8 replies to this topic

[mjstumpf]

Looking for recs. Have done my homework.. but I don't think anything exists to satisfy this (the key is, it's gotta be convenient):

1) Want higher interest checking. Currently at 0.25% or something small. I want 2-3%.

2) Online bank is ok. The key is, it has to offer full ATM fee reimbursement, preferrably automatically. This has to be present. It's a bloody remote bank, after all.

3) Minimum balance needs to be low ($1000-2500), or what's the point?

4) I want stuff like billpay via web, and electronic banking.

5) No goofy gimmicks or deliberate traps set, such as you must use our debit card for 10 POS transactions per month.


After searching, eBank and Everbank seemed to fit the bill, but eBank has a BankRate.com rating that suggests it is in bad financial shape (and I don't want to find out first hand how FDIC insurance works...), and Everbank only reimburses $6 of ATM fees, and only if you mail them the slips.

Any thoughts?

[doglar]

Sounds like you find some good banks...here is another from Bank of Internet

Freedom Checking - A great account for those that maintain a minimum of $1000 average daily balance
Line
Chex Systems Open Account:
click link to begin applicationIndividual Square Joint Square Trusts (Family & Inter Vivos)

* Interest earning...3.15%APY
* $100 minimum to open
* $4.00 Monthly fee if average daily balance falls below $1,000.00.
* Free ATM use and reimbursed ATM fees you pay, up to $7 per month
* ATM and Debit Cards provided free
* Free Bill Payment
* Free Bank by mail envelopes

[markber]

Looking for recs.  Have done my homework.. but I don't think anything exists to satisfy this (the key is, it's gotta be convenient):

PCBanker eChecking

1) Want higher interest checking.  Currently at 0.25% or something small.  I want 2-3%.

3%

2) Online bank is ok.  The key is, it has to offer full ATM fee reimbursement, preferrably automatically.  This has to be present.  It's a bloody remote bank, after all.

ATM rebates (up to $6/month) when the average monthly balance is $1,000 or more

3) Minimum balance needs to be low ($1000-2500), or what's the point?

Average daily balances less than $1,000 will be assessed a $5/mo. fee

4) I want stuff like billpay via web, and electronic banking.

Free bill pay with ebills and ebill autopayment option

and

!!!! Free incoming ACH transfers

5) No goofy gimmicks or deliberate traps set, such as you must use our debit card for 10 POS transactions per month. 

PCBanker is very customer-friendly as long as you are not located outside of US.

After searching, eBank and Everbank seemed to fit the bill, but eBank has a BankRate.com rating that suggests it is in bad financial shape (and I don't want to find out first hand how FDIC insurance works...), and Everbank only reimburses $6 of ATM fees, and only if you mail them the slips. 

If $6 per month is not enough, you may consider nBank nPower XL account ( $8 ATM rebates per month; see terms below) or a convenient low-interest checking account (USAA, $15 ATM rebates per month, free ACH transfers) and a high-interest savings account (Emigrant Direct, 4.0% APY, free ACH transfers).


Mark


Terms of nBank nPower XL account
http://k2.secure-ban...3010&FRAME=0#xl
High interest rate currently 3.44% (3.49 Annual Percentage Yield)*
FDIC insurance.
Immediate liquidity of a checking account.
Overdraft protection (with approved application).
Master Money check card (with approved application).
Minimum balance to open of $2500.00 .
FREE online banking and bill payment.
Monthly service charge of $15.00 if balance falls below $2,500 .
nBank does not charge for use of other providers' ATMs, but the owner of the machine may or may not assess a charge.
nBank will automatically refund up to $8.00 per month of ATM fees charged by other banks when you use other ATMs to access your nPower XL accounts.

[mjstumpf]

Thanks, good suggestions.

I really was stuck on the "no atm fees, anywhere, anytime", the reason being that using an ATM becomes 100% no-hassle. Maybe this is a very rare thing.

What I'm trying to do is squeeze the last few % points of interest out of my money. I've got emigrant direct savings, and I use cash reward credit cards, but the checking account is permanently sitting there with between 2000 and 6000 dollars to pay mortgage and such. I keep it at this balance for safety's (fee) sake, but I could run it closer to edge, and set up automatic Emigrant ACHs into my checking to cover mortgage etc.

At 3%, a 5000 balance nets $150 yearly. Maybe the question I should really be asking is one of numbers - will the ATM fees really exceed that number? ($12.50 interest + $6 freebie a month) If they don't, then I'm still profiting. I just hate having to watch it closely or worry about fees.

How much should I worry about eBank? (by the specs, it is perfect for me. They also dont charge for incoming ACH) Do you guys have opinions about how seriously to take a low bankrate.com rating? The only reason I'm hesitating is that on a scale of 1(best) to 5(worst), most banks (according to them) rate 4, so perhaps 5 is not as bad as I think?

Any idea how things would go if eBank declared bankruptcy and suddenly my $7500 checking account was frozen? Does the FDIC step in and give me my cash immediately (within a week), or is it a long, drawn out court process where my cash is gone until I hire a $200/hour lawyer?

[pangya88]

Unfortunately (perhaps fortunately) I don't have a first-hand experience to answer your question regarding FDIC insurance. I can only offer you a textbook-type of answer, something I learned from my finance classes.

Banks have failed and will continue to fail. If a bank crashes, you may have to wait a long time and get less interest than you previously thought.

Anyone can say anything about the Savings and Loan Crisis in the 80's ??? Pardon my ignorance.

[scottjm]

Banks have failed and will continue to fail.  If a bank crashes, you may have to wait a long time and get less interest than you previously thought. 

Anyone can say anything about the Savings and Loan Crisis in the 80's ???  Pardon my ignorance.

What is FDIC Deposit Insurance?

--------------------------------------------------------------------------------

The FDIC was created by Congress in 1933 to make the savings of millions of Americans secure. The FDIC protects depositors' funds in the event of the financial failure of their bank or savings institution. The FDIC does not protect against losses due to fire, theft, or fraud, which are subject to other protections such as hazard and casualty insurance. FDIC also does not insure Non-Deposit Investment products (such as Stocks, Mutual Funds, and Annuities) that may be sold at a bank or savings institution.

When an institution is closed by its chartering authority, the FDIC makes payment of insured deposits to all of the failed institution's depositors as soon as possible, usually on the next business day after the closing. Those depositors who have funds in excess of the insurance limits receive the insured portion of their funds as described above. They also may receive a portion of their uninsured funds either at that time or as the assets of the failed institution are liquidated.

[scottjm]

I have never had to get money from the FDIC but did have one small local bank fail on me. FDIC just had other Local banks instantly pick up all depositors accounts. Also I remember hearing once that the FDIC has 99 years to payoff if there was ever a major banking crisis but have never been able to confirm this

[mjstumpf]

I'm thinking seriously about going with presidential bank. Wife wasn't comfortable with a low bankrate.com rating, and it turns out that nbank has exactly the same thing.

We'll just suck it up and deal with the fact that we have to pay for ATM usage, and just try to avoid it. It also turns out that , according to presidential, if you look a bit to credit union networks and (apparently) Washington Mutual, you can actually find surcharge-free ATMs.

And, presidential has 4 stars from bankrate, where 5 is the best. Less likely to keel over and die. This board seems to like it too (many positive comments, no gotchas apparently).

[mjstumpf]

  It also turns out that , according to presidential, if you look a bit to credit union networks and (apparently) Washington Mutual, you can actually find surcharge-free ATMs.

Welp, sorry guys, I messed that one up. I get in on it and Washington Mutual institutes a fee for their ATMs. Hah!