Deal Summary: Dollar Savings Account, 1.30% APY on all balances, no minimum opening deposit requirement.
I’m having a bit of déjà vu this morning with DollarSavingsDirect’s Dollar Savings Account. Last month, I reported that rate had been raised to 1.25% APY (the highest APY for a nationally available savings account) and as of last night, the rate is 1.30% APY (the new highest APY for a nationally available savings account).
While there used to be a $1k minimum opening deposit for the Dollar Savings Account, that requirement was changed sometime in late 2016. Currently, there is no minimum deposit balance required to either open the account or earn the stated APY; CSR stated the account could be opened with as little as $1.
For the past six years, the Dollar Savings Account’s APY has been less than 1.00%, ranging from a high of 0.90% (for four months) to a low of 0.55% (for the past four+ years).
The Dollar Savings Account can be opened with a single beneficiary, with the “address, social security number and the phone number of the beneficiary” required to complete the online application.
DollarSavingsDirect has a FAQs page, which answers a variety of questions from, “How do I open a Dollar Savings Account,” to “What types of precious metals do you offer?”
DollarSavingsDirect is an internet division of Emigrant Bank, which is headquartered in New York City. DollarSavingsDirect offers its product line to individuals who are “at least 18 years old, have a social security number, a legal US address, and a personal checking account in a US bank.”
Opening a Dollar Savings Account must be done online. The initial funding of a new Dollar Savings Account can be done online or by check, but subsequent deposits must be done electronically.
The check must be from the same bank account you
established as your linked funding account on the online application.
As an internet division of New York-based Emigrant Bank, DollarSavingsDirect operates under Emigrant Bank’s FDIC Certificate (# 12054) and shares its financial history.
DollarSavingsDirect/Emigrant Bank has an overall health grade of "B" at DepositAccounts.com, with a Texas Ratio of 20.43% (above average) based on December 31, 2016 data. The Bank has an excellent capitalization level (18.4%), the results of holding $6.41 billion in assets with $1.18 billion in equity. Please refer to our financial overview of DollarSavingsDirect/Emigrant Bank for more details.
Founded as Emigrant Savings Bank in 1850 by members of the Irish Emigrant Society, Emigrant Bank is the oldest savings bank in New York City. Emigrant Bank has established three internet divisions in the past 12 years: EmigrantDirect (2005), DollarSavingsDirect (2009), and MySavingsDirect (2013). EmigrantDirect was the first internet bank to aggressively respond to the Fed’s rate hikes in 2005. That year the Fed raised rates six times, and EmigrantDirect responded with three rate increases.
How the Dollar Savings Account Compares
When compared to the 206 Personal Savings accounts tracked by DepositAccounts.com that are available nationwide, DollarSavingsDirect’s Dollar Savings Account APY currently shares the top spot with BankPurely’s SavingsPurely.
The above rates are accurate as of 5/16/2017.