Looks like they’ve now stopped accepting online applications for new accounts.
Also, CFG is saying: “Your external transfers may not exceed $30,000 in a 30-day rolling period.”
So sounds like any significant sum is locked up in there?
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This is why I stick with the big players, even if they pay a little less.
If you’re OK having your money locked down like this, you might as well buy treasury bills from a brokerage. At least at maturity, you can wire the money for free with someone like Fidelity.
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Marcus: Savings 1.70%, NPCD 1.75%
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SoFi: 2.00%
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Nobody here mentioned mybankingdirect.com. 2.2% no hoops and no minimums. They are a division of NYComunity Bank. I used to live in NYC and they are a consortium of 7 banks on Long Island and Queens. Flushing savings, Roslyn savings, etc. They have owned the Westbury Music Fair for years. Huge venue and great shows pre pandemic. I am closing my HMBradley acct and trans. my SS DD. Too many hoops with Bradley and they are penalizing me (my error) for withdrawing too much this past Q. So no interest for 3 months on substantial sum, till 3% starting 10/1. F them.
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Schwab has a money market fund - Schwab Value Advantage (SWVXX) that is currently yielding 2.14%. The yield seems to be constantly going up each day. If you have a Schwab account, it’s something to consider. Not FDIC insured so it’s possible it could someday not be $1 per share, but I don’t see that happening.
ETA - The one thing this has going for it over savings accounts is that there is no limit on the number of withdraws you can make in a month.
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There shouldn’t be a limit for savings, either.
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Bask Bank is up to 2.20%
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The withdrawal limit regulation for savings accounts was lifted in 2020:
(meh) Ally Savings bumped to 1.75% APY effective 8/17.
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The federal regulation on withdrawal limits was lifted, but some banks still have policies in place to limit the withdrawals as if it were still in place.
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The federal regulation is why banks initially included this limit for their account terms. However, the regulation going away does not mean banks have changed their account terms accordingly. I dont know how prevailant it is overall, but even Discover still tallies withdrawals and states that the limit is only being temporarily waived.
Re: Withdrawal Limits
Alliant, NFCU, Discover, Marcus and all institutions I have contacted have unlimited withdrawals.
It’s possible some banks maintain a savings withdrawal limit but I don’t know of any.
I called Marcus to check on the 0.10% bonus for AARP members. This makes the current 1.70% rate 1.80% for 24 months for AARP members who open a new account. The bonus continues if the rate changes.
Ally NPCD 2.00%
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You don’t need to “open a new account” to get the 0.10% AARP bump for 24 months; you just need to add your AARP number to your existing account. I confirmed both work together within the last 4 months with my mom’s “new” savings account. If you are a Marcus “new customer,” however, you can sign up through a referral link to a 1% bump in the rate for 3 months in addition to the AARP bump, and your referrer gets that bump also. Marcus T&Cs define “New Customers” as:
“If you have not had a Marcus Online Savings Account (OSA) or CD in the last 12 months (a “New Customer”), you can receive a Referral Bonus when you use an existing customer’s unique referral link to open a new OSA during the Offer Period. You will receive your Referral Bonus for a period of 3 months, within 1 business day of when your OSA is opened using an existing customer’s unique referral link during the Offer Period. New jointly owned OSAs opened through a unique referral link can receive a Referral Bonus, provided that all account owners at the time of account opening are New Customers. The Referral Bonus earned as a New Customer will not count towards your referral bonus maximums. By using an existing customer’s unique referral link to open an account, you acknowledge that the customer whose unique referral link you use may know that you opened a Marcus account. If you wish to avoid this, do not sign up for a Marcus account through a unique referral link.”
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Agreed, Argyll. But I think Ally Bank remains rather persnickety about this.
The point remaining that it’s your account’s T&C that dictate if there is a limit or not.
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As an extra data point… I’ve been using Ally to purchase Treasuries. Ally displayed a message with “you’re getting close to the 6 withdrawals limit”, but the message also said that the government had temporarily lifted said limit.
BTW, for those using Ally to do Treasuries… I’ve noticed that deposits are processed first and then withdrawals, but not with Treasuries. The withdrawals from the Treasury are executed first and then any deposits, even if those deposits are coming from Treasury too.
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As I said, most banks now have unlimited withdrawals from savings. Some don’t. Things can change any time, just like everything else. The withdrawal limit can go away or it can be reinstated.
For the persnickety, I’m talking about the situation right now. Banks and credit unions can do anything they want within federal regulations. They can limit transactions if they want, or not.
The credit unions I use (Alliant, NFCU) have unlimited withdrawals from savings.
Ally has unlimited withdrawals but they state it in a roundabout way:
"Federal law permits limiting certain types of withdrawals and transfers from savings and money market accounts to a combined total of 6 per statement cycle…
Previously, there was a $10 excessive transaction fee for each transaction that exceeded this limit. However, due to federal regulation changes,we’re currently not applying limits, and are temporarily refunding fees associated with such withdrawals and transfers."
Unlimited withdrawals have been in effect two years at Ally.