Kiplinger’s Personal Finance, December 2009 issue, just announced that the Ally Bank Online Savings Account has been rated “Best Online Savings Account”.
This ranking recognizes the Best Bank Accounts that “combine higher yields and convenience.” Kiplinger’s chose to honor Ally Bank’s Online Savings Account because it requires “no minimum to open an account, no monthly fees and no minimum balance.”
They combine higher yields and convenience. A high-yield savings account at ALLY BANK, formerly GMAC Financial Services, yields 1.30% â€”far more than you’d get at most brick-and-mortar banks. And Ally Bank has no minimum to open an account, no monthly fees and no minimum balance. Plus, this FDIC-insured institution is one of the only online banks to offer penalty-free CDs, which give you the freedom to withdraw your money early without paying a fee.
Even with the current low interest rates, online savings accounts can still be a key place to hold your money. Continue reading…
If you have a vacation fund, down payment fund, or maybe money sitting in a low interest baring savings account… it might be worthy to consider transferring the money into one these online savings accounts. Historically, many of these online banks have carried high competitive savings rates. When the market does return, you’re gains will be potentially more substantial compared to a traditional savings account.
Here are a few key factors to consider in locating the best online savings accounts.
- Rates – Who has the best Savings Account Interest Rates
- Accessibility – If you want to withdrawl money, how long will it take?
- Automatic savings plans – Can you set up an automatic system to deposit money from another account.
- Additional products – When you wealth grows, can you diverify your funds in a Money Market account or CDs.
- Customer Service – How hard is it to obtain a live person to answer your needs. *Peronally, I will shun a company from my list if I need to push too many buttons or cannot dial 0 to reach an operator.
- Safety – Is the bank FDIC insured or what safety measure are in place.
Lets compare a few of the known banks available:
If you’re interested in a bank with high yields and greater convenience, then EverBank is the bank for you. The EverBank Yield Pledge(SM) Money Market Account gives you a higher interest rate plus access to your cash. Open a new account, and take advantage of EverBank’s 3-month bonus rate.
Open a savings account with Ally Bank and earn a higher rate than traditional savings, plus get free online banking transactions and enjoy no monthly fees. Ally Bank requires no minimum deposit and will not charge you a fee if your balance dips too low. Customers are allowed six withdrawals or transfers per statement cycle. Open an online savings account with Ally Bank today. Ally Bank is member of the FDIC.
The WTDirect Savings Account offers a high yield savings account with no maintenance fees and no minimum deposit requirement to open, plus you’ll get a 1.41% APY for the first 60 days regardless of your account balance. WTDirect Savings Account are FDIC-insured for up to $250,000 with $0 liability on unauthorized transactions, so your funds are absolutely safe.
Your savings will grow with 1.35% APY* – currently 5 times the national statement savings average ± No monthly fees. No matter how much you use our ATMs or how many times you transfer your money, HSBC will not charge you any fees. We mean it. No minimum balance requirement. It’s always up to you how much you keep in your account. When you open an account, you only need $1 to start. However you choose to fund your account, there’s no fee to open and the application is easy.
The Orange Savings Account. Earn high interest. Great rates, no fees, no minimums. Start saving in under 5 minutes. No Changing Banks – It electronically links to your current checking account. Transfers are free and easy. FDIC Insured – Your deposits are FDICâ€“insured up to $250,000 per depositor.
Do you have a favorite online savings account? What are your experiences with an online savings account? Share your thoughts below.
A few other choices for high interest savings accounts:
- American Express Bank, FSB 1.49%
- Capital One Direct Banking 1.44%
- FNBO Direct 1.39%
- AnchorBank, FSB 1.29