Update 10/04/11: The promotion has been extended to 10/31/11. Also, the promo code has been changed to FUND224DF.
Capital One's InterestPlus Online Savings Account used to be one of the rate leaders when you factored in the quarterly bonus. That changed with a recent rate cut, but it remains competitive. There's also a new perk for new customers. It's a $50 bonus for opening this account. You must have $10,000 or more on deposit on
8/31/2011 10/31/2011. Make sure to enter the offer code FUND222DF FUND224DF in the application. The promotion is listed on this Capital One page. Here's the small print of the promotion:
You will receive a $50 bonus if you open a Capital One Bank InterestPlus Online Savings (IPOS) account online only, enter the offer code at the time of account opening, and have $10,000 or more on deposit on
8/31/201110/31/11. You are eligible for this promotion only if you received this offer from Capital One. This account must be your first account with Capital One Bank. This account must remain open 4-8 weeks after 8/31/201110/31/11 during which time the bonus will be deposited into your account. The bonus will be reflected on your monthly statement and will be included in your year-to-date interest and year end tax reporting. This offer cannot be combined with any other offers.
I was worried about the statement, "You are eligible for this promotion only if you received this offer from Capital One". I found this promotion from a Google ad, so this statement didn't seem applicable. I used Capital One's chat service, and according to the customer service rep, this is not a requirement.
Extra Perks for Costco Members
Capital One has long offered a better deal for Costco members. You can get an extra 5 basis points (1.06% APY as of 8/17/2011), and Executive Costco members can get a bonus of $60 for opening an account. I have more details in this blog post.
10% Quarterly Bonus
Both the regular and the Costco branded versions of the InterestPlus Savings Account offer a 10% quarterly bonus. That's 10% extra in the interest rate. So that effectively increases a 1.01% yield to 1.11%. To receive this quarterly bonus, the Costco version requires that you maintain an average balance over $10,000. The regular version has an extra option. In addition to the $10K balance, you can also qualify for it with an active Capital One credit card.
InterestPlus Online Savings Account Review
This is a free online savings account with no monthly fees or minimum balance requirement. There's no ATM access and no checks. Deposits and withdrawals are intended to be done using their online bank-to-bank transfer service. I have more details on this account in my review of the InterestPlus Online Savings Account.
Local Capital One Bank Deals
If you live near a Capital One branch, you may want to check if they have any local deals. The best local deal is in Austin, Texas. Capital One branches in that metro area are offering a checking account with a 1.30% APY for up to $100K guaranteed for 12 months (see my review).
Capital One Bank Overview
Capital One Bank branches are located in Texas, Louisiana, Maryland, Washington DC, Virginia, Delaware, New Jersey, Connecticut and New York.
Capital One Bank has two FDIC charters. Capital One Bank branches are under Capital One, N.A. (FDIC Certificate # 4297). Direct Banking is under Capital One Bank (USA), N.A. (FDIC Certificate # 33954).
Capital One, N.A. is a large bank with $128.7 billion in assets. It has an overall health score at DepositAccounts.com of 4 stars (out of 5) with a Texas Ratio of 10.19% (above average) based on March 2011 data. Please refer to our financial overview of Capital One, N.A. for more details.