I am a big fan of the on-line savings accounts I hold.
I want to make it clear that these accounts are held with on-line banks. There are several LARGE banks that have on-line banking, but they pay VERY LOW interest.
Here are some of the reasons I like on-line banks so much.
- Excellent interest rates. Their interest rates are usually equal to 30-month CD rates, but you do not lose the liquidity of your money. This is excellent compared to my large bank that I use for bill paying which is currently paying nearly 0% interest AND has a minimum balance of $300 or else I am subjected to a $3/month “monthly maintenance fee”.
- No fees. No minimum balance fees. No on-line banking fees.
- FDIC-insured. I like having my deposits backed by the FDIC.
- Excellent user-interfaces. They are both very user-friendly and intuitive. I am a simple guy, and I like it when my banking is that way too.
- Security. Both banks have unique log-in procedures that ensure that I am who I say I am.
There are other good on-line savings accounts out there too, but I do not have accounts them so I can not adequately say how good they are.
Here are the names of on-line savings accounts that I have heard good things about.
- FNBO Direct
- Ally Bank
What other banks out there have excellent savings rates AND excellent customer service?
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