Online savings site SmartyPig.com just announced that they will drop their interest rate from 2.15% APY to 1.75% APY on September 7th, 2010 (for balances up to $50,000, FDIC-insured). While this is sad news, and of course happened after I initiated a funds transfer over there, they do still offer one of the highest overall rates for an online liquid savings account. They compiled this rate history with other online bank like Ally Bank and Capital One 360 to show that they have remained very competitive over time:
The only bank with a higher rate and full liquidity is EverBank with their 2.25% Intro rate with an additional $25/$50 bonus on top if you open with $10k/$20k.
Although not set up exactly like the others, their online “piggy bank” model is interesting, and I wrote about tips on how to use it like a savings account with their flexible rules.
By Jonathan Ping | Banking | 9/6/10, 8:51am