Coppermark Reward Checking To End?

Thanks for the information. I have had this account for a year and will be sad to see it go away.

If the Danversbank --> People's United Bank is any indication, it will take some time for Prosperity Bank to figure out a way to accommodate Coppermark 's RCA customers; i.e., changes are to be expected, but only gradually.

Thanks for the info; I was unaware of this pending merger.  There is no information/mention on the Coppermark site although there is a small announcement from early December on the Prosperity bank homepage.   

I have had the Coppermark RCA account since May 2011 and have been very pleased with the bank.  I will be sorry to see the RCA be discontinued, and hope that any changes will not follow immediately on the heels of the merger, which is expected to close by March. 

The actual integration will begin in the second quarter of 2013 and there may be delays as typical merger will have.  Thus it is still a long time until we get some clarity on the fate of its RCA.

It was a terrific account while it lasted.  Accountholders were certainly surprised today - and not in a good way. 

Ken first posted the details of this reward checking account in April of 2009, and the 4.0%APY and $25k cap had held unchanged since that time.  The account made a dizzying drop from 4% to 1.25% effective today, while the cap remains unchanged at $25k.  The only notice given to accountholders was the updating of the rates on the website.

 

This (rate drop) is to be expected with the anticipated acquisition; but the drop amount and the timing are two complete surprises.  Sorry to hear that.

Is there any information on the rate for existing accountholders?  Most likely no grace either since the change occurred on the first of the month.

  

To say that it's a disappointing drop would be an understatement, but of course we have come to anticipate such changes when there are mergers and buyouts. 

Based on conversations with a couple of different CSRs this morning, here is what I have learned:

There is no grace period on the rate change, no grandfathering of any sort.

Coppermark's decision to make the rates more in line with that of competitors had already been in the works for some time.  The upcoming merger with Prosperity Bank is not expected to happen until April or so, and the timing of the rate drop is not related to that event.  

Coppermark bank will take on the Prosperity Bank name when the merger is finalized.

The fate of the Reward Checking account is unknown.  We already know that Prosperity Bank does not currently offer a similar product, but it may decide to offer this account.  If an account is to be eliminated or altered in any way (other than rate changes), the bank is required to give 30 days' notice.   This notice could come in a direct mailing, an attachment to a statement, or thru a website update.    The website update might offer the earliest notice. 

For those who might consider closing their account, note that if an accountholder closes an account within 40 days of opening, there is a fee of $40.  Akapla01, the CSR gave you great advice to postpone opening the account until after the merger.

I have been extremely happy with Coppermark Bank and the customer service I have received.  I was impressed by the associates at the branch when I opened my account, and have been pleased with the friendly, helpful and professional treatment from the telephone CSRs.   Nonetheless, I anticipate having only a modest balance there within a couple of days.

However, I won't sever my connection to the bank altogether yet.   Perhaps Prosperity Bank will do something to welcome the Coppermark Bank customers, just as other institutions have done following mergers. 

   Perhaps Prosperity Bank will do something to welcome the Coppermark Bank customers, just as other institutions have done following mergers. 

 

Yeah, like People's United welcomed all those Danversbank customers :-)

Gentlemen, you are absolutely right that People's United treated Danversbank accountholders poorly.  Monthly rate cuts,  "special" CSRs available only by phone as the only source of information (because they would not post the rates for the Danvers account on the website), conflicting information, etc. pushed many customers to be "gone with the wind" and to better options.  The transition began 10/14/11 and the problems showed up immediately.  From reading past posts,  Dunker, I think you bailed in January of 2012, I held on until April, and 51hh you threw in the towel in July.   

On the other hand, NavyFed welcomed USA Fed CU members with a high rate on a 1-year CD and a one-time 50 basis point increase on a NavyFed certificate.  I appreciated the offers and was very happy to take advantage of both.   They were under no obligation to do anything at all.  

This account was the cornerstone of my RCA's.  Very sad to see it get hit, but deep down I knew that the rate wouldn't last forever.  The downward trend continues, and the list of alternatives is also getting skinnier.

UncleBurley, I agree that the downward trend continues, and the list of alternatives is getting slimmer.  Fortunately there are still good deals to be found through DA (a huge thanks to Ken!), although they probably won't be around forever either.  The economy is certainly taking its toll.

Since we know that rates are variable and can change at any time, I always have a contingency plan in place.  After reconfirming rates and qualifications, I re-activated two dormant reserve accounts this weekend and they are already starting to meet requirements for their upcoming cycles.   I know the overall return on my RCAs and have a mental  "stop" in place.  Losing Coppermark was a big hit, but I'm nowhere close to getting out of the game. 

Good luck to you~