5.00% Online Savings Account at BankUnited
May 20, 2006 - 3:12 PM by Ken Tumin
BankUnited just increased the APY of their online savings account from 4.75% to 5.00%. I first posted about them on April 15th when the yield was at 4.75%. This is a new offering from BankUnited of Florida, and it looks like they intend to keep the rates very competitive.
Based on my conversation last month with the customer service rep, the savings account can be opened online by people from any state. Like the typical savings account, there's no check writing, however, you can get an ATM card. The online account applications appear to be through CashEdge which is the same online banking service provider used by HSBC. The application instructions imply that account funding will be done by ACH. However, the CSR stated that it can be funded only by check. I'm not sure if she was too familar with these new online accounts.
This unfamiliarity with this savings account continues. I called again today to resolve some inconsistencies in the account descriptions, and the customer service rep wasn't familiar with this account and said to call back on Monday. The learn more page of the savings account states that the minimum opening balance is $50 and a $5/month maintenance fee when the minimum balance is under $300, otherwise, there's no $5 fee. However, to obtain the stated APY requires a balance of $5K.
I saw some inconsistencies when I opened the savings account disclosure. This document states that there's a $5 monthly maintenance fee that is not waived by a specific balance. The minimum balance to earn interest is $300. Page 2 of the disclosure actual contradicts this. It lists 7 tiers, and all tiers from $0 balance on up earn 5%.
This could be a nice online savings account if BankUnited is able to run it properly and staff it with knowledgeable customer service reps.
In addition to the increase in the savings account rate, Bank United also increased the 1-year certificate of deposit APY from 5.25% to 5.35%. Like the savings account, the CD can be opened with a similar online application. The minimum deposit is $5K. The early withdrawal penalty is 6 months of interest.
Based on my conversation last month with the customer service rep, the savings account can be opened online by people from any state. Like the typical savings account, there's no check writing, however, you can get an ATM card. The online account applications appear to be through CashEdge which is the same online banking service provider used by HSBC. The application instructions imply that account funding will be done by ACH. However, the CSR stated that it can be funded only by check. I'm not sure if she was too familar with these new online accounts.
This unfamiliarity with this savings account continues. I called again today to resolve some inconsistencies in the account descriptions, and the customer service rep wasn't familiar with this account and said to call back on Monday. The learn more page of the savings account states that the minimum opening balance is $50 and a $5/month maintenance fee when the minimum balance is under $300, otherwise, there's no $5 fee. However, to obtain the stated APY requires a balance of $5K.
I saw some inconsistencies when I opened the savings account disclosure. This document states that there's a $5 monthly maintenance fee that is not waived by a specific balance. The minimum balance to earn interest is $300. Page 2 of the disclosure actual contradicts this. It lists 7 tiers, and all tiers from $0 balance on up earn 5%.
This could be a nice online savings account if BankUnited is able to run it properly and staff it with knowledgeable customer service reps.
In addition to the increase in the savings account rate, Bank United also increased the 1-year certificate of deposit APY from 5.25% to 5.35%. Like the savings account, the CD can be opened with a similar online application. The minimum deposit is $5K. The early withdrawal penalty is 6 months of interest.
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