Savings Accounts Remain Competitive at Redneck Bank and its Two Sister Banks
RedneckBank.com and its sister banks, EvantageBank.com and AmericaNetBank.com, are internet divisions of three Oklahoma banks which are all owned by one family (the Huckabay family). About a year ago I reported on an Oklahoma news article about Wade Huckabay and how he came up with the name Redneck Bank. He wanted it to stand out from the other internet banks, and it worked. I was worried that the publicity would attract so many new customers that they would be forced to lower rates. That did happen in April 2009, but since April, the rates and balance caps have remained the same. With so many other internet banks cutting rates, the accounts at Redneck Bank and its two sister banks have become much more competitive.
As of 3/11/2010, the three banks offer a reward checking and savings account with the following rates and balance caps:
- Reward Checking: 4.00% APY up to $10K, 1.00% over (not available at Redneck Bank)
- Mega Money Market: 2.00% APY up to $35K, 1.00% over
I just noticed that Redneck Bank's reward checking account is not available for new customers. So if you want this account, you'll have to open it at one of the two sister banks. Instead of a reward checking account, Redneck Bank offers a free checking account so if you just want the Redneck Bank debit card, you can still get it.
The reward checking account used to have a $25K balance cap. The 4% may not be worth it for many with a $10K cap. The nice thing about the reward checking account is that it doesn't have direct deposit requirements. The only "difficult" requirement is the 10 debit card purchases a month.
The Mega Money Market account is really more of a savings account since it doesn't offer checks. One important thing to note about this account is that you don't have to meet the checking account requirements to qualify for the top rate. The only issue is that they have a $35K balance cap for the top rate. Like the reward checking account, it has no monthly fees or minimum balance requirements.
Other banks have implemented similar caps. One example is Presidential Bank's Premier Savings which currently has a top rate of only 1.25% APY for the first $35K. The rate falls to 0.75% for balances over $35K.
All three Oklahoma banks have an online application that's based on the Andera service which allows funding by an ACH transfer. In the application, you can sign up for bank-to-bank transfers. One downside is that they have a very small transfer limit of $2,500 per day. A better way to transfer money in or out of these accounts is by initiating an ACH transfer from another bank.
These three Mega Money Market Accounts are some of the few nationwide savings accounts that are still paying at least 2.00% (as of 3/11/2010). With the $35K cap, it's not ideal, but at least the rate has been holding. Let's hope they can continue without any rate or balance cap cuts.
For details about these banks and accounts, please refer to the following posts:
- Evantage Bank Reward Checking Review
- Redneck Bank Reward Checking Review
- AmericaNet Bank Reward Checking Review
- Review of the banks' Mega Money Market Account
- History of Redneck Bank
Edit 3/15/10: Fixed links
Banks Mentioned in this Post:
- Weekly Rate Summary
- Bank Reviews
- Bank Health Ratings
- Savings Account Rates (filterable)
- CD Rates (filterable)
- IRA Rates (filterable)
- Checking Accounts (filterable)
- 40 Ways to Get the Most Out of Your Bank
- The Big List of Credit Unions Open to Anyone
- What Do You Need to Open a Bank Account?
- Difference Between Banks and Credit Unions
- Interest Rate vs. APY
- Difference Between Wire Transfer and ACH
- How ACH Transfers Work
- Do I Have to Pay Taxes on Bank Account Interest
- How to Build a CD Ladder
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3-year Term IRA CD
1.21% APY
Anonymous - #1, Thursday, March 11, 2010 - 3:04 PM
Shhhhhh - don't jinx it! ;-)
Anonymous - #3, Thursday, March 11, 2010 - 10:20 PM
Very slow ACH.....takes a week.
Anonymous - #4, Thursday, March 11, 2010 - 10:24 PM
To anonymous #2, enjoy your saving's income for few more months. After that the Obama will poke his hands in your pockets and get the rest of it.
"A stealth provision in President Obama’s latest healthcare proposal dramatically increases taxes and extending Medicare taxes for the first time to “unearned” investment income.
The new 2.9 percent tax would apply to interest, dividend, annuity, royalty, and rent payments."
Under current law, Medicare payments come from salaries alone.
The above just came form the white house plan to make people pay for the new health care bill that is pushed on us. Pelosi is writing this into law as we speak and wonder what is happening to us.
Shorebreak (anonymous) - #5, Friday, March 12, 2010 - 10:02 AM
Reference the post from Anonymous #4:
Under current law, Medicare payments come from salaries alone.
The President's plan includes a Medicare tax to be paid on the investment income accrued by individuals making more than $200,000 a year and couples making more than $250,000.
The plan doesn’t make it clear if capital-gains income is subject to the 2.9 percent tax. If it is, the wealthy would face a capital-gains tax rate of 22.9 percent. That’s because the rate already is slated to increase to 20 percent next year from 15 percent currently.
In addition, households with income above $250,000 would see another 0.9 percent added to their Medicare tax on their normal working income. It would put their rate at 2.35 percent.
Anonymous - #6, Friday, March 12, 2010 - 12:23 PM
To Shorebreak - #5, rich people do not pay taxes. They have creative accountants and most of their income is tax free. The burden will be on the middle class to pay for the health care bill. They say it now just to fool the ignorant and pass the **** bill and then watch out for all kind of taxes popping in for you and I to pay it. Don't be naive and believe the politician words that the rich will pay for it.
Bob W. (anonymous) - #7, Saturday, March 13, 2010 - 6:46 PM
Redneck Bank charges a $5 monthly fee on their mega money market. Take this $60/yr charge into consideration when determining your % return.
Bob W. (anonymous) - #8, Saturday, March 13, 2010 - 7:15 PM
I am sorry, I didn't mean the Mega Money Market account that has the $5 fee, it is the "Your Approved Checking Account.
Anonymous - #9, Sunday, March 14, 2010 - 6:56 AM
>>Bob W. - #7, "Redneck Bank charges a $5 monthly fee on their mega money market." <<
No they don't.
crazy4swayze (anonymous) - #10, Monday, March 15, 2010 - 11:00 AM
the links to the account reviews appear to be broken. i'd like to look into these since my ing and capital one accounts have been diving lately. is there a hard credit pull for the mma accounts? thanks.
KenBDG - #11, Monday, March 15, 2010 - 12:06 PM
@crazy4swayze, I fixed the links. Thanks. About the hard pull, according to readers, there is only a soft pull.
gnowk (anonymous) - #12, Wednesday, May 19, 2010 - 8:30 PM
Any reason why these banks aren't tracked in the Savings Accounts Rates list anymore?
James Morgan - Puritan Financial Advisor (anonymous) - #13, Thursday, September 9, 2010 - 4:00 AM
The nice thing about the reward checking account is that it doesn't have direct deposit requirements. The only "difficult" requirement is the 10 debit card purchases a month.
patientsoul - #14, Monday, November 15, 2010 - 10:27 AM
As of November 18, 2010 the APY on the Mega Money Market Account of RedneckBank.com and its sister banks, EvantageBank.com and AmericaNetBank.com, drops to 1.75%
Anonymous - #15, Wednesday, December 22, 2010 - 10:04 AM
just opened then cancelled my account thanks to the worst website ever designed --- too much trouble -- for example, transfers are listed under "pay bills" which i had to call to find out, their email doesn't work and there's a limit to how much you can transfer IN per day, ridiculous!
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