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Online Transfer Service Now Available to CIT Bank Savings Account Customers

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CIT Bank savings account customers can now initiate bank-to-bank ACH transfers online. CIT Bank had launched its internet savings account in March, but it was a little slow in providing online ACH transfers. Customers had to call a customer service rep to initiate transfers. A reader just posted a CIT Bank review last week which mentioned that they now allow online ACH transfers. I called CIT Bank this morning for more details. The CSR did confirm that this online ACH service was just started last week. Below are some of the important features of this service based on my conversation with the CSR:

  • Set up links online via trial deposits to external accounts
  • No limit on the number of links
  • Maximum transfer size is $5,000 $75,000 per day (I was told they're working to increase this to $250,000)
  • Transfers take 1 to 3 business days to complete

The $5K/day transfer limit is disappointing. However, the CSR said they are working to have this increased to $250K/day. Customers currently have 3 options for transfers over $5K:

  • Initiate ACH transfer by calling (transfer limit is $250K)
  • Initiate a wire transfer by emailing/faxing a form (Wire out transfers are free for balances of at least $25K).
  • Initiate ACH transfer from your other bank. I was told they do not block ACH transfers that originate from your accounts of other banks.

Update 7/9/2012: CIT Bank has increased the transfer limits. At the end of the bank's FAQs, it describes its limits:

when using the online Funds Transfer service, you may make up to three withdrawals a day, totaling no more than $75,000, and three deposits a day, totaling no more than $75,000. You may also set up recurring or future-dated transfers, which will count toward your totals on the day the transfer is scheduled to occur. If you need to exceed these limits, contact the CIT Customer Service Center at 855-GO-BANKCIT (855-462-2652), and our representatives will assist you.

I'm surprised and disappointed that they would launch this ACH transfer service with only a $5K/day limit. Since CIT Bank's savings account is a tiered-rate account with the top rate requiring a $25K minimum balance, you would think they would allow for larger online ACH transfers. However, it's nice to see CIT Bank follow through on its promise of an online transfer service. So it seems likely that they will also follow through on increasing the transfer limit.

CIT Bank is currently offering one of the top savings account rate: 1.05% APY for balances of at least $25K and 0.90% APY for balances under $25K (as of 6/11/2012).

Please refer to my CIT Savings account review for more details. CIT Bank also offers competitive CDs. I reviewed these in my CIT Bank CD review.


  Tags: CIT Bank, savings account

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Comments
3 Comments.
Comment #1 by Anonymous posted on
Anonymous
As of today, the ACH transfer limit has been raised to 75K per day.

4
Comment #3 by SoSo_CIT (anonymous) posted on
SoSo_CIT
Free wire transfers are all well and good, but next to useless if you can only send wires to YOUR OWN ACCOUNT.  I expected to be able to wire payments for various goods/services but after waiting on hold for 30minutes I was told that the wire transfers are only permissible when they're being sent to a verified account (one they send two small payments to and you report back the amount before they take them back) and the account has to be in your name . . . did I mention this being next to useless?!

2
Comment #4 by Anonymous posted on
Anonymous
The current procedure for setting up bank transfers at CIT is quite convoluted and unnecessary.  First you have to call to have a tranfer button added to your online account page.  Then you get a message asking for a copy of your driver's license and the first page of a bank statement.  Then they send it an "account specialist" for review.  Then they post a button through which you can indicate a bank for transfer.  Then you must wait for them to post a small amount to your account, which you then return.  The whole process can take a week or more.

Most financial institutions give you the option of designating a bank account for transfers when you set your account.  If CIT did the same, its system would be much more user friendly.

2