Online Bank Rates Increase at a Few Banks
February 17, 2008
Online bank deposit rates have been reset upwards at a few select banks in the last week in a surprise move because of the growing expectations that the Fed will lower interest rates another quarter-point or half-point at the March meeting. The vast majority of banks have revised their deposit rates to below 4.00% and even perennial online bank rate leaders, Countrywide Bank and IndyMac Bank, are below 3.50% on many of their deposit rates. T-Bank and Acacia Federal Savings Bank are two of the banks who increased their rates late last week after initially dropping their rates below 4.00% on many terms. Other banks like Evergreen Private Bank and OneUnited Bank have not increased their rates, but have dropped their money market rates and savings rates at a very slow and measured pace. The motivation of the banks to stay at the top of the rate lists posted at money-rates.com is probably the same as in 2006 and 2007 (new accounts and net profit for the bank), but in 2008 bank investors may appreciate the rate boost just a little bit more. Online bank rate deals this week include:
OneUnited Bank Savings Account
5.15% APY, $1,000 minimum
T Bank 2-year CD
4.15% APY, $1,000 minimum
Westsound Bank 2-year CD
4.10% APY, $500 minimum
EverBank checking and money market accounts
4.51% intro APY, $1,500 minimum
Millenium Bank 3-year CD
4.25% APY, $1,000 minimum
Acacia Federal Savings Bank 4-year CD
4.15% APY, $500 minimum
KeyDirect 5-year CD
4.50% APY, $50,000 minimum
more money market account rates here
more checking account rates here
more savings account rates here
more CD rates here
