Comments on: Earn Up To $100 In Bonuses With U.S. Bank’s New Spend-And-Save Program http://www.bankaholic.com/finance/earn-up-to-100-in-bonuses-with-u-s-banks-new-spend-and-save-program/ Blogging about personal finance and economic policy Wed, 08 Feb 2012 15:02:04 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: Mike M http://www.bankaholic.com/finance/earn-up-to-100-in-bonuses-with-u-s-banks-new-spend-and-save-program/comment-page-1/#comment-28121 Mike M Tue, 05 Jan 2010 16:28:22 +0000 http://www.bankaholic.com/finance/?p=1586#comment-28121 I took advantage of this deal - yes, the quoted interest rates are rather poor. However, you can put $1000 into the account immediately, thus earning the first $50. Then set up the automated transfer in... and after it completes each month, you can transfer the money back out, keeping that balance just above $1000. Then after a year, get your other $50. If you take your first $50 and put it into a "high" yield savings account elsewhere and earn 1.5% on it, your total APR is rather impressive (yes, I know you get the $50 as a gift card, but you can put $50 into savings that you otherwise would have spent). Net, you can earn $100.75 in total interest ($50 at the end of the year, $50 at the beginning, plus $.75 in interest on that first $50) in a year on $1000 in savings. That's an APR of 10.075%. You won't find a one-year CD anywhere near that rate. Of course, keeping more than $1000 in that account is doing nothing but lowering your rate of return. I took advantage of this deal – yes, the quoted interest rates are rather poor. However, you can put $1000 into the account immediately, thus earning the first $50. Then set up the automated transfer in… and after it completes each month, you can transfer the money back out, keeping that balance just above $1000. Then after a year, get your other $50. If you take your first $50 and put it into a “high” yield savings account elsewhere and earn 1.5% on it, your total APR is rather impressive (yes, I know you get the $50 as a gift card, but you can put $50 into savings that you otherwise would have spent).

Net, you can earn $100.75 in total interest ($50 at the end of the year, $50 at the beginning, plus $.75 in interest on that first $50) in a year on $1000 in savings.

That’s an APR of 10.075%. You won’t find a one-year CD anywhere near that rate. Of course, keeping more than $1000 in that account is doing nothing but lowering your rate of return.

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