Dedicated to Deposits: Deals, Data, and Discussion

ebank ends 5% Checking, Raises CD Rates up to 5.60%


ebank finally ended its 5% promotion on its ePremium checking. The yield is now back to its original 3% APY. The 5% promo had started in January, so it had lasted almost 8 months (see post).

On the positive side, ebank raised the yields on its short term CDs. The 3-month yield increased from 5.00% to 5.15% APY, the 6-month yield increased from 5.15% to 5.35% APY, and the 1-year yield increased from 5.25% to 5.35% APY. With the ePremium Checking, you get an extra 0.25% on the CDs. So this would result in about 5.60% APY on the 6 and 12 month CD.

ebank doesn't have the best application process for an internet bank. The application requires mailing them your initial deposit and picture ID. You then have to wait for ebank to open the account and send you the account documents. Readers have commented that this process can be slow.

Some of the other downsides with the ePremium checking include: hard credit inquiry via Equifax (according to CSR), lack of an ACH transfer system, and a $10/month fee unless a balance of $2,500 is maintained.

After the account application process, however, many readers have reported being pleased with the ePremium checking account. Some nice perks include free unlimited worldwide ATM usage (fees are automatically refunded), free checks, good bill pay service, pre-paid deposit envelopes, and the 0.25% rate bump on CDs and IRAs.

ebank has been FDIC insured since 1998. ebank still has a low 1 out of 5 star safe-and-sound rating (weak) at The rating at BauerFinancial has gone down since I reported in January from 3 to 2 stars (problematic). Both of these ratings are based of 3/31/07 financial data.

Thanks to readers who mentioned these changes in the finding deals post.

  Tags: CD rates, IRA rates, checking account

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Comment #1 by Steve (anonymous) posted on
I am curious when they will change the rate for current account holders. I just logged into my account and the rate is still at 4.96%.

Comment #2 by Steve (anonymous) posted on
Just to add a comment about the ATM rebates. eBank never hits you with the ATM fee, it is deducted before the transaction posts to your account. I have been very happy with this account, however now that the rate may be dropping, I may have to move on.

Comment #3 by Anonymous posted on
I have been using ebank checking for a long time. While they lack ACH capability, their customer service is EXCELLENT! I deal with the same CSR each time I have an issue of any substance. This seems to help.

Comment #4 by Anonymous posted on
Their website doesn't show the updated CD rates you mentioned nor does the link you posted

Comment #5 by Banking Guy (anonymous) posted on
Banking Guy
Please note the date at the top of the post. This post is from last year. For my latest ebank posts, please refer to this page.