which online bank to use?

[Semidevil]

besides the interest rate, are there any other differences between all the online banks thatI need to consider???

I currently have an ING savings account, and am planning to open up an account for my wife. Should I open up an ING for her, or should we both jump ships and go to a different bank, i.e, HSBC direct,or any others.

This will strictly be a savings account, with biweekly or montly deposits. withdrawing the money will be used when we feel it is time to spend.....

besides the interest rates, are there any other advantages/disadvantages I should consider???

If there is no differences, then I guess going to the one with the highest interest will be the logical answer right?

and i'm gussing right now, hsbc is the highest right?

 

[manlymatt83]

ING is stable. I love ING, and they have a lot of products.

If you're just looking to save, emigrant and HSBCdirect are good.

For checking, check out Schwab, Electric Orange, and Salem 5

 

[Zugzwang152]

Because my savings are minuscule, I haven't found reason to move to a savings account with higher interest than ING.

 

[dionx]

i like Citi: high interest online savings, free ATM access via Citibank or 7-Eleven, ability to earn ThankYou points

 

[Beau]

ING

 

[Gunslinger08]

HSBC.

 

[Pabster]

I like Washington Mutual.

 

[manlymatt83]

I have an account at ING direct, td banknorth, and washington mutual. ING is for main workhorse account (checking), td banknorth is for ATM refunds, and wamu is just for wiring money to ING for free

 

[Beau]

Here's a quick list of some good online savings banks A few reviews on them...

 

[fallenangel99]

WAMU 5% APY and you can access the money through an ATM. MOst online banks do not have this capability. I think only CITI (4.5% APY) savings has this capability.

 

[Terabyte]

Originally posted by: fallenangel99
WAMU 5% APY and you can access the money through an ATM. MOst online banks do not have this capability. I think only CITI (4.5% APY) savings has this capability.

How is WAMU's savings account? I currently have HSBC.

 

[d3n]

USAA

 

[SpongeBob]

Been using Capital One for about a year now. No complaints.

 

[compnovice]

I would say not to go with ING for your wife.... Its not that they are bad... Only because if they go bankrupt at least you have savings in a different bank too... Not that this is going to happen but diversification just makes sense

 

[Biturbo]

Originally posted by: compnovice
I would say not to go with ING for your wife.... Its not that they are bad... Only because if they go bankrupt at least you have savings in a different bank too... Not that this is going to happen but diversification just makes sense

You don't really have to worry about that, since reputable banks that deal with US customers (including ING Direct) are FDIC insured, which means even if the bank goes out of business, your deposit is safe, as it is insured by the federal government.

So, you should pick the best bank based on rate, fees, features, and customer service - diversification in this case doesn't matter in the least.

 

[Pabster]

Originally posted by: compnovice
I would say not to go with ING for your wife.... Its not that they are bad... Only because if they go bankrupt at least you have savings in a different bank too... Not that this is going to happen but diversification just makes sense

ING Checking And Savings are FDIC insured. Even if they go bankrupt you are covered, up to the $100,000 cap.

 

[Beau]

Originally posted by: Biturbo

Originally posted by: compnovice
I would say not to go with ING for your wife.... Its not that they are bad... Only because if they go bankrupt at least you have savings in a different bank too... Not that this is going to happen but diversification just makes sense

You don't really have to worry about that, since reputable banks that deal with US customers (including ING Direct) are FDIC insured, which means even if the bank goes out of business, your deposit is safe, as it is insured by the federal government.

So, you should pick the best bank based on rate, fees, features, and customer service - diversification in this case doesn't matter in the least.

Not to mention how easy it is to open multiple savings accounts with ING, so IF you have more tha 100k in savings, you can span it over multiple accounts (though I'm not sure why you'd keep that much in a regular savings account instead of a better investment account).

BTW,

Welcome to the boards, Biturbo

 

[compnovice]

Originally posted by: Beau


Not to mention how easy it is to open multiple savings accounts with ING, so IF you have more tha 100k in savings, you can span it over multiple accounts (though I'm not sure why you'd keep that much in a regular savings account instead of a better investment account).

BTW,

Welcome to the boards, Biturbo

Even if you span it over different a/c at ING and IF the ban goes bankrupt, would you have immediate access to money.. I was under the assumption that it would take time to get the insured money..

 

[Biturbo]

Originally posted by: Beau

Originally posted by: Biturbo

Originally posted by: compnovice
I would say not to go with ING for your wife.... Its not that they are bad... Only because if they go bankrupt at least you have savings in a different bank too... Not that this is going to happen but diversification just makes sense

You don't really have to worry about that, since reputable banks that deal with US customers (including ING Direct) are FDIC insured, which means even if the bank goes out of business, your deposit is safe, as it is insured by the federal government.

So, you should pick the best bank based on rate, fees, features, and customer service - diversification in this case doesn't matter in the least.

Not to mention how easy it is to open multiple savings accounts with ING, so IF you have more tha 100k in savings, you can span it over multiple accounts (though I'm not sure why you'd keep that much in a regular savings account instead of a better investment account).

BTW,

Welcome to the boards, Biturbo

Thanks

While you are right about not usually wanting that much in cash savings, you are slightly off on the FDIC coverage. It is per depositor at an institution. So, if you were to have $500k spread across 5 accounts at the same place, you'd still be only covered up to $100k.

There are some exceptions and different situations that may make this not true, but for the most part, $100k is the limit for non-retirement savings per institution. For more, you can check out the guide from the FDIC here:

http://www.fdic.gov/deposit/deposits/insured/yid.pdf

 

[Biturbo]

Originally posted by: compnovice

Originally posted by: Beau


Not to mention how easy it is to open multiple savings accounts with ING, so IF you have more tha 100k in savings, you can span it over multiple accounts (though I'm not sure why you'd keep that much in a regular savings account instead of a better investment account).

BTW,

Welcome to the boards, Biturbo

Even if you span it over different a/c at ING and IF the ban goes bankrupt, would you have immediate access to money.. I was under the assumption that it would take time to get the insured money..

From the PDF I just posted:

Federal law requires the FDIC to make payment
as soon as possible. Historically, the FDIC pays
insurance within a few days after a bank closing
either by establishing an account at another
insured bank or by providing a check. Deposits
purchased through a broker may take longer to
be paid because the FDIC may need to obtain
the broker?s records to determine insurance
coverage.

So, it wouldn't be immediate, but relatively quickly.

So, in the highly unlikely event of a bank failing, you'd not have access to your cash for a few days. Doesn't seem like a big deal to me.

 

[AndeeG]

I just got an account with GMAC and their current rate is 5.3%APY on $500+. Signing up was a bit of a hassle for me because I had to mail in an application due to the account being custodial. Come to think of it I still haven't set up my online account information so I have no way to access it. I should go do that.

 

[gotsmack]

Definitely consider customer service hours. For me my #1 concern is 24 hour customer service.

Second consider any special perks you'll get. I signed up with BoA (as my back up bank) because after $25k (I think) I can get free trades in their brokerage division. Emigrant has a nice feature where if you park $10k in their savings account at 5.05% you can also sign up for their CC and which has 1.4% cash back.

 

[Suspicious-Teach8788]

HSBC.

 

[eplebnista]

which online bank to use?

None