Thursday, October 7, 2010 - 4:21 AM

Evantage To Cut Rates

Per Evantage website the 10K max rate will drop to 3.75% effective November 18, 2010. The moneymarket also drops to 1.75%.

tightwad27 posts since
Jun 7, 2010
Rep Points: 836

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This post applies to all states.

Quick
Summary

1. Thursday, October 7, 2010 - 5:30 AM

I'm afraid these same rate cuts also apply to Evantage Bank's two sister banks:

AmericaNet Bank and Redneck Bank

Both list the rate cuts on their websites effective Nov 18th.

KenBDG5,144 posts since
Nov 29, 2009
Rep Points: 116,996

2. Thursday, October 7, 2010 - 8:53 AM

I believe that this latest drop in interest rate marks the end of nationally available reward checking accounts offering 4.00% APY or more that also allow more than one account per customer. I guess the banks want customers to believe that these reward checking programs are not profitable for them unless the interest rates are well below 4%. But, in fact, many customers are just going to pull their money out entirely an invest in other products because it is simply not worth the effort to meet RCA interest requirements for such low interest rates.

CandyCane13 posts since
Sep 29, 2010
Rep Points: 76

3. Thursday, October 7, 2010 - 2:39 PM

I just called South Division Credit Union and their Rep said that their FREEDOM GREEN CHECKING will drop to 2% today, their web still shows 4%. The Rep said it'll be changed at the end of the day.[/H2]

waterd531 posts since
Oct 7, 2010
Rep Points: 1

4. Thursday, October 7, 2010 - 4:31 PM

I think that the collape of interest rates on reward checking programs over the past few days has been very eye-opening and disheartening. Why bother tracking the interest rates on this blog if rates essentially approach ZERO...???

CandyCane13 posts since
Sep 29, 2010
Rep Points: 76

5. Monday, October 18, 2010 - 12:19 PM

AmericaNet Bank has sent emails to its readers on the rate cuts. Below is an excerpt of what they sent. I assume Evantage Bank and Redneck Bank are doing the same.

Dear Customer:
Effective November 18, 2010, the interest rate offered on Rewards Checking Accounts will be 3.75% annual percentage yield and Mega Money Market Checking Accounts will be 1.75% annual percentage yeild.

Thank you for choosing AmericaNet Bank!

I appreciate banks and credit unions which inform their customers of rate cuts, and a notification that is one month before the change is also a nice gesture.

Many banks have been cutting their reward checking rates without any notification.

KenBDG5,144 posts since
Nov 29, 2009
Rep Points: 116,996

6. Wednesday, October 20, 2010 - 6:15 PM

AmericaNet sent a new email to clarify the last one. Below is an excerpt. I'm glad there are no cap reductions or rate cuts on the second tier.

To clarify our previous email.
Effective November 18, 2010, the interest rate offered on Rewards Checking Accounts will be 3.75% APY* for average daily balances up to $10,000. Amounts over $10,000 will earn 1.00% APY*. If requirements are not met your interest rate will be .25% APY*.

Effective November 18, 2010, the interest rate offered on Mega Money Market Checking Accounts will be 1.75% APY* for average daily balances up to $35,000. Amounts over $35,000 will earn 1.00% APY*.

KenBDG5,144 posts since
Nov 29, 2009
Rep Points: 116,996