I posted something on here before, but since I don’t see it I’ll re-post. I have a money market account with Redneck Bank. (Yes, you read that correctly.) Redneck Bank is the on-line arm for Bank of the Wichitas. The “Mega-Money Market” account pays 0.90% for balances up to $35,000 (and 0.50% for balances greater than that) and provides a free visa check-card and checks to use with the account. (Of course, transactions are limited to 6 per month.)
The check card is bright red and features a horse (or maybe it’s a mule) braying and saying, “Redneck Bank – Where Bankin’s Funner!”. Looking at that card always makes me think twice before handing it to someone in a store or restaurant – How’s that for an added incentive to save?!
Does anyone have experience with CIT Bank? Good experiences, bad?
pay very close attention to customer service. some banks are like roach motels, easy to get in but impossible to get out without paying for the luxury of getting your own money back.
MySavingsDirect.com…1.00%…no fees…no minimums.
Sorry to say, TIAA Direct is now down to .75%! But I did find Evantage Bank that is paying 1.1% up to $35,000, then drops to a measly .50%. I’m not lucky enough to worry about more than $35,000 in one place so I opened an account. Very easy. I know there are some good rates out there for savings IF you open a checking account too and make a certain number of transactions, but I resent having to do that. I’ve had a local checking account for years and will stick with that.
I had an ING account that was taken over by Capital One 360. I never had a single problem with my ING account. Since the takeover it has been a nightmare! Every time I try to log on to the site either they tell me my PIN is wrong or my correct answers to security questions lead to a page saying that my answers don’t match what they have on file! So I called and got quizzed with a dozen more “security” questions, including asking me for the company from whom I bought my home. Since I do not know this (just the personal name of the seller–a flipper) she threatened that I would fail their security screen. Finally, after a dozen more security questions, I was allowed to change my PIN. Attempted to sign in with the new pin tonight and it was “wrong” again! Then when I got a PIN change code, I got the same message yet again that my correct answers to security questions were wrong! Right now I’m looking for a new online savings account. I’m not willing to be told by a complete stranger that I don’t know where I lived five years ago, or what State my social security number was issued in! And after all this–I was trying to deposit money into the account! Barclays is looking pretty good right now!
TIAA just changes interest rate to 0.99% in Jan 2013
ING Direct only has a ‘B’ rating with the BBB (Better Business Bureau) on a scale of A+ and down. Not good. A few thousand outstanding, unresolved complaints by consumers.
Low interest rates are hurting us retirees. I’m tempted to protest by putting my savings into cash in a safe deposit box. If ten million people did this, would The System get the message?
I mentioned TIAA Direct here several months ago when I opened a high yield savings account with them–am very satisfied, have no problems with my transactions and their yield has not fallen. Unfortunately they are doing some work on their website and are not accepting new accounts at this time. I’m sure this will change soon and I absolutely urge savers to consider their savings account.
I just checked TIAA also and got the website rebuild notice also. Sounds good in comparison.
What about TIAA-Direct? I just checked their webpage and they are offering a 1.25% interest rate. I haven’t see any other savings acct that comes close to this rate of return, have you?
For everyone writing in about HSBC’s fee changes, please read this new article and explanation.
Lol poor fools in hsbc. I’m glad I’ve stuck to my credit union. I bet I have a better interest rate too.
HSBC just introduced their transfer fees $12 per transaction. At this rate i will loose money, so bye bye hsbc, you lost my business.
The fee probably applies to wire transfers, not ACH transfers. Waiting for confirmation from HSBC, but I don’t think this is a concern. There is no way any financial institution in its right mind would charge $12, $15, or even $30 (as indicated on the HSBC fee schedule, ambiguously) for an ACH transfer.
Just got a note from HSBC: They are now adding fees to the online savings account and lots of them. Closing my account with them today.
yupe $12 a xfer, take your money and run as fast as you can.
I just saw the HSBC notice as well. They are actually charging a fee to transfer money INTO the account! No way! I’m closing my account which will now cost me about $45-$50 in fees! Can’t believe they actually think this is a good business decision.
The note is likely incorrect. HSBC will be clarifying soon. That fees applies to wire transfers, not ACH (bank to bank electronic transfers, like linked accounts). Now… HSBC’s interest rates are worth the concern…
I copied the following directly from the email notice. Note, the “Funds Transfer-in, per incoming transfer” is for transferring funds from another financial institution (local bank account) to your HSBC account. To me, this would include an ACH transfer. If it does not, they definitely need to clarify.
“The following account fees will change as of September 23, 2012:
Funds Transfer-In, per incoming transfer – $12 each (the transfer of funds from another person’s account, or another financial institution to your HSBC account)
Foreign Currency Draft (DD Commission) – $25 each* (official bank check purchased in another currency)
US Dollar Draft- DFT (Commission USD) – $10 each* (official bank check)”
The cost to transfer money into the account would defeat the purpose of putting the money in the account at low rate they are paying. It’s pointless!
I expect HSBC will be clarifying in a future message. At least one customer service rep has said that the $12 fee is only for wire transfers.
Quoting your own message “the transfer of funds from another person’s account” I think the keywords here are “another person’s account”. That means from an account not belonging to you. If you are putting money into your online account you would normally be funding it from an account belonging to you, which based on your quote does not say will be charged.
My experience with Barclays has been very smooth so far. They’re at 1.01%
The Provident checking account I mentioned earlier is now paying 1.72% and is still the highest return I can find.
I have a savings account with ING direct. I just received an stating that they were lowering my interest rate to .40%. NOT .80% like this website claims.
Angela Lopez
As I was a bit ticked at Everbank for requiring me to have 5,000 in the cking account to avoid being charged a large monthly fee for using its billpay service, I discovered that most banks have no minimum for this service these days so I applied for an account at a local bank for just this reason. I also don’t like the tactics of hooking in new accounts that everbank uses with high rates up front for 6-12 months and then drop you below what other people are offering…
I’ve liked using everbank for years for the good service, but since my $ is going to be tight now and I wont be able to keep 5K lying around just to keep them happy, I’m splitting up my banking into multiple banks. My great find was TIAA Teachers Annuity bank that gives me 1.25% apy on savings account and free bill pay on their checking account – all online and mobile services too. I havent seen anyone that beats them.
In June 2012 I opened an account at TiaDirect for 1.25 apy. Best I’ve see in a while
Luke: Was there a reason you did not list TIAA Direct in your article? As Fanny notes, the rate is 1.25 percent APR right now (we just opened an account) and they are highly rated by Weiss. If you have concerns that led you not to list them, please let us know.
Try TIAA-Direct; I recently opened a high yield savings account with absolutely no problem. They pay 1.25% and so far, all is great!
As of 1/11/13 Tiaa Direct has also lowered their interest rate to .99% apy. I was very surprised as I’ve been getting 1.25% from them from the time I opened my account.
In regards to the Online HSBC Savings:
I received this e-mai, on June 14th 2012:
Dear OLIVIA XXXXX,
Thank you for saving your money with HSBC. We wanted to let you know that your Online Savings Account Annual Percentage Yield (APY) was lowered to 0.50% APY1 as of June 14, 2012.
Your Online Savings Account remains an attractive option. Rate changes like this are very thoughtfully considered and are made in response to market conditions and prevailing interest rates. Regardless of the environment, HSBC will continue to let you know about rate changes to your Online Savings Account.
To learn how HSBC can help you continue to make smart decisions about managing your finances, visit us.hsbc.com or your nearest branch.
Thank you again for being an HSBC Advance client.
Sincerely,
Andrew Ireland
Executive Vice President
Head of Premier & Advance Banking
HSBC Bank USA, N.A.
=====
I’m posting this to either confirm this, as spam is EVERYWHERE and I seem to be quite a popular target, or if anyone can confirm that this is genuine.
Pretty bummed out about it. I wrote my undergraduate thesis on the history of HSBC, and after travelling the world and seeing them everywhere, I was so excited to open an account, as I don’t live near a branch.
That’s correct. The new HSBC Advance Online Savings Account interest rate is 0.50% APY as of today.
I am pretty bummed out about this too as I just recieved this info in my email. I’m seriously thinking of transferring over to either Everbank CIT Bank or Barclays at the moment.
I received the same email from HSBC. I have an online with Sallie Mae and one with Barclays. So far so good. Sallie Mae is now 0.85, and Barclays 1.01
CIT currently has 1.05% savings. Also check your local credit unions, for example in the Twin Cities one credit union is offering 2.99% on checking (up to $10,000) another is 1.75% up to $25,000 then rates go lower…
Hello, I have been saving for 10 years. I used CDs and had nice rates between 3-5%. As you know that is no longer possible.
I have 180K and wish I could get more than a .75% intrest rate – with no risk. Any mmoney smart folks with some thoughts or pointers?
Aside from teaser rates, which might be good for the short term, you’re not going to find anything much better. A risk-free, liquid, above-inflation return is the Holy Grail of personal finance.
Maybe look at I Savings Bonds at: https://www.treasurydirect.gov
High-yielding bank accounts are helpful in the past, but not anymore now with the less than 2 % interest rate nowadays. It’s almost useless to depend on banks to give you a little bit of something from your deposited money.
I have been researching several online banks and crossing some off my list as I narrow them down. Your research and insight seems to be very good and I appreciate this resource since many other sites aren’t nearly as comprehensive or are clearly biased. There is one however that I have heard about but you have not mentioned it. UFB Direct. What do you know about them? When I checked earlier this week they had rates comparable to ING and HSBC. I’m wondering if there is a reason why you left them off. They seem to offer a good opportunity for people looking to earn airline miles but for those of us who do not have or use airline mileage points is it still a viable option? Any thoughts here?
You can currently receive 2% interest from Provident Bank for checking accounts. The only requirements are 10 credit card purchases per month and one auto-debit and you must use online banking. The 10 purchases are easy – 10 bucks for gas every other day. They allow 2 accounts, which I have, and the limit to receive the 2% is 25,000 per account. In summary, you can get 2% on 50,000 and that’s the absolute best rate in existence right now. Hope this helps somebody.
I just joined ING mainly because I wanted to use the sub-account feature, although for the life of me I cannot figure it out. I emailed their support department however they just ask me to create additional savings accounts. Can someone guide me in how to set this up?
Thanks!
Have had an Orange account at ING for years. I like the idea of hooking into the Capital One network. Never had a problem with ING, although sometimes transfers to checking can take a few days.
Our UBank online savings account in Australia earns 6% interest. Then again, mortgage rates are typically 6-7% here. Trade off, I suppose?
As of June 2012, a UBank USaver account offers 5.51% interest per account. They have a savings calculator on their website, and, for example, if you wish to save $10,000 and your starting money is $0 and you deposit $200 per month, you would have earned $1,018 over 3.83 years once your $10,000 savings goal is reached.
If this is true, why have more people not done this yet? There has to be a catch..
Can you only act on this if you have an account at another Australian Financial Institution? If so, then us here in the U.S. can not participate.
That bank is based in Australia. You can’t compare interest rates across countries without taking a number of other factors into account. This article pertains only to United States-based accounts.
What do you mean by United States based accounts? I am in the US and have accounts here. Can I be involved with this account that I am looking at in UBank, or is that not a possibility?
Thank you for the explanations.
A United States-based account is an account at a bank located in the United States. The bank you named is not. You need an Australian address and you need to be an Australian resident for tax purposes in order to open an account at that bank. If you live in the United States and are looking just for higher interest, you can’t do that by investing in a foreign savings account. You could easily lose money in USD terms due to changes in foreign currency conversion rates… and you would need to consider inflation in other countries could be higher than what it is in the United States. Thus the 5.51% interest rate is irrelevant for US residents.
Does this article imply that 1% interest does surpass inflation?? Inflation is so MUCH higher than that it’s just silly to think 1% even comes close. Annual inflation is close to 10%. Google “real inflation”. Even the fake government fabricated stats show 3-4%.
That said, 1% is still better than 0% when it comes to interest.
The article does not imply that a 1% interest rate surpasses inflation. Though perhaps the text in the first paragraph could be updated a little to describe the further decline in interest rates the past few months.
So far, AMEX has been good to me. Though the interest rate has dropped!
American Banco of Asia (ABOFA) is one of best for me.. Hidden favorite, especially in these crisis 🙂 (the have strict metal policy connected with every savings account)
Capital One has just decreased the rate on its” high interest” savings account for at least its NYC customers (I didn’t check for any other areas), they dropped it at the end of Jan 2012 from just under 1.0%, all the way down to 0.10%. With no notice to customers whatsoever. That is a dramatic drop. Here is the link to the rate: http://www.capitalone.com/savings-accounts/?linkid=WWW_Z_BANK_A5505B15B8C18E6D1958E181B_BKPSNL_H1_10_T_SVACTHOME
i liketo open with saving account. plees help me.
Try Citizens Bank and Trust in Missouri.
Follow up. Thanks, Barb for writing. Yes, the AmEx customer service person was rude and abrupt with me as well, you know, suspicious. Ally, on the other hand, came through yesterday. My driver’s was enough and the joint account with my husband is all set up. The process was easy and straight forward and I also like that I can “chat” with someone anytime, phone or send e-mails. What made us go with Ally, for now anyway, is that they have an 11 month “no penalty” CD with a very attractive rate, cashable with interest accrued anytime after six days. We’ll see in the future. I also regret not getting our savings out of our bank and into one of these online ones sooner! But who knew interest rates would stay this low for so long?
I just got an account with AMEX, within 10 min. I enjoyed a good service and Its all up and running. Crazy fast.
I tried opening an AmEx account. The process came to a complete halt when they tried to check my SSN number. At the time I changed my last name a couple weeks prior. I guess the systems weren’t upto date or something like that. When I talked to the customer service person I found her to be extremely rude, like I was trying pulling something over on her. Their only solution to this would have been to have Social Security send a note on official letterhead to prove my full name and SSN. I decided it wasn’t worth my effort to get an extra .1% of interest and went with ING Direct. I was able to do the whole registration process online with no problems or hang ups. So far this year I have earned more interest than every year before this combined, and for very little effort. I just regret not getting into online banking years ago!
Hi everyone! Well, we started the process to open an account with AmEx first and we run into a glitch. Wondering if anyone has ever had this problem. My husband is an American citizen and I am a perfectly legal resident with green card, SSN, driver’s licence, tax filer, AARP card, AAA card, documented joint ownership of our home, no debts whatsoever, you name it. We have joint accounts at our local bank so we wanted a joint savings account but when it came to ME, Maria, the whole application process came to halt. AmEx said they’d send us a letter stating what else they wanted as proof of my ID. As I write, nothing has been received. Next, we started the same process with Ally, but before even trying to apply, and anticipating the same glitches, we “chatted” with someone to explain about ME and what would they need. The person was very helpful and didn’t see a problem but the application process also came to halt. The webpage “apologized” and asked us to phone them. We did and they asked (this is Ally) for a photocopy of my driver’s license, enlarged – after which they’d phone us. We sent it by fax immediately. They haven’t phoned us.
I understand that they would want to check our SSN’s against consumer reports and such, but I also explained to Ally (during the chat) that I never borrowed while here in the US, and that I use my husband’s credit card as secondary cc holder as we pool our earnings into our joint checking account. So it seems they can’t do a search on me by the usual methods they use, and are too lazy or can’t search through gov.agencies. AmEx asked me to ask SocSec for a letter proving I own the SSN they gave me. SocSec told me they don’t issue letters, that the SocSec card I have IS all the proof I should need. Ally didn’t ask for that, but I offered to send them a photocopy of my green card and SSN card and the person said it shouldn’t be necessary. Still, no response after we sent them the photocopy of my enlarged driver’s. Logically, and we even told both AmEx and Ally, that the IRS would be the perfect source to check as we file jointly and, tah-rah! there’s my SSN on the front page, common address etc. Frankly, I’m beginning to feel discriminated against, in a loop. Has anyone gone through this? Thanks for reading
I am sorry to read about your experience. Sometimes it can be tough when you don’t have a good credit history. However, please don’t be so quick to jump on the discriminated-against bandwagon.
Banks are entitled to be cautious.
Build your credit history, I am sure everything will work out in due time.
Hi Maria!
I just opened a joint amex high yield savings account with my husband. Same thing happened to us. They sent us a letter saying we needed a letter from the social security office verifying my husband’s ssn. We are both citizens here. I think sometimes they just need extra verification. My husband went to the social security office, got the letter he needed, we mailed it to American Express, and our account was opened. It did take a little extra effort but we got the account. Just go into the nearest ss office and show them what you need. You shouldn’t have a problem if you have a social security number.
Good Luck!
I’m not a US citizen and I open online savings accounts, get credit cards etc all the time. Being a citizen is not a requirement.
Hi Maria, I’m a US citizen and my husband has US permanent residency. I will tell you that we ran into issues with banks and potential employers related to my husband’s SSN. (Example: he applied for a job and they ran a background check. It came back “high risk for security fraud” because he had a newly issued SSN. He explained that he recently immigrated. They said they couldn’t hire him due to the red flag on his background check. Discrimination? Yes). With the banks, we persisted and found it helpful to escalate our inquiry by asking to speak to managers, keeping detailed logs of each call and who we spoke with, asking for a written explanation of why we could not open an account. Please be persistent – but clear with them that you have every right to have an account!
This is most likely a result of the USA Patriot Act regulations. The government does make us in financial institutions jump through hoops to make sure you are who you say you are and that you’re not on some watch list. You might be better off dealing with a local institution and real live people and credit unions generally have decent rates (relative to the market). I was also going to jump into the conversation and talk about certificates/term deposits. Yes, there is a penalty (usually 3 months worth of interest) if you need to break the certificate, but if you can last at least 3 months, you’ll generally break even. If you probably don’t need it (only for emergencies) then this may be a way to increase your yield.
Hi Matt K, thanks for answering. Well, we have our car insurance with AAA and I just noticed they’re also into this online banking business and they’re partnering with Discover. I’ll check it!
My apy is 1% and they are now offering a $25 bonus for signing up. They must have caught onto what amex is doing 🙂
How did you get the $25 sign up bonus please?
I would be interested in getting that
Hi. I’m looking to put our savings in one of these banks. Question: to me it’s important that the interest be paid monthly and reinvested, that is COMPOUNDED as I’m planning to leave the money for quite some time. I’ve been looking around and Ally does say it compounds monthly. What about the others, is there a way to find out?
Thanks you
I answered my own question. Never mind. BUT, using the American Express website as an example, not every online bank has a dandy FAQ to clarify this. With AmEx I had to go the round about route in their search window. Ok. It looks like they all compound monthly.
As others have pointed out, the APY is what you want to look at.
Something that compounds quarterly at APY = 1.00 %
is better than
something that compounds daily at APY = 0.99%
The APY tells you what your total interest will be for the year if you don’t change your balance all year. Compounding interest on $10,000, no matter whether daily, monthly or quarterly, will yield $100 interest per year at APY 1%, and $99 interest at APY 0.99%
Hope this helps other people reading the page to catch the difference. (As others have also pointed out).
Hi Maria- I have had the discover bank savings account for a few years now and they pay interest monthly to be reinvested. They are also offering a $25 bonus on top of their 1% apy if you open an account by Dec 15th.
Maria, comparing quoted APY’s tells you all you need to know about compounding frequency and APR. Read any number of sources to brush up on the difference…
Actually, Ally compounds daily, not monthly: https://www.ally.com/bank/online-savings-account/?INTCMPID=SavingsMenu_OSA_Nav
I use them and love it so far!
SFGI Direct has had the best rate for two years straight. Some match their rate, but nobody beats them.
They’re not accepting new customers at the moment. 🙂
They are today. I have three on-line accounts and SFGI is currently the leader in rates at 1.01%. Granted, not much in today’s economy, but still better than 0.70% and 0.01% at some of the “big” name banks such as Chase.
My savings account is 1.15%. 😀
Mind sharing? Which bank?
Captial Ones rates have dropped to 1.01% APY as of 8/22/11.
American Express also offers sub-accounts and a competitive interest rate like ING if someday you decide you’d like to escape Capital One’s clutches. Once you already have an account, just open another one and indicate that you already have an AmEx account. You can customize the account names through the customer service tab. I like ING’s interface better, but it’s no longer the only bank out there with sub-accounts.
The Amex sub-account feature is a work around at best and very unwieldy. I like their interest rate better but not the information – for instance, on ING I can see my interst history for a number of months – not so AMEX. AMEX seems like a big unwieldy shadow-version – but the rate is better and I, too HATE Capitol One so I my ING accounts are going to diminish – and if they start adding fees, I’ll be gone.
There’s almost no difference between all the “high-yield” banks out there. They are all roughly 1.00% APY, give or take 0.15%… I wish some of them would get more competitive now that the economy is starting to improve.
Hopefully CapitalOne will increase ING’s rate now that they’ve purchased them.
I was not surprised to receive the ING notice yesterday stating that ING will be sold to CapitalOne. Although, CapitalOne is very similar to large institutions like Chase, I would be surprised if CapitalOne’s rates will be higher than ING’s. My current Sony CapitalOne credit card does not have impressive rates. However, I would be happy if even a small increase in an APY would occur once my ING accounts transfer over to CapitalOne, but knowing CapitalOne I will not hold my breath.
In this type of sale, will the customers have a chance before the sale happens and the new rates go into affect to know what the new rates will be and all the other changes before we commit to going along to CapitalOne?
As far as “all the high-yield banks out there” there might be small differences between them, but even a difference of .15% is better then nothing. We are in a bad period in this area, but, I would much rather transfer my ING holdings to a 1.15% APY rather then an APY that is around .75%. Every little bit helps.
I’ll stay away from anything CapOne has its grimy little fingers in Thank You.
Been there and done that. The person below is right. They will start nickle/ diming the ING customers until they ruin what was once a good service. Remember Providian, who doesn’t.
Yup — guess what’s NOT in my wallet …. Capital One has a history of ‘bait and switch’ and unilaterally changing terms they promised not to change so I won’t trust them. Example: They offered a ‘fixed rate’ credit card at 3% to good credit customers in the early 2000s …. They issued me a card good for 6 years, and then 3 years into it sent a ‘new’ card with small print that said ‘by activating this card you agree to new terms’ including a variable interest rate. I didn’t activate the card, and they CANCELLED THE ACCOUNT despite their promise to keep the rate ‘as long as I kept the card’ when I opened it. This is all LEGAL, but it is not moral. I don’t deal with companies that can’t keep their word. Too bad — Ing looked interesting. Maybe I’ll open it and take their bonus, and then close the account when Capital One takes over … have to read the fine print I guess to insure this won’t create issues!
Capital One is horrible. I’ve had the ING account but considering closing it since CapOne bought them out. I was a 10 year customer of Capone, one day I get a letter stating my interest is going from 8.9% to 13%, I had great credit at the time. I called them and they said “cost of business is going up so they are raising rates.” So much for great service.
I will never do business with Capital One. I purchased new windows for our home, financed by Capital One at zero interest for 12 months. They never sent me any sort of payment schedule. I had to look them up online to find a phone number to call, and call a representative to find an address I could send my payments to. They refused to send me any receipts, so I never knew if they were getting the payments or not. I actually typed up my own forms to send to them with each payment. It was a nightmare. They were just waiting for me to miss a payment so they could pounce. An evil company.
I am on board to hoping ING raises its rates soon. But in the meantime, I am taking as much advantage as I can of their $10 bonus for referring new accounts.
The only rate that Capital One has raised at ING is the Overdraft Line of Credit Rate. It is currently 11.25%. They call it competitive. Capital One will slowly kill ING’s deposit base in the US as they start nickle and dimming its once satisfied customers.
If the economy is starting to improve where you live,I want to move there
I was hoping for the same. Unfortunately Capital One abandoned what worked well about ING Direct. Sure, their website says they ‘kept the colors and user experience’ – i.e, the unimportant stuff, but they reduced the rates to their standard 0.75% – the near bottom of the barrel for online banks. I’m going to monitor it for another month and if nothing changes, I’m moving.
Sadly I had to leave ING when Capital One took over. I had had my ING account, very happily, for many years. My experience with Capital One was horrid. I feel for their ad and got one of their cards. I used it to buy an item from EBay which was fraudulent merchandise. I did not receive what I ordered although the seller had proof he sent a package. . the package contained 1 counterfeit disk not the 6 legitimate disks I ordered this was verified by the legal department of the publisher. Of course, EBay denied responsibility so it was left between Capital One and me. I sent umpteen numbers of explaIation and proof from the publisher that the items were counterfeit. to their back office in india. They refused to consider the validity and hired a series of bill collectors who made threats they could never enforce. Very unpleasant and time consuming. Finally I had to go to the Attorney General to get them to back off. I would suggest that YOU GET AWAY FROM Capital One AS FAST AS POSSIBLE. AND NOT USE THEIR CARDS. . There are many other banks out there who respect their customers and deal with them honestly without attempts at strong arm tactics. THEY SHOULD HAVE GONE AFTER THE PERPETRATOR NOT THE VICTIM. I HAVE NO RESPECT FOR THEM.
If people want to “chase” the best rate, and learn a bit in the process, let them do that. You have your way, and apparently you had to learn what that was. Yea, I said LEARN. Sometimes we need to learn what is the best way for each one of us over time, and in the process we learn. What you think is trivial, might be trivial for you, but it might not be for someone who wants to research, and pick the account that they think is the best for them. If getting 1%, or whatever is the best rate, is important to someone, do not knock them. Let us all do what we want to do to learn and decide what is the best account for us. For some your approach might be the best, for others, they want to research and pick the best for their needs.
I can not believe what I am reading here. You are all talking about who has the best rates and who transfers money faster.
That is all good in good economic times but in these times you are only talking about one or two fractions of a percent from one good bank to another. I also see some are worried about minimum requirements to avoid fees.
Let’s start with the minimum to avoid fees. If you are in this category the money you earn on your account will be so insignificant that it really does not matter if you get 1.0% or 1.5%. Example if you need to keep even $5000 minimum you are only looking at between estimated $50 and $75 interest per year. Is the $25 difference worth the hours of research, you would do much better just finding the best rated bank that has the features you need and not stressing yourself out over $25.00. Even if you have $25,000 in your account you are only talking and estimated $125.00 a year difference. You can make more than this working a few extra hours on the side and not stress out about every penny.
That said, if you do have a big name brick and mortar bank paying say 0.1% or less yes it is worth going to an online bank that pays generally between 5 and 10 times more it may be worth it. But when talking .90%, 1.0%,1.1% etc unless you are loaded it is not worth your time to keep chasing the best rate.
If you are loaded your money is probably in other investments anyway any you only keep what you need for current times in your checking/savings accounts.
Chasing the best rate when banks are competing hard for customers may be a good thing. You could see big differences in rates but in these times you are just putting your self through stress you don’t need.
Let’s look one more thing. A while back I purchased some us savings bonds. I got a good rate on them. They were good to cash in when interest at banks were about 1% higher than the bonds pay. I could have cashed them in and gotten a 1% better rate chasing rates. I choose not to. Well guess what. My bonds still pay 4.5%. This is more than 3 times what I get over the other accounts and the tax is deferred until cashed in like stocks unlike paying tax on interest every year on your bank accounts. Everything pans out in the end.
Here’s a way to get an instant 10% rate through ING Direct …. Just open an account with $250 and they give you a $25 bonus. Easy.
What bonds?
Dear “Oh My Gosh”,
Yes, I will chase $75. It took my 5 minutes of Internet searching, another 5 minutes to read the list, and 3 minutes to post this. 13 minutes… 75 bucks… Seems worth it to me.
I want to put my money where they will offer me 0.95%. Not where they offer me 0.80%. That’s important to me, because 1. It’s my money, 2. I’ll take anything that costs me little to nothing, 3. I want to support higher interest rates. If my actions contribute to the nationwide pool of people that are pushing bank rates higher, well good on all of us.
I used to believe like you did, and because of that attitude, didn’t understand that a couple of tenths of a percent could make a significant difference in my mortgage. True, this is nowhere near a mortgage, but now I watch *all* my money, and *all* my interest rates… and I make sure that *all* of them are the best for me. Is it worth it? Yes. Do it everywhere, stick to it like a bulldog, and you will find that as this attitude pervades your life, so will money pervade your bank accounts. No compromise. Make those banks work for your money, ‘cuz it’s your money and you are the customer.
Still, the difference between .75% and .85% is still north of $20 per month when you deposit $250K (the insured limit). There are a lot of people with that kind of money (me included) who want nothing to do with the stock market or bonds et al any more. You can feed the New York thieves, not me.
We need a safe place to park cash until we spend it, in my case for a house at around $400K. So, you have two or three accounts.
I appreciate the time and effort involved in putting this information together. Extra money, regardless of how much, is still extra money, and I will always go for the higher rate, even if it’s only a ‘small’ amount.
Why would you possibly spend the time writing a negative comment on a website for an individual who has taken the time to help people out. Are you so miserable? It would be unfortunate to be as such.
This really pisses me off. They are destroying any incentive to save. The bansk and the government have our economy so screwed up it’s pathetic. I switched from Emigrant early in the year because their rate had dropped significantly over the previous couple of years, and I went to AmEx because their rate was still a good deal higher. Now this is the second time those a–holes dropped their rate.
Discover Bank is still 1.15% as of today, June 17.
I know nothing about purchasing precious metals. I have been wanting to purchase some gold and have it delivered to me in its pure form but after 3 years I am still looking for a company that can deliver this type of service. Has anybody who has had any positive experience with purchasing gold and getting it delivered to one’s physical address care to recommend to me solid companies they have dealt with so my chances of getting taken in this endeavor are decreased? I could not trust the companies where the precious mettles were purchased and then I was sent a piece of paper with the transaction it. I would like to purchase the gold, have it in my possession, and use it when my money runs out for the chemotherapy I am having to pay for out of my own pocket. I would appreciate any advice from honest people that have purchased gold this way and have been satisfied with how the transactions have played out.
Finally, does anybody know what degree of purity most gold is being sold these days?
Thanks for any advice.
I was just wondering if there are any online saving accounts that I could link to my savings account at my local bank. I see that ING, discover and USAA need to be linked to a checking account, but I have a lot of direct deposits that are already set up to go into my savings account at my local bank. I guess I could transfer from savings to checking to online savings, but that seems like a lot of hassel, and changing all the direct deposits would be too. Any ideas would be great. Thanks
Double Check on the number of Withdrawls you can make from those savings accounts without a fee being charged by your bank.
On the other hand Redneck bank, AmericaNet Bank and Evantage Bank do allow links to be set up to Savings & Checking accounts. (Just As I am on WestCoast Time, I found their sites are on Central Time and it is better to get some things done there in My Morning..)
Anybody have a history with Tennessee Commerce Bank? Looks to me like their present offering is @1.5% although the first $500 gains no interest ($250 ea in savings and checking). Still looks like 1.47% on $25K, 1.4925 on $100k.
I have worked in banking for 15 years now, both in lending and the depository side. What MCD is saying is accurate in the process of supply and demand. HOWEVER MCD, REMEMBER, NO CUSTOMERS NO BUSINESS. Your business model in theory and design can be the best ever seen in any business school. But customers are more than nice to have, they are your bottom line. If the original owner/CEO, or the “multi-billion conglomerate” has lost site of this, they will lose business quickly. It is a juggling act for all businesses, especially in a down economy. Yes, interest rate fluctuation is a common occurrence in banking and is not personal. However, it is all about customer perception!!!!!!! People will not trust or do business with a multi-billion conglomerate that does not understand and apply exceptional customer service to its daily operation. Customers also want to see that the corporation they are entrusting their hard earned money in cares about their business CONSUMER BEHAVIOR. This goes for quality of service and value of product. MCD, you should take a course in Consumer Behavior along with your business school models.
I have to give it up for ally they make the list as one of the top online banks in the world
ive been with them for a long time when they were alot smaller. When representatives contacted us and encouraged us to give them ideas to make their bank better I know they would become one of the best banks out there. I am even a member of some credit unions and they dont ask their members how they can improve service. I guess i go ahead and stay with them if they dont start thinking too much about the money.
and as sad as it has been to experience this business necessity, after being with ING and experiencing the CEO/President gradually showing where his interests are (buying and having pictures posted of him on his new motorcycles, him at his new mansions, the loss of “real” customer service when a problem arrises that does not “fit” into ING’s business capsule. This Company went (8-9 years ago) from a company who appeared to want the best for their customers no matter what it took to what I described above (not really putting their customers above pictures of showing the CEO/Pres. on his latest motorcycles and many other examples I have experienced and witnessed this company putting their bottom line way ahead of their customers. Some businesses can do it for the short-term, some can’t do it very long at all, and some can do it longer for other reasons depending on other interests they have put their funds. ING was the epitome of a business that had a great bottom line AND superior customer service until about 4 years ago when it gradually stated to take backseat to the CEO/Pres. making more money than he knows what to do with. having ben with ING from the beginning and still with them, I have seen this company fall, especially the past 4 years, to its great customer service it had, but has recently lost it, and lost it in a hugh way. We all have choices but if I was looking for a place to stash some money now, ING old be one of the last places I would count on. A very sad story of achieving the American Dream but I see it being lost to personal greed by the CEO/Pres. and loss of interest in superior customer service.
Slip out the back, Jack. Make a new plan, Stan.
I’ve begun closing out my 12 savings accounts. For a time, it seemed prudent to chase ever diminishing rates of return until now, no matter who one picks, the return is abysmal. Now, I see little to no value in federal reserve notes in the near future. Our “elected” representatives have sold us out to the financial interests in much the same way that gave us the roaring 20s followed by the crash and depression. Our roaring 00s are about to end and anyone holding paper money is going to be sorely disappointed in its worth. I’m also liquidating my stock portfolio in anticipation of the crash that will come in a matter of weeks or months.
I’m putting 90% of it in gold, silver and non-perishable food items. Price is irrelevant. Soon the paper will be worthless Having precious metals will help if things just get really bad without falling completely apart..
I’m also stocking up on ammunition because if the bottom falls completely out of our society, gold and silver won’t help much. The streets will be filled with hungry, desperate people and, for a time, it will be survival of the fittest. The government will be no help and will, in fact, be another obstacle to be overcome for survival.
Think for a minute what you will do when you turn on a faucet and nothing comes out, flip the switch and the lights don’t come on. What will you do? Are you prepared? Forget about football and Little League and American Idol and give some thought to where we are and where we’re headed. This is serious doo-doo we’re about to face and you don’t want to be caught flat-footed and bewildered like a deer in the headlights.
I know….tinfoil hat stuff. A year from now, one of two outcomes will be apparent. Either I’ll look silly or most of us will be hungry, homeless and destitute….or dead. I vote for silly….it’s safer.
Any suggestions on a reputable company who you trust with your precious metals investing? Are these mettles that you actually hold in your hand and put them in a safe deposit box or work with a company that keeps the precious metals for you? Any thoughts on newbies in the precious metal market starting out with the small old coins, or bars, silver?, gold? I am not looking for you to tell me what to do, I learn by reading how others deal with a market, then research what they say, if anything informative, and try to start somewhere and move forward.
I only deal in the physical metals and store them myself. If you allow someone to store them for you, you may find yourself holding a worthless receipt when you try to collect. If the government decides to confiscate gold and silver (as they did in 1933,) you may find you cannot access your safe deposit box at the bank without a gov’t representative present to guarantee your compliance with the confiscation order. Store it yourself and tell no one you have it. Some keep it in a safe. Some hide it in various places around the house or even bury it in the back yard. I rely on camouflage. I have a safe in a closet, but only keep my papers and files in it. The coins and bullion bars are hidden in various innocuous places around the home. In the event of a burglary, I’m counting on the miscreants concentrating on getting the safe out of the house and neglecting to search the nooks and crannies of the house for the real valuables.
Understand that buying precious metals is NOT investing but, rather, PROTECTING the value of your money. The printing presses at the FED are running 24/7 to keep the “too big to fail” banks afloat. As these huge quantities of newly created money filter into the economy, they make the existng notes worth less and less. Inflation is rearing its ugly head and can only get worse, much worse as a result of this creation of more money out of thin air. Add the double whammy of miserable interest returns on your savings and the debasement of the principal itself and your overall picture cannot help but decline dramatically in spite of your hard work and diligence in saving.
I’ve been buying from individuals, coin shops, national dealers and even eBay. Local dealers are a less attractive option due to their collection of sales taxes on your purchases. Apmex and Monex are solid, reputable dealers and don’t try to gouge too much on the premium markup over spot prices. eBay is a good source, but a little perspicacity is called for. Deal only with sellers whose rating is 100%. I’ve made probably 50 or so eBay purchases and only one seller tried to stiff me. Even that was no problem because eBay refunded my money very quickly after I alerted them. It was easy and painless.
Don’t rule out circulating coins. Pre-1965 dimes, quarters and half dollars contain 90% silver. Melt value of the dimes is around $2 each, quarters are worth a little over $7 each and halves are worth around $15 each. Even pennies are good. Pre-1982 pennies are 95% copper and are worth almost 3 cents each in copper content. Beginning in 1982, pennies were made of copper plated zinc.
Inflation is very soon going to be horrendous (think Weimar Germany or Zimbabwe.) Buy non-perishable things you will definitely use in bulk now. Toilet paper, soap, canned goods, dried grains, beans, rice, whatever you physically have room to store. The price is only going to go up fast (which really means the value of your money is plummeting.)
Don’t depend on the major news outlets to keep you informed. They parrot the “official” line and mislead the mindless herd of humanity with fluff and pretty newspeople. Frequent the alternative news sources online to get a truer picture of what is going on. I recommend zerohedge.com for a truly unbiased picture of the financial picture.
Keep your eyes open and your nose into the wind. And good luck to you. We’re all going to need it soon.
You have either done a lot of research and know what to look for or just went with a deep hunch and have your hopes in that. More power to you. I am still with ING and want to get away from them so bad but I do not have the knowledge as to how to get the money in the ING account in precious metals. Although, I need a good savings account since I am recently disabled with no income (just savings) I am still concerned that if I would find dependable sellers like you apparently have found on eBay, etc. when the precious metals arrive do you take them somewhere to make sure you got what you paid for? If you are buying these gold bars, for example, from eBay sellers, how in the world do you know that what they send you is pure gold or the grade of gold you thought you were buying? When you go to cash it in, are you aware of how that process works? Do you know how much you will have to pay to have the precious metals converted to cash, if this is the right terminology?
As far as savings or checking have you had good experiences such as what some above posts mention SmartyPig?
Thanks for sharing.
POPS!
Are you interested in trying to assist an uneducated man who had a successful small business but not health insurance and one day was diagnosed with brain cancer about a year ago. It has been a rough battle, but with the sale of my wellness/fitness studio and saving and of course a strong faith, I am still here and eager to make some smart financial moves without he savings I have. I have done research on precious metals but my education in this area is so minimal, the harder I try to learn by talking to companies who sell precious metals (not letting them know I am mostly into educating myself) and foreign and US companies who sell precious metals to also learn from them.) it seems like an area that is way beyond my ability to really as quickly as I need to make the big move and learn what I need to so I am not taken. I would follow you story in regards to eBay and other topics you touched on, but I feel like I need some one-on-one assist. I know this is no the best place to ask for this, but I am the type of prison that I will not know if someone would be willing to answer some questions, give me some guidance with no strings attached because I am asking for this orally on my own needs and worry about my future, dealing with my healt needs and being able to move forward in my life and fed my face while I still offer as much volunteer help as I have energy and money for.
so, if you are the type who is into helping someone like me who wants to learn more about the safest way of getting into precious metals as a way to save some of my savings, please let me know and if you are OK with this we can do it via an email address I can start just for our conversations. if not, I understand, but again, I am the type of person that when I find someone who appears to know more than I do about an area that I am very interested in, I will reach out and see if they are willing to help me with some advice.
Thanks,
KJT
the fed does not print money, the treasury prints the money. the fed can control the money supply with its monetary policies.
look folks, don’t run out and buy up coins and stockpile toilet paper. you should evaluate your own financial situation and decide what is the best course of action for you. pops may be the master coin dealer and knows where to buy precious metal, but if you don’t know what you are doing, you could lose a lot more than what inflation would cost you in the long run.
No, I am not a master coin dealer. Just an ordinary citizen who’s concerned about the direction this country is going.
Actually, the money the Fed “prints” is composed of computer entries of phantom money conjured out of thin air with nothing to back it up but ever increasing debt and inflation. If banks pay you less than one percent interest on your savings and inflation is running two percent, you still lose in purchasing power. You are, in essence, paying them a fee for holding your money as its value drops. For every 100 dollars you keep on deposit, the bank can loan out 1000 dollars (at rates much higher than they pay depositors.) This is called fractional reserve banking. Some refer to it as a massive Ponzi scheme. At some point, it’s going to come crashing down and the unprepared will be at the mercy of the fates.
I no longer trust the government or banking institutions to do what’s right for you, me or the country. They do what’s best for themselves and those who are like-minded and care nothing for the Constitution.
If you do nothing and remain asleep, you are in for a rude surprise….sooner than you may think. If you are like many in the herd who don’t like to ponder unpleasant eventualities or who take comfort in the phrase “I didn’t know,” then by all means go on back to American Idol, football, and other mindless diversions and don’t worry about a thing. The powers that be depend on your lack of attention and thank you for your passivity. It makes their job of robbing you much easier.
Google the term “Weimar Republic” and get a glimpse of where we’re headed if drastic change is not instituted soon.
Also, google “The Creature From Jekyll Island” and you’ll understand how we came to be in our present predicament. All fiat money goes to zero value…every time. A cursory study of history will support this fact. Most fiat currencies don’t last more than 100 years before they are worthless and a huge reset is necessary. When that time comes, you may find you have a wheelbarrow full of money that won’t buy a loaf of bread. Those who converted to assets with lasting, intrinsic value will be much better prepared to deal with the crash that’s coming.
JAM after reading your interesting prospective on investing, am curious with whom do you invest your money?
Bill C.
Wow! Don’t you guys ever read the news? The first thing I do when I am thinking about putting my money anywhere is look up that company’s financials. You never just look at rates. You have to consider whom you are doing business with and what they intend to do with your money. For me personally, I don’t give my money voluntarily to any of the scheisters who robbed the American tax payers with the TARP funds.
As for ING, if you would take the time to do research, you would know that they, too are belly up and have been for a long long time. They also took a bailout from their government and as part of that bailout deal, are required to sell of the US division, Ing Direct. There are some potential buyers showing interest like Citi. A big yikes! They are one of the big crooks that took down the financial system to begin with…
Infect, I think eve American should be required to watch the documentary “The Inside Job” just to get the basics of how the banks fell in the first place and the government’s role in that fall. It certainly opened my eyes. So, now I vote with my money. I vote not to ever give a dime to any of these crooks who pay themselves exorbitant bonuses and salaries and have never even been prosecuted for robbing people of their savings and their homes not to mention jobs….
Being a smart investor has nothing to do with watching advertisements or rates even. Just learn as much as you can and find the ones who were never in the red to begin with and who refused TARP money.
Unfortunately, (I am speaking for myself) I was not lucky enough to learn from a father or other relatives who had the knack for investing, but for some reason they looked at it as a secret. I guess that stems from either not wanting somebody to out-due them or not be responsible for their losses. When I tried the Financial (Mutual Funds) Book for Dummies, I did not have a clue what they were talking about. I have tried to self teach myself, but I really have a hard time grasping what the heck it is the articles are saying. So rather then putting down people for whatever reason have not had the same fortunate story you have which helped you learn what you think we should get from reading a newspaper. I would like to have a small amount of your knowledge. If you can give suggestions rather then a put-down, I would like to hear what it is and how I could learn some of what it is you have that some of us need, would be a good way to share your knowledge. If you believe it or not, when you help pope, it generally comes around in a much lager package than you could imagine.
How good is Smartypig? Nobody has mention it. Any experience with this company?
I made the switch from EmigrantDirect to SmartyPig a couple of years ago and I absolutely love them. Backed by the FDIC, competitive rates, no minimum balance, and no transfer fees. They have “savings goals” that you set up and you have lots of options when it comes to making contributions. Interest is compounded daily and paid quarterly. My wife and I love that we can set up a long term savings goal, as well as any short term goals for bigger expenses that we see coming down the pike (Christmas, birthdays, extra mortgage payment, etc.).
I checked out SmartyPig. Is it like a regular bank? I was disappointed that the int ate is good up to $50K but then goes way low higher than that. so you need to make sure if your balance is close to $50K and your int rate will not push you over the $50K so that your rate will drop to 9what is it now) about .49% APY. Are there several accounts they have like a fee-free savings or checking or anything else you can pass along to someone looking at changing from ING to SmartyPig? If ING was not falling in the whole and so rude to the customers (which is something fairly new) I would hold off for now, but I really think , at least in this country, things are not looking good for this business where the President/CEO has to have a new personally made chopper with the pictures taken in front of is latest beach villa house in Key West.
SmartyPig’s mission almost sounds like it is tailored for children and parents who want to tea their kids how to save. I could not find much on the business side of SmartyPig like who owns it, is it owned by a Board, etc. Very interesting website. I felt like I was trying to help my niece how to save for college, which is a great endeavor but not something I am currently looking for.
I’ve had a Smarty Pig account for several months and absolutely love it. The website it easy to follow, and you can create and edit a number of savings goals. They currently have 1.35% APY, which is the highest I’ve seen for an online savings account. Overall, very happy with the company – haven’t had any problems/issues at all.
Don’t know if you’re only looking for online checking or if others have mentioned it, but I bank with Discover Bank. Currently, their rate is 1.20%. I have been with them as my primary online savings for over 2 years now. After banking with them for about 6 months, they upgraded my account to a “Premium Savings Account” which offers me a 1.30% APR. This upgrade was by invitation only, but if you bank with them for a few months, chances are they’ll offer you the same. I only keep my 8-month emergency fund in this account, so there’s not that much money in it. I say this so that you don’t think you have to be wealthy to be offered a premium account. I think it’s just an upgrade for loyal customers. The premium account guarantees you a rate greater than the standard rate. I’ve never had any issues with the bank itself, so I can’t speak for customer service, but they are available by phone 24/7. Opening the account was easy, but transfers to and from other banks do take a full 3 business days to post. The website is pretty simplistic and easy to use. It’s $500 minimum to open the account, but there’s no minimum balance to maintain or maintenance fees. You are limited to 6 preauthorized withdrawals per statement cycle. Let me know if you have any questions.
How does Discover Bank treat you? You can’t beat the service AMEX offers for the most part. Chase is the worst I have experienced. Do you know how long their rate has been at 1.20%. I need a checking account, which will not be as high as savings. I have had such a horrible experience with ING’s BillPay lately, I think I need to get away from them too. I hate to see companies start out smaller, give awesome service, the best mission statement until they start making a billion then you start seeing the CEO, President on his new motorcycles, in front of their new homes, and the company falls right in line with the others. I can remember when I was with ING the first 8 years. it was a great experience.
Not sure if I have out-stayed my welcome, but replies to my questions have diminished to zero. 🙁 One more try. I am looking for an online account to take the place of the ING account (electric orange). I would like to have one that has good rates and the rates have been decent for a while. ING has gotten into this habit of lowering the rates without any notice, so if you have ING, you might not be getting the rate you think you are. I am sure I can do better, but I just do not know where. If anybody has had a good experience with an online bank, is fully above the board and FDIC, and has a rate better than the current 1.14% at ING for the Electric Orange, please let me know
Thanks!
SOMETIMES IT IS BETTER TO STAY HOME!!!
I’ve been with ING Direct for 8 yrs., and like many of you was looking for better interest rates. I checked out FNBO Direct. The registration process went fine, but they are so incredibly slow with transfers to and from the account, I just gave up and closed it. After an additional week and a half, I’m still waiting for
them to move the last of my money.
ING may have lower rates, but transfers and customer service is top-notch.
Sometimes it is just better to stay put!
I went to the following sites Redneck, AmericaNet and Evantage to review the Mega Money Market accounts which have an attract rate of 1.75 % on the first 35K. All three (Redneck, AmericaNet and Evantage) on-line banks have sold out the Mega Money Account portion of their account offerings.
Are these checking accounts?
3/9/11
Redneck, AmericaNet and Evantage are “mega money market” checking accounts. They will send you a debit card (I declined.) I use them as savings accounts because you only get 6 free withdrawals per month and their transaction times are quite slow.
I just got word that effective next month, the interest rate will drop to 1.50%.
What I need is an online (because they usually have the best rates)CHECKING ACCOUNT. I actually do not know the difference between a Mega money market checking account and a regular checking account. If ING had not gone down the “burn the customer” road for me and treated me as a asset to them by helping me locate what address they will be using to send my BillPay payments to, I would stick it out with ING and connect the ING account with a good savings account. It seems like more of the online savings accounts generally have the best rates. I will not use a debit card again (another ING Direct story when a merchant used the tip line on a few paper receipts that I signed but did not cross out the tip line, so they decided before they sent it to the bank ING to add a tip. Long story but I was basically told that the Visa logo means noting on the debit card. it was a horrible experience but I fought it and finally got the money this merchant I was using all the time for coffee got caught and the bank refunded all the extra “tips” they filled in. I heard so many stories by the ING customer reps, most being totally non-supportative to this rip-off scam.
Anyway, if the mega money markets are checking accounts I can find a decent one with a good rate. I would prefer a recommendation from anybody here who has had a longtime relationship with one of these companies and the rate they have been giving for the checking account balance has pretty much remained stable, please let me know. when I find one, I will sign up for it, get away from Chase because of what they have done to us Military men and our families while away for duty. I will find another either savings or another checking account and link the two so I can move the money in and out but keep the highest balance in the account with the best rate and try to set up something like a BillPay (which I like a lot better then having the bank get the bill and pay it without me even making sure I agree with the balance and the other stuff that is on a statement. that is one good thing about ING’s BillPay is that you can set up how much you want to pay, you get the statement (if you chose), and I like this way the best.
so I have a lot of changing to do, but if I can find the right institutions, the time to get away from ING and Chase is NOW.
So where is it written that checking and savings have to be at the same place?
I have a checking account with Wells Fargo that costs nothing so long as my balance doesn’t drop below $750. It provides paper checks and paper statements (though I seldom use paper checks anymore.) I have it linked to 12 (yes twelve) online accounts that pay interest. I keep two thousand dollars in it as a cushion for unanticipated expenses and sweep everything over that into whichever online account is paying the highest interest. If one cuts its interest rate, I simply direct future deposits to another linked account. If the cut is drastic enough, I withdraw all but $50 and switch the remainder to one of the other accounts that pays more. Sometimes the online outfits offer very attractive teaser rates for a period of usually 3 months. If you already have an account with a minimal balance there, it’s no problem to withdraw from one of the others, have it deposited into your linked checking account, and then deposit into the higher paying account. This takes about a week to ten days start to finish.
It’s easy to set up an Excel spreadsheet to keep track of all the accounts and what they’re paying. Just update it when you make deposits/withdrawals or when they change their rates.
I use a mastercard from Emigrant Direct that pays a 1.4% cash rebate on all purchases if a balance of $10,000 is maintained. Under $10,000 balance pays 0.5% cash back. Every six months, they credit the account with the cash rebate. I put every thing on that card I can and never carry a balance. So I usually only have to write one paper check month for my water bill.
The Federal Reserve is keeping interest rates low, hence financial institutions will only offer low interest rates. Therefore no bank in the US, whether local or on-line that will offer the public an attractive interest rate. If an investor has time and money, perhaps the best investment would be CDs or I-Bonds.
As for ING or any other financial institution that does not allow a customer to view the address of an issued payment, drop the financial institution.
Local banks throughout the US offer Free On-Line Banking and the customer has complete control of vendor addressing.
I hope this information is helpful to all on this board.
Bill C.
Bill C. I would have dropped ing a long time ago. I sent the President an email about this problem of not being able to view the billers address from their BillPay. What I am concerned about is that if I close my ING account (which is the Orange checking account) and move it into another bank that is a checking account, the int rates move down so quickly. I am not sure what ING is today but it hovers around 1.15% and although they do not even notify the customer anymore when it changes, I do not know of a checking account that give this int rate and pretty much stays there. If I did what Poops did (hook around 12 accounts to one main account, I would get so lost in all the rules about must have this minimum balance or these new rules will be implemented (the changes usually come in with a statement or another letter type paper with tiny print and is so unclear). Ing used to allow on the see the Billers address (where the payment is going) but for some reason they changed that. They tell you how to see the address but when you follow the instructions to see the address they use to send the payment, it says; “we remain in contact with this business. they notify us when the address changes, blah blah blah.) I keep telling them that I got a late fee because of their new policy and not being able to see the payment address. I went on to tell them that large companies like Sears, for example (who uses citibank) wants their customers to send their payments to the address that corresponds with the state they live in.
anyway, if you are aware of an online checking account, or it can even be a brick and mortar bank, that offers a rate above 1.5% for balance $100,000 and over let me know. Getting the other accounts hooked up to the checking account is not something I look forward to, but if I could know where my payments are going so I don;t have to worry about getting a late fee and an int rate charge, that would help my situation right now.
DOES ANYBODY KNOW AN ONLINE CHECKING ACCOUNT THAT HAS ANY DECENT INTEREST RATE WITH CHECKS?
TXS
I used to love and recommend ING. Their rates are not the highest anymore. When rates used to go up, they would send you this great celebratory email. Now that rates go down, they slip it in without sending you anything. It is buried on your statement if you read it carefully. I sent them an email saying this was disengenuous but they still do it—-just did it recently. They should have to notify you if rates go down, it seems decent if not mandatory. Looking around for alternatives now.
yea, I think the ING story is one of the most discouraging experiences I have had in a long time. I go online and check the rates. In case it helps you at all, if you sign in and go to your account usually the current rate is posted on that page that has your most recent balance, the name of the account, etc.
what I am dealing with ING now and their BillPay is so frustrating because I can’t see the Biller Address anymore like I used to be able to before I finished setting up a new BillPay account. they tell you you can’t view the address your payment is going for a lot of creditors or businesses because they say “we use them so much we have the address in our database.” I begged them to know the address they were going to use for Sears and JC Penny’s but they would not tell me and I set it up anyway. The payment went to the address they had in their database, but just as I thought, the addresses for payments can be different depending on what state you live and both JC Penneys and Sears went to the wrong address and I got a late fee. They will not pay the late fee even know I begged them to know what address they were using.
I contacted them and they sent these instructions on how to find out what address they will use, but I had been through this before and told them it says; “because we know this business we have the current address to send your payment.” They will not tell or show me the address. it is really strange and they make the BillPay sound so easy and flawless. anyway, I guess in this day and age, everything is changing, and not all for the better.
I have left several posts here but I will leave one that is not so long. I see they have great resources on this website for savings accounts and if I needed one to replace my ING account I would go with AMEX. I am concerned once I change everything like my ING checking account, which is OK, but I can’t get used to no checks and the fact that with the online Pay Your Bills or whatever it is called that they won’t give me the addresses they have on file for the bills I have like JCPenney, Sears, 3 AMEX bills, etc. I tried to check the address they wee going to send my Sears payment to and they said they have all the current address if the company is in their database. After all of that I found out it went to the wrong address. /some have different address depending on where you live but why not at least check it with me so I can feel somewhat comfortable that my payments are going to the right address. They say they will pay any fees for errors like this but they would not pay the late fee I got dinged for when my Sears payment was sent to the wrong address. I guess it was the right address for people living in the East but not in the West where I live (Utah).
Any thoughts on a savings account that has had a god rate like AMEx at 1.30% but their rate has help up for sometime? Also any thoughts on online checking accounts with decent rates?
Also, since I use my ING account to fund my other brick and mortar accounts when they need money, just the thought of going through that process again and getting that all set-up seems so overwhelming. Also, a lot of online savings and bank accounts have so many rules and regulations, in order to actually get the higher rate it seems like it might take a full-time person to make sure I am abiding by all the rules.
Any thoughts?
Very Glad I closed my Chase checking account 5 months ago, and this was before I heard of any of this, just hated their fee for everything and poor a$$ customer service always trying to enroll . I unfortunately still have a back up credit card with them which doesnt get used much and hopefully I will replace sooner then letter. Sad to hear them treat Americans this way, damn shame.
AmEx is paying 1.30 at the moment. Sallie Mae is paying 1.25.
The best rate at the moment is from the three banks owned by one family, Redneck Bank, AmericaNet, and Evantage. They are paying 1.75 on a Mega Money Market account. Redneck lists theirs as “Sold Out” but I think the other two are still accepting applications. The 1.75% is good on balances up to $35,000. Over that pays 1.0%
I agree about JP Morgan….but most mega banks are the same way…run by people that make Mr. Potter in “It’s a Wonderful Life” look like an angel. Right now JP Morgan is hurting because they have been shorting silver. The silver contracts are coming due soon and they are going to have to purchase physical silver at higher market prices to honor their contracts. Look for silver to spike considerably in the near future. Get in on it if you can and spit in JP Morgan’s eye. The less of it out there available, the more they’ll have to pay for it.
POPS
I WAS ACTUALLY LOOKING FOR CHECKING ACCOUNTS AND I STATED SAVINGS ACCOUNTS. IF ANYBODY KNOWS A GOOD ONLINE CHECKING ACOUNT (BESIDES ING DIRECT) LET ME KNOW. THANKS
IF YOU RESEARCH THE TOPIC ABOUT WHAT CHASE/JP MORGAN DID TO THE SOLDIERS AND THEIR FAMILIES YOU WOULD SEE HOW THIS DISASTER IS NOTHING LIKE WHAT THE HUGE BANKS HAVE DONE. IT TAKES THE CAKE WHEN CHASE/JP MORGAN RIPPED-OFF MARINES AND OTHER ARMED SERVICE MEMBERS AND THEIR FAMILIES YEAR AFTER YEAR AND TO READ ALL WHAT SOME OF THE FAMILIES DID TO GET HELP. THEY GOT TREATED LIKE A BUNCH OF FOOLS AND WHEN THE SOLDIERS CALLED THEIR FAMILIES FROM THE WAR ZONES, THEY HAD TO SPEND THE WHOLE TIME TALKING ABOUT WHAT TO DO IN ORDER TO SAVE THEIR HOMES. LOOK FOR WHAT THIS BANK DID TO THESE SOLDIERS. I THINK YOU WILL SEE HOW IT DOES NOT COMPARE TO MOST ANYTHING EELSE THE BIG BANKS DO.
Hay(yes I’m entitled to spell it that way) Pops,
I’m curious. What makes you think all but a very tiny fraction of those who bought the silver contracts, JPM filled on the short side, will send in a “notice” for Physical as the contracts expire? Won’t the major players be just rolling over their contracts believing their position is the right one?
kw
I recently had been seeing AMEX advertise for an online checking account with one, if not the best, highest rates of return. This checking account was advertised everywhere, but recently I have not seen it advertised at all. Does anybody know if this AMEX checking account is still around with the rate of around 1.40%?
If not, anybody know of a good FDIC insured checking account with a good rate (online is usually the only accounts you can get the best rates)? I have never taken a chance with these type of accounts, but I want to get rid of Chase/JP Morgan since they have been so cruel to many of the Soldiers and their families while they were serving all the way back in the Gulf War, but recently to the young service men and women by foreclosing on their home, adding thousands of $$$ of late fees, high rates dues to late payments, etc. all which are illegal when doing this to a Soldier who has goner to war. Again, on the news, I heard how this Chase (rip-off) Bank again has performed illegal activities by charging outrageous fees for various reason. I have been with Chase since they took over WAMU and because of their evil ethical standards and their desire to acquire as much money as possible by ripping off Americans. If you did business with this company for a month you would get examples of exactly what I am talking about. The employees lie to you, have no idea what the correct answer is to questions so the “international” Reps make up answers and then the bank hold the customer who was told incorrect information is responsible for paying the late fees, and other penalty fees. I have been with ING Direct, but see they are going the way of the high fees for more advertising and in return lowering the % interest rates they use to give, which was at the top of most companies I could find.
Anyway, sorry if I got you confused as I went off on the loser Chase Bank, but if anybody knows of a reputable bank who has a higher rate on their online checking account and that rate has been around for at least a few months, please let me know.
Because of what Chase illegally did to our Service men and women, I would encourage anybody with chase Bank to look elsewhere to put their money. If you get a chance to read some of the stories that made it to the Nightly News, you should o that and I think it will help persuade you.
Peace!
I’ve had an ING Direct account for over 7 years. As my balance grew, I saw that ING Direct was offering 1.1% while SallieMae was offering 1.4% (now down to 1.25% as of 2/11). I moved about 90% of my money to SallieMae and kept some at ING. I will say that ING is a better website, for sure, but I don’t regret moving my money to SallieMae because I’m making more money with SallieMae. SallieMae’s website could use some love (for example, when you’re logged in, the “contact” info is for the student loan servicing department, which won’t recognize you if you call), but I know how to use it know and get around the hiccups. I like having both accounts.
I am a new mom and want to open a savings account for my daughter. What would be the best bank to do that with????
Thats odd, I had absolutely no problem at all with American Express. Maybe because I have their credit card. But it was actually too easy, and only took a couple of days after applying online. I will say though, the website is very raw and less user friendly then ING direct, which if itwasnt for the rates, I would put everything in.
I have had an account at Emigrant Direct for a few years now. I really like them, but now the interest rate they’re paying is paltry. Two times I looked and compared rates and American Express Online had the highest rate, so I was thinking of switching over to them. Can anyone give me more experiences and recommendations in this regard?
I also have had problems setting up an acount with American Express. I signed up online 2 days ago and had to wait two days for the “test deposit”. When that went through, I logged in to confirm that they had the right account and I tried to finish the verification. I called AX this morning and they said that they were having problems with the AX savings account web site and to try again later today. I just tried again (it’s 4:20 pm) and the account is still down. A call to customer service confirmed they are still having problems. It looks like their online system in not robust (e.g. its unreliable). I’ve had an AX card for 25 years and have been happy with the service, but am concerned about the relibility / safety of their online saving saccount site. Have people had any problems with ING?
This account process has been a nightmare! We applied over a month ago, and a week later we got a letter requesting a letter of identity verification from our bank. We went to our bank and sent that in, and then 2 weeks later they sent another letter requesting a letter from the social security administration. This is ridiculous! Are people supposed to take a day off work to wait a couple hours at the SS office for a lousy savings account? The customer service agent’s other advice was to try to apply again and see if we get a different result. This seems very suspicious and I am fed up with their inconsistency and lack of respect for their customers’ time.
To clarify, this comment was directed at the American Express High Yield Savings account. The interest rate is one of the best, but the hassle is not worth it. There are many online banks with similar interest rates right now.
All those are good, but you could look at Flagstar Direct as well. They have S.m.a.r.t. Savings, Express savings, Money market savings and a few checking accounts. Also check out your local Credit unions with more open membership rules. (My Accounts at Wescom CU are the base from all my othere online banking branchs out from..)
I’m looking at online banks with both high interest savings and checking as well as good, fast online bill pay, I’m also frustrated by the new fees that will be coming down the pike from Bank Of America, Wells Fargo, etc, and would like to make a choice that would minimize my exposure to future fees. I’m looking at ING Direct, Ally, and Capital One. Any suggestions? Thanks!
See my comment above re: Capital One. Only downside for me is no local ATMs.
I have Capital One and they have a seriously crappy website.
Thanks for this article. I was researching online banks since I need a good high yield bank that I can use for my personal savings. I need something that will make it a little difficult to get my money out. This will help me to do something to realize my plans of having the money for school and to take time off work. Did not know there were so many to select. Now I can look a little more at two of these.
Take a look at Hudson City Savings Bank. Local to NJ, NY and CT however they’ve always had very good rates (better than ING and Discovery Bank). I’ve banked with them for 30 years. Here is a direct link: http://www.hcsbonline.com/site/deposits_cd_nj.html
Has Hudson City Savings Bank had their rates stay pretty constant the past 4-6 months? I am looking to move out of ING and Chase for my checking account, but going through chemo, I dread the hassle of signing up for new accounts and linking one of the accounts so I can move money from the account with the highest interest (where the lump sum of the money will be) to and from the online checking account. I do not like ING online checking account for several reasons, but mainly because they keep changing the rate and now they are adding int and some other charge. Plus they will not provide me with the address the BillPay accounts will be sent to and one (Sears) went to the wrong address and I got slammed with a late fee. it is really strange how they tell you ow to find the address the payment will go to and you follow the instructions and read; “we are unable to provide the address…” some creditors payments go to one address depending where yo are located in the country. I send the customer service a complaint email and telling them that the message center send me instructions on how to find the address the payment will go to but it does not provide me with the address. A lady sent an email back telling me that if I was not happy with ING I could take my money elsewhere?! I was shocked by that reply but I guess it is a sign of the times we are in. ING used to be super. Chase, from what they did to the Men and women in the military made me so upset, i cannot keep supporting that joke of a bank.
I’m new to online savings accounts and am currently looking for the best online bank to set up an account with. I’m sure it’s been asked before, but can anyone recommend the best online account right now for someone who’s a beginner to all this? I’m looking for just your basic run of the mill account for the short term with a relatively good return, easy to use interface, good customer service, but most importantly, a bank with a good reputation. Don’t want this to turn into something from out of the movie “Boiler Room” lol. Thanks!
The best suggestions are listed in the article above.
I have had an ING account for almost 5 years. Their rates have been historically competitive (I opened my account in 2006 at 4.5%) and their website has been extremely easy to use. Transfers are completed within just a couple of business days. I have had NO problems and would definitely recommend ING. They have several different CD options too for long term goals. Best of luck to you.
Can anyone clarify this for me? EverBank high yield money market requires a $1,500 minimum opening balance. When I look at their Rates and Fees, I see this:
“Monthly fee in any month when average daily balance is below $5,000 $8.95”
Does this mean I need a minimum balance of $5,000 or I will be charged $8.95 a month?
Cucamongaric: That’s what that means. You’ll need to open with at least $1,500 but you’ll be charged a fee if you don’t have an average daily balance of at least $5,000.
Thanks! I was assuming that the minimum opening balance was the same as the daily minimum balance. Kinda tricky!
Yea, that is one of the latest tactics banks and other institutions that got hit by Obama’s slam dunk on financial institutions, are “cleverly” doing to gain back their missed additional income from the changes Obama hit on the financial institutions. You would think that would mean if you had $1500 or higher you were free from the monthly fee but they have all gotten cleaver. I wonder if the ING lovers even realize how the CEO/Pres with the 25 rare motorcycles has recently started to add on some of these tactics that they do not have to tell ou about. When the pro ING people find these out, call customer service and see how “good” the customer service is, it will be interesting to see how fast their opinion of ING is. It used to be the best, but the $$$ itch got the CEO/Pres and it is slowly coming to light.
I’m very thankful I found this blog, it is just what I’ve been looking for. I have been trying to find information about savings accounts with higher interest rates than the norm. SmartyPig looks interesting too, but I’ve heard a few people complain some about them not having good customer service and that makes me a bit leerie. If anyone has anymore info about any experiences with them it would be greatly appreciated.
I have used SmartyPig in the past as well as currently. I was very pleased with the experience. It’s great as it allows you to set up various goals and you can choose to have them added to as often as you want almost. For me, I like watching the amounts for my various goals grow and knowing I have money earmarked for certain things. I had reached one of my goals and chose to have the money deposited back into my checking which took 3-4 days. For me, that delay in receiving the money helps me resist impulse transferring. The one negative thing I will say about SmartyPig is that it take 4-5 days for the money to leave your bank account and end up in SP goal. I will continue to use this savings account as it is simple and straight forward.
Have been with SmartyPig for a year and have had no problems whatsoever. Best rate, simple saving. Love the gift card idea for getting even more return on my savings. If all you want to do is save money this is in my opinion the best option.
I went to SmartyPig and got all confused. I was hoping it would be pretty straight-forward but it seems like they have several options and some different things going on. ,I was hoping to get some help by sending them an email but I never heard back from them.
I would love to close my local Chase account (after I learned how they treated the servicemen and women while overseas. I saw them or a “rep” of Chase Bank (they couldn’t even send an executive employee) when they pulled this female in from of some of Congress to find out why they foreclosed and charged some service men and women some outrageous fees while stationed overseas. It was just the most disgusting story I have recently read. I wish I would have heard what their penalty was, if any.
so I want to close my local Chase account and deposit it into an online checking account. I guess it could be a savings account but how do I send in a check for my mortgage, cell bill, power bill, etc.? I do not like it when the financial institution is set up to draw the money they need. I had that once with Chase, (the worst), was using my debit card for purchases from this local store only to find out what transaction paper I was signing was NOT what the local merchant actually put through to be drawn out of my account. Yes, it was much higher than I signed for when I made the purchase. I went around and around with Chase employees, some told nen”everyone thinks just cause our debut cards have a Visa or MC logo it means we back up their purchases, when the merchant actually puts through a different total then what I signed for. I could not believe my ears. so I worked through what this person said to only find out a supervisor told me to go in and talk to the merchant. No, they had the original transaction paper I signed for the purchase with the total I signed and agreed to. For the merchant to raise that when he submitted his papers to the bank and Chase expects me to pay because the merchant raised the transaction total. I was also told, well we can’t keep trake of what you purchase so we have to go by what the merchant send in. I asked her, so why do they do an approval of the amount using the debit card from Chase if that means nothing? Also, the transaction receipt I sign is the total I agree to. what a disaster. I thought why even have this debit card if this is what it all can mount to. I know this is the exception, but it is when you run into an exception and find out how the bank really handles it and treats you that you get to see the “real bank” in action.
So I would like to deposit my balance from Chase into a good account with a decent rate (and no ING is not it, they have seen their day).
Hi,
I just graduated law school (with some nice school loans), but I also just passed the bar and I am working. So with that said I would like to re-vamp my banking so I can start the “real world” on the right foot. Right now my fiance and I each have a checking account, one in bank of america and one in RBC. I am not really familiar with all of this stuff. But I don’t like my RBC account and know there is better out there. Now that I am making money I want to start saving money and make that money work for me. I have excellent credit, but not a whole lot of cash to put in the bank. Now, with all of that said… can anyone offer some advice on where to start with savings accounts? I want to get one of two going that money is going to be put into every month. I want to get enough in one for our emergency fund and then get another that I can just watch grow and move around. If anyone has some advice it would be greatly appreciated as this is all new to me! Thanks!
Also, I am going to move my RBC checking account asap. If anyone has suggestions there to that would also be great… I am considering USAA for my checking since my father was in the Army. They are who I do my insurance through and I love them.
Flexo & Others
I am a president of a small condominium association in CT. Currently, the association has reserves in ING and a local bank, both institutions are paying less than 1 percent on the association’s reserves.
So Flexo and others, can you recommend an on-line institution that pays at least 1 percent interest on the association’s reserves and is FDIC insured.
Hey pop and others,
I am currently an ING direct user and thinking of switching to Amex savings for slightly better rate. Can you compare just thosetwo side by side? Does Amex have subaccounts? Does Ing have monthly withdrawal limits im not sure of? Compare customer service
Thanks, grandesob
Grandeson
Don’t switch…..ADD. Keep the ING account open to preserve the features you like and transfer the excess funds to AmEx (1.3%) or Sallie Mae (1.4%) for the better interest (I’d put my excess in Redneck, AmericaNet or Evantage, but I have them maxed out.).
I keep the ING account open with $25 in case their interest rate improves or they offer a teaser rate. I like everything about ING except the interest rate. Same for Emigrant Direct. Both are very easy to use and have never given me tight jaws. But the interest rate is the pits.
Take a look at AmericaNet Bank’s mega money market account. They’re paying 2.00% and have been for quite a while. They are less handy to use and transfers take about a week to settle, but the return is unbeatable right now. Same for Evantage Bank. Both are owned by the same family that owns Redneck Bank and are FDIC insured.
American Express seems to have the fastest transfer time. 2 or 3 days is about average.
pops
Yea, I used to love ING and was a very faithful customer. Being a exercise physiologist and working with many athletes; marathon runners, and also help with organizing the after-event activities. One day, when the rates started to plummet, which was way before the economic crisis, I was traveling all over the Country to help my clients and the organizing organizations set-up the runners first aid tents, and other activities they put on. ING all of the sudden had to pay big bucks to be right at the Start and Finish line and a larger tent at the entry area to the after-race activities. tons of orange banners, and I mean tons like around 15-50 depending on the size of the event. Everything they gave out was orange, balloons all over that were orange, and after a couple of these I realized they had changed their company tactics to give the best rate to the customers, because they could. they did not have to do this extra advertising, the service and customer service they gave brought in tons of customers. since I signed up in the mid ’80s, I saw a huge increase in customers, way before they started spending the outrageous monies on other area like sponsoring marathon races and the after events, the money for the banners, and all the orange balloons all over, the contents in their tent that was all colored coordinated. they did not need to spend all of this money to boost their customer base, especially after reading the owner’s vision of the company and briefly that was to keep the extra unnecessary advertising and other ways to get their name out and give that back to the customers in the way of higher rates. This is how it was when they opened for the first 10-15 years, as far as I can remember. I just think it is sad when you have an owner who seemed real sincere, after watching an interview on his one of a kind Harley made just for him in front of his mansion. I know once these people get bit by the $$$ bug, it is nearly impossible to keep them focused on their original vision and statements on how they would always put their customers first. Just my opinion, but I saw this same thing at all the events I went all over the Country that started around 2005 or so until the last one I attended about 10 months ago.
Great, pops… all of those funds (AmericaNet, Evantage, Redneck are all sold out and closed at 1.5%. What’s the next recourse for a high yield short term savings account?
tbrady
I have a question about the new HSBC Advance. If I had opened HSBC Direct savings account with HSBC Online Payment account, then I would be allowed to use an ATM card..and as long as I use the ATM card to withdrawal from my HSBC Online Payment account, HSBC would reimburse the surcharges that the non-HSBC ATM fee charges on the 1st business day after the month cycle. Now that they’re offering HSBC Advance, does anyone know if the HSBC Advance account will allow use of ATM card and reimburse the surcharges from non-HSBC ATM fees?
The HSBC Advance account is no different from the HSBC Direct account. All that has changed is the name.
Whoever Flux is… they got typos on the name of their company, and are probably fraud:
Flux Holdings, c/o TFD Unliimted, PO Box 1873, Fairview Heights, IL 62208 Phone:618-628-3106.
A legitimate bank does not register their websites with godaddy, and will provide various contact names and information.
“Flux” is now down to 2.5%. Very fishy. “Give us your money. We make better investments and pay you more! Oh, and by the way, not FDIC insured…but don’t worry!”
I use AmEx Personal Savings. Still paying 1.3%, easy to use.
Just another vote for Redneck, AmericaNet and Evantage — 2% on the first $35000. That’s $105,000 you can get 2% on with safety if that’s what you want (assuming Redneck starts accepting savings account apps again). Don’t understand why anyone would settle for less. These are all FDIC insured.
From Goner
All three of these banks are in Oklahoma and owned by the same family. Their online pages share similarities, as do their toll-free help lines (separated by one or two digits.) I called the Evantage help line once and talked to “Kylie.” A few days later I called the Redneck helpline and talked to Kylie again. They pay interest on the third Wednesday of the month. Sometimes there are 28 days between third Wednesdays and other times as many as 35 days. On a maxed out savings account ($35,000,) you will earn $1.898 per day. Paid interest will range between $53.14 (28 day period) and $66.43 (35 day period.) Transfers are very slow and take at least 6 business days to execute. I usually do the math and schedule a tranfer equal to the anticipated interest from all three to my Sallie Mae account (1.4%) on the second Wednesday of the month. That way there is no interest losing lag time when I request a withdrawal from the three to keep my balances at $35,000.01 in each. I have heard that if the account is dormant (no DEPOSITS) for a period of twelve months, there is a $20 dormancy fee assessed. So every 6th month I make a deposit just before the statement period ends, then pull it (and the interest) back when the period ends. 2% won’t make anyone rich, but it will keep you from going broke quite as fast.
i have this checking account with Perksstret financial i lost my debit card i report it lost but this bank never close my debit card so a week after all my money in my checking account was gone and they have no explanation for this matter and they told me that i have to sit down and write down all the transactions they were made i want to advise people not to use this banks service now i do not know what can i do if i will get my money back can any one give an advice thanks
Pops,
very good informative comments. I’m looking for overnight transfer, no min, no fees. Was with E Trade that had that, and they shut down savings accounts and transferred tehm to Discover. What do you suggest?
Thanks for your time,
Mike
Mike
Don’t know about overnight since I never require such speed, but American Express has a good rate (compared to most) and transfers in one or two days. ING has lousy rates but very fast transfers also. I’m sure most will give overnight service for an fee.
pops
Concur with pops on the Amex Savings account – fast transfers (appears in the account the 2nd day)
Online:
American Express Savings Account, held for 1.5 years – fast ACH transfers 1-2 days, good customer service.
Bank Provident Online/Provident Bank MA, held for 1.5 years – slow transfers 3 days, horrible flip-flop rates 0.5%, excellent customer service
Capital One HY MMA, held 3 yrs – very slow transfers 5 days, avg rates 1.10%, avg customer service .
Opening an ING Savings currently…
Brick:
BofA My Access Checking /Regular Savings- The fees suck…
I’m looking for an on line savings account that a transfer to an external account only takes one business day. I had one at E Trade, but they shut down savings accounts and transferred them to Discover Bank. Not as concerned about the rate as I am about quick availability to funds.
Thanks
I too was with ETrade and was bought out by DiscoverBank. The Premium Savings is earning 1.24% currently(06/2011) and can’t find another company with as good of a rate and transfers usually are there next day.
I take my Discover Bank comment back. It took 3 days to get a transfer from my Discover Bank savings to my Chase bank Account. E*Trade was soooo much faster.
Long term a home is a great investment, inflation or not! Home ownership locks in your monthly housing cost on principle and interest. The additional cost of maintaince and upkeep are still much less than what you would be paying out as the rents to up each year. Rents will go up
300 to 400% wile house payment stays the same.
The other angle is leverage. Buy a 200,000 home with 20% down, $40,000.
Think if it as renting to yourself for 20 years. In 20 years your home is worth $400,000 and your rent has not gone up since you started renting to yourself. Your $40,000 is Tenfold!
Article on front page yahoo says home is a breakeven with inflation is nuts!
What’s the word on Capital One’s savings account? I saw they have a five-star rating from Bankrate.
Their rates look great and added bonus when you have a credit card with them too. Anyone have experience with CapOne?
I use Capital One for about a year now. Had ING and Hsbc previously but Cap 1 has a better rate than either of them. If you keep $10,000 in the account you get an extra 10% bonus on your interest quarterly. I have had no issues with them to date.
I really REALLY like their direct banking customer service. Website works easy and well. No fee for foreign currency withdrawals if you are overseas and use the ATM card.
I have been with Capital One Online Banking since it started and only recently have I been severely disappointed. I had noticed quirks in the site, like “schedule transfer” then “view pending transfers” … pending transfers says none but I just scheduled one! I also use Wells Fargo and never saw such nonsense from them. Then came the clincher with Capital One. I had to do a change of address and a few weeks later my neighbors are getting my statements! How did that happen? I typed it myself online… I investigated and discovered all the online screen does is send an email (which can be seen in your sent items) to someone who then types it in to the system. What is this 1999? To make matters worse the system ignored all subsequent attempts to correct the error. Yes, literally ignored, no warning or notice, just ignored (customer service claims this is a security feature). I finally got the change completed over the phone to a lady who kept insisting that Direct Banking and Online Banking are 2 different things and that she doesn’t work for Online Banking. I tried to call the first number and got a fax/computer, so I ended up with her. I’m withdrawing most of my deposits there. My other gripe is it takes too long to transfer. I have an account in Bangkok that gets the money to my liquid checking account within as many hours as Capital One takes in days!
Maybe I could live with the terrible website if I was still getting the 5% I was getting when they started, but their rates are relatively status quo and their site sucks.
Totally agree. We can only hope that perhaps with their purchase of INGDirect, Capital One will transfer accounts. to the far superior ING data processing center.
Flexo, thanks for the warning about Flux Holdings. I went to the Flux Holding webstite and they are offering 5 %. But one wonders how they can offer 5 %, when the world economy is struggling. The interest US banks offer is falling below 1 %. I guess Flux Holdings comes under the category of it should too good to be true.
I have had good experience with Flux Holdings. 5% APY is pretty great right now.
Whatever Flux Holdings is, it’s not a bank. Deposits there are not FDIC insured, and that’s a big warning. I suggest staying away.
Agree 100%. I’d encourage everyone to stay far away from this one. I bet the person recommending Flux actually works for the company (if it even is a company).
The fluxholdings site does not even use HTTPS/SSL for the login page.
ING Direct – More than 7 years of expirience, competitive rates, excellent customer service and one of the best on-line interface. Very easy to use. Still with them.
Metlife bank – More than two years of experience, rates were competitive upon opening of the account, and then dropped to ridiculously low numbers, so-so on-line interface, average hassle when closing account.
HSBC – More than 3 years of experience, competitive rates, terrible customer service, terrible on-line interface, and major hassle upon closing account.
Hope it helped.
ING has seen its day. I have ben with this company for 15 years. They started out with an awesome mission statement, great customer support and service, and the owner did everything he could to offer the customers the best rates on the money they put into his company. Over the past 6 years, as the company grew, the owner had more of an interest in spending the additional funds he would give for a higher rate of return to his advertising needs. All of the sudden, every marathon, city street fair, etc. was opened by an ORANGE booth, with Orange balloons, orange suckers, and so many other things so that he could build up his customer base. His need to keep his customer’s getting the highest rate on their return.
To me this is so sad, because his loyal customers who have been with him for years were all of the sudden not getting on of the top rate of returns on their money they put into his company. Why he chose this other road I have no idea. For the Orange Checking Account, his rates are average, nothing like they used to be. so before any ING fan writes how this company give the best to their customers, take a look around at a few other online checking Accounts. i.e. AMEX, Alley, etc. ING has made it very clear lately what they think of their customers. How sad to go from a company who treated its customers as if they were the back-bone of his success to a company that treated the customers in an average way. On top of this the customer service has plummeted own to where the majority o other online and web-based accounts are. The good ole ays are gone with ING.
Absolutely agree. Any time any one says ‘competitive’ it turns out to be barely average in the same market niche.
Completely disagree you are unfortunately not clued in on how the process works. This is supply and demand – A bank uses its deposits as a lending source and make rates of returns on the loans they offer – As long as there is credit demand there is deposit demand- When credit demand and risk don’t allow for the same loan volume a bank lowers their interest rates to stem off new capital because excess capital sits at the Fed earning 25 BP and the business becomes a money losing opportunity. That is why ING started with the checking account to make money on the processing side.
Very simple customers are nice but the business model has to sustain itself – Furthermore you refer to ING as a him – ING is a multi-billion conglomerate, they know very well what they are doing and how to make money.
100% Disagree-
This person has been misled thinking that a good investment business is all about how much money it has. Frankly, it makes no difference to me what points you are stating as long as the company is doing well, has a good track record with great customer service and the way the executive handle the money. ING got of course when it started putting most things first besides the customer service and giving the customers the best interest When the CEO/Pres. has pictures on many websites of his cycle collection, his many mansions, and has hired people who do not care about problems that arise; especially if it makes their day tougher. This company, if you want to look back at how a great company used to be run, take a look at this company when it first opened and 10 years after that.
I use ING for personal banking, even though they don’t have the highest interest rate.
I use Everbank for business banking. High interest rates and good customer service.
FNBO rate has dropped to 1.25%
ING has dropped again, effective 2/18/10 it’s 1.15%
I see that your article claims to be updated as of February 15, 2010. As an FYI, I was an E*Trade customer strictly for their online savings account. Just last week, I was informed via email that they are discontinuing these accounts to focus on their original purpose of trades and other investing. They are transferring all online savings accounts to Discover Bank.
I have also been a Discover Bank customer for almost a year. They recently upgraded their website and the interface is much easier to use. Their customer service is knowledgeable and courteous. They are offering a 1.35% APR, but if you’ve been a customer for a while, they are offering a premium rate of 1.59%. While you may not qualify for this rate just yet, it shouldn’t be long before it’s offered to you. While both rates are variable, the premium rate is guaranteed to always be greater than or at least equal to the standard rate.
Just FYI E-trade sent me an e-mail saying that they are getting out of the online savings account business.
They’re transferring all the accounts over to Discover Bank (I’m guessing it’s related to the credit card issuer).
Hope that helps so you’re able to update this list.
Jeff: I haven’t heard about that. I have an E*Trade Bank account but have not received an email. I see a number of second-hand reports, but nothing official from the bank yet.
Mike Why aren’t you sharing the name of the institution offering the 2 % interest?
I used to be with FNBO until they chopped their interest rate to around 1.5%. My new savings account gives me 2% with no fees, no rate tiers, and its highly rated for safety. I won’t divulge the name of the account but I urge others to do their own research to get these good rates.
I’ve been with FNBO for about 6 months and have been impressed with their website, customer service, and good interest rate. Used to be with Etrade, but they kept chopping the interest rate from 5% to less than 1%.
ING Direct is the best. I've had them since I was like 17 or 18. Have multiple orange savings accts for different things, normal savings, travel fund, vehicle fund, etc. Use the electric orange as my primary checking account. Customer service is absolutely fantastic. They answer the phone within seconds and there's no ridiculous automated system to get through. Their electric orange bill pay is the easiest thing ever. I get an e-bill through ING bill pay with my Amex which makes things even easier.
I've had a wonderful experience with Amex since my parents added me to their account when I turned 16 and got my driver's license and became their personal assistant. (ugh!) Anyway, years later and I have my own AmEx card now and always had a positive experience when calling them, etc. And their website is so easy to use! My dad has like 3 amex cards and it's easy to see at a glance the balances and stuff. They've overnighted me a new card for free every time I lost it which happened a lot when I first got my parents card back in high school years. (Imagine how shocked I was when they offered to overnight a new card for free the time I “accidentally” dropped it on the way out from the dry cleaner's and told my parents I guess I can't pick up their stuff anymore now that my amex card is lost. that one sure backfired.) My bank back then would never overnight my debit card unless I wanted to pay $35 or something ridiculous like that. So I'm sure their online savings account customer service is superb as well.
ING Direct is the best. I’ve had them since I was like 17 or 18. Have multiple orange savings accts for different things, normal savings, travel fund, vehicle fund, etc. Use the electric orange as my primary checking account. Customer service is absolutely fantastic. They answer the phone within seconds and there’s no ridiculous automated system to get through. Their electric orange bill pay is the easiest thing ever. I get an e-bill through ING bill pay with my Amex which makes things even easier.
I’ve had a wonderful experience with Amex since my parents added me to their account when I turned 16 and got my driver’s license and became their personal assistant. (ugh!) Anyway, years later and I have my own AmEx card now and always had a positive experience when calling them, etc. And their website is so easy to use! My dad has like 3 amex cards and it’s easy to see at a glance the balances and stuff. They’ve overnighted me a new card for free every time I lost it which happened a lot when I first got my parents card back in high school years. (Imagine how shocked I was when they offered to overnight a new card for free the time I “accidentally” dropped it on the way out from the dry cleaner’s and told my parents I guess I can’t pick up their stuff anymore now that my amex card is lost. that one sure backfired.) My bank back then would never overnight my debit card unless I wanted to pay $35 or something ridiculous like that. So I’m sure their online savings account customer service is superb as well.
I opened an account with Discover Bank about two months ago. I have had nothing but trouble with it. After opening the account, you are supposed to get a welcome kit in the mail in 7-10 days. I took 3 weeks for me to get mine. I was starting to wonder if my $5000 had just disappeared when I finally got a statement that showed my deposit. However, the biggest problem I have had is with the Discover Bank website. I submitted the application for online registration so that I could access the online banking. You are supposed to get a response within 2-3 days. After a week I still hadn't heard back from Discover. I got no help from customer service. After submitting a second application for online registration I finally received an email that said I didn't qualify for online banking. What?? I don't understand that. Since then I have made several more attempts to view my account online, but I've had no success. I have finally given up. I am closing this account as soon as the 90 days is up so that I don't have to pay the early closure fee. The interest rate is definitely not worth the hassle for this one. I have had my fair share of online savings accounts and I have never had this much trouble with any bank.
Now, Beacon has stars but I am still worried. Why was going public important to their operations? I loved the bank before the transition because of the good returns an FLEX accounts. Now the pressure is on to lower interest rates to widen profit margins to produce dividends. Risky investments are part of the malaise. Seemingly big retirement bonuses and rigged buybacks are unsettling. The interest rates are no longer attractive with the 2 starred sword of Democles poised over the Bank. Reducing mycommitment might be wise. Am I wrong? DL
I have just had a horrible experience with FNBO. I completed a transfer from Chase to my FNBO account through FNBO, and they took the funds from my Chase account TWICE. Naturally, this resulted in an overdraft of my Chase account. When I called, they simply said they knew of the problem, and it wasn't just me… it had happened to everyone who had made a recent transfer. They said there is nothing they can do until they figure out the problem. They said it happens a lot… I don't know how that is supposed to make me feel better.
So now I am stuck with huge overdraft fees because FNBO screwed up, and they appear to be in no hurry to fix it. I am closing my account as soon as I can get all of my money.
According to ING, new accounts get $25 (and I get $10 for making the referral). Read their website and then send me your email address…I’ll refer you! They have a great website….unfortunately, their rates have dropped to 1.4% (used to be 5%). If I can’t make it interest, I might as well make it in referral fees! Thanks!!
I have 3 online savings -one at Emigrant – started out at 4.25%(remember THOSE days!!???)except for the rate drop they are really great, great website and excellent customer service. HSBC is my brick and mortar bank & I am never impressed in person let alone online savings wise…opened savings when they offered a good deal for new accounts at a high rate for set number of months…then it began the slow painful plunge like all the rest and their website is a pain and all of their processes including transfers are SLOW. Also have a GMAC/now ALLY account which has been dropping and I am ready to move my hefty balance there to a higher yield …again. They are very good, great website, quick processes, excellent customer service, hate to leave… but rates are rates…so I’ll keep it open and play the rate chase game!
Which brings me to SFGI- online division of Summit Community Bank/Summit FInancial Group in West Virginia – no minimum and rate has been 2.25% for several weeks- I am sure it will drop as soon as they get enough “new money” lured by that rate but it is FDIC insured and the parent group has a good stable track record…I just am researching them now but initially I am imopressed….anyone else use them or have an opinion?
I do not agree totally with Cheryl in terms of not chasing rates…it is a pain and of little gain sometimes BUT there is the factor that moving your money in and out to get the best yield sends a message to the banks that keep dropping and to me that is important. If you leave it in and remain at their mercy all the time they have control not you and I don’t like surrendering any more control to financial institutions than I absolutery have to. We “shop” savings and prices all the time in other personal business we conduct( gas, groceries, necessities) why not banks- with the convenience of online we have no reason not to and every reason to do so if we want to.
I have an ING account that I opened in 2004 and have been happy with ever since. But now that rates have dropped to 1.4% I’m thinking of switching to a higher-yield savings.
I heard Discover Bank is 2%, but I just went to their website and the second I clicked on “View Details” for the Savings Accounts, my virus protection alerted me of a Trojan from their website! Now I’m cautious of using them.
Ally seems like a pretty good option. Considering them as well. But what do you think? Stick with ING and wait for the rates to go back up? Or switch to a higher yield now, with the chance the rates will drop more?
Came across a online account called “ReadySaver” by the Southern Community Bank and Trust.
Looks interesting, but it’s online only from the Carolinas. currently 2.00%apy and can open with $1.00 Anybody tried this one yet?
Ken N.
Thanks for your article “The Best Online Savings Accounts”. You may want to consider adding Beacon Federal Bankcorp to your list. They offer flex accounts, with consistent high yields, currently at 2.15% for 5 months. They are FDIC insured. However, there are 2 negative points: one must maintain a $10k minimum balance and the bank currently has a below par 2* rating.
I don’t have any info on EverBank, but if you are a Priority Club Member (Holiday Inn Hotels) you can gain points by opening up the bank account through Priority’s website.
If anyone wants to open up a new ING account, send me your e-mail. I’ll refer you to ING through their link. You get $25 from ING and I get $10. Totally legit…see it on their website. Yes, I feel like a whore, but times are tough.
Truly, ING is a great bank!
I’m still evaluating Everbank. I’m waiting for my confirmation that they’ve opened my money market account. You can follow my progress here and I hope to have a review soon.
I have had an account everbank for about 9 months now. Very good experience and customer service. A live person answers phone right away unlike voice mail hell from hsbc and others
How about Everbank? They have a three-month promotional rate of 3.01% when you open an account with them.
I just found your blog and thankful that I did. Great information found here.
I have both an E-Trade Checking Account & a Savings Account. It made it so easy to transfer funds between the 2 accounts. They were always available, could do everything by Internet, and a breeze to set up. I also had 2 CD’s with them and when they matured, it was a quick phone call to transfer the funds to my savings account. E-Trade use to give great rates, but now they are .95%. So I am now on the hunt to find a better paying savings account.
After reading many reviews and comments, I came to the conclusion to base my decision on a few factors:
1) Do not chase rates. As we have seen, they can change very quickly and there is usually a hitch and hoops to jump through to catch that higher rate.
2) Must be easy to access and have a help line that ‘people’ actually answer.
3) Have a good, stable reputation.
4) I didn’t want to deal with week(s) delay in setting this up, so EFT is important. Come-on, welcome to the 21st century.
Reviewing the bankrate.com site, I decided to open the new DiscoverBank Savings Account. They offer a 2% APY with a $500 minimum. It took a total of 10 minutes to fill out the online application, transferred my funds, and received confirmation and an account number. They are mailing a “Welcome Kit” to me and then I can set up the rest of the Internet settings. I’ll let you all know if something goes badly after this point, but I am not expecting it to. I even called the “Help” line and spoke with a very friendly and helpful person who answered my questions. Their website does not tell you that you can transfer funds OUT without charges, and that they offer Bill Pay. You can withdraw funds up to 6x/month.
Hope this has been helpful.
trouble getting $ out of ShoreBank. What’s the best way?
I finally decided to move my money from Venture Bank Direct (now paying 1.43 %) to
Provident NJ Direct (paying 2.50 % as of 7/18/2009). Provident is paying 2.50 % on 10K or better for the first 3 months of the life of the account and 2.00 % there after.
I opened the Provident account on 7/14/2009 when the interest rate was 2.75 %, but
on 7/18/2009 the interest rate fell to 2.50 %. Better than Venture Direct.
Bill C.
I’ve had ING for over 2 years now. I believe the rate was 5% when I first opened my account. Other than the fact that the rate keeps dropping (just like everyone else’s), I think this bank is great! I opened 2 sub-accounts for my kids. I promised to match their savings dollar for dollar (I’m the best “401k” in town!). They’ve really gotten into it; they love when I print off their monthly statements and they get to see their interest.
I also got lucky about 6 months ago. I knew rates were going down and I locked into a short term CD at 3.25% at the time. Unfortunately, most of the short term CD rates now are lower than the savings account rates.
Does anyone have experience with Discover Bank? They’re showing 2% savings with minimum $500 to open the account, but no minimum balance after that.
HAs anybody else notices that the “WaterField Bank”, UFBDirect and the National InterBank websites all link to the same online banking accounts??? Found out when trying to open accounts at one and was told “You already have a account here????
I have ETrade, ING and HSBC. I like ETrade the most because transfers are instant. But since their interest rate is lower than the other two, I only keep low balance at ETrade. HSBC is a global bank, so is ING. With ING and HSBC, there is a waiting period before you can move your money.
I was with Shorebank for the past 3 months because of the rate, but it’s not worth it. Terrible interface, slow transactions, and I have reason to have serious doubts about their security.
I have been using Ally Bank for 3+ months now and have had no complaints. Everyone I have spoken to within customer service has been very polite and easy to understand. I have not had a problem to speak of so I can not comment on their conflict resolution… but that is not a bad thing not to be able to rate. Only downside I have experienced is that my interest rate has dropped by a point so far, but most banks promoting the online savings accounts have done the same. I wouldn’t worry about GM’s financial woes, accounts are FDIC insured.
Just opened a savings & a Money Market account at Ally. That was the easiest time of opening a online account I have EVER had! I think I’m going to be here awhile…
Ken N.
Felix
What is your opinion on opening an on-line account with Ally Bank (formerly GMAC Bank)
with GM on the brink of bankruptcy?
I just tried opening an online savings account with Ally bank, but unfortunately I was denied due to my bad credit. I was extremely disappointed since I wanted to take advantage of their outstanding products.
Noy sure you would have any better luck with them, but American Express just started a Savings account online as well. Had to read a bit into the details file before I found that they state that there is no mininum starting account to open a account. Have not tried it yet. Maybe next month, if funds are avaliable for me to do so.
Ken N.
Got the account open at American Express Bank. Looks good so far. Even found the ABA number so I can do transfer by ways other that the “Inhouse” way at american express.
Ken N.
We use Emigrant Direct, great customer service, APY is 1.5% right now.
Just wondering if you’ve checked out SmartyPIg. I’ve been using them to save for specific goals and their rates are very very good foor a savings account. Also, they do customer support via twitter and Phone. Seriously the best banking experience I’ve had in a long time. No phone hold time or anything. I wish I could open a checking account with them. Just my $.02.
SmartyPig has turned out to be the worst banking experience for me. They doubled up may transfers and overdrew my bank account by $30K, thier customer support cannot answer any questions that are not the website FAQs and their real bank people are never available to answer real questions. I’m looking for somewhere to put $100K, but these folks are not proving to be worthy.
Some of these rates are out of date, according to RateBrain
I’ve updated the post to reflect today’s rates, thanks for the reminder!
FNBO will not allow initial account funding by electronic transfer. They will only allow mailing in a check, at which point they say that will open the account “within 5 days.” In other words, a week of interest that I would miss out on.
Chris: FNBO Direct does allow initial account funding by electronic transfer with your routing number and account number for the funding account. It will take a few days to confirm that you own the account you would like to link, but it’s faster than sending a check. In fact, when you begin the account opening process, FNBO Direct’s website says:
fnbo does allow transfers…are you sure you are banking with fnbo.?
Having a bad time with UFB Direct: Min Bal on accounts has jumped to $10,000 to avoid a $5.00 “Low Balance fee”. Have had Much better times with INGdirect, Etrade, EmigrantDirect, Capitalonedirect, FBNO, Flagstar, WAMU, WescomCreditUnion, ShorebankDirect, UnionFSBDirect, ONBank IgoBanking, CNBbankDirect, AmtrustDirect. Been looking over a Odd one called “Redneck Bank”. It’s a Real bank! Nice looking money market account for $1.00
Well, started the ball rolling on getting a “Mega Money” account at Red Neck Bank. They seem to be able to handle the Overload on interest in a Oddly named bank and are taking new accounts again.
Ken N.
I’m very disappointed that E*Trade has dropped their rates to 1.95. I open with them at 3.01, and it promptly began dropping. Very quick and easy money transfers though.
I also had a very bad experience with HSBC direct. I bellieve it is the worst customer service I ever had with a bank. I love GMAC bank.
I’ve had an Etrade account for over six months and I really like it. Easy to deposit funds, funds are credited the same day they’re desposited, and of course I can do it all online, which is nice. I am disappointed that their rates have dropped to 3.01%, as they had the highest rate out there for about three months. Customer service is OK — they had an issue recently where their computer system kept automatically sending out letters asking for a signature for your initial deposit. After I received the second letter I called them and they apologized, said that it was a bug. That’s the only problem I’ve ever had. Overall I really like the account. Grow, money, grow!
Be with GMAC for about 3 yrs. Love it , have 2 MMA at 3.25% with no min. (My college kids use ATM to withdraw money with the fee rebate automaticly at billing cycle). 1 online saving for 3.75% (most my money stay in this account). 2 CD with good rate also. Don’t use bill pay, My WAMU taking care of that. I had ING before. They rate just too low now !
I’m quite happy with GMAC & have the vast majority of my cash there, both in savings and CDs. They have very good rates on both types of accounts. I use the savings account as a funding source for Sharebuilder and so far no hiccups. I talked to a CSR on the phone about a month ago regarding CD funding, and that went smoothly, no hassles.
I also have a HY eOne checking account at salemfivedirect dot com, and that has worked out well too. The almost-3% rate isn’t as good as some HY savings accounts, but it beats a 0% checking account elsewhere (hear me, Wamu, Wells?). They give you checks, a cash card, and ATM rebates. Their bill-pay is OK too.
I like E*Trade, very fast transfers, i have my checking account there and love it, never had any problems.
Venture Bank Direct’s Wise Choice Savings is still at 3.6% APY. I emailed them this morning because I was concerned that they’d dropped their rate and that their website hadn’t reflected it, but they replied and said their rate has not changed. Which is good, it means I don’t have to move my money to another account and/or create a new savings account! My Emigrant Direct American Dream Savings account dropped from 3.0% to 2.75% today, bummer! Also my Schwab Investor checking dropped from 1.5% to 1% which is better than ING’s Electric Orange: 1.5% –> 0.5%.
Hi ratbert2003
05/8/2009
I also have a Venture Direct account and the current rate is now
1.43 %. So, I was wondering have you found a better rate at another
on-line bank?
Bill C.
Bill: A number of banks listed in the article above have rates higher than 1.43%.
Do you know something we don’t yet about E-Trade? Their savings account rate is 3.3%, has been for a while now. I also have FNBO, but keep more in ETrade still just because of the slightly higher rate. If they drop to 3.01 I’ll be moving, but I can’t find that anywhere on their site or recent announcements.
Brian: Yes, E-Trade Bank’s savings account interest rate will drop to 3.01% as of the end of the day today (Friday, December 19) according to my contact at the bank.
If I may add my two cents… I have had some TERRIBLE experiences with HSBC’s customer service…its hard to get someone on the phone, several times I’ve been transferred to a dead line or transferred to someone who says they can’t help me nor can they transfer me to anyone else. Also, they don’t keep their website current (and not just one forgotten page, several pages, linked from the homepage! inexcusable…) and its hard to find someone who knows what’s current and what’s not. I’d take my money elsewhere.
That being said, I’ve had good experiences with GMAC and ING. GMAC has a pretty good rate and I haven’t had any problems with them. If it had a better rate, my ING account would be my handsdown favorite… love the automation and subaccounts feature… because of the low rate though I mostly use it to fund my sharebuilder account on short notice.
I completely agree. HSBC’s customer service is second to none in terribility. Absolutely horrible system to get into your account and zero accountability or knowledge of how to work their horrible system.
Same horrible experience with HSBC. They screwed up my application, and after 3 weeks of trying t o get it sorted out, I just gave up.
All of their so-called customer service responses were just scripted replies that didn’t even come close to solving my issue.
Not worth the time and frustration.
Could not agree more. Also when HSBC met Regions in trying to set up something as simple as wire transfer, the awfulness multiplied exponentially.
I have three high interest savings accounts. I tend to move my savings around based on interest rates. The money I keep on hand in cash is generally for my emergency fund. You’ve listed solid savings options. 🙂