MySavingsDirect Ups Savings Account APY


Deal Summary: MySavings Account, 2.40% APY, $1 minimum deposit

Availability: Nationwide (internet bank)

MySavingsDirect (MSD) added 5 bps to its MySavings Account (2.40% APY) yesterday. This is the second rate increase since MSD became a rate leader in early September, and a good indication that Emigrant Bank (the parent of MSD) is intent on keeping the MySavings Account at or near rate leader status.

3.90%--MySavingsDirectMySavings Account
Rates as of December 9, 2022.

Emigrant Bank’s other internet bank, DollarSavingsDirect (DSD), became a savings account rate leader in April 2017. Six rate hikes over the next ten months allowed DSD to continue as a rate leader, but the rate hikes ended in February of this year. The DSD Savings Account 1.80% APY has plateaued since February, while other savings account rates have continued to rise. At this point, the 1.80% APY is definitely on the low side for online savings account rates.

The MSD MySavings Account could follow a similar “Peloton” scenario, with the rate peaking at some point next year, and then being surpassed by other online savings account rates. Nonetheless, MSD can still be a good deal for those who realize it probably won’t be a good savings account in the long run.

ACH Transfer System

As I noted in a November 2014 blog, MSD’s ACH transfer service has been a deal killer for several DA readers. MSD’s FAQ page contains a great deal of information about the MySavings Account, including:

  • No sooner than 60 days after the MySavings Account is established, a second checking account may be linked to MySavingsDirect.
  • Account Verification Authorization Form must accompany the voided check in order for us to process your request. Faxes will not be accepted.
  • Opening deposit can be made by check, but must be from the linked funding account listed on the online application.
  • Only external ACH deposits are allowed following the opening deposit.
  • A single beneficiary (Social Security number required) can be added, using the online application.

After speaking with an MSD CSR and reviewing my earlier blog posts on Emigrant Bank and its various divisions, I was surprised to see that not much has changed over the past several years. All the ACH details I mentioned in a 2013 blog post are still in effect today. In fact, these attributes are the same that existed when I first wrote about DSD in 2008. And if memory serves me right, I think EmigrantDirect listed the same features when it began in 2005. Rather than doing a rewrite, I’m just going to quote my November 2013 blog post.

  • No ACH withdrawals initiated by another bank. External ACH deposits are allowed (CSR).
  • Maximum of 2 linked accounts which includes the initial funding account (Q&A).
  • Establishing second linked account requires mailing in a voided check and form (Q&A).
  • Maximum amount that can be transferred via ACH (in/out) is $500,000 (CSR).
  • Linked accounts can only be personal checking accounts (Q&A).
  • Here’s some good ACH news - transfers are fast, with customers reporting ACH transfers that only take one business day to complete. On the other hand, there is a five business day hold time for ACH deposits.

    Some Useful Features

    MSD allows customers to open multiple savings accounts; CSR said at least 10 were allowed. MSD’s online account management software makes it easy to transfer between the savings accounts. The software also allows customers to designate a separate beneficiary for each savings account. These features make insuring deposits over $250k fairly simple, with this MySavingsDirect document illustrating how this can be accomplished.

    If you want to ensure the vast majority of your savings goes to just one beneficiary and still insure over $250k, this can also easily be done. Please refer to my blog post Maximizing Your FDIC Coverage with Beneficiaries.

    Like all of Emigrant Bank’s internet banks, MSD’s withdrawal options are limited: an ACH transfer to an external linked checking account can be initiated using MSD’s online banking system. According to CSR, only two external checking accounts can be linked to a MySavings Account, and the linking of the second checking account requires an additional form and a voided check. I thought having multiple MSD savings accounts might be a way around that restriction, but CSR stated that no matter how many accounts you have, you are still limited to only two linked external checking accounts.


    As an online division of New York City's Emigrant Bank, MySavingsDirect has no brick-and-mortar branches and any account with MySavingsDirect must be opened online.

    As stated on the FAQ page, opening a MySavings Account “is quick, easy and convenient.”

    Just click on the Open Now button on our home page. The only requirements are that you are at least 18 years old, have a valid tax identification number, a legal address and a personal checking account in a US bank. If you still have questions, please call Customer Service at 877-752-1919.

    About eight years ago, the Milstein Family (owners of Emigrant Bank) sold 30 of its 32 branches to Apple Bank for Savings. The remaining two branches are located in New York City and Ossining (Westchester County).

    Bank Overview

    MySavingsDirect (along with and DollarSavingsDirect) is an internet division of Emigrant Bank, and operates under Emigrant Bank’s FDIC Certificate and shares its financial history.

    MySavingsDirect/Emigrant Bank has an overall health rating of "B" at, with a Texas Ratio of 19.34% (above average), based on September 30, 2018 data. The Bank has excellent capitalization level (21.44%), the result of holding $5.68 million in assets with $1.22 billion in equity. Please refer to our financial overview of MySavingsDirect/Emigrant Bank (FDIC Certificate # 12054) for more details.

    As MySavingsDirect,, and DollarSavingsDirect are all online banking divisions of Emigrant Bank,

    any deposits you have at Emigrant Bank,, DollarSavingsDirect or MySavingsDirect are aggregated and FDIC insured up to $250,000 per depositor. Keep in mind that individual and joint accounts are insured separately, so if you have both types of accounts with us, your total deposits can be insured up to $500,000; that's up to $250,000 in all of your individual accounts, and up to an additional $250,000 in all of your joint accounts.

    Launched in November 2013, MySavingsDirect is the third online banking division created by Emigrant Bank. Emigrant Bank was founded by 18 members of the Irish Emigrant Society in 1850 as a mutual savings bank. By the 1920s, it had grown to become the largest savings bank in the nation. In support of its “hometown,” the Bank invested substantial funds into the New York City community, underwriting constructions loans for Saint Patrick’s Cathedral and a public works project that later became Central Park. Emigrant Bank is currently New York’s 18th largest bank with assets in excess of $6.16 billion, and is also the largest privately owned bank in the country.

    How the MySavings Account Compares

    When compared to 207 personal savings accounts tracked by that require a similar minimum deposit and are available nationally, the MySavingsDirect MySavings Account APY currently ranks first.

    The above rates are accurate as of 12/5/2018.

    To search for the best savings accounts rates, either nationwide or in your state, please refer to the Savings Rates section of

    Related Pages: savings accounts, nationwide deals, Internet banks

      |     |   Comment #1
    This article reminded me of the $5 and change I still have in my DSD account, earning as Ken said, 1.80% . I might as well do some housekeeping and close that.
      |     |   Comment #3
    Yah I still have $.39 in my DSD account. Once banks went past the 1.8% I got my money outta there asap.
      |     |   Comment #2
    Dollar was one of the top rates for about a year. Just keep an eye with mysavngs if they drop the rate or they don't raise the rate to keep up wit the leaders.
      |     |   Comment #4
    With all of those complicating factors if people can’t do better than 2.4% from a B rated bank they’re not trying.
      |     |   Comment #5
    So tell us where we can do better with a FDIC insured savings account. Ken is saying, "When compared to 207 personal savings accounts tracked by that require a similar minimum deposit and are available nationally, the MySavingsDirect MySavings Account APY currently ranks first."
      |     |   Comment #9
    Just off the top of my head: Let’s assume you have no funds at ALLY, which is where the first $100K of funds should be right now thanks to their widely publicized promo in October. The first place I’d park money is with the sister banks All America/Redneck where rates are always competitive, get increased automatically and currently sit at 2.75% with a $10K max per account (yes, you can have more than one) for 10 small debits per month. If you have more available funds, EBSB had a promo for 2.5% insured up to ONE MILLION (see their review for details). And if you have more than a million you would probably neither want nor need the advice of strangers on the internet.
      |     |   Comment #16
    A RCA that only pays 2.75% with only a $10k limit is a bad deal.

    I stopped using all my RCAs recently but will probably start back up one...Heritage Bank which I think pays 3.35% for $25k. Possibly in mid Jan.

    But,with rates rising, even top RCAs are losing their appeal.
      |     |   Comment #39
    I've been using Orion FCU RCA. They pay 4% for up to $30,000. The process to register was a hassle. Took them a month to have me set up, but it's one of the highest paying RCAs out there.
      |     |   Comment #44
    4% is still worth doing.

    Ken does not have Orion listed. I went by their website and it was not clear how one could join without living in their area or working for one of the memphis area firms.

    But, if it's a hassle, I'm not going to bother.

    Because of the allly deal, I went to using All American for bill pay but I don't like it. They pull the money out early and you don't earn interest during the interim. Not to mention their entire online system is antiquated.
      |     |   Comment #60
    Quick update: called Orion after setting up first account. You can set up two Premium Checking accounts (totaling $60K) at 4% each account. That's $2400 a year in interest all while being liquid. Just have to set up second account within 60 days of original account reaction. It makes it worth it now.
      |     |   Comment #62
    How does an outsider join?
      |     |   Comment #64
    I'm an outsider. What I did: 1) Called and told them I'm an outsider and would like to join. The will then tell you to fill out their online application. Tell them that you will and that they should have your application as a look out because IT WILL FAIL during their set up process. 2) Start putting together financial documents as well as identity documents because they will ask you for copies of those, ie: DL/ID, Social Security Card, bank statements, mortgage/rent documents, US passport, Employment, etc... I provided them with all these. It took them about a week to sort through. 3) They will call to ask for permission to run a credit check. It will result at a hard pull. 4) If all goes well, they will send you electronic documents to sign and verify identity. Cards will be sent to start using and make sure you meet those RCA monthly requirements. Again, it took me close to a month to set everything up so it was a bit painful, but 3 months in, I've already made more in these two accounts than some CDs. GOOD LUCK!
      |     |   Comment #65
    Geez. You were not kidding about the hassle. Not sure I want to go thru that. I can add a 2nd acct at Heritage at 3.35% without any of that and I'm not sure I want do even do that. I can't do anything until Jan 16th. I can barely pay my bills until then.
      |     |   Comment #36
    True, but even in the great money crises of 2008, brokerage MM's held $1.00 / share
    dim t
      |     |   Comment #38
    111, so why are you suggesting Vanguard may need to be bailed out?

    The Reserve Fund failed because of Lehman Brothers, and there surely would have been more if FDIC had not decided to guarantee money market funds.

    Wholesale money markets, which you were unaware of earlier today, had a much harder time, and many large company 401ks stopped offering them after 2008 when they became aware of the risk.
      |     |   Comment #40
    I'm NOT suggesting Vanguard will need to be bailed out - for the very simple reason that they won't have to be!

    The Lehman situation was unique in that much of Lehman's balance sheet was NOT "retail". In fact it was the behind-the-scenes Credit Default Swap problems similar to those that also sunk Bear Stearns that March. Do you really think Vanguard has that same business model?

    I'm suggesting that Vanguard's mainly-retail business model is dependent on, well, retail, and on numbers that are far more transparent than CDS swaps were.

    First of all, Vanguard's money market fund liabilities are a tiny percentage of their overall wealth. Percentage-wise, the liabilities that Lehman faced as a result of CDS failures dwarfed anything Vanguard might face today, EVEN IF *ALL* Vanguard's money market funds suddenly, overnight, dropped somehow magically to zero.

    Secondly, being mainly a customer-facing enterprise means that IF Vanguard ever had to bail out their Money Market reserves - again, a relatively small percentage of their balance sheet - they not only could BUT ALSO WOULD do so to preserve their relationship with their customers. (Lehman in 2008, already too far gone due to CDS and leverage issues, was far beyond that point.)

    THIS was my point when I said earlier in this thread regarding Vanguard - "if their money market ever lost money, their investors would flee, and then they're done. Ain't gonna happen".
      |     |   Comment #6
    Does anyone know if one can convert/transfer a DSD account to a MSD account without start all over again......ssuming the ACH remains the same.. At one time I had a trust account at Emigrant, then open a regular DSD account and then Emigrant transferred the trust designation via a simple phone call.
    deplorable 1
      |     |   Comment #12
    No dice tried this twice and was told I needed to open the new account.
      |     |   Comment #7
    I will stay with MSD as long as they are the rate leader. I never thought I would be happy to see 2.40%, but I'll take it. It's liquid, simple, easy to add to/withdraw from.... Good for an old saver.
    deplorable 1
      |     |   Comment #8
    My new strategy with this bank and all the variants is to keep each account open with $1 or so. This way when they decide to hike the rate on one of the variants you already have it open and can move money in quickly. I was closing them all out but then they started to hike the rate on the old one.
      |     |   Comment #10
    Yep, keeping mine with DSD just in case. I still got into EBSB.
    deplorable 1
      |     |   Comment #13
    So far the EBSB account is still paying 2.5% APY for us grandfathered folks. If that drops this is the next best rate.
      |     |   Comment #14
    Will not chase because next week there will be some outfit that trumps this offer!!
      |     |   Comment #21
    Deplorable I think mysavings will drop before EBSB. I do believe that if the Feds raise rates this month a new bank will become the savings rate leader and if I get .25% more than EBSB I'll move my money. Another thing is that EBSB has DIF insurance that insures and savings above the FDIC limits. I don't keep over 250K in my savings account.
      |     |   Comment #15
    Sadly, if you want to keep things liquid, these are the meager savings rates we are stuck with. I'm thinking they will level-off early next year. Maybe even start to decline a bit? (Just guessing.)

    I should get wise, and make a simple short-term ladder of four CDs. 6--12--18--24. Try and keep the savings rate in the 3% range.
    deplorable 1
      |     |   Comment #61
    Why isn't this listed at the top of the list of savings accounts?
      |     |   Comment #63
    because it been continuously listed in bank offers and promos since JUNE
    MySavingsDirect Ups Savings Account Rate
    Deal Summary: MySavings Account, 2.35% APY, $1 minimum deposit.

    Availability: Nationwide (internet bank)

    This morning, MySavingsDirect (MSD) increased the rate of its MySavings Account by 10 bps to 2.35% APY. This is the first increase since MSD became a rate leader in early September, and it’s a sign that Emigrant Bank (the parent of MSD) is intent on keeping this account at or near rate leader status.

    Emigrant Bank’s other internet bank, DollarSavingsDirect (DSD), became a rate leader in April 2017. Several rate hikes allowed DSD to continue as a...

    Continue Reading
    MySavingsDirect Savings Account Rate Soars
    Deal Summary: MySavings Account, 2.25% APY, $1 minimum deposit.

    Availability: Nationwide (internet bank)

    In somewhat of a surprising move, it appears Emigrant Bank has decided to make MySavingsDirect (MSD) their flagship savings account, having raised the rate on the MySavings Account to 2.25% APY. Meanwhile, DollarSavingsDirect’s (DSD) Dollar Savings Account remains unchanged at 1.80% APY.

    With this latest rate increase, DSD and MSD have switched roles: DSD had been offering competitive rates on the Dollar Savings Account since April 2017 (1.25% APY), with the latest increase to 1.80%...

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    MySavingsDirect's 6-Month CD Rate Jumps
    Deal Summary: 6-month CD, 2.15% APY, $1k minimum deposit, MySavings Account required

    Availability: Nationwide (internet bank)

    Over the weekend, MySavingsDirect (MSD) added 115 bps to its 6-month CD, raising the rate to 2.15% APY. Of the three CDs offered by MSD, the 6-month is clearly the most competitive. The minimum deposit is $1k, with no stated balance cap.

    As stated in the Account Disclosures brochure, the Early Withdrawal Penalty reads as follows:

    Funding a CD can be done through your MySavings Account or a linked external checking account....

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