SunTrust Bank & Delta Check Card – 30,000 Bonus Miles Promotion

Posted on May 9, 2012 // 2 Comments

SunTrust Bank is offering 30,000 Delta Skymiles for opening a new checking account by 6/30 with qualifying direct deposit and choosing the Delta SkyMiles World Check Card. Available in AL, AR, FL, GA, MD, MS, NC, SC, TN, WV, VA and Washington, D.C. The debit card does have a $75 annual fee but do you get 1 mile per $1 spent (for those that avoid credit cards). However, you don’t get the free checked bags or Priority Boarding of the Delta American Express credit card.

Still it’s not a bad deal, $75 for 30k miles if you live near a SunTrust branch. Some of the text suggests that you can get 15k of those miles with just the new checking account and no debit card, but it’s not entirely clear. Direct deposit must be $100 or more. The “Balanced Banking” checking account option has a $12 monthly fee, waived with a $3,000 minimum balance across Suntrust accounts. Selected fine print below:

[Read more…]

Filed Under: Banking, Deals & Offers //

Chase Exclusives: 10% Extra Cash Back on Chase Freedom, 1% Cash Back on Chase Mortgage Payments

Posted on May 2, 2012 // 15 Comments

Chase Freedom VisaChase Exclusives is a program that encourages you to open a Chase checking account whenever you have any other relationship with Chase. I closed my Chase (formerly WaMu) account a while back after they slowly started making it harder to keep as a secondary account, but some of these perks actually seem pretty good. I remember hearing something about them, but never actually took a good look at the details until now.

10% Extra Cash Back on Chase Freedom
The Chase Freedom® – $150 Bonus is a popular cash back card that features 5% cash back on rotating categories and 1% back on everything else. This quarter you’ll get 5% back on all purchases at gas stations and on local commuter transportation. (up to $75 cash back a quarter based on $1,500 in purchases). Check out my page on 5% cash back credit cards for more info.

However, if you have a Chase checking account, they will add an additional 10 points. Since 100 points is worth $1, that’s basically saying every purchase on the Chase Freedom earns 1.10% cash back and every 5% category purchase earns 5.1% cash back. For someone like me that puts everything on their credit card for easy expense tracking, that can add up especially with smaller purchases.  Currently, the Chase Freedom has a promotion offering a $150 Bonus after you make $500 in purchases in your first 3 months from account opening and an additional $25 Bonus after you add your first authorized user and make a purchase within this same 3-month period.

1% Mortgage Cash Back program
If you have both a Chase checking account and a Chase mortgage, you can earn 1% cash back on your mortgage payments (principal + interest). You have to have the checking account open before the mortgage closing, and enroll in automatic payments from said account within 60 days of closing. If you take the option of having your 1% cash back applied towards your loan principal, that works out to shortening a 30-year fixed mortgage by 9 months if you stick with it. (They really should make this an option on other mortgages, paying just 1% extra instead.)

I don’t know how good Chase mortgage rates are, but I’d probably get a quote now from Chase just to see if they are competitive. Overall though, it would probably be better to just get a better interest rate and pay extra towards your principal as if you had a higher mortgage (takes discipline).

$150 New account opening bonus
Thinking about opening a new account? You can also get a $150 bonus through this link if you open a Chase Total Checking account with $100 and set up direct deposit (new customers only). To avoid monthly service fees, you must do any one of the following each statement period:

  1. Have monthly direct deposits totaling $500 or more made to this account, or
  2. Keep the daily balance in your checking account at or above $1,500, or
  3. Keep an average balance of $5,000 or more in your checking and other types of qualifying Chase accounts.

Chase Freedom 150 Banner

“Disclaimer: This content is not provided or commissioned by the issuer. Opinions expressed here are author’s alone, not those of the issuer, and have not been reviewed, approved or otherwise endorsed by the issuer. This site may be compensated through the issuer’s Affiliate Program.”

“The responses below are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser’s responsibility to ensure all posts and/or questions are answered.”

 

Filed Under: Banking, Credit Cards //

New Checking Account Promotions: Citibank, Chase, M&T Bank

Posted on January 30, 2012 // 14 Comments

Interest rates looks to remain tiny for a long time, so if you want to boost your interest earned while keeping your money safe in banks, taking advantage of sign-up bonuses is one way to do it. Earning 1% APY on $10,000 is just $100 a year, and it’s even hard to get 1% APY now! Why not double or triple that with some new accounts.

Citibank $50 bonus if you open a Citibank account with $1,000 and complete 1 direct deposit and 1 electronic bill payment for 2 consecutive months. New checking account customers only. There’s no monthly service fee if you maintain a $15,000 combined average monthly balance requirement in eligible products; otherwise $20.00 monthly service fee is applied. Eligible products are linked deposits, loans, mortgages, and investment accounts. $100 bonus available with Citigold account.

Chase Bank $150 bonus when you open a Chase Total Checking account and set up direct deposit (new Chase checking customers only). This account is free if you make a $500+ direct deposit each month, or have $1,500 minimum daily balance.

M&T Bank $100 bonus when you open a MyChoice checking account and set up direct deposit within 90 days. This account is free if you maintain a direct deposit each month or have $500 minimum daily balance. $125 and $150 bonuses also available with upgraded accounts (and higher requirements).

Capital One $100 bonus when you open a Interest Online Checking account by 1/31/2012 using offer code CHEC168DF and make a direct deposit of $250 or more within 90 days. No monthly service fee, and pays 0.75% APY on balances less than $100k.

Filed Under: Banking, Deals & Offers //

Treasury Direct Review: Electronic Savings Bond Security Concerns

Posted on December 28, 2011 // 33 Comments

Despite the Treasury’s obvious dislike for the small investor, Series I Savings Bonds still offer a relatively good interest rate. As of January 1st, 2012, you will no longer be able to buy paper savings bonds other than a small window using your tax refund. The only option left is buying electronic savings bonds via TreasuryDirect.gov. This brings me to the following reader question:

Was just reading Mel Lindauer’s comments in the Bogleheads forum about I-Bonds and the trouble with Treasury Direct. Seems a great many folks hate the system to the point that they would rather not use it. 2012 is/was to be the year that I first began purchased I-Bonds, having finally got to the point of maxing out all other tax deferred and tax free methods. Now I am not so sure…what is your experience with TD?

First, let’s get to what I see as the main reason why most people choose not to use the online service at TreasuryDirect (TD). TD is not a bank and does not fall under Regulation E and the Electronic Fund Transfer Act that establishes consumer protections for loss or theft of money from your account.

If your paper savings bonds are stolen or lost, the Treasury has a process in place to reclaim your bonds. However, if somehow your electronic savings bonds were stolen, you would stuck with the loss with no liability from TD. It doesn’t seem to make sense, but it’s true.

So what do you do? The easiest thing to do is not use TreasuryDirect. But it remains a good investment, so in my case I looked into what security measures were in place to prevent such theft. In November 2011, TD instituted some security changes to their login process. What would a thief have to do in order to cash in your savings bonds?

  1. They need your account number, which is more like Z-12345678 as opposed to johnsmith.
  2. When you login with a new computer, a one-time passcode will be sent to your e-mail address. So, they would need to have access to your e-mail address as well. You can choose to register your computer for future visits if you like, but it would seem safer not to do so. I don’t log into TD very often so my cookie expires anyway by the time I log in again. This means a unique code is sent every single time I log in.
  3. They would also need your account password. I would hope your e-mail password and your TreasuryDirect password are different. In any case, it’s harder for viruses or keylogger programs to record your password because you must enter it using a virtual keyboard (unless you circumvent it by disabling Javascript).
  4. Now, at this point they have online access to your account and can see your balances. But to cash out a bond, first you must answer a security question (mom’s maiden name, etc.). More importantly, you can only cash out a bond to a linked bank account. So the thief would need access to your bank account (…which is protected by Regulation E mentioned above!)
  5. Alternately, they would need to send in a paper form adding an alternate bank account under their control. However, the name on the bank account must match the name on the TD account, and the form requires a Medallion Signature Guarantee where a third party checks official ID for identity verification. The TD website itself has improved over the years so that any small change (bank addition, profile change) results in a e-mail notice.

Personally, I deemed it exceedingly unlikely for an actual theft to occur and made the decision to go ahead and use the website. My holdings there are significant, but under 5% of total net worth. I know that others have also had technical issues with accessing their account, but I have not experienced anything like that. In the end, TreasuryDirect definitely has its flaws, and I would not fault someone for not using it as a result. You have to weight the risks and benefits for yourself.

Filed Under: Banking, Savings Bonds, Treasury Bills and Bonds //

Perkstreet Checking: Best Bank If You Prefer Debit Cards Over Credit Cards

Posted on December 19, 2011 // 9 Comments

PerkStreet Financial(SM) MasterCard® Debit CardRegular readers will know that I like using credit cards for the cashback or travel rewards, even though I never carry a balance from month to month or pay any interest. However, I also accept that many people prefer debit cards as they suck money straight out of your checking account. If that sounds like like you, you’re not alone – when it comes to a charge card purchase, nationally it’s just as likely to be a debit card as a credit card. I get it – debit cards more psychologically similar to spending cash and there is no change of racking up a balance (although there are overdraft fees).

The best way to describe Perkstreet Financial is that it’s the best checking account if you don’t like using credit cards. They offer the best cashback rewards on debit cards by far:

  • 1% cash back on all non-PIN debit card purchases. The cash back you can earn on these purchases is unlimited.
  • 2% cash back at popular retail stores. On online purchases at: Amazon.com®, iTunes®, Target.com, Apple.com, Walmart.com and Bestbuy.com, on in-store purchases, when you have a Current Account Balance of $5,000 or more at: Walmart, Target®, Best Buy® & Apple® stores, and when you and a friend use your cards at the same restaurant, bar or coffee shop within 60 minutes of each other.
  • 5% cash back at a rotating set of retailers. For October 2012, they are The Cheesecake Factory®, Pottery Barn®, Pottery Barn Kids®, PotteryBarn.com, Ace Hardware®, AceHardware.com.
  • PowerPerks 2.0 with deals updated every week. With no yearly limits.

As long as you have some sort of activity each month (billpay, deposit, withdrawal, cleared check, debit card purchase) then there is no monthly fee. Some other improvements they’ve made are that you can deposit checks sent overnight for free at UPS Stores or Mailbox Etc. (or via free prepaid envelopes). They don’t offer ATM rebates like some other places like my account at Ally Checking, but they do offer 42,000 free ATMs across the country; use their ATM locator to see if there are convenient ones to you.

Right now, you can get an extra $25 bonus cash back when you apply for an account online by December 25th, fund with $25 or more, and use your card at least 3 times in the first month. (Ironically, last time I started an application they let me fund with with a credit card up to $500 and promised it would go through as a purchase and not a cash advance.) – This promo is now expired.

Filed Under: Banking, Deals & Offers //

Bank Poll: Where Is Your Primary Checking Account?

Posted on November 2, 2011 // 47 Comments

There has been a lot of commotion about banks and debit card fees recently. Fees were tested, added, announced, removed, and probably soon, added back indirectly. However, megabanks still have the power of inertia and convenience. I am betting that most people did not move their accounts just yet. But maybe I’m wrong?

For this poll question, I want you to think about your current primary checking account. This is the account where the bulk of your paycheck or other income is deposited, and out of which you pay your bills on a regular basis.

Where Is Your Primary Checking Account?

View Results

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(RSS readers: You may need to visit the website to see the poll.)

I have a lot of accounts, but my primary checking account is online-only Ally Bank, as previously reviewed. I do keep a megabank account for the occasional need for in-branch services like a signature guarantee, cashier’s checks, bank wires, large checks that I can’t use eDeposit, and so on.

Filed Under: Banking //

Citizens Bank / Charter One CollegeSaver Account: Potential 6% Annual Return (For Kids, Limited States)

Posted on October 31, 2011 // 5 Comments

Citizens Bank and Charter One bank have an interesting CollegeSaver bank account for those with children. However, it is only open to residents of certain states in the Eastern and Northeastern US (CT, DE, IL, IN, KY, MA, MI, NH, NJ, NY, OH, PA, RI, VT; enter zip code to verify). Thanks to reader Justin for the tip.

You must open a bank account before the child’s 12th birthday with a minimum amount, and then save a minimum amount every month until the child is 18. (You’re allowed to miss one payment per year.) If you satisfy the requirements, you’ll get a $1000 bonus on the 18th birthday. Here are the details:

The best case scenario would be if your kid is just under 12 years old right now. That’s still a 6-year commitment, but if you contribute the minimums then with the bonus that’s a 6.40% annual rate of return on your money (per savings calculator). Since the bonus is constant, the rate of return drops the younger your kid is (longer contribution period). At just over 6 years old, you’d be locked in for 12 years and your annualized return would be 1.9%.

I would say if your child is 10-12 years old and you have patience, this is not a bad deal. But as this is not a 529, you will owe taxes on the interest. However, the upside is that you don’t have to use the funds to pay for college. The account is opened as a custodial account (UTMA), and thus the account can be opened for the child by anyone. However, depending on the state, the child will get control of the account at 18 or 21.

Filed Under: Banking, Deals & Offers //

Citi Checking Account Bonus $200/$400 in Gift Cards

Posted on October 4, 2011 // 21 Comments

Citibank is offering new checking account customers a bonus of either a 20,000 or 40,000 ThankYou points, worth $200 or $400 in gift cards. You must:

  • Open a new Citibank checking account in the Citigold or Citibank Account Package by 10/31/2011.
  • Enroll the new checking account in Citi ThankYou Rewards.
  • Within 45 days after account opening, initiate one direct deposit AND complete one electronic bill payment for two consecutive months.

ThankYou Point Value Recap
There are a decent number of options for these poitns. 10,000 ThankYou points = $100 Wal-mart Gift card, which you can sell for a $95.55 Amazon.com gift certificate or $91 cash at PlasticJungle.com. Alternatively, can be worth $100 towards Expedia travel, a student loan, or paying down your mortgage. More details in the Citi $500 ThankYou card post.

Citibank Account: 20,000 ThankYou Point Bonus (Easier)

  • $100 minimum opening deposit
  • $6,000 minimum balance in linked accounts (checking, savings, personal, credit card balances) to avoid $20 monthly fee.

Citigold Account: 40,000 ThankYou Point Bonus (Harder)

  • $500 minimum opening deposit
  • There’s no monthly service fee for the first 2 statement cycles. After that, in order to waive the $30 monthly service fee you need the combined average balance of your eligible linked accounts to be:
    • $50,000 or more for all linked deposit and retirement accounts OR
    • $100,000 or more across all your eligible linked Citi accounts, excluding a first mortgage with Citibank OR
    • $250,000 or more if your Citibank first mortgage is included in the total relationship.

For most people, I think the 20,000 ThankYou point offer will be the easier one to qualify for if you have $6,000 to move over there instead of an online savings account earning only 1% APY. $6,000 would only earn $60 over an entire year, at that rate. Even it takes 6 months to get your $200 bonus, that’s a 6.67% annualized return.

I thought that the Citigold might be doable since the monthly fees are waived for the first two months, but I saw in the fine print that the points might take another 90 days to post and your account must be open until then. This option would only work well if you have a mortgage with Citi.

The bonus ThankYou Points will be credited to your ThankYou Member Account within 90 days from the end of the statement period in which you satisfy all offer requirements. New checking account must be open and in good standing at the time the bonus ThankYou Points are posted to your ThankYou Member Account.

Afterwards, if you wish, you can downgrade to the Basic Account which offers a way to avoid monthly fees with no minimum balance, if you make 5 “qualified transaction” activities per month (direct deposits, debit card purchase, bill payment, ACH payments, checks paid, ATM withdrawals).

Update: Citibank has updated their checking account to have different restrictions starting with statements ending on 12/9/2011.

Filed Under: Banking, Deals & Offers //

Chase Bank $125 New Checking Bonus In-Branch or Online

Posted on October 4, 2011 // 5 Comments

Chase Bank is offering a $125 bonus for new customers if you open a new Total Checking account with $100 and set up direct deposit within 60 days of account opening. They state that the direct deposit must be “an electronic deposit from your employer or the government of your paycheck, pension or government benefits (such as Social Security)”, but I’m not sure if they manually check. You must keep the account open for 6 months. To avoid a monthly fee, you must do one of the following each statement period:

  1. have at least one direct deposit of $500 or more post to your account (two or more direct deposits that add up to $500 or more do not qualify), or
  2. keep a minimum daily balance of $1,500 or more in your checking account, or
  3. keep an average balance of $5,000 or more in qualifying accounts with Chase.

Otherwise, a $12 monthly Service Fee will apply ($10 monthly Service Fee in CA, OR and WA). Per the fine print, if are not a current customer and you’ve closed an account more than 90 days ago, you count as a “new” customer again. However, you can only receive one checking account-related bonus per calendar year. Thanks to reader Andy for the tip. Offer expires 10/7/11.

Filed Under: Banking, Deals & Offers //

Ally Bank 5-Year CD Rate (Drop) History

Posted on September 2, 2011 // 10 Comments

As part keeping the interest rate on my emergency fund as high as possible, I’ve shared my like of rewards checking, savings bonds, and the Ally Bank 5-Year CD. Ally CDs have a small 60-day interest withdrawal penalty, so the liquidity is still quite good. As long as you hold it for 6 months, you’ll be earning more interest than the highest rate from an online savings account even after the penalty is factored in. After that, the effective rate just keeps getting better until you reach maturity at the full rate.

With no minimum balance requirements, you can also buy them in whatever size chunks you want. And I have. But I checked the rates again today, and was sad to see they’ve been dropping quite fast recently. The current Ally Bank 5-year CD rate is 1.60% APY (as of 10/25/13). I decided to compile the rate history from as far back as I’ve been tracking them.

There have been a few small rate hikes, but for the most part the rate has been gradually dropping due to market conditions. If you’ve been thinking about buying, I would buy now before rates drop even farther. When opening a CD, remember they have a “10 Day Best Rate Guarantee” in which you get the best rate they offer within 10 days of opening. You can now also find slightly better rates elsewhere, for example Alliant Credit Union has their 5-year certificate at 2.35% APY (2.45% for $25k+), but with a larger 6-month interest penalty. I’ll probably still buy a little more at 2.17%, but if the rate drops below 2% then I’m looking elsewhere.

Filed Under: Banking //

Capital One Bank Really Doesn’t Like Inactive Checking Accounts…

Posted on September 2, 2011 // 17 Comments

Banks aren’t as wildly profitable anymore, and thus are looking for ways to bring back the bucks. They’ve added new “features” like debit card fees, and are dropping unprofitable customers. For example, people with zero balances and little activity still cost money in the form of generating statements, 1099s, and such. Well, MMB reader Mike experienced firsthand how much Capital One Bank doesn’t like inactive checking accounts.

Even though he has biweekly direct deposits into his account, his account suddenly disappeared one day from online banking. It’s the primary fear of online-only accounts; what happens if they simply say my money doesn’t exist? After contacting them, what was the reason given for closing without notice? A $0 balance for just five consecutive days. Here are some excerpts of his exchange with customer service:

We understand you are inquiring about the status of your checking account. Your checking account ending in XXXX was closed on 08/19/2011 after an extended period with a zero balance. We apologize for any inconvenience this may cause. To have your account reactivated, please confirm you mailing address and phone number by secure message.

In regards to your question of $2,000 deposit once a month, our records indicate this last deposit made into the account was on 08/12/2011 for $2,278.44. Following this deposit on 08/12/2011 there was a withdrawal of $2,278.44, followed by a $20.00 ATM withdrawal on 08/15/2011 leaving the balance of this account at $0.00. Once the account has a zero balance for five consecutive days, it will close automatically and no longer appear in your online banking profile.

In the past, banks like EmigrantDirect also closed zero balance accounts without warning, but only after at least a month of inactivity. Watch out, banks are becoming even less friendly than before.

Filed Under: Banking, Funny //

Wells Fargo, Chase Bank Testing Monthly Fees for Debit Card Usage

Posted on August 18, 2011 // 12 Comments

The fees are coming! Since February, Chase Bank has been testing out a monthly fee for anyone who uses their ATM debit card for purchases in areas of Northern Wisconsin. Regions Bank and Suntrust have added fees as well. Per this CNN Money article, Wells Fargo Bank just announced that it will start charging a $3 monthly fee for debit card usage next month in Georgia, New Mexico, Nevada and Oregon. (I guess they’re afraid of messing around in California just yet.) According to this WSJ article, Wells Fargo is only announcing this fee with one of those small inserts in your monthly statements, so heads up.

I know there has been drama over debit card interchange fees, but that was just a result of two big lobbying groups – small businesses vs. big banks. It was really not about consumer rights. The result was a new law that caps debit card interchange fees at 21 cents + 0.05% of the sale amount for banks with $10 billion or more in assets. Smaller banks with debit rewards like PerkStreet (review) say that this will not affect them.

I never use my debit card for purchases, so I would not be affected by any of this. Credit cards offer more consumer protection against fraud and things like extended warranties and free insurance, on top of the ability to delay payment for 15-30 days of float. More importantly, credit card rewards are better which means more money in my pocket. However, many people do like the simplicity of debit cards for purchases. If they don’t want to pay the fees, I hope they will vote with their money and move it immediately to bank that doesn’t charge such fees. Don’t expect banks to care about your angry internet comments; affect their bottom line and they’ll listen.

Filed Under: Banking //
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