bank rates

Who Has Cut Savings Rates The Least?

Here’s the big problem with savings accounts, especially when rates are this low: You just can’t trust that today’s most competitive bank will be competitive tomorrow.

Let’s face it, no matter where you shop for a savings account, yields stink. But at the very least you want to choose an institution that has shown it probably isn’t going to surprise you with a huge rate cut.

For the second month in a row, just one bank, The Palladian PrivateBank (www.palladianprivatebank.com), pays 1.00% APY on nationally available savings accounts.

You need to have at least $10,000 available to open an account. While you don’t need to maintain that much to earn interest, you’ll pay a $10 monthly fee if your balance falls below $10,000.

The Palladian PrivateBank is the online division of The PrivateBank and Trust Co., which is based in Chicago and has about three dozen locations in nine states, mostly in the Midwest.

A year ago, this bank wasn’t on anybody’s radar. Where will its rates be next year?

Just two of the banks that are competitive today were also competitive a year ago. They both pay 0.90% APY today. They both paid 1.00% APY a year ago.

Barclays (www.banking.barclaysus.com) has no minimum deposit requirement to open an account, and the 0.90% APY is paid on your entire balance. The account has no fees. The bank is part of Barclays Bank PLC of London, with U.S. headquarters in Wilmington, Del.

Salem Five Direct (www.salemfivedirect.com) has a $100 minimum deposit requirement to open an eOne Savings account. But you don’t need to keep a minimum amount in the account to earn interest, and the account carries no monthly fees. You can’t already have a savings account with Salem Five Direct to open this account, and you can’t have a checking or savings account with its parent company, Salem Five Cent Saving Bank in Salem, Mass. The bank has about two dozen branches in the Boston area.

There’s one big caveat with the Salem Five Direct account. The rate it advertises on its website for new customers may not be the rate existing customers receive.

If you’re set on opening a savings account, choose one with a track record of maintaining competitive rates.

You can check to compare these rates to the best savings and money market account rates in our extensive database of banks.

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