Dedicated to Deposits: Deals, Data, and Discussion

E*TRADE Update - Savings Account Promotion and Latest News


E*TRADE has a new $25 bonus for opening the Complete Savings Account. This new one is good through 12/17/2008. The terms seem to be the same as before including the requirement of only a $1 deposit to earn the $25. Here's the important small print:
$25 will be credited to your Complete Savings Account within 30 days of the account being funded with a minimum deposit of $1. Payments will be reported as interest income. Accounts must be opened by 12/17/2008 to quality for the $25 offer. Must be a new account opened with new funds. Offer applies to one new account per customer. Not good with any other offer.

Last year I received this $25 bonus without any problems. However, several commenters have mentioned that they had to call before the bonus was credited. So be sure to record when you sign up, keep a copy of the promo page, and if you don't receive the bonus within 30 days after funding the account, be sure to call. Based on the comments in this previous ETRADE bonus post, most seem to be receiving the bonus although several still had to call.

Credit for finding this new bonus goes to FIRE Finance.

Complete Savings Account Review

In July E*TRADE increased the yield of the Complete Savings Account from 3.15% to 3.30% APY. Since the time this account was launched in November 2006, the rates have been competitive. In addition, E*TRADE's ACH transfer system (Quick Transfer) is one of the best. I did an updated review of the Complete Savings Account in this July 2nd post with many of the details of this account and the ACH transfer features.

Note, the 3.30% APY applies to all balances. The E*TRADE's page makes it look like you may need $25K, but this is only to compare it to other accounts with a $25K balance. I have much less than $25K in my Complete Savings Account, and I can confirm that I'm earning 3.30% APY. The interest is paid at the end of each month.

Max-Rate Checking

E*TRADE also has a nice checking account called Max-Rate Checking which pays a competitive yield of 2.90% APY as of 11/24/08. My main dislike is the $5K minimum balance requirement to earn the top yield and to avoid a $15/month fee (as described here, there are a few other ways to have this fee waived).

Latest E*TRADE News

E*TRADE Financial stock has been trading below $1 last week, but as this 24/7 Wall St. article describes, E*TRADE has reported an increase in brokerage accounts and in trading activity. So their future may be okay. E*TRADE has lost $236 million this year because of bad home-equity loans, and it has recently applied for $800 million in funding from the Treasury's TARP Capital Purchase Program.

As I recommend with any bank, it's best to stay under the FDIC limits. ETRADE Bank is FDIC insured (Certificate # 30746). It's one of the largest internet banks with $46.7 billion in assets and $31.8 billion in deposits.

  Tags: E*TRADE Bank, savings account

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Comment #1 by Anonymous posted on
This account has really fast transfers.

Comment #2 by Anonymous posted on
Isn't eTrade going down the drain? I know not many people lost money under SIPC, but getting back a million shares of C/F/GM a month or two later ...

Comment #3 by Anonymous posted on
I wouldn't let funds sit at E-trade a for low 3% APYs. There are online banks, like with savings accounts at 3.8% with no minimums.

Comment #4 by Anonymous posted on
For new accounts, does E*Trade do a hard pull or a soft pull?

Comment #5 by Anonymous posted on

How many external accounts can I have linked? What is the cost for transferring funds?

You can have up to 3 external linked accounts. There is not a fee for making transfers in to your account. However, savings accounts are subject to regulatory limits of 6 withdrawals per month. The first 3 withdrawals are free, each withdrawal over 3 incurs a $1.00 fee.

Comment #6 by ShraZZy (anonymous) posted on
etrade is da diggy-bomb! Love them since joining. Best ACH in the biz. I'm not sure if first time new members they do a hard or soft but once you are a member anything you open will be a soft-pull. There brokerage line still makes a lot of money. The stock should be more than $1.00

Comment #7 by Anonymous posted on
I had a horrible time transfering money out of my eTrade account after I changed my address. They told me I could not transfer money out for 2 months if i did not send a special instruction letter! I found this out after my 4th day of calling to find out why my tranfer had not been processed. Once I got someone not from their offshore call center I was finally able to get my money. I also figured out if I initiated the transfer using another online bank account I could get my money. If the trade was initiated at eTrade, I could not.

That said, I still have an account open there, so if I open another account will I still get the bonus? Free money is free money.

Comment #8 by Anonymous posted on
Can I get the bonus again if I already had gotten one? I closed that account back in May actually.

Comment #9 by Anonymous posted on
I opened a second savings account yesterday and was credited the $25 the same day.

Comment #10 by Marcus (anonymous) posted on
I checked out Venture Bank Direct and have been happy so far. They are launching their online checking account which is a big plus for me. Makes for easy access.