Updated Info on BankUnited's 5.25% Savings Account

BankUnited's 5.25% APY internet savings account has sparked a lot of interest. It is available online and open to people from any state. BankUnited even has some track record at keeping the rate on this account competitive (see post). However, BankUnited has not done a good job at making this account easy to understand. The website has inconsistencies and the customer service reps have not been knowledgeable. However, I have seen small improvements in the last two months.

Today I called BankUnited again. I was able to get connected with a CSR in only a couple of minutes. The CSR was nice but still not too knowledgeable about this account. She had to request help from others several times during the call. However, the CSRs are improving compared to my call last month and the month before. Nevertheless, be sure to take the following information with a grain of salt.

Information received from CSR:

• 5.25% APY guaranteed through 10/31/06
• 5.25% for balances over $300
• Avoid $5 monthly fee for balances over $300
• No internet access fee
• Cannot link to other bank accounts
• Can initiate ACH transfers from another bank
• Can do initial funding with ACH transfer not just a check
• They only do a ChexSystem check on account opening. Appears to be no hard pull (CSR didn't have a good understanding of this)
• $15 closing fee if closed within first 6 months

The website and disclosure still have inconsistencies. For example, the sweet deal front page has the following at the bottom: "Minimum balance required to obtain the stated APY is $5,000." The second page of the disclosure states that 5.25% would apply to all tiers including down to $0 balance. And both of these conflict with what the CSR stated.

With only a $300 mininum and the ability to close the account without a fee after 6 months, it may be worthwhile to give this savings account a try.

Bankrate.com gives BankUnited 3 of 5 stars (performing). It's based in Coral Gables, Florida. As of last year it had over $11 billion in total assets.

Note, this bank is different than OneUnited Bank which is offering a 5% internet savings account with a minimum of only $10 (see post).