Online bank account options / emergency fund storage

[mrpaseo]

I currently have an on line bank account with ING. Though I am not dissatisfied with their service, I am interested in keeping my options open and maximizing my profits.

My question is twofold:

1. Where do you store your emergency fund that provides liquidity and a reasonable rate of return?

2. What on line bank do you recommend (Besides ING Direct) as a go between to move the money back and forth to the better interest rate?

Thanks,
Ray

[Jazzmint98]

I use Provident Bank high-yield online for the majority of my savings. There is no minimum required and it pays 3.68%. I have been pleased with their service and have had an account there for about 9 months now. It is simple to transfer money in and out by setting up external transfers.

I also use ING, but mainly use their checking account for automatic bill paying. I have a savings account with them but just keep a small amount of money in it b/c of the low interest rates that ING offers.

[minnie1928]

Has anyone heard anything (good or bad) about UFB Direct? They're currently paying a yield of 4% with a minimum deposit of $500.

[mommyof4]

Myself, I use Cap One's money market account. I know that I can get better rates other places, but I really like the fact that my money is easily accessed there. I have check writing and atm card for the bank, so I don't have to wait 3-5 days for the bank to transfer funds into my local banking account. If someone does know of a higher yield bank that offers check writing/atm cards, I'l be happy to know.

[kork13]

I use ING, and I'm finishing up a CD ladder as the majority of my EF. Right now, it's just six $1000, 6-month CD's, plus another $1000 in the ING savings account. I'm like you, and am considering looking elsewhere for slightly better returns.

At the top of my list is actually USAA (being in the military, you would be eligible to use them)... their CD's are competitive with the ones elsewhere, and it would consolidate my finances alot, since I already have most everything else with them... I use them so heavily for a number of reasons, but won't go into that here. My only hesitation is what I would do with that extra $1k (outside of the CDs, as a totally liquid portion of the EF). Their checking and saving accounts get puny returns, so that's got me stuck at the moment...

A momentary reality check, however.... There are alot of options, but in the end, an EF isn't supposed to be a money-maker, it's just supposed to BE THERE. This is why I'm not overly worried about making a change right now... It's making enough to more or less keep up with inflation, so whatever. I like ING's simplicity, so I'm fine with leaving my EF there. If I were to change, it would probably only be to USAA, which again, would be simple/easy.

[maat55]

I use provident also. Transfers can be as quick as 2 days, but can be longer. I choose to have mine slightly difficult to get for cool down reasons. As huffy mentioned it pays 3.68.

I have extra funds in my business account and my credit card has extra availability in case of urgent need.

[skydivingchic]

Right now my EF is split into 3 different places. The majority of it is in my checking account, which pays 5% up to $25000. This allows me to make a little more money on it and keeps it incredibly liquid. It is easy for me to keep it seperate from my spending money as I use Mvelopes, so it just sits in its own envelope. Another portion is currently in 2 CDs at Wamu that I got when they were offering 4.25% and 5% 1 year CDs. The last portion is in Emigrant Direct. This is where my ongoing deposits get made. I've had this account for about 18 months and have been happy with their service.

[webcontacts00]

I use CapitalOne Online Saving Account. Right now they are paying 3.75 APR. Earns us some good amount every month.

[noppenbd]

I currently use Provident direct, but I am looking around for other options. I can feel a rate drop coming, and Bankrate.com recently downgraded their "safe & sound" rating to 2 stars.

[Goldy1]

I keep my largest chunk in ING. I only have savings and cd's there. I transfer money each month into standard federal(or bank of america or whatever they are calling themselves this week) to pay my house note and bills. The interest in Bank of AMerica is beyond dismal. lol

I guess when my house is paid off I can can bank of america since I probably get free acocunts due to mortgage.

I didn' t know ING was low interest. Thought they were good. all relative I guess.

[fruitbowlk]

Igobanking.com

[red92s]

My emergency fund is with HSBC, although I also have checking and savings accounts with ING. I prefer to keep my EF "out of sight, out of mind" so I'm not even remotely tempted to access it unless necessary. I keep a small amount in an ING savings account as a hold-over in case I needed to transfer funds electronically from the EF, and also have an ATM card for the HSBC account for access to cash should the need arise.

[jIM_Ohio]

CDs at my local brick and morter bank.