Bank Deals Weekly Summary for February 23, 2008

Comments (13)
Feb 23, 2008 - 5:17 PM by Ken Tumin

Quick Link for Rates, Recap of this week's posts

The last remaining 5% online savings account ended yesterday after OneUnited Bank slashed its rate from 5.15% to 4.60% APY. Other online banks that cut savings account rates include Savings Square, AmTrustDirect, iGOBanking, WTDirect and Capital One. Many banks also cut their CD rates, but the cuts did slow compared to previous weeks.

On a positive note, there were a few banks and credit unions that actually raised some CD rates. These rate increases were modest, but it was a nice change. The higher rates were generally in the longer terms. Some of these banks included E-LOAN, Advanta, Discover, Bank of Internet and WaMu. WaMu increased the yield on its 60-month internet CD from 3.75% to 4.25% APY.

CD Deals

There were a few good CD deals that came up this week. One is at Principal Bank which increased the rate on its 7-month and 14-month CD specials to 4.70% APY and 4.85% APY (see post). National City Bank extended its 4.50% APY 48-month CD special (see post).

Alliant Credit Union continues to offer 4.90% APY on terms from 12 to 17 months for deposits of $25,000 and over (see post).

Air Academy FCU and Pentagon FCU both continue to have good long term CD deals with rates as high as 5.00% APY.

I reported on some new credit union CD deals this week with yields over 5%. Some of these credit unions have easy qualifications for membership so I included them in my National CD Deals section in the weekly recap below. However, these credit unions may not make the sign-up process easy and quick for those out-of-state. So please check with the credit union for membership and account opening details.

Credit unions often change their rates at the start of the month, so I would expect many of these CD rates to fall after next week.

High Yield Reward Checking Accounts

I reported on 3 new 6.01% reward checking accounts this week. Two of these are from banks that allow out of state customers. I've updated my nationwide reward checking section below with these banks. I also added to this list the balance caps that earn the top yield. I now have six 6% reward checking accounts in the list. Unfortunately, none of these have large balance caps. The highest cap is $50K at Air Force FCU.

Savings and CD rates are dropping fast. So please check with the bank or credit union to make sure the deals that I've posted are still available. If they're not, please leave a comment.

Recap for the Week

Savings Accounts - National

CD Deals - National

Checking/Savings Account Bonuses

Reward Checking Accounts

CD and Money Market Deals - Local

The rates listed below are based on Annual Percentage Yield (APY). No minimum balances are required unless noted. MMA next to the rates indicate a money market account. Most MMAs have check writing and ATM cards. Online savings accounts usually lack both of these. The top lists include banks and credit unions with broad availability and with minimums around $10K or less. Previous weekly summaries are available for Feb 16th, Feb 9th, Feb 2nd, Jan 26th, Jan 19th, Jan 12th, Jan 5th, Dec 29th and Dec 22nd.

Quick Links: Refer to the following links for the savings accounts and CDs that interest you: Liquid Account Rates: Savings Accounts, Special rates, Local checking/savings, Bank alternatives CD Rates: 3 Mo CDs, 6 Mo CDs, 9 Mo CDs, 12 Mo CDs, 18 Mo CDs, 24 Mo CDs, 36 Mo CDs, 48 Mo CDs, 60 Mo CDs, 84 Mo CDs, CDs by state Comments: read and discuss

As of February 23, 2008

Checking/Savings/Money Market Accounts:


3-Month Certificates of Deposit:

6-Month Certificates of Deposit:

9-Month Certificates of Deposit:

12-Month Certificates of Deposit:

18-Month Certificates of Deposit:

24-Month Certificates of Deposit:

36-Month Certificate of Deposit:

48-Month Certificate of Deposit:

60-Month Certificate of Deposit:

84-Month Certificate of Deposit:

High Yield Reward Checking Accounts - Open to All

Checking and Saving Accounts at Local Banks/Credit Unions

CD Specials at Local Credit Unions/Banks Over the Last Month


Terms of 60 Months and Over

Terms of 24 Months to Under 60 Months

Terms of 12 Months to Under 24 Months

Terms of Under 12 Months

Bank Account Alternatives


Historical Rates from the Federal Reserve (Federal funds, Treasury bills, CD's)

Post a CommentComments
In order of date posted. - Sort by votes
Scottsdale Arizona

Scottsdale Arizona (anonymous) - #1, Saturday, February 23, 2008 - 6:33 PM

Thank you, Banking Guy. We can clearly see that you put a lot of work into your weekly recaps.

Also, nice to see that there are still a few places left where one can get a CD that pays over 5%.

One question: You listed Bank of Toledo today in your recap as the highest reward rate balance cap of $70,000. So does that mean there are no more banks or credit unions left that will take more than $70,000? I couldn't find any list of ones that would take $100,000 or more.

I was thinking of switching from a jumbo CD to reward checking.

Much obliged.


1
Anonymous

Anonymous - #2, Saturday, February 23, 2008 - 7:43 PM

I have had a ONE UNITED account for about 9 mo's as I decided to stick with them as long as they stayed above 5%. Now that they are down to 4.60 % I will be pulling my money out on March 31 [end of quarter]. I never did like the quarterly interest so at the rate they are paying now I would sooner go else where.


1
Brick Pillar

Brick Pillar (anonymous) - #3, Saturday, February 23, 2008 - 8:00 PM

Good for you, Anonymous. I think everyone should consider abandoning OneUnited now that their rate is down to 4.6% (and it will drop lower). Shame on them for bucking the tradition by paying interest quarterly. And how about them only allowing the transfer out of $40,000 per month? Abhorrent!

If everyone takes their money out of OneUnited in protest of their quarterly interest policy, maybe they will change to monthly interest postings like the rest of banks and credit unions.

Bravo!

P.S. Where will you put your money now? Will you consider a reward checking account?


1
Anonymous

Anonymous - #4, Sunday, February 24, 2008 - 10:59 AM

Don't be too hard on One United as 4.60% is still not a bad rate but there are other banks I would sooner be in at that rate. Brick Pillar you ask what I will do with the money I take out of One United. Keep in mind one size does not fit all when it comes to money and investing. I do not buy CD,S when the rate drops below 5%. I do not use saving and money market accounts when the rates go below 4%. I keep two checking accounts. One a rewards account and one an account for everday use. Since this is a banking and interest rate site I will only say I will be looking at AAA insured muni bonds and some royality trust shares. The rewards checking account I have is a result of using this site and I want to say thanks to banking guy.


1
Anonymous

Anonymous - #5, Sunday, February 24, 2008 - 12:21 PM

Here is a link which listed some reward checking accounts offers. I'm checking out the options as well. Please share what you find out.

http://www.money-rates.com/rewardschecking.htm


1
Brick Pillar

Brick Pillar (anonymous) - #6, Sunday, February 24, 2008 - 12:56 PM

I am confused when you said you use an everyday checking account instead of your reward checking account. Can't you use a reward checking account as an everyday checking account as well, taking advantage of the much higher rate?

Thanks for the reply.

Thanks also for the link. Will certainly check it out.


1
Ginger Jam

Ginger Jam (anonymous) - #7, Sunday, February 24, 2008 - 1:33 PM

I disagree and think we can be very hard on OneUnited. The only post interest quarterly when almost every other bank posts interest monthly. If you close your account before the quarterly posting, you lose the interest earned after the last quarterly posting.

They only allow just $40,000 max withdrawal per month, as if they want to hold your money hostage.

There are numerous complaints of poor customer service.

And now their rate is lowered and will go even lower (yes, I know they are still higher than most).


1
Brick Pillar

Brick Pillar (anonymous) - #8, Sunday, February 24, 2008 - 1:52 PM

Just checked out http://www.money-rates.com/rewardschecking.htm

So not accurate.

Their list says State Bank of Texas offers 6.01% for Reward Checking up to $100,000. After you click on the link to the bank's site, you see that the balance cap is $25,000.

Their list is very short, with just a few that say the cap is up to $100,000 (with one of those offering just 4.5%).

We need a better list.

I hope Bank Guy can create the definitive list, where we can easily pull up the ones that will pay on $100,000 or more.


1
Anonymous

Anonymous - #9, Sunday, February 24, 2008 - 2:02 PM

To Brick Pillar.
I do use my reward account and useally keep the cap amount in there. What I call my everyday account is a small account at a local bank that I pay a few local bills with. It provides me a place to cash checks, get free cashiers checks, free travelers checks , bank signature and notary service. I buy a small CD there in appreciation for there services every once in awhile. A 1/2 % less on a $1000 cd is not much lost interest.


1
Anonymous

Anonymous - #10, Sunday, February 24, 2008 - 2:06 PM

Yes. Money-rates.com is not always up to date. You will have to dig deeper to find out the details on the offerings. Information on this blog is much more current and accurate. I too hope to see a good list of reward checking options.


1
Agent 99

Agent 99 (anonymous) - #11, Sunday, February 24, 2008 - 9:48 PM

I finally figured out what SVG stands for:

So

Very

Gosh

(Surprised, I'm sure, at all the negative postings about him.)


1
Anonymous

Anonymous - #12, Monday, February 25, 2008 - 5:55 PM

agent 99,

I thought that bickering back and forth had run it's course already under another topic.

Why not give it a rest.


1
Agent 99

Agent 99 (anonymous) - #13, Monday, February 25, 2008 - 7:11 PM

I apologize.

This was an accidental posting, which was meant for the posting that has 100 comments. (You will see a duplicate there.)

I did not know how to remove this here, so I was stuck leaving it. I should have posted an apology. Sorry.


1

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