Before ING DIRECT was acquired by Capital One, ING DIRECT had long offered incentives for new customers to open its savings and checking accounts. In February, ING DIRECT was converted into Capital One 360. Most things have stayed the same, and that includes the incentives. Just recently Capital One 360 boosted its refer-a-friend incentive. This was announced yesterday in an email to customers. Capital One 360 has doubled the referral bonus amount it pays you to $20 (instead of the usual $10) for every friend and family member you refer that opens an account - up to $1,000. The new customer gets $25 for the savings account and $50 for the checking account. Full details are listed in the Capital One 360 Refer-a-Friend page.
Capital One 360 has also continued the $50 checking account bonus that ING DIRECT had long offered. This bonus is for those who don’t have the 360 checking account and who don’t have a referral from a friend. Here’s the Capital One 360 checking promotions page.
To qualify for the $50 checking account bonus, the new customer must open the 360 Checking and make a total of 3 debit card purchases or Person2Person Payments (or any combo of the two) within 45 days of account opening. Your $50 bonus will automatically be deposited into your account on day 50. One thing that has changed is that this bonus only applies to new Capital One 360 customers (according to the CSR). In the ING DIRECT days, savings account customers without a checking account could qualify.
The Capital One 360 Checking used to be the Electric Orange Account before the conversion. The account has essentially remained the same, and it’s still a good deal. Those with large balances will benefit from the competitive interest rates (0.85% for $100K+ and 0.80% for $50K to $100K as of 4/19/2013). Those with balances under $50K won’t earn a top rate (0.20% as of 4/19/2013), but they can benefit from the checking account features that include:
- No monthly fees
- No ATM fees (no refunds of fees charged by ATM owners, but no charges at Allpoint ATMs)
- No overdraft fees (Just pay interest on the amount you borrow)
- Paper checks available, but they cost $5 for a book of 50, and you can't order paper checks from other companies.
- Online check deposit service called CheckMate that can be used to deposit checks with a smartphone or with a PC and scanner.
- P2P Payments allows customers to send money without fees to family and friends.
The Capital One 360 email that announced the new refer-a-friend bonus also announced new mortgage options. They are now offering mortgages with rates and payments that are fixed for up to 30 years. In the past, they only offered 5/1 and 7/1 ARMs. I’m surprised it took them this long to add fixed rate mortgages. With rates so low, I would think most people would prefer fixed-rate mortgages. Capital One 360 also announced that it’s knocking $1,000 off closing costs on all mortgages. This is a limited time incentive.
The final announcement in the email is that Capital One ShareBuilder dropped online trade prices from $9.95 to $6.95.
The email stated that “there’s a lot more awesome stuff to come this year.” We’ll have to wait and see how awesome that new stuff will be. Hopefully, they won’t forget how important competitive interest rates are.
Capital One 360’s Future?
It has been over two months since the conversion of ING DIRECT to Capital One 360, and so far I haven’t seen any indication that Capital One intends to make negative changes. Besides name and logo changes, the only changes have been good news for customers such as the waiving of foreign exchange fees on customers' debit card purchases outside the U.S. (see post). If you have been disappointed in any changes since the conversion, please leave a comment.