This review is for: Money Market Savings
I've been in the market for a new account, and have basically been taking my time evaluating accounts, while my money sits in a insured money market mutual fund. In that time, OnBank started as one of the real contenders at the top of the list.
What I like about them: To start, great website. It may be silly, but they're website makes me think that they know what they're doing technology-wise, or at the least, that the inside of their site will appeal to me just as the outside has. I like the fact that they are a no-bones-about-it online bank - there are no atms, debit cards or checks available for the Money Market Savings account, and they don't take checks or wire transfer deposits - it's an all-ACH all-the-time system. They allow full 4-way ACH action, which allows me to use an external bank - if necessary - to get around their lower-end ACH transfer limits of $50k/day (deposit or withdrawal).
So everything was looking great, until I watched their interest rate absolutely plummet in the past few weeks. When I started watching OnBank - the rates for their Money Market were around 3.00% - top tier. As of today, it's 0.75% - there are checking accounts out there with better interest rates.
Not sure what happened, but that's a big enough drop to take OnBank off my consideration list.
Posted by FScott -- March 26, 2009
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