Online Savings Accounts & Current Rates

[poundwise]

I guess my question is should rating be a concern? Does anyone here have money with a "one-star" institution, or do you avoid them at all costs?

I don't care one bit about Bankrate.com's rating system. The last major banks I have known of that failed, had a solid rating at Bankrate until just before they crashed and burned.

My thought on the matter: Keep your money with an FDIC (or NCUA) insured institution and within the limits of that coverage and don't sweat it.

[saverbootay]

Bankrate makes clear that their ratings are based on publicly available financial documents that come directly from the banks they are rating.
To put it cynically: garbage in, garbage out.

[poundwise]

Lots of updates today. So much so (nearly 20) that I am not going to list them all here. Please see the first page for all the current rates as of today.

One note: Considering the present average and mean APY on these accounts, I have again lowered the floor to 1.5% APY. I will not lower it again. If it is that many accounts go below 1.5% APY, then our list will just get smaller.

At present, the listing contains 35 offerings ranging from 1.5% APY to 3.15% APY. As a result of this change, the following accounts, which were previously removed from the list, make a reappearance at the following yields:

Bank of Internet Money Market Savings 1.70%
KeyDirect Gold Savings 1.50%

[BTC]

E*Trade's Complete Saving's yield is down to 1.95%

[Chris6880]

I don't care one bit about Bankrate.com's rating system. The last major banks I have known of that failed, had a solid rating at Bankrate until just before they crashed and burned.

My thought on the matter: Keep your money with an FDIC (or NCUA) insured institution and within the limits of that coverage and don't sweat it.

Thanks for answering my questions, and for diligently keeping this thread current!

[Aleta]

ING is down to 1.65% from 1.85

[weissheit]

I am getting very discouraged w/ online savings accounts. CNN blog today had a feature about "rewards checking accounts" Link: Where to Stash Your Cash - Money Features

Has anyone had any experience with them? Are they worth the hassle/effort of using the debit card all the times they require? I found one close to me, www.nbrsreward.com plus I can manage the account completely online & if you meet the monthly debits you get 5.26%

[noppenbd]

I am getting very discouraged w/ online savings accounts. CNN blog today had a feature about "rewards checking accounts" Link: Where to Stash Your Cash - Money Features

Has anyone had any experience with them? Are they worth the hassle/effort of using the debit card all the times they require? I found one close to me, www.nbrsreward.com plus I can manage the account completely online & if you meet the monthly debits you get 5.26%

I've used Southern Community Bank (Southern Community Bank and Trust: Personal and Business Financial Services - Home) for about 5 months. It was 6% when I opened it and shortly dropped to 4%. I am still using it out of inertia. I use the debit card for very small transactions only (less than $10) and replenish anything I take out once every couple of weeks. It is really not much of a hassle once you get used to it.

[Aleta]

Emigrant Direct down from 2.05% to 2.00%

[saverbootay]

Dollarsavingsdirect is 2.5% now.

Provident merger up for vote -- baltimoresun.com

This was announced back in December, but it looks like M&T Bank is acquiring Provident. Considering what M&T did to Onbank's rates, I think ProvidentDirect might follow.

[weissheit]

Century Direct Checking 2.05% APY; MMF 2.29% APY; & Online Savings 2.39% APY

[weissheit]

I've used Southern Community Bank (Southern Community Bank and Trust: Personal and Business Financial Services - Home) for about 5 months. It was 6% when I opened it and shortly dropped to 4%. I am still using it out of inertia. I use the debit card for very small transactions only (less than $10) and replenish anything I take out once every couple of weeks. It is really not much of a hassle once you get used to it.

Thank you. I'll look into it as online banking rates continue to crater!!

[noppenbd]

Dollarsavingsdirect is 2.5% now.

Provident merger up for vote -- baltimoresun.com

This was announced back in December, but it looks like M&T Bank is acquiring Provident. Considering what M&T did to Onbank's rates, I think ProvidentDirect might follow.

You were right on: Provident-direct is at 2.10%.

[BTC]

GMAC down to 2.65% APY.

[sweeps]

When do we stop calling these high-yield savings accounts, and instead call them slightly-higher-yield-than-your-average-bank's savings accounts.