BMO Alto Hikes Rates of Long-Term CDs to Market-Leading Levels

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Deal Summary: 60-month Online CD, 5.25% APY; 48-month Online CD, 5.20% APY; No minimum deposit.

Availability: Nationwide through online application.

In my September review of BMO Alto, I mentioned its Online CDs were competitive, but not market-leading. After rate increases this week, two of its Online CDs now have market-leading rates. Its 60-month Online CD rate increased 75 bps to 5.25% APY, and its 48-month Online CD rate increased 70 bps to 5.20% APY. It’s the first major bank in this rate cycle to offer direct 4-year and 5-year CD rates over 5%.

APYMINMAXINSTITUTIONPRODUCTDETAILS
4.50%--BMO Alto48 Month Online CD
4.50%--BMO Alto60 Month Online CD
Rates as of April 17, 2024.

For those looking to lock in 5%+ long-term direct CDs before rates start falling, this is your chance. In the last two weeks, new-issue, non-callable brokered 4-year and 5-year CD rates have risen above 5%. Today, the highest 4-year and 5-year new-issue, non-callable CD rate at Fidelity was 5.05% (issued by Wells Fargo). Brokered CDs pay out interest, so if you look at BMO Alto’s Online CD interest rates (5.11% for the 5-year and 5.06% for the 4-year), they are close to the top brokered CD rates. It’s nice to see a bank offer online CD rates that compare favorably with top brokered CD rates. We’ll see if other online banks follow.

BMO Alto’s four shorter-term Online CDs are not as competitive as these two long-term Online CDs, but they’re still competitive, especially when compared to the well-established online banks.

APYMINMAXINSTITUTIONPRODUCTDETAILS
5.15%--BMO Alto6 Month Online CD
5.05%--BMO Alto12 Month Online CD
4.65%--BMO Alto24 Month Online CD
4.50%--BMO Alto36 Month Online CD
Rates as of April 17, 2024.

BMO Alto Online CD Details

BMO Alto currently offers six CD terms from six months to 60 months. The Online CDs have no minimum deposit or minimum balance requirements. In addition to Online CDs, BMO Alto offers an online savings account that has maintained competitive rates since it was launched in the summer. The no-minimum Online Savings account can be useful for the funding of a BMO Alto Online CD. It can also be useful for receiving the funds when the CD is closed. Please refer to my September BMO Alto review for more Online Savings account details.

CD Early Withdrawal Penalties and Limitations

First, it’s important to note that BMO Alto has wording in the Online CD Deposit Account Disclosure that gives the Bank the right to refuse an early withdrawal request:

We reserve the right to permit withdrawals of principal only upon maturity. If we permit you to make an early withdrawal of principal before maturity, you will pay an early withdrawal penalty.

If an early withdrawal is allowed, the following early withdrawal penalties (EWP) will be applied:

CD Term - 11 months or less: You will be charged 90 days interest.

CD Term - 12 months or more: You will be charged 180 days interest.

These are mild early withdrawal penalties. The effective yields of the 5-year CD when closed after two, three, or four years are close to the yields of 2-, 3- and 4-year CDs at Ally Bank when those CDs are held to maturity.

A withdrawal early into the term has the potential to eat into the principal:

If the amount of the penalty exceeds the amount of your accrued and unpaid interest, then a reduction of principal would be required in order to pay the penalty.

Further account details are provided in the Deposit Account and Online Banking Agreement. Section V that starts on page 8 details additional terms applicable to all accounts. Paragraph K on page 9 reads, “We can close your Account at any time for any reason.” This could be used to close your CD early, like a callable CD. This type of language is fairly common in bank disclosures, and the risk of the bank making use of this clause is low. It should be noted that this risk exists for any bank. If a bank fails and is closed by regulators, the FDIC or an acquiring bank may choose to close your CD early.

CD Funding and Other Details

The following information is based on the online documentation and a conversation with CSR:

  • Funding – ACH or internal transfer
  • Interest – Compounded daily/credited monthly, interest can be paid via ACH or internal transfer to a BMO Alto savings account.
  • Maturing Funds – ACH, or internal transfer to a BMO Alto savings account. Official check can also be mailed.
  • Grace Period – 10 calendar days before automatic renewal. Advance Maturity Instructions can be given to close CD at maturity.

Availability and Account Opening

As an online division of BMO Bank N.A., BMO Alto accounts can only be opened online at the BMO Alto website. Mobile users must also open accounts via the website. BMO Alto doesn’t have an app. Existing BMO Bank customers must create new BMO Alto credentials to open BMO Alto accounts.

BMO Alto accounts are available to U.S. citizens and U.S. resident aliens of age 18 and older. Only individual and joint accounts can be opened. According to the BMO Alto FAQs, “an account can’t be opened by a business, trust, or in a fiduciary capacity.”

Before BMO Alto, BMO Bank N.A. had been offering an online savings account and online CDs to customers who lived outside BMO Bank’s branch footprint. That limitation no longer exists with BMO Alto. People in any state are eligible to open BMO Alto accounts.

Account Opening Details

  • Ownership – Individual or joint only
  • Beneficiaries – up to 5, equal shares, Social Security numbers required.
  • Credit Check – Soft pull by Transunion, ChexSystems

Bank Overview

BMO Alto is a division of BMO Bank N.A. an FDIC member. BMO Bank N.A.is part of the bank holding company, Bank of Montreal. In Canada, the bank operates as BMO Bank of Montreal, a public company that trades on the Toronto Stock Exchange under the symbol, BMO. In the U.S. it does business as BMO Financial Group, a public company that trades on the New York Stock Exchange under the symbol BMO.

As an online division of BMO Bank N.A., BMO Alto operates under BMO Bank’s FDIC Certificate and shares the BMO Bank’s financial history. Deposits made through BMO Alto are not separately insured by the FDIC and count towards your FDIC deposit insurance limit at BMO Bank.

BMO Alto/BMO Bank N.A. has an overall health grade of “A+” at DepositAccounts.com, with a Texas Ratio of 2.95% (excellent) based on June 30, 2023 data. In the past year, BMO Bank’s non-brokered total deposits have increased by $58 billion, an average annual growth rate of 44%. This is rated as an excellent growth rate, but it should be noted that this large increase is due to BMO’s acquisition of Bank of the West in February 2023. BMO has an excellent capitalization level (13.04%), the result of holding $263.34 billion in assets with $34.35 billion in equity. Please refer to our financial overview of BMO Alto/BMO Bank N.A. (FDIC Certificate # 16571) for more details.

In early September 2023, the Bank officially changed its name from BMO Harris Bank N.A. to BMO Bank N.A. In February 2023, BMO completed the acquisition of Bank of the West, which had $92 billion in assets and around 500 West Coast branches. The merger resulted in the 14th largest U.S. bank by assets.

How the 48-Month Online CD Compares

When compared to similar length-of-term CDs tracked by DepositAccounts.com that are available nationwide and have minimum deposit requirements of $10k or less, no banks or credit unions have higher rates than currently offered on the BMO Alto 48-month Online CD. The following table compares the 48-month Online CD to the two highest-rate CDs from credit unions and the two highest-rate CDs from other banks.

How the 60-Month Online CD Compares

When compared to similar length-of-term CDs tracked by DepositAccounts.com that are available nationally and have minimum deposit requirements of $10k or less, no banks or credit unions have higher rates than currently offered on the BMO Alto 60-month Online CD. The following table compares the 60-month Online CD to the two highest-rate CDs from credit unions and the two highest-rate CDs from other banks.

The above information and rates are accurate as of 11/7/2023.

To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.

Related Pages: 5-year CD rates, nationwide deals, Internet banks

Comments
rockies
  |     |   Comment #1
Regarding "We reserve the right to permit withdrawals of principal only upon maturity. If we permit you to make an early withdrawal of principal before maturity, you will pay an early withdrawal penalty."

I have a fundamental problem with being forced to get Mommy's permission to have my allowance....especially for longer term certificates. This one is an automatic "no" for me.

P.S. A 180 day EWP is worthless if they choose not to "permit you to make an early withdrawal"
Mak
  |     |   Comment #2
Just because they put that in their disclosure does not mean they will not allow you take an ewp, I've seen it at other institutions before, probably a safety measure in case for some reason a lot of people want to close their CDs all at the same time..... either way, I have never let an ewp cause me to either open or not open a CD.
If you think you're going to need the money before it matures don't open it, or you can ladder CDs or you could even ladder this bank's CDs or you can sit it in a money market. I don't think banks or credit unions are in the business of opening and closing CDs just because a customer has changed their mind for some reason, probably why some banks and credit unions have raised their ewp's as of late.
55Chevy
  |     |   Comment #3
Do you work for BMO Alto? Can you guarantee to the individual investor that BMO will honor the Early Withdrawal if the request is made? I agree with Rockies that the risk is to great especially if you are investing your life saving. I prefer to work with a FI that states up front that they honor early withdrawals without permission required.
Mak
  |     |   Comment #4
Where did I guarantee him anything, I said probably in there for a safety measure, does that sound like a guarantee to you? I myself wouldn't worry about it, if you or him are worried about it don't open it.... no sweat off my hues. You should reread my whole comment very slowly.

Btw, sure I'll guarantee it, how do you plan on collecting?
milty
  |     |   Comment #5
Just curious is it common for FIs to put in writing that they guarantee early withdrawals? Have looked into EWP policy but not this other thing.

Btw, I actually thought the discussion here would be about this rate on a long-term CD, which is good news.
Mak
  |     |   Comment #6
I don't think so but not sure, I know GTE has the some language about ewp's but they allow them immediately.and a lot of people on here have CDs with GTE.



Withdrawals before the maturity date are subject to an early withdrawal penalty. The credit union may require up to 60 days written notice prior to any intended withdrawal in accordance with federal credit union bylaws.
Spring
  |     |   Comment #25
I wonder how many other banks have that in their disclosures. I have usually just checked the EWP only. This is the first I have heard of the possibility of a bank not honoring the EWP but I would be less fearful if it is found in the disclosures of many or most other banks? Does anyone know or have further info. on this? I know GTE was mentioned as also having this clause as well. Could it be common but most would not discover it or is it rare? Any feedback? I have successfully done EW to get a much higher rate and am glad that I can do it on a 5 year CD so I do rely on being able to get the money OUT!
Spring
  |     |   Comment #28
The question is how many FI's have this written into the disclosures about the possibility of not permitting an early withdrawal? If it is common than I worry less since I have thus far been able to close a CD earlier and pay the penalty at various banks. If this is unusual than I might pass on this FI.
rockies
  |     |   Comment #29
In my experience, I am going to say every 1 out of 20 banks/credit unions includes some version of the "consent" wording. This is just a swag.
Spring
  |     |   Comment #33
That sounds like about 5% of all banks/credit unions. What do you mean by "swag"?
rockies
  |     |   Comment #36
An estmate based on my numerous interactions with banks and credit unions.
Spring
  |     |   Comment #52
If you have had numerous interactions with banks and credit unions I am happy to get your feedback on that.
Ally6770
  |     |   Comment #7
If you can't leave the money for 5 years you have no business getting a CD for 5 years. Ladder CD's, have an emergency fund or ladder CD's. 5 year CD's are not for emergency funds.
Spring
  |     |   Comment #32
That is not true. Many people including myself will purchase a 5 yr. CD and then if the market shifts it makes sense to move the money out to a higher rate CD. What I do is double check to make sure there is a decent penalty before I invest. Ken has written a lot on this and how it can make sense to do this. It is important to check things out beforehand and hearing about this clause of possibly not honoring an EWP has made me stop to investigate whether this is a common clause or not found in many other FI disclosures.
111
  |     |   Comment #8
This issue, the "reliability of the EWP agreement", has been debated many times over ever since I joined the DA.com website as a user. Over those years what I've learned is that neither the FDIC nor the NCUA seems to press the FIs they regulate very strongly on this particular issue.

The results of a "nudge" in either direction are fairly predictable. Increased regulation (for example, for FDIC/NCUA to require FIs to more strictly honor the EWP policies which those FIs state), would obviously lead to greater "compliance", but also to almost certainly lower APY rates offered by those same FIs, over time.

Decreased regulation of same, will likely lead to the opposite in both cases. Not rocket science, by any means.
choice1
  |     |   Comment #9
Is anyone reading the saga of Mr T and why one cannot state one thing as a fact and then purportedly disavow the fact. If the the underlying fact is not material why assert it except to deceive the recipient. A colleague reminds me of the 10 year old Riverland Cold Storage case decided by Calif Supreme Ct…and that decision and decision in NY involving Mr T should put to rest these shenanigans. But the bad news is it costs $s to prevail and regulators would, seemingly, be more interested in…..if your due diligence does persuade you to …shame on you! Good luck!
111
  |     |   Comment #10
"Is anyone reading the saga of Mr T"

On the contrary, I'm quite aware of the saga of "Mr. T."  When I was a young(er) adult, I avidly watched his antics on the then-popular TV show "The A-Team".  Perhaps you might have seen it?

https://en.wikipedia.org/wiki/Mr._T

It's rather difficult to ascertain how Mr. T's world-view might apply to today's politics (except of course for the famous "I pity the fool... " quote), but then, who knows?  Perhaps you do?
LovinSomeCDs
  |     |   Comment #11
If you ladder your CDs, it wont matter! Plus, you may even get a free toaster out of it!

;)
twinlabs
  |     |   Comment #12
"Funding Your Online CD: You can make the funding deposit to your CD using Online Banking from Eligible Transaction Accounts or a Registered External Account. You cannot fund your CD at a branch or otherwise make deposits to your CD in cash, by check, or by ACH originated at another financial institution. CDs that have not been funded by 8:30 pm Central Time (CT) on the 10th calendar day after opening will be closed. The date your Account is opened is displayed in your Account details on Online Banking. "

If not by ACH, then how?
twinlabs
  |     |   Comment #13
I just checked Treasury Direct and you can get a 5 yr note at 4.87% RATE which is higher than the 5.25% APY (adjusted for state and local taxes). pays semi annual, but still.
RichardW
  |     |   Comment #18
@twinlabs…The rate which you mention for the 5-year Treasury Note (4.87%) was the interest rate (4.875%) which the 5-year Treasury Note (CUSIP: 91282CJF9) yielded at auction on 10/25/2023 (see: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2023/R_20231025_3.pdf  
The issue date of the 5-year Treasury Note (CUSIP: 91282CJF9) was 10/31/2023. Since 10/25/2023, the yield on 5-year Treasury Notes has decreased considerably to 4.53% as of 11/7/2023 (see: https://home.treasury.gov/resource-center/data-chart-center/interest-rates/TextView?type=daily_treas...
AndrewMorning
  |     |   Comment #14
Easiest CD opening I have ever experienced. No stupid uploading of driver license backs, they didn't even ask for driver license number ( higher rates than Advancial, too). Process was very fast, seemingly no wait time for soft credit pulls. I have a credit card with BMO on another site, so maybe they used that data.
Funding was very easy also. During the application process they ask for your funding account data. Then you can choose to give those credentials and connect automatically to your funding account. I chose that option and they connected immediately. The funding will be done by ACH. Your other option is to give your funding account data and they will connect with the old two small deposits method.
Website is clean and simple. You have to wait for funding to be completed to add beneficiaries and to select where you want monthly interest to be paid, if desired. What a relief to find a bank that does not torture you to open an account !
AndrewMorning
  |     |   Comment #15
more info; 5yr CD APY is 5.25 % and the actual rate is 5.12 % per their website. Way higher than Treasury Direct rate of 4.87%, if you are lucky enough or clever enough to avoid State and local income taxes.
CuriousDave
  |     |   Comment #16
According to Bloomberg’s latest report this a.m., the 4.88% is the coupon rate, not the yield, which is 4.53%. The purchase price is 101.51. These numbers change by the minute so by the time this posts, there may be slight changes. So the 5.25% CD rate is an even better deal.
Ally6770
  |     |   Comment #17
The 5 year CD at 5.25% has a compounded rate of 5.831%. There is even a higher CD posted now. If you need income that is a different story but why settle for a lesser rate if you don't need to live on the interest. It would be nice if we could still get the 10 or 15 year CD's without getting the brokered ones.
kaholee
  |     |   Comment #22
How did you get 5.831%? I thought the 5.25% from BMO is APY which is already compounded?
Also Advancial has a higher APY than BMO (5.4% for their jumbo 5 yr CD).
Mak
  |     |   Comment #23
5.12% is the APR annual percentage rate, 5.25% is the APY annual percentage yield and 5.83% is the yield if you let it compound without taking any funds out for the 5 year term.
Ally6770
  |     |   Comment #46
Leave the interest in for the 5 years and it compounds. Figure it out. Use your online calculator if you don't have an old stand alone one.
tomjonas1947
  |     |   Comment #38
I agree absolutely with this. The poor one star rating in reviews almost stopped me but after calling and getting through immediately to a person who knew what she was talking about persuaded me to give it a try. Adding a co-owner was very simple and I had none of the issues others reported. 15 hours after starting the process I had a fully funded CD and set up to receive a monthly interest payment to the funding account,
max100
  |     |   Comment #19
with this inflation i think rate will be at 7% in 3 -4 years. i will not buy years cd again.
Ally6770
  |     |   Comment #20
Max 100
Ladder CD's. You will always have one maturing to get that 7% you expect in 3-4 years. Keep saving and get new CD's. Soon you will be getting the longest and or highest rate with each one. Let them compound for an even better rate.
We have done long term CD's since the 1970's and only cashed them in when the matured when we found another home. Keep adding to them as they mature and go out for as long as you can for the best rate.
rockies
  |     |   Comment #21
@max100
I agree with Ally6770 on the positive benefits of laddering. Additionally, your comment makes it clear that you value flexibility and ownership of your long term asset decisions. Therefore, simply look for reasonable Early Withdrawal Penalties on any longer term certificates you are considering. Just make sure the bank or credit union does not require THEIR consent to access YOUR money. There is absolutely no reason for a depositor to grant this right to a bank or credit union with all of the competing products in the market place. And, the more of us who reject these consent requirements, the sooner banks and credit unions will drop them. We are treated in the way that we allow ourselves to be treated.
Rickny
  |     |   Comment #24
skimmed the deposit aggrement. Section V Page 8 of 15:

Your Account is an interest-bearing Account. The terms
governing our payment of interest are explained in the Deposit Account
Disclosure. These terms, including rate of interest, computation of
interest, maturity conditions, minimum deposit requirements, fees and
other terms are subject to change at our discretion. Interest begins
to accrue on the Business Day we receive the deposit. We will not
pay interest on any deposited Item that is returned to us unpaid. Tax
reporting applicable to your Account will be reported to the Internal
Revenue Service and consolidated with any other tax reporting for your
other BMO deposit accounts under the TIN for the Primary Account Owner.
Spring
  |     |   Comment #26
How do you easily get access to disclosures to review a banks EWP policy and restrictions? Do you have to contact the bank or is there another way?
rockies
  |     |   Comment #27
@Spring
First, check DA. It will sometimes pop up in reviews here as Ken did with this BMO Alto certificate. Typically, this will be addressed either in the Truth In Savings (TIS) Disclosure and/or the Member/Deposit Agreement. Unfortunately, this does not necessarily mean you can "easily get access". You will likely have to call and ask for a blank TIS and copy of Member/Deposit agreement. In my opinion, you should never rely on a support agent to answer the question correctly. Always review the written agreements.
Spring
  |     |   Comment #34
That sounds about right as I have been given wrong info. by agents and double check everything.
1hrlamke
  |     |   Comment #54
Just called BMO alto "support" and was told that NO external account withdrawals would be allowed. I read the Deposit Agreement and there is nothing in there to indicate this is true. Also told there was no dollar limits, but there is a clause about being "at their discretion". Should not be this difficult.
DAJunkie
  |     |   Comment #30
Based on DA reader anonlol's  DA / Latest Threads / ...BMO Alto comments 
relating his CSR conversation, and subsequent disclosure corroboration obtained
by DA reader xjones several pages into the application process, this appears to 
be a variable rate 'market-indexed'-like, callable CD.

Can anyone conclusively demonstrate otherwise? If not, I'd pass!
Mak
  |     |   Comment #31
So this appears to be a callable CD to you....lol
User
  |     |   Comment #35
I don't like the language "We reserve the right to permit withdrawals of principal only upon maturity "
Per customer reviews, it is hard to reach CSR of BMO Alto by phone. This bank doesn't have a brick and motor branch in case the funds are needed and CSR is unreachable. However, 100K invested in a CD that pays 4.9 APY will make $2,133.23 less in 5 years than at BMO Alto. I wish more high rate long term CDs would be available soon. It is hard to tell if we are at the peak of long term CD rates. So, there are factors to think about before making a decision to lock a 5 yr CD with BMO Alto.
SCWAB
  |     |   Comment #39
I opened a savings account and funded it via an external account. My plan was to then open a 5yr CD and fund from the savings account. However, I don’t see how this can be done once I have logged in to online banking - there seems to be no links. If I try to open a CD from the website link I am taken through a new customer process where it asks for all my details again. When I get to the funding part it asks which bank I want to fund from but still doesn’t give me the opportunity to select my BMO Alto account. Surely I am missing something. Has anyone been able to do this?
Mak
  |     |   Comment #40
SCWAB
Let me shorten that, I opened a CD first and then had to go back thru the same process to open the savings account.
Hooked
  |     |   Comment #41
@SCWAB - I would suggest that you give them a call to see if they can open a 5yr CD using the funds in your savings account; no harm asking.
Spring
  |     |   Comment #42
I just did a lot of research on this CD and others so I think I have something of value to offer in comment. If you buy 5 yr CDS like I do with the assumption that you can get out easily for one reason or another it is best to go with the banks that offer low penalties like Barclays and Ally. You will currently get a lower rate for a 5 yr.... Barclays at 4.50 but it is worth it to know you are not stuck for 5 years. BMO Alto has the clause of possible refusal for early withdrawal which for me would not work. Better to get a good penalty (6 mos) and there are many banks out there that offer them but you will have to take a lower rate. Also now I think a good idea to check the disclosures for any clauses blocking you from early withdrawal.
Badlands
  |     |   Comment #43
Deleted (posted in the wrong place)
Badlands
  |     |   Comment #44
As I detailed in my review on the Banks's page, this new division isn't ready for Primetime. The brief version: Opening a CD was very fast (really too fast, as they have no verification process). I tried to link 3 different banks via the automatic process. All three failed. I finally linked one via micro-deposits and funded the CD. I wanted to open the HYSA, but there's no way to do that as an existing customer. You need to re-enter all your info. I was declined. I tried to open another CD. Also declined. No reason given. Looking at Reddit, this is very common for this bank.
Mak
  |     |   Comment #45
I had no problem whatsoever, hooked my bank account and the next day they made 2 small deposits into it, then went back into my account put the 2 deposits in where designated....opened on the 7th and my bank account was hooked to it on the 8th
Mak
  |     |   Comment #47
Here is mu update on BMO. I opened a savings account and a 5 year CD. hooked my bank account to my alto account. When my bank account hooked up I transferred in $5 to open the account and then yesterday I transferred into the CD to fund it. Transfer did not show right away so that should have been my first warning....couple hours later it showed up that there was a transfer coming. Went into the account today to see if everything was funded, they made both deposits into my savings account instead of one in my CD. Called them up and waited on the phone 1 hour, the rep comes on and tells me she can't move the funds into my CD because the funds are on hold until Monday, meanwhile the CD needs to be funded by tomorrow. I ask her how are the funds on hold until Monday when I sent them yesterday and it's an EFT from my bank, no answer just can't do it until Monday.
Tried to open another one so I have time but they declined my coapplicant that was already approved to be co-applicant on the other CD...... needless to say that was enough for me, I decided not to open a CD here.
gregk
  |     |   Comment #51
Advancial’s got just as good or higher (on 100K+) a rate.

Why didn’t you choose them to start with?
Mak
  |     |   Comment #53
Actually $50k is the jumbo but I'm pretty much maxed out there.
Mak
  |     |   Comment #48
Didn't post the first time so trying it again.... deleted
loungeabuser
  |     |   Comment #49
Is anyone certain BMO ALTO is legitimate ? They have no address, BMO CSR haven’t heard of them, cannot access my account as I’m presented with phone numbers that are not mine, nobody ever answers the phone , no way to withdraw
gregk
  |     |   Comment #50
They’re a huge multi-national Bank corporation.

That their own reps have never heard of them doesn’t seem implausible given some of my experiences with Bank (and CU) reps, hehe.
searching
  |     |   Comment #55
My wife got approved and the process has been pretty good and fast, however I got declined both to be a joint owner and also to get a cd on my own. It appears that they use ChexSystems, so I looked into the use of ChexSystems and found that they are potentially becoming an obstacle for DA followers in getting approved to open new accounts. I have been using Deposit Accounts for years, I have a great credit score over 800, and l had never been declined before and never gave a thought about ChexSystems. It seems to me that they have become the gateway to opening deposit accounts, similar to what TransUnion and Equifax are to opening loan or credit account. I just got a copy of my "Consumer Report" online from ChexSystems (I also requested my "Score" which is coming in the mail), and I see that I have had a problem of multiple inquiries/pulls/dings (whatever you want to call them) for the same application, at 3 different credit unions in the past 12 months. Does anyone know how to go about correcting this? Do you contact the credit union and get them to correct it with ChexSystems, or do you file a dispute directly with Chex? What information or "proof" works? It looks like I started getting declined after I had 10 "inquiries", many of which are duplicates, on my report over the last three calendar years. I was told that the FI generally has ChexSystems make the approve or decline decision. It would be nice to understand who is actually making the decisions and what standards they use. It is also obvious that multiple pulls from the same FI for the same application is a huge problem, since we only give permission when we hit the "Apply" button for one inquiry/pull. There is also confusion over terminology, for example what is a "hard" vs. a "soft" pull...is ChexSystems a "soft" pull and Transunion a 'hard pull", or does each one have hard and soft pulls? For example, this is from Ken's review of this latest BMO-Alto CD, "Credit Check – Soft pull by Transunion, ChexSystems".......what does that actually mean? Any help you could offer would be so appreciated as it is terrifying to think that many of us followers of DA will now not be able to get approved for CD's, at what seems like the peak of 5 yr. rates, and after waiting all this time.
Softwareman22
  |     |   Comment #56
Does anyone know whether BMO Alto guarantees their CD rate for a period from the time an application is submitted online to when the account is funded? Some banks allow you to open the account online with zero funding. Then they guarantee the best rate for X days after completing the application online until the account is funded. If in the meantime rates have gone higher one can choose to not fund the account.
Ken, I think this would be a relevant question to include in your already excellent existing list of CSR questions when you contact an institution. Thanks
Review of BMO Alto Online Savings Account and Online CDs
Deal Summary: BMO Alto Online Savings Account, 5.10% APY on all balances, $0 minimum opening deposits, Online CDs with terms from 6 to 60 months.

Availability: Nationwide through online application.

During the summer, BMO Bank N.A. (name has recently changed from BMO Harris Bank N.A.) launched an online bank division called BMO Alto which offers a savings account, the BMO Alto Online Savings Account, and online CDs with terms from six months to 60 months. The rates have been competitive. The Online Savings Account rate increased this week from...

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