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Review of EverBank's Checking and Money Market Account Promotions


Update 5/04/09: The intro yield is now 2.54% APY (2.51% rate). The ongoing yield for the money market account is now 1.65% APY. See bottom of post for the rate history.

EverBank continues to hold on to its 6.01% APY 3-month intro rate for both its FreeNet Checking and its Yield Pledge Money Market Account. With rates continuing to decline, this 6.01% APY is looking better each day. Since it has been awhile since my last review of this promotion, I thought it would be a good time for another review.

If Intro Rate Drops after Mailing in the Application?

EverBank still has a slow application process which requires you to mail in the application. I was told by EverBank's customer service rep that the intro rate will be guaranteed based on the postmark day of your mailed application.

When rates were rising, EverBank bumped this promo rate up by 50 basis points every 3 to 6 months. So it's possible the same thing will happen but in reverse.

Can You Do Both the Checking and Money Market 6.01% Promo?

I've been told several times by EverBank's customer service that you have to be a new EverBank customer to qualify for this intro rate. Several readers have found out that they were not eligible due to prior EverBank accounts that had long been closed. One reader commented that he was told his EverBank credit card that he closed 6 years ago disqualified him.

So once you open an EverBank account, you're officially disqualified for doing this intro rate again. I've read about others who have had better luck on this, but it's a case of your-miles-may-vary. So I wouldn't plan on doing both the checking and money market promos back-to-back. However, the EverBank rep said you can do both the Checking and Money Market intro rate at the same time. This would only be helpful if you want to earn the high yield for balances over $100K. The intro rate for the checking is limited to $100K and money market is limited to $50K. So a new customer could have $150K in both the checking and money market earning 6.01% APY for the first 3 months.

Slow Application Process with Questionable Security

Many of my readers have been frustrated by EverBank's application process. After you fill out the online form, you then have to print it out and mail it in along with your opening deposit. I was told by the EverBank rep that it should take within 3 days of them receiving your application for them to approve it and mail your welcome package which will allow you to log in. However, readers have said that this process takes at least 3 weeks during which time you don't have account access. One reader commented:
Should be called "forever" bank...that's how long you should expect to wait for them to set up your account after application (3 weeks and I still can't log in).

There also has been concerns over the security of this application process. In the application, you have to provide a security code which seems like a password. A reader who went through this application process commented about how he considered this a significant security problem. In my interview with an EverBank VP, I asked about this and he replied:
From the perspective of the site we maintain a secure environment; but I do understand their angst about the US Mail. We have many enhancements scheduled for our account application process that will be rolling out progressively over the next several quarters. I think you and your readers will be very pleased with all the changes being made including a more one step process.

So things may improve, but for those who want to take advantage of the high yield now, you'll have to live with their current process.

Account Features

Both the checking and the money market account have features that may convince you they're worth keeping for the long term. So far their interest rates have held up better than many other online banks in the last two months, but besides interest rates, there are many other issues to consider:

Yield Pledge Money Market Account Features:
  • 6.01% APY 3-month intro rate on first $50K for new customers
  • Competitive ongoing rates on all balances: 5.01% APY since 3/2007, 4.61% APY before this
  • Check writing privileges: 3-check per month limitation per federal regulation
  • $1,500 balance required to avoid $4.95/mo fee Update 5/04/09: EverBank has sent customers notice that effective 6/01/09, there will be a $8.95 monthly fee for average monthly balances below $5,000.

FreeNet Checking Account Features:
  • 6.01% APY 3-month intro rate on first $100K for new customers
  • Tiered interest rates fairly competitive for checking (3% to 5%), but ING and others are higher
  • No minimum balance or monthly fees if you do not select Online Bill Pay
  • If Online Bill Pay is used, there's a $4.95/mo fee if balance is under $1,500
  • First 50 checks are free
  • Reimburses you for up to $6.00 a month in surcharges levied by ATM operators
  • Thank-you check of $50 if you're not satisfied and close the account within 30 days of your 3-month anniversary (see details)

Shared Features of FreeNet Checking and Yield Pledge Money Market
  • $1,500 minimum opening deposit
  • Several types of accounts allowed: custodial, non-profit and trust accounts
  • Up to 4 beneficiaries can be included in application
  • Several readers reported receiving a hard credit inquiry. Update 7/3/08: A reader has confirmed that they no longer do hard pulls.

Shared Features - ACH and Wire Transfers
  • Slow ACH transfers. Readers have reported a transfer time from 4 to 6 days with at least 2 days of lost interest.
  • Limits on EverBank initiated ACH transfers: $10K/day and $50K/month
  • No blocks on ACH transfers initiated on your non-EverBank accounts
  • no limit on number of ACH links to your external bank accounts
  • Free incoming wire transfers
  • $25 outgoing wire transfers (domestic)

EverBank also has a history of competitive CD rates, and unlike most other online banks, it has some non-conventional type of products such as World Currency CDs. For more info on this, please see my EverBank World Currency CD post.

EverBank is FDIC insured (Certificate # 34775). The bank has a 4 out of 5 star rating (sound) at based on 6/30/07 data.

Rate History:
Update 05/04/09: Intro rate: 2.51%. Ongoing MMA yield: 1.65% APY
Update 11/01/08: Intro yield: 4.00% APY. Ongoing yield: 3.21% APY
Update 7/01/08: Intro yield: 4.76% APY. Ongoing yield: 3.51% APY
Update 6/14/08: The intro yield is now 4.01% APY. The ongoing yield for the money market account is now 3.06% APY.
Update 2/2/08: The intro yield has fallen to 4.51% APY. The ongoing yield for the money market has fallen to 3.51% APY.
Update 1/2/2008: EverBank lowered the intro rate to 5.01% APY from 5.51%. The standard Money Market rate dropped to 4.26% APY.
Update 11/01/2007: EverBank lowered the rate today on this promo from 6.01% to 5.51% APY. The standard rate on the Money Market Account also dropped by 50 basis points to 4.51% APY.

  Tags: money market accounts, EverBank, checking account, savings account

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Comment #1 by Susan (anonymous) posted on
Just opened the everbank free net checking account and am not happy with it. Besides issues mentioned, it took 5 weeks for for the account to open get my welcome package and log on. Then it took over a week to verify outside bank account through trial deposit. It would not do instant verification, I'm not sure why. Then 5 days for ach transfer initiated from their bank. Regarding their $50 cash back guarantee if not satisfied: Fine print states you have to close the account within 30 days of opening it and do three bill payments, well the 30 days passed before I even had access to the account. Customer service rep was rude and not helpful. So for all the trouble to get this account open and transfer funds, I only have about 1 and 1/2 months left on the promo. I have decided this bank is not worth it and will transfer money to FNBO and close the account.

Comment #2 by Banking Guy (anonymous) posted on
Banking Guy
Thanks for the info. 3 weeks was bad enough, but 5 is getting to be ridiculous.

About the $50 cash back guaranteed, it appears you have 30 days after the 3-month anniversary. Here's what's on the website:
To qualify for the $50 satisfaction guarantee, you must have used our Online Bill Pay feature at least three times and your account must have been closed within 30 days of your three-month anniversary.
So you might want to try for this $50, to not only to reward yourself but to help get their attention that they really need to improve their account opening and ACH transfer system (and customer service).

Comment #3 by Anonymous posted on
I have had EVERBANKS Money Market account for about 90 days. It's due to fall to 5.01 any day now. I will probally keep the account unless they go below 5%. I agree it is not an easy thing to get an account open there. However once the account is open it seems to be okay. Anything is okay after my experience with Key Bank. Still like Countrywide the best.

Comment #4 by Anonymous posted on
I have a $5,000 CD maturing on Nov 3rd. If Everbank is still offering the 6% Promo with the $50 cash back guarantee. At least I know what to expect, so it won't be so frustrating. All in all, it'll be a good short term imvestment.

Comment #5 by Anonymous posted on
Mailed app 9/17 in advance of FNBO rate cut. Opened 9/24. Great Bill Pay service. Enjoying 6.01 until Christmas

Comment #6 by Anonymous posted on
Everbank is abysmally slow. They can take weeks to complete transactions. It takes them almost a week just to transfer money from their World Markets account (whose 1.5% fee per transaction really eats into the earnings) to their plain-vanilla checking account. Another three or four business days to transfer money to an external account. Weeks to set up your initial account.

Comment #7 by sanddune (anonymous) posted on
I have been waiting for three weeks for my account application to be setup. Finally I called their customer service rep. They told me I could withdrawl my application and get my uncashed check back. We'll see. You might want to send an email to if you want to opt out of the slow process.

Comment #8 by Anonymous posted on
I have recently opened several accounts with the banks mentioned in your website. EVERBANK has been by far the best, they are even promising to uphold the previous 5.51% rate for three months. Their customer service is outstanding. It does take awhile to open your account, but it is worth it. Their ACH are all completed the next day, easy to set up outside accounts. I have been disappinted in the delays of several other banks and their lack of ACH support. Also I would love to see you comment on the banks if they support Microsoft Money or Quicken download support. THanks for all your hard work. I appreciate it.

Comment #9 by Anonymous posted on
I applied for a mortgage through everbank and guess what they could not locate my online completed application for 3 days. After making 3 calls (they never called back with any information)after 5 days they said that they found my application but could not lock the rate at which they said they would lock.

You are dealing with a bunch of unprofessional people. Just stay away. There are much better people in the industry

Comment #10 by Joel (anonymous) posted on
I have a money market account, a checking account and several CD's with Everbank and I don't understand some of the comments made. The staff is very professional and responsive. I was introduced to Everbank through my financial advisor and I please with my returns, the competitiveness of the products and the fact that my advisor has access as well. GREAT!!! JG

Comment #11 by Anonymous posted on
Slow slow slow slow. I thought I'd give them a try due to their great intro rate. Not worth it so far. It took 2+ weeks before the account was opened and available for log in (you can only get your login/passwrd by regular mail).

Since I am trying to capitalize on their intro rate, which at this point is better than most savings accounts, I am trying to ACH more money in to the account. 5 Days and counting. Granted 2 were weekend days but the money left my other accounts Thurs night so it was there for them to pickup. Now on Monday still nothing. Not a very secure feeling to watch thousands of your dollars disappear for days.

Speed isn't the forte of online checking accounts but this one is especially bad. My E*Trade checking is super fast but it is not interest bearing.

Stay away if you like a checking account to be relatively "liquid".

Comment #12 by Anonymous posted on
the most paper intensive account I have ever opened. As many others have said, it takes forever, requires several calls, and their cust service people are a bunch of really abrasive new yorkers. In addition, and this was the real kicker, they limit transfers to $10k per month, and, get this, take up to 10 days to credit your account! Though they go on and on about the transfer company holding the funds, the reality is that they are making money on the float, and it is not to your advantage.

stay away from these guys. they aren't in it for the customer.

Comment #13 by CornHusker (anonymous) posted on
Just wondering how they clac 3-month? From the day you apply online? From the day they received yoyr application and cash your check? or something else?

Comment #14 by Anonymous posted on
I have been a customer at Everbank for too many years to remember. However, lately their server has been down too often. I attempted to log into my account on 9/23 and 9/24/2008. On 9/23/2008 I was informed that the server is down for upgrades. Today 9/24/2008 I was told the biggest lie I can think of. "Our server has been updated and now we need to inform all the Internet Service Providers to update their servers for access" I don't know about you all, but I smell a rat here. I'll be closing my checking account account real soon.

Comment #15 by Matty (anonymous) posted on
I also recently opened a Yield Pledge MMA through Everbank @ the 4.76%APY intro rate. Like mentioned the process of opening an account took about 3 weeks. Took bout another 5 days for the full amount to show available in my account. 3 days to set up an external account. Your looking at a good month before everything is ready to go.

If I knew this prior I may have thought differently about opening this account but they do have the best rate going right now so you have to make a decision.

I just made my first transfer from an external account 3 days ago and the funds still have not appeared.

In this day and age I don't see why everything takes this bank days if not weeks to complete when my other bank took hours.

Comment #16 by Anonymous posted on
Forget it, not worth the trouble or time wasted just to apply or fund. ACH not available or if available, it takes forever.

Be weary when you consider the good rates @ EverBank, Corus Bank, VirtualBank, Pacific Mercantile Bank

Comment #17 by Anonymous posted on
Wow I'm so glad I trusted my instincts before going forward. I found it fishy that there was little information on the website about its proceeding.

I recently opened an ING Direct Interest Checking and was pleased with the service. Everything was electronic and easy to follow.

Etrade has been great for a High Yield Savings Account.

As much as I love the interest rates with Ever Bank I just can't afford to take any chances. I may wait awhile and see if the rates go up any further in the future before making a final decision.

I'll keep shopping around.

Comment #18 by Anonymous posted on
Tried to open an account at an Everbank branch in FL. My husband and I were sitting in front of the customer service woman filling out the paperwork and about to deposit a large sum of money when she said my husbands home address couldn't be verified?? We have a PO box listed on our drivers licenses, not our home address - this is not a problem with the state of FL. She said we would have to come back tomorrow with a bill in his name with our home address on it before she could put him on the account. Again, we were sitting in her office about to deposit six figures into her bank??? I have never heard of such a thing, we never went back and considering the comments above that I just read - I am glad I didn't. Absolutely the most unprofessional bank, not to mention stupid woman, I have ever encountered!!! Don't put your money into this bank!!!