Emigrant Direct v First National Bank of Omaha

by Rocket Finance

I have high interest savings accounts with both Emigrant Direct and FNBO Direct. FNBO Direct has the highest interest rate at the moment: 6% APR through September 28th although ED is not too shabby at 5.05 %. I opened the Emigrant account in April through a bonus promotion at MyMoneyBlog – although I haven’t recieved the bonus yet [hint to Jonathan]. I put our family savings at ED and my balance transfer money at FNBO. I probably should have deposited every dollar possible at FNBO because of the high rate of return, but there are several things that I really like about Emigrant.

First of all, transfers to and from Emigrant to my checking account take only one day. Transfers to ED are subject to a six day hold, but earn interest the whole time. FNBO transfers take an eternity. I recently made a transfer to FNBO from my local checking account and at the same time, sent a deposit through the mail. The deposit by mail made it into my account before the online transfer.

FNBO only allows three accounts to be linked. Emigrant seems to allow unlimited linking, although I only have two funding accounts. Not a big deal.

The best thing about Emigrant is their interest calculator that appears on the account balance page. It shows the amount of interest that accruing daily even though the interest is only added monthly. I think it is the coolest thing – not sure if it is worth .95% in interest, but cool non-the-less. I know that more interest is accruing over at FNBO, but I can’t see it.

If the interest rates are ever equal, my vote is for Emigrant.

  1. One Response to “Emigrant Direct v First National Bank of Omaha”

  2. By Jacob on Jul 1, 2007 | Reply

    I use emigrant direct as well and absolutely love it. Easy to use website, $1 min. balance, quick transfers. There biggest benefit in my opinion is how easy it is to open a second, third and fourth savings account. Its takes less than 90 seconds! These extra accounts prove to be great when paying for things using a “sinking fund” approach. I.E. I know my car registration is $90 in December. I setup an auto transfer of $15 a month for six months and I have the money plus interest when that expense rolls around. I have probably close to 15 accounts setup for various expenses just like this. Plus the interest discount is bigger than anything Visa, Mastercard or Discover will ever offer! Works great!

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