online savings account

[Nerva]

so i have been thinking, just exactly how secure are these online savings accounts? i have one with hsbc, and it just occurred to me that if people can get into your account, you are probably toast.

is there any merit in spreading your money out across different banks and accounts?

 

[fallenangel99]

The banks are FDIC-insured, I'm sure anything online can be hacked into (your CC, shopping websites, etc)

FDIC only insures up to 150K, so if you have more than that, then I would float it around.

 

[Bateluer]

I have accounts at ING Direct and FNBO Direct, haven't had any problems yet.

 

[pyonir]

Originally posted by: fallenangel99
The banks are FDIC-insured, I'm sure anything online can be hacked into (your CC, shopping websites, etc)

FDIC only insures up to 150K, so if you have more than that, then I would float it around.

Exactly.

 

[Suspicious-Teach8788]

Anyone use GE Interest Plus?

 

[sciencewhiz]

Originally posted by: fallenangel99
FDIC only insures up to 150K, so if you have more than that, then I would float it around.

It used to be 100K, when did it increase?

 

[IronWing]

I believe that FDIC only covers you if the bank loses your money, i.e. bank failure, not if someone steals it through fraud.

 

[pyonir]

Originally posted by: ironwing
I believe that FDIC only covers you if the bank loses your money, i.e. bank failure, not if someone steals it through fraud.

The FDIC covers you if a bank is robbed...would it be the same if someone robbed a bank through a computer terminal?

 

[Nerva]

Originally posted by: pyonir
<div class="FTQUOTE"><begin quote>Originally posted by: ironwing
I believe that FDIC only covers you if the bank loses your money, i.e. bank failure, not if someone steals it through fraud.</end quote></div>

The FDIC covers you if a bank is robbed...would it be the same if someone robbed a bank through a computer terminal?

this is interesting, can anyone else comment on this?

 

[ghostman]

<div class="FTQUOTE"><begin quote>Originally posted by: 3cho
so i have been thinking, just exactly how secure are these online savings accounts? i have one with hsbc, and it just occurred to me that if people can get into your account, you are probably toast.

is there any merit in spreading your money out across different banks and accounts?</end quote></div>

http://www.us.hsbc.com/1/2/3/p...nking/online-guarantee

EDIT: Others (note that not all banks have $0 liability):
<a target=_blank class=ftalternatingbarlinklarge href="https://home.ingdirect.com/......eSecurityGuarantee"><a target=_blank class=ftalternatingbarlinklarge href="https://home.ingdirect.com/pri...rangeSecurityGuarantee"><a target=_blank class=ftalternatingbarlinklarge href="https://home.ingdirect.com/privacy/privacy_security.asp?s=OrangeSecurityGuarantee">https://home.ingdirec............yGuarantee</a></a></a>
http://www.bankofamerica.com/o...security&statecheck=NY
<a target=_blank class=ftalternatingbarlinklarge href="https://www.emigrantdirect.......ermsConditions.jsp"><a target=_blank class=ftalternatingbarlinklarge href="https://www.emigrantdirect.com...er/TermsConditions.jsp"><a target=_blank class=ftalternatingbarlinklarge href="https://www.emigrantdirect.com/EmigrantDirectWeb/information/consumer/TermsConditions.jsp">https://www.emigrantd............itions.jsp</a></a></a> (near the bottom, titled "Notice of your rights and liabilities")
<a target=_blank class=ftalternatingbarlinklarge href="https://web.da-us.citibank.com...enCitibankBankingCards"><a target=_blank class=ftalternatingbarlinklarge href="https://web.da-us.citibank.com/popups/ao/client_agreement.html?BVE=https://web.da-us.citibank.com&BVP=/cgi-bin/citifi/scripts/&BV_UseBVCookie=yes#LostorStolenCitibankBankingCards">https://web.da-us.citiba.........nkBankingCards</a></a> (under "Lost or Stolen Citibank® Banking Cards and Unauthorized Electronic Transactions" and "Notifying Us Quickly Limits Your Responsibility")

And from what I gather, it is covered under FDIC Regulation E (http://www.fdic.gov/regulation.../rules/6500-3100.html). Many banks extend that to offer $0 liability. All this assumes it is reported within 60 days. Outside of 60 days and I believe all guarantees are out the window. I'm not an expert at this... I just did some research after I stumbled across this post. Please correct any mistakes.