HSBC Direct Drops Savings Rate

Written by nickel - 9 Comments

Given the recent rates cuts by the Federal Reserve, this isn’t terribly surprising, but…

HSBC Direct has reduced their savings rate from 4.50% to ~~4.25%~~ ~~3.55%~~ 3.5%.

And here are the current rates for some other major online banks:

» WT Direct — 4.90% (on balances over $10k)
» Emigrant Direct — 4.65%
» ING Direct — 4.10%

Published on December 20th, 2007 - 9 Comments
Filed under: Banking
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Comments (scroll down to add your own):

Etrade Complete Savings account still holding at 4.93-5.05%yd. No minimum.
Comment by RJ — Dec 20th 2007 @ 11:57 pm
My WAMU on-line savings account is still at 4.65% … I’ve closed my HSBC account, as it has been lagging for a month or two now. Countrywide Bank has some short-term CDs at a 5.5 APY.
Comment by Colin McConnell — Dec 21st 2007 @ 8:16 am
AmTrustDirect.com = 5.11% APY
Comment by Tyler — Dec 21st 2007 @ 8:29 am
RJ: I think it is a good move on ETrade’s part to keep the savings rate higher than everyone else to keep customer assets.
Comment by MoneyNing — Dec 21st 2007 @ 1:31 pm
MoneyNing-
I agree 100%. Good move for them, good for us.
Comment by RJ — Dec 21st 2007 @ 5:45 pm
Why not just deposit with IndyMac or Countrywide. They’re offering desperately-high interest rates to boost their retail deposits.

And so long as you don’t deposit more than $100k, you’re safe.
Comment by Credit Kid — Dec 22nd 2007 @ 2:33 pm
My local brick and mortar had a guaranteed rate of 5.25% through the end of the year. I knew it would be going down and was expecting it to be really low, but thankfully they are only lowering it to 4.25% which means that I likely won’t go to the bother of moving the money out of the account.

I might consider Emigrant, but their interface is so bad that the only reason I haven’t closed the account was that I have been too lazy for it.
Comment by Blaine Moore — Dec 22nd 2007 @ 5:59 pm
FNBO direct still lists 5.05% yield and UFB direct - 5.22%.
Comment by kitty — Dec 23rd 2007 @ 12:17 am
Just wanted to add my two cents on Etrade: Not only are they offering the best rates, their customer service is insanely responsive. I’ve been very pleased with them.
Comment by Luna_C — Dec 23rd 2007 @ 6:49 pm