SFGI Direct has ended the week by raising the rate on its Savings Account by 10 bps to 1.61% APY. While the 1.61% APY applies to all balances of $1+, the account must be opened with a minimum deposit of $500.
The last rate hike was on January 26th, and it also was a 10-bps rate hike. Between June 2015 and June 2017, the Savings Account’s APY remained static at 1.06% APY. In the past nine months, there have been six rate increases, adding a total of 55 bps. The new 1.61% APY is the highest rate for the Savings Account in more than seven years.
SFGI Direct Savings Account Overview
The SFGI Direct Savings Account has some nice features, such as no monthly fees and no maximum dollar limit on external transfers. The transactional requirements and limitations haven’t changed much since I began writing about the Savings Account. The following is from my September blog post.
- No monthly fees or minimum balance requirements (opening deposit ranges from a minimum of $500 to a maximum of $25k).
- Online account application and funding (per FAQ).
- You can initiate external transfers (ACH).
- Initiating ACH transfers through another institution is allowed (per FAQ).
- Fast external transfers (readers have reported one day delays).
- No maximum dollar limit on external transfers (per FAQ).
- Only one external link for ACH transfers allowed (per FAQ), but the linked account can be changed 90 days after account opening.
- Five business days hold for the initial ACH deposit and a two-day hold for ongoing ACH deposits (per account disclosure).
- Online application now allows up to four named beneficiaries. In addition to the usual name/address/birthdate information, SFGI Direct requires a Social Security number for each beneficiary.
Thanks to DA reader, Sperry8, for his Forum post about this latest rate increase.
SFGI Direct is the online division of Summit Community Bank, which is headquartered in Moorefield, West Virginia. U.S. citizens and resident aliens, 18 years or older, can open a SFGI Direct Savings Account through the Bank’s online application.
SFGI Direct has quite a detailed FAQs page that answers almost any question you might have about the Savings Account. If you need additional information, CSR can be contacted at 877.776.9722.
As the online division of Summit Community Bank, SFGI Direct operates under Summit’s FDIC Certificate and shares its financial history.
SFGI Direct/Summit Community Bank has an overall health grade of "B+" at DepositAccounts.com, with a Texas Ratio of 16.21% (above average), based on December 31, 2017 data. In the past year, the Bank has increased its total non-brokered deposits by $294.75 million, an excellent annual growth rate of 27%. Please refer to our financial overview of SFGI Direct/Summit Community Bank (FDIC Certificate # 34102) for more details.
Summit Community Bank (Summit) is currently West Virginia’s third largest bank, with assets in excess of $2 billion and more than 78,000 customer accounts. Summit’s history traces back to the South Branch Valley National Bank, which was chartered in 1883. Summit extended its market area into Virginia in 2000 and today has 30 full-service branches in West Virginia (17) and Virginia (13).
How the Savings Account Compares
When compared to the 201 Savings Accounts tracked by DepositAccounts.com that are available nationally with similar minimum balance requirements, SFGI Direct’s Savings Account APY currently ranks eighth.
The above rates are accurate as of 4/6/2017.
To review the best Savings Account rates, both nationwide and state specific, please refer to our Savings Account Rates Table page.