Susquehanna Community Bank Offers 3.00% APY On Savings Account
A recent Forum post by DA reader, Carpline, and a response from DA reader, HankL, has uncovered a hidden gem: Susquehanna Community Bank (SCB) is offering its Eagle Premium Savings (3.00% APY) nationwide through an online application. The 3.00% APY applies to balances of $100k and above, and is guaranteed for six months. Following the initial six-month period, the APY will convert to Prime minus 3.00%, currently 2.53% APY. The minimum opening deposit is $100k, with at least $25k of new money.
The Eagle Premium Savings (EPS) has tiered APYs for lower balances:
- 0.05% APY – $0.01-$2,499.99
- 0.25% APY – $2,500.00-$24,999.99
- 0.35% APY – $25,000.00-$99,999.99
In addition to low APYs for balances under $100k, there is a monthly maintenance fee of $10 "if balance falls below $25,000.00 on any day in the statement cycle."
Not surprisingly, this great rate comes with some restrictions, which some DA readers addressed in the Forum. According to the Deposit Account Common Features and Service Charge Schedule, a
$20.00 Excess Debit Fee will be charged for any withdrawal/debit in excess of ONE debit semi-annually (January 1-June 30 and July 1-December 31). DEBITS are defined as: Checks, ACH/Automated Clearing House, POS/Point of Sale, Telephone Transfer, Online & Mobile Banking Transfers and ATM Withdrawals. ONLY the monthly compounded interest may be withdrawn.
To quote DA reader, Test 3, that last sentence is,
ambiguous but a generous interpretation is that withdrawing the interest does not count against the single allowed withdrawal. (So yeah, it's a short-term jumbo no-penalty CD.)
Test3 is correct. According to a very knowledgeable CSR, the statement about withdrawing monthly compounded interest is not tied to the $20 Excess Debit Fee statement. Listing two disparate facts together (probably dictated by space restrictions) can definitely lead to confusion. Monthly compounded interest may be withdrawn fee-free and does not count toward the one semi-annual debit withdrawal, BUT the only way the interest can be withdrawn is through an automatic transfer to another SCB account. When the EPS account is set up, the online application provides options for transferring the monthly interest.
CSR also stated that a new EPS account can be funded through ACH or wire transfer, or by check. As stated on the online application, you will need a,
U.S. Checking or Savings Account to fund your new account(s) --- required
if you choose to immediately fund your new account electronically.
While there were some initial concerns voiced in the Forum about the online application not functioning properly, Test3 opened an EPS account successfully.
I signed up on Monday afternoon. The initial test deposit and funding were pending by Tuesday. Late Wednesday, I'm now seeing the funding posted with two days of accrued interest as well.
Thanks to all the DA readers who contributed to this conversation about the Eagle Premium Savings account.
Headquartered in West Milton, Pennsylvania, Susquehanna Community Bank offers its product line to US citizens and resident aliens, 18 years or older, with a valid Social Security number.
Opening an Eagle Premium Savings account can only be done online, or at any of six Pennsylvania branches, located in Beaver Springs, Lewisburg, Mifflinburg, Northumberland, Watsontown, and West Milton.
Susquehanna Community Bank has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 2.06% (excellent) based on September 30, 2018 data. In the past year, the Bank increased its total non-brokered deposits by $6.97 million, an above average annual growth rate of 2.03%. Please refer to our financial overview of Susquehanna Community Bank (FDIC Certificate # 8421) for more details.
Susquehanna Community Bank is currently the 81st largest bank headquartered in Pennsylvania, with assets in excess of $411 million. Founded in 1920 as the West Milton State Bank, the Susquehanna re-brand occurred less than a year ago. As stated on SCB’s website,
In 2018, we were ranked 34th in the Nation as a Top Community Bank by US Banker Magazine based on the institution’s three-year average return on equity. In addition, we have finished in the top ten in the state of Pennsylvania 2012-2018 according to a leading bank performance report of 8 different performance criteria.
How the Eagle Premium Savings Compares
Because of the Eagle Premium Savings’ unique structure, making a comparison to traditional savings accounts doesn’t make much sense. Suffice it to say, the 3.00% APY is definitely the highest rate currently offered by any savings account found on DepositAccounts.com.
Given the six-month rate guarantee and the restricted withdrawal policy (complete with $20 Excessive Debit Fee), comparing the EPS to a six-month CD isn’t that far-fetched. When compared to 197 short-term CDs tracked by DepositAccounts.com that are available nationwide, Susquehanna Community Bank’s Eagle Premium Savings APY currently ranks first, regardless of minimum deposit requirements.
The above rates are accurate as of 2/14/2019.
To search for the best Savings Account, both nationwide and state specific, please refer to DepositAccounts.com’s Savings Account Rates page.
Deal - or no deal?
NO DEAL HOWIE!
I was setup and earning 3% APY in under 48 hours. It's sort a non-standard offer, I suppose, but it's legitimate and it's working and their customer service was efficient.
I called them today to ask if the trial deposit withdrawals will count as a debit, and the rep could not give me a firm answer either way. She did offer that if a $20 charge shows up, I can call them and request for a reversal.
This is in reply to your glib comment that America was not a police state, when of course it was for many.
Of course, many of those same people died in World War 2.
If you are an actual patriot, instead of a faux patriot, you would have actually served. Right?
Please, get over yourself.
You're rich but not SUPER rich. You have a hundred grand to get the account going. You want 3% and you know you can pull out your hundred grand without penalty should a 4% CD become available in the next six months, at which point you would want the 4% CD instead of the 3% Eagle account.
The question you raise, and I do not have the answer, is what happens next? You cannot keep your Eagle account open without paying a penalty. So can you close the account without an early closure penalty, or some other sort of "gotcha"? Because this bank appears to have a boatload of "gotchas" in it's arsenal. Anyway, inquiring minds want to know. 3% is enticing, but just exactly how liquid is your hundred grand within a penalty-free context?
And whatever else it is, the guy in the write-up who called it "a short-term jumbo no-penalty CD" is simply wrong. I have actual no-penalty CDs at Ally and AgFed, and they truly have NO penalty when liquidating both principal and interest, at any time after the first 7 days.
Ally allows a single no penalty withdrawal. Just like this one.
Unlike here, only a single, entire withdrawal is allowed at Ally.
Stop being so dramatic.
Do trial deposit/withdrawals from accounts count against the limits typically? Most banks do 2 trial deposits so that could hit you with $40 to link an account.
The exact wording in their PDF (notice the word "any"): "$20.00 Excess Debit Fee will be charged for any withdrawal/debit in excess of ONE debit semi-annually."
Someone needs to call this bank and get a definitive answer if they would waive the Withdrawal fee for Trial Withdrawals, and not even count Trial Withdrawals as the one free per every 6 months.
To answer the question about early closure of the account, the representative who opened my account told me that there is an early closure penalty for accounts closed in the in the first 30 days (I don’t know the amount but I’m sure it can’t be that significant) and no penalty for closure after that.
I also asked them about trial deposits counting as withdrawals. They hadn’t thought about this point so, after some internal review, they told me that if the trial deposits triggered a fee, and/or later caused a real withdrawal to trigger a fee, then I should call them and they would reverse the fee. Nonetheless, I wouldn’t link more than one account.
You're not wrong in your first paragraph above, of course. All I would add is that I understand one's frustrations with the fact they decided to call it "Savings" and we all think of a Savings Account as one where you get the no-fee federally-regulated 6 withdrawals per month. Perhaps Susquehanna could have just named this the "Eagle Premium Money" account instead of Savings.
"Nonetheless, I wouldn’t link more than one account."
Once you set up the account and sign up for online banking, under the Transfer tab, it gives a number to call to set up external transfers.
1. Pay the $30 outbound wire fee
2. Link an external account to pull from (might cost you $20 in account link fees for the trial deposits?)
3. Open a checking account with them as well, and transfer the money all to there, and then heave less restrictions on how you transfer out.
Anyway, I just added an external bank to my Susquehanna account and they are sending trial deposits. After I verify the deposits I'll attempt a large transfer and I'll report back - that will tell the tale.
This is consistent with the $5,000 limit that my contact at the bank advised me about. Susquehanna also charges a $1.50 fee for transfers initiated at their bank. Their transfer system is basically useless to me.
and see if it gets there
As an aside, there is no limit from Susquehanna on how much you can push into your account and there is no fee for funds pushed into the amount.
or you can only transfer from main account?
Maybe take a look at ALLY.
ALLY Bank has Large limits
Currently, PurePoint has large ACH limits that would certainly work as a funding source, and a good way to withdraw from Susquehanna. (Sadly, PurePoint has not yet raised their rate to 2.5%, but hopefully they will eventually.)
And I just found out about the upcoming Andrews 6 month at 3.25% so I am going with that unless something better comes up by 2/25 when the Andrews deal starts. (It's a one week deal)
Military Saves Week
Special 6 Month 3.25% APY* Share Certificate Available During Military Saves Week
Every year, military installations and organizations around the world join forces to motivate, support, and encourage service members and military families to save money, reduce debt, and build wealth through a week of financial focus and education. Andrews Federal Credit Union is a proud partner of the Military Saves Campaign.
In celebration of Military Saves Week, we encourage you to:
Open a limited-time only Special 6 Month Share Certificate with 3.25% APY* during the week of February 25 through March 2
(1) Once I verify the small withdrawal, how soon will they withdraw the rest(big) amount?
(2) When will I start earning the interest in the new account?
(3) When the money leaves my funding(external) account?
In summary, I don't see my money in limbo during the weekend and I don't earn interest.
One wrinkle is that bank is closed this afternoon due to weather. I'd verify on Wednesday, on Friday I'd hold off until Monday, and Thursday verification should be safe but no guarantee.
And I am not going to leave my money at Keesler for 19 months at 3%.
I cannot join NFCU.
I thought I recall someone being rejected for possibly too many chexsystems new accounts? Can anyone confirm?
I should not be afraid to sit tight at 2.50% for a week or even a month or two but I am getting anxious about it. On $155k I lose $14.90 per week as compared to 3%.