Published on November 20th, 2018 | by Chuck62
Ally Bank Raise Savings Rate to 2.00% and No-Penalty CD to 2.25% [Update]
[Update 11/20/18: They’ve now raised the no-penalty CD to 2.25% (previously 2.20%). Updated below]
A lot of us did the Ally Payback promotion which offered up to $1,000 bonus for moving funds over to Ally, and have a large deposit with Ally. Good news is that Ally raised their rates:
- Savings updated yesterday to 2.00% APY (up from 1.90%).
- No-Penalty CD updated a couple of weeks ago to 2.25% APY (up from 2.10%).
My Ally savings already shows the updated 2.00% rate. For my no-penalty CD, I reached out to Ally chat to ask if they can upgrade my rate without breaking the CD. They replied they can’t do that, and I’d have to break the CD and open a new one to get the higher rate.
I then asked them if this will negatively affect my Ally Payback rate, and they replied that so long as the funds remain with Ally it won’t affect it at all. Just be sure to break the CD into your Ally checking or savings account and then open a new one at the higher rate, and it won’t affect your Payback rate since the funds remained the entire time with Ally. Others have gotten the same reply. You can chat on your own account to confirm this as a precaution if you’d like.
In related news, American Express savings also increased from 1.90% to 2.00% APY. Also, some people have a DCU account which offered 5.12% APY on your first $1,000; that rate has now been increased to 6.17%.
We’ve updated our resource: Best High Yield Savings Accounts – up to 5% APY to reflect all these changes.
(Thanks to the readers who shared these updates.)