People's Bank Drops Rate To 2.25% (Was 2.5%) No Courtesy Notice To Customers

This is the second rate drop in two months. It looks like they're trying to drive out all the old Danversbank RCA customers. Well, they succeeded with me.

Since the bank is five-minutes from my home, I keep this account as a regular checking account for me (ATM, Billpay, etc.); thus the 2.25% APY is fine with me.

That stinks. It's really poor service to not inform customers about the rate change.

I'm going to pull mine soon.

Does Peoples charge a fee to keep a zero balance RCA?

Since the bank is five-minutes from my home, I keep this account as a regular checking account for me (ATM, Billpay, etc.); thus the 2.25% APY is fine with me.

If I remember correctly, you had two $100K accounts with Danversbank, and when it was at 4% you were borrowing HELOC money to fund these accounts, profiting from the difference. I suspect you're not doing this any more. And with the drop to 2.25%, I doubt that you're keeping any more money in the account than you need for your regular checking needs. For your RCA income you're probably keeping your money in banks with rates above 3%.

Since this bank is 3000 miles from my home, 2.25% is not fine for me. In fact, for my regular checking needs, I have no problems using banks half-way across the country that earn more than 2.25%. Plus I haven't used an ATM in years. I actually use so little cash, that getting cash back when I go grocery shopping is a much easier way to satisfy my cash needs.

My $200K HELOC at 2.24% is still earning some income for me; APY being above 3.5% ("many" accounts at 4%).  DBK, now Peoples' Bank, is only for my small daily expenses (keeping only $20K in one account).  It was never for my HELOC fund.

I cannot wait for the days that all my RCAs go under 3%... so I can live a normal life:D

Well...very interesting!..I just got my Statement from PU and it says 2.5%APY! I use the account as my main account, and I'm not rich, so I don't have 25K or 100K to put in a RCA. If this is true, then PU is lying about the 2.5% APY I'm supposed to be getting. Oh well! I was considering moving to Washington savings Bank in Lowell, MA to get their Kindle promo and 3.0% APY RCA, anyway. If not them, then I'd go to Consumers for their 4.09% APY. I just hate these guys not telling us what they're doing til AFTER they do it!