HSBC Direct Increased its Rate!
Posted: June 11th, 2008 | Author: Joe | Filed under: Saving | Tags: Banking, HSBC, ING Direct, Interest rates | 2 Comments »I just got an email from HSBC Direct saying that they’ve upped my interest rate to 3.5%! WooHoo!
Most of the time, when I say “WooHoo” it’s dripping with sarcasm but this time I really mean it. It was a very pleasant surprise. The rate is effect until August 15, 2008 and may adjust after that, but 3.5% is a very decent rate with the federal funds rate so low (currently 2%).
Of course, it’s all to get more money under their control since the amount they can lend and invest is dependent upon the amount of money deposited with them, but that’s OK because I use HSBC for my primary emergency fund savings anyway. It’s a win-win.
ING is also offering a savings incentive. They call it their Automatic Saver Sweepstakes:
“Every month that you have a recurring deposit of at least $100 with an Automatic Savings Plan or Direct Deposit into your Orange Savings Account or Electric Orange, you’ll be automatically entered to win. This will give you a chance to win one of five $1,000 prizes every month, or our Grand Prize – $30,000 to be paid to your Orange Savings Account or Electric Orange. That’s right we are giving away a total of $60,000″
I LOVE ING, but since HSBC pays more interest, I keep the majority of my savings with them and use ING for smaller, goal oriented savings: new computer, sewer and water bills, etc…
For a free $25 when opening an ING Direct Orange Savings account, grab a referral here.
It seems like ING and HSBC aren’t the only banks trying to squeeze out some more deposits. J.D. at Get Rich Slowly has a post title, “Current Deals and Contests from Online Banks“, that runs through ING, HSBC, Washington Mutual and more!
[...] money, there are dozens of high yield savings accounts out there, pick one. I recommend ING and HSBC Direct , but there are many other options to choose [...]
[...] over five years now. I’ve kept the bulk of my savings at HSBC direct, but they have recently decreased their rate. It’s still much higher than the average though. ING direct has been very good to me, and [...]