bank rates

Promo Guarantees 1% MMA For A Year

OneWest Bank has launched a promotion guaranteeing a rate of 1% APY for 12 months on new money market account balances between $10,000 and $300,000.

That’s right at the best nationally available returns on MMAs, making it an attractive place for savers to temporarily park some money while waiting to see if the Federal Reserve starts driving up interest rates later this year.

However, bank representatives have told me the promotion isn’t available to everyone in their Southern California market area, but is primarily aimed at select customers who’ve previously closed accounts or reduced deposits at the bank.

Also, the deal varies depending upon whether or not you’re a current OneWest checking account customer.

Those with checking accounts must:

  • Open a OneWest Premium Money Market Account by March 31 with funds not on deposit the prior 90 days.
  • Maintain a daily balance of at least $10,000 and not more than $300,000 each month.
  • Elect to receive electronic statements.

The same requirements apply to those having no checking account, but these customers must also open a checking account along with the premium MMA and make Automated Clearing House or direct deposits of at least $500, or six debit card transactions, monthly.

In all cases, a customer may not, during the guarantee period, deposit or transfer into the Premium MMA any funds that were on deposit at OneWest during the 90 days before account opening.

The promotion follows last summer’s announcement that the parent company of CIT Bank is buying OneWest for $3.4 billion.

Acquisition plans call for the two banks to combine, adopting the CIT name while working out of OneWest’s headquarters in Pasadena.

Regulatory filings indicate the banks expect their current products and services to continue to be made available and that CIT’s present customers “will receive access to new online and mobile services.”

Beyond these generalities, it’s not entirely clear what direction CIT’s online banking business, particularly its competitive deposit rate policies, will take after the merger.

Exactly when that deal will be completed is uncertain at this point.

While I think it will ultimately go through, community activists across California are urging regulators to block the purchase.

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Comments (1)
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One Existing Comment
  1. Stewart Starer said:
    on February 20th at 01:38 pm

    The IGOBANKING 1.30% rate is not available as of 2.20.15. I was just on the website and rates are well below .5 for CDs at least as of this time.