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UmbrellaBank Changes Terms of 5.50% Money Market Account Promo

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UmbrellaBank made a change late yesterday to its new Money Market Account promotion. The 5.50% APY is now guaranteed only through 7/31/07 rather than 12/31/07. This change makes the promotion much less attractive. For those who already applied, you may want to check with UmbrellaBank's customer service to see what guarantee date you'll get. One reader reported being told that since he was not able to fund the account before this change, he'll be under the new end date. It's likely that only those who funded the account on Monday or early Tuesday with a wire transfer may retain the 12/31/07 rate guarantee.

I was expecting UmbrellaBank to start listing this promo from their home page. Perhaps they decided not to advertise it since they hadn't finalized the details. Nevertheless, the promo webpage was public, and the customer service reps did provide the details so it's definitely bad planning on UmbrellaBank's part to change the terms like this. And it's bad customer service to not honor the original end data for those who had already submitted the application.

Please refer to my 5.50% UmbrellaBank promo post for more details.

Update 4/26/07: Readers are now reporting that UmbrellaBank has been willing to honor the original 12/31/07 guarantee date for those who had applied on Monday or Tuesday before the change.
  Tags: savings account

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Comments
16 comments.
Comment #1 by Anonymous posted on
Anonymous
Great, I just sent in the signature card & initial deposit this morning !!! Bait & switch !!!

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Comment #2 by Anonymous posted on
Anonymous
"Bait & switch" is right! I am considering writing a letter to their CEO, with a cc to their regulator. This is an unfair trade practice, and should not be tolerated.

1
Comment #3 by Anonymous posted on
Anonymous
I looked at the copy of my signature page that I sent in this morning and it specifically says "thru 2007". I called and the CSR said that so long as the signature page says "thru 2007" they will give me the rate thru the end of the year.

1
Comment #4 by Anonymous posted on
Anonymous
well that does make this decision easy, i was considering signing up. Thanks Umbrella Bank, it's nice to know who I WON'T be doing business with...

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Comment #5 by Anonymous posted on
Anonymous
I just received a courtsey call from Umbrella and my rate will be honored. Also, they gave me a correction to the address to send back the signature card and initial deposit. Everyone that didn't get in before the promo ended last night will have till 07/31/07.

1
Comment #6 by Anonymous posted on
Anonymous
I already sent in my initial deposit and signature card. Dont know if it is the right address. What good does a new address do if you have already sent it in? Have not received the courtesy call, but I called them and they said I was good till the end of the year.

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Comment #7 by Anonymous posted on
Anonymous
What was the "wrong" address they had given you?

1
Comment #8 by Anonymous posted on
Anonymous
They stated the address was to another dept of Umbrella bank and not the operations dept. They stated that the mail would arrive and Umbrella would post date the inital deposit to the post mark date on the envelope.

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Comment #9 by Anonymous posted on
Anonymous
Re: Correct address.

1. I too confirmed that since I had applied yesterday (4/24) and my signature card also said "Guaranteed rate through 2007," they would honor the account. Just to be sure, I (a) had them make a note on my account, (b) got a reference number for the conversation with the phone agent, and (c) got the phone agent's name.

2. The correct address is P.O. Box 101448, Birmingham, AL 35210. Interestingly, that is what my signature card said, even though the phone agent thought, since it had been printed yesterday, it would show a different (wrong) P.O. Box.

3. I intend to monitor my monthly statement closely to make sure that I get the %5.50 rate.

1
Comment #10 by Anonymous posted on
Anonymous
I called and they said that if you opened this account in the first two dats and your print out says "guaranteed rate through 2007", you get the original terms of the account. You can even add money and get the guaranteed rate through end of 2007.

Knowing the CSR issue, I pressed her about how certain of this she was and she said she was "positive".

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Comment #11 by Anonymous posted on
Anonymous
That sucks! By the way Mr. Banking Guy I thought you'd like to know about something I found at bank of america. Now i dont know if it is every state or just in DC where I live. The customer rep told me about a "no fee mortgage" or something like that in which there are almost no closing costs, since I am in the market to buy, I was wondering what your advice was on this? I also have looked at ING, Countrywide, Citi and others for comparison but this one seems better....

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Comment #12 by Anonymous posted on
Anonymous
That New South outfit makes me very nervous. Look at this mess
http://www.newsouthfederal.com/company/affiliates.php

I'm the one who first posted suspicions about the Huron Area Credit Union

Thanks for this site!

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Comment #13 by Anonymous posted on
Anonymous
17% CD, what do you think?
message: I got the below info in the mail recently and wanted to know what you thought of it. Have you ever dealt with AABInc.before? Are they legit?
"LIMITED TIME SPRING SPECIAL mail from AAB INC.. CD with up to 17% apr paid out MONTHLY"
They have a website, too. Please do share your thoughts. thanks

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Comment #14 by Anonymous posted on
Anonymous
I was the person who posted yesterday that the CSR told me I would not get the original promo because I had not yet funded the account before the promo changed. I wrote an email to customer service complaining about "bait and switch", and amazingly, three hours later I got a call from a supervisor apologizing for the CSR's "misunderstanding" and that they will in fact honor the original promo date that is printed on my application.

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Comment #15 by Anonymous posted on
Anonymous
I was just talking to a CSR to see if I still qualified for the 5.5% until the end of 2007, since I applied on Tuesday 4/24/07. He told me yes, and that the reason they changed the promotion was because they met their quota within the first two days of the promotion. Whether this is true or not, I am not sure. It could have some validity

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Comment #16 by Anonymous posted on
Anonymous
Secured by a notarized Promissory Note by a California dually licenced corporation"

That and $5 will get you a cup of coffee.

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