Tips on Banking Incentives
These days, credit-card rewards programs are old news. The latest and greatest perks are now attached to your checking and savings accounts. With the rise of Internet-only banks and bricks-and-mortar mergers, it's become increasingly easy for customers to swap their accounts for a better deal. If you’re in the market for a new bank account, take stock of the following cream of the crop customer incentives, courtesy of AOL Money & Finance - and we’re not talking toasters…
1. Fee-Free ATM usage - Using another bank's ATMs can really add up. According to Bankrate.com you'll pay an average US$2.89 for the transaction, which includes a fee from your bank and one from the bank that runs the ATM. More and more banks are waiving or reimbursing those charges. Washington Mutual never charges you for using a foreign ATM; Wachovia and SunTrust both waive two fees per cycle (though you’ll still be charged by the other bank); and Bank of Internet reimburses account-holders for a set amount of the ATM fees charged by other banks. For instance, with a Freedom Checking Account you'll be reimbursed up to $7 per month. Since most banks charge non-account-holders $1.50 that means four free trips to the ATM. Some smaller banks are getting around foreign ATM fees by banding together. For instance, electronic payments network NYCE has created SUM, an ATM network that individual banks and credit unions can join to offer their customers free use of any of the more than 2,800 ATMs of member institutions, nationwide.
2. Activity Rewards - Program details differ, but the idea is the same: Make use of your account, and be rewarded. Take the Bank of America ‘Keep the Change’ program, in which every purchase you make with your debit card gets round up to the nearest dollar and the change is deposited into a linked savings account. For the first three months, Bank of America will match your contributions. Citibank has the ‘Thank You Network’, in which you rack up points, which translate to credit at various affiliated retailers) for all your purchases, plus additional points for the accounts and services you use. Numerous banks, including Wachovia, Commerce, U.S. Bank, and Washington Mutual offer similar points programs via your debit card.
3. Free Checks – Washington Mutual launched a ‘WaMu Free Checking’ campaign which promises "Free Checks for Life." It’s the first major U.S. bank to offer this perk, inspiring others - including SunTrust, HSBC, and Wachovia to provide free checks.
4. Better Interest Rates - With interest rates on the rise, banks are now offering decent rates on their money-market accounts. The most competitive rates are being offered by Internet banks or branches. Highest yields include: Citibank Direct (APY: 4.75%); HSBC Direct (APY: 4.65%); First Fed Direct (APY: 4.57%); Emigrant Direct (APY: 4.50%); and ING Direct (APY: 4.15%).
Comments
When was this page published? You state "With interest rates on the rise,..."
Hi can you list out the best banking practices in terms of rewards & incentives in India & China
Abhitabh Dixit