EmigrantDirect Savings Account Now 4.80% - Better Alternative?

EmigrantDirect followed HSBC Direct and raised the rate on its savings account to 4.80% APY from 4.65%. Also, Emigrant lowered the minimum term of its My Way CDs from 6 months to 3 months. The APY of all CD terms remains at 5%. The last rate increase at Emigrant was on May 26. Just like this one, that rate hike exactly matched a previous rate hike by HSBC.

My hope was an increased to 5% on the savings and 5.50% on the CDs. I guess if Emigrant is no longer concerned with large growth to deposits, there's little incentive to be a rate leader. It looks like Emigrant is only trying to keep up with HSBC.

4.80% for a no-minimum savings account is near the top. Only OneUnited Bank's 5% savings account is higher (see post). Since neither Emigrant nor HSBC will be at 5% for awhile, you might want to give OneUnited a try. A 0.20% difference isn't that much, but remember, that is what Emigrant and HSBC are hoping you would think. It's good enough so you'll be content on staying with them.

For CDs, a 5% APY is no longer competitive for terms over 3 months. ETrade is now offering a 6-month CD with an APY of 5.46% (see post). I was expecting an increase at least to 5.25%. With only a 0.20% premium over the savings account rate, there's not much reason to choose a CD unless you're convinced that rates will start dropping. But with the current interest rate environment, that doesn't look likely anytime soon.