Update on March 2nd, 2018: CIT Bank has leapfrogged the Dollar Savings Account by increasing the rate on their 11-Month, No-Penalty CD to 1.85%. As a no-penalty CD, it can be thought of as a liquid savings vehicle that just requires more effort to withdraw funds. You can read more about CIT’s No-Penalty CD and competing products here.
Less than one week after All America Bank® and Redneck Bank® became rate leaders by increasing the APY on their Mega Money Market® accounts to 1.75%, Dollar Savings Direct, an online division of Emigrant Bank of New York, has leapfrogged them by increasing the APY on their Dollar Savings Account from 1.60% to 1.80%. This account has no monthly fee, no minimum balance requirement, and, as with most savings and money market accounts, you’re allowed 6 withdrawals per month.
However, you should be aware of this potential withdrawal restriction found in their account disclosure:
The Bank may refuse to permit withdrawals in cases such as, but not limited to, the following:
- The Bank chooses to exercise its legal rights to require up to 60 days advance written notice of any intended withdrawal from this Account and the 60 days have not passed since we received the required notice from you;
Concurrent with the savings account rate increase, Dollar Savings Direct has also made a noteworthy increase for their recently-added 5-year CD to 2.80% APY, placing it near the top of the leaderboard for 5-year CD rates.
As always, you can compare these and other rates using our bank accounts tool.