My hubby already has a savings account with a 0.75& intrest rate but I was going to close it and get an account at a more local bank but none seem to have anything any higher. However, State Farm Back is offering 1.88% on savings accounts. I'm a little leary of not having a brick and morter bank to go to but thats twice the rate of anywere else. Any thoughts?
2007-02-21 11:20:27 · 8 answers · asked by Corinne 2 in Business & Finance ➔ Personal Finance
If you are looking for higher savings account rates, there are many that offer considerably more than 1.88%. For a listing of current savings interest , within your state if you wish, the attached link to bankrate.com will provide the information.
Having done my banking on-line for years without any problems, you should consider that option as well.
2007-02-21 11:28:12 · answer #1 · answered by oakhill 6 · 0⤊ 0⤋
Check into the bank. Make sure it is established. Savings accounts are not too hot right now. Actually, 0.75% is pretty good! If you do not need instant access to the money, maybe consider opening a no penalty CD. This way, if you needed to withdraw the money at a later date, you would not have to pay a penalty on it. PLUS, you would get a higher rate. Often times new or young banks will offer a higher interest rate to lure in new customers. But you have to ask yourself:
1) Is it worth the hassle of taking the time to move your accounts for just a couple dollars?
2) Will you enjoy banking with a new bank as much as you enjoy your current bank?
3) What is the reputation of this other bank?
4) Will this be a long-term committment that I am willing to have?
After you do your research, you should have no problem making a decision. But don't go into ANY new bank without having done your homework! I hope this helps! Good luck!
2007-02-21 11:31:43 · answer #2 · answered by Anonymous · 0⤊ 0⤋
State Farm Savings Account
2016-11-10 08:19:56 · answer #3 · answered by ? 4 · 0⤊ 0⤋
If you are willing to look at alternatives to your local bank, I would look beyond State Farm for higher returns on your money.
My wife I have online savings accounts with ING Direct and Emigrant Direct. Both offer interest rates that are substantially higher than at our local "brick and mortar" institution.
• ING Direct offers an APY (annual percentage yield) of 4.5%
• Emigrant Direct offers an APY of 5.05%
We use our online accounts for money that we don't need immediate access to. If we want to transfer money in an out of our checking account at Bank of America, we can do it online and have the transfer completed within a matter of days. Yes, it's a little less convenient than having the account at BofA. But the interest is much higher and every transaction has been flawless.
I highly recommend both these online banks, and I am sure there are others like them that you could consider. You can find a list at the back of the current issue of "Money" magazine.
2007-02-21 11:32:45 · answer #4 · answered by Christopher W 2 · 0⤊ 0⤋
We have some small credit unions in our area that offer great rates. Check to see if your employer or your husbands employer offers membership in a credit union. Some of the credit unions that are open to employees only may offer higher rates. It sounds like you are like me in that you would like to be able to "touch" your money and not have it be a number in a computer thousands of miles away. I can't fault that thinking!
I would avoid State Farm. Not that they are a bad bank, just that they are a bad company in general. They have been at the brink of losing their license in many states after cheating people. You may want to check out http://www.statefarmstillsucks.com for more information on that.
My opinion is obviously not without prejudice.
2007-02-22 07:03:20 · answer #5 · answered by aGhost2u 5 · 0⤊ 0⤋
I just opened an orange account at ING Direct. You need a checking account to transfer funds into and out of but they pay 4.5% and if you get an offer in the mail, they will give you $25.
http://home.ingdirect.com/
2007-02-21 11:30:33 · answer #6 · answered by Aldo the Apache 6 · 0⤊ 0⤋
I keep getting mailers for Orange Bank. They offer 4.5% on savings, but are either by mail or on line. They don't have walk in store fronts. I'm tempted but haven't done it, because I still need a place I can go get and deposit money.
2007-02-21 11:25:53 · answer #7 · answered by the_skipper_also 3 · 0⤊ 0⤋
igobanking.com offers an online savings account of 5.30% APY, with good reviews and ratings (I use it and love it). No minimum, no fees.
It's pretty hard to beat 5.30% Check it out
2007-02-21 11:33:11 · answer #8 · answered by the_man_they_call_pool 2 · 0⤊ 0⤋