bank rates

No Bank Comes Close To Savings Leader

TIAA Direct pays 1.25% APY on its savings account.For a month now, TIAA Direct has offered a savings rate that’s almost comically better than other nationally available accounts.

The question is, how long will it last?

The upstart online bank (www.tiaadirect.com) from retirement services provider TIAA-CREF pays 1.25% APY with a $25 minimum deposit.

That’s a full quarter of a percentage point better than the next-best deal available to savers in all 50 states.

But at 1.00% APY, the deal from Salem Five Direct (www.salemfivedirect.com) is guaranteed through your August statement cycle. TIAA Direct offers no rate guarantee.

If you go with Salem Five Direct, you’ll need a minimum deposit of $100 to open an eOne Savings Account. The 1.00% APY is good on all balances up to $500,000, and you must open your account online to earn that rate.

Salem Five Direct is the online division of Salem Five Bank in Salem, Mass., which has about two dozen branches in the Boston area.

It’s a sad commentary on rates when no other banks pay at least 1.00% APY on savings accounts, and just one bank pays above 0.85% APY nationally. (There are three other banks that pay at least 1.00% APY on money market accounts.)

SFGI Direct (www.sfgidirect.com) has the third-highest-yielding savings account, paying 0.91% APY on all balances. That’s a stark contrast to a year ago, when it led our rankings, paying 1.31% APY.

Opening an account with SFGI Direct requires a $500 minimum deposit, but the account pays 0.91% APY regardless of the balance you carry.

SFGI Direct is the online division of Summit Community Bank in Moorefield, W.Va., which has 15 branches in Virginia and West Virginia.

You can see how these rates stack up against the best savings and money market account rates from our extensive database of banks.

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Comments (3)
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3 Existing Comments
  1. Mike Sante said:
    on March 26th at 09:41 am

    Barclay’s Bank’s online savings account is now paying 1.00%. You can find out more about it here: https://www.banking.barclaysus.com/online-savings.html

  2. Kathy at Bankaholic said:
    on April 2nd at 06:58 am

    All of these rates are still being offered.

  3. Kathy at Bankaholic said:
    on April 16th at 07:54 am

    You can still get all of these rates.