Posted by Chuck on January 17, 2019
High-Yield APY Accounts

Published on January 17th, 2019 | by Chuck

42

Ally Increases Rate to 2.20% on Savings Account (up from 2.00%)

Ally increased the rate on their online savings account from 2.00% to 2.20% today. (Direct Link) This is by no means the best savings rate, but it’s nearer the top now. Existing customers are not yet seeing the rate increase, that’ll probably/hopefully happen overnight.

A lot us still have funds with Ally from the Ally Payback 1% bonus offer. The rate increase may be an effort to keep customers from moving their money out – check out various options we wrote about in this post.

The 11-month no-penalty CD rate remains at 2.30%, though I’d expect that to go up soon as well. We’ve updated our list of Best High-Yield Savings Accounts with the change.

Hat tip to readers Sheng and Ben



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Shaun
Shaun

They should have done this earlier in the week. Someone goofed.

ilovetoyap
ilovetoyap

I agree. I actually moved my money out earlier today because their rate WAS lower than easy competitors. This would have been the same so would have just kept it. Now won’t bother to move it back.

Matt
Matt

Unless they want to beat PNC’s 2.35%, my money’s already in the process of transferring

Grant
Grant

Same

Matt
Matt

I might bite given a bonus offer elsewhere but will wait for the no-penalty CD rate increase. I got into Ally as a hub recommendation from this site and have yet to mess with bank bonuses since :p

AP
AP

Stating the obvious, but Ally very likely will not beat 2.35% at this moment.

Mike Advantage
Mike Advantage

I went for 3.33% from Heritage Bank.

Sam
Sam

+1 I initatied the pull from PNC. Money gone from Ally on 1/18, but nothing at PNC yet.

syn999
syn999

nice but also sucks for 12m CD

Jeff
Jeff

Oooofff course the day after I transfer $25k out to Barclays which is paying 2.2%

JV
JV

I use Ally as my main and they do a good job at increasing the rate regularly, so i dont feel the need to rate chase. Years ago i was using ING Direct but after capital one acquired them the rates didnt increase very fast.

Dan - Legal Bank Robber
Dan - Legal Bank Robber

Good to hear

tidefan123
tidefan123

I finally made the switch to Ally to be my primary bank the last few weeks and I can’t recommend them enough. Not only are the checking and savings accounts great, but the app / website are the best I have seen and the customer service was very helpful the one time I had to call.

Peek
Peek

I switched for the bonus and have also been pleasantly surprised. I prefer their user interface to that of Capital One and it seems transfers between banks are quicker with them as well (at least that’s been my experience).

Meh
Meh

I agree on the app / site / customer service, however they are constantly last in rate raises. If you want to stay near the top of the curve Marcus is the way to go (disclosure; I use ally and mostly too lazy to chase since I have a low savings balance)

Tyler
Tyler

Agree, I like most DOC readers, have used pretty much all the banks at one point or another, and Ally has been the one bank I’ve kept around as my “hub.” In the end, I’ll be a long time customer, and I always recommend Ally as the bank my non-churning friends should use.

Betelgeuse
Betelgeuse

Their ach is too slow for newly added accounts.

Burton
Burton

Capital One better bump their rate too or they will be losing a 10+ year customer soon. I don’t think they’ve raised their savings or checking rates since introducing the MM acount, and even that with a $10k min is only paying 2%.

Alp!
Alp!

Agreed. I just closed a Capital One savings account that was open for 15 years. The 1.00% APY just isn’t competitive for online banks anymore.

TheMonkeyTech
TheMonkeyTech

I dumped Capital One last year for Ally, they were good in the past but have really lagged behind in rates lately.

JV
JV

They were good as ING Direct, but terrible as Capital One 360 at increasing the rates fast. Only reason i keep them is for my checking account. My account is so old the number is only 7 digits long and i have some grandfathered terms on my account with the interest rate being equal to the savings account rate and having overdraft line available for 10k, otherwise i would have dumped them completely.

Scott
Scott

Just received an email today confirming the 1% bonus amount. 2.2% is a nice step up to remain competitive and will probably leave some money with them and the account open.

Matt P
Matt P

Knew this was going to happen right after the promotion sincr ex had hiked theirs a while back, but I’m not looking to rate chase. I finally got fed up with usaa and ally has been super convenient so far as my central hub, so easiest to keep it there for a few dollars less a year and just move it to get bank sign up bonuses than to waste time. Difference on $10k between 2.2 and 2.35 is only $15 for the year.

Matt P
Matt P

Should say since amex raised theirs

JH
JH

Do these rates work for accounts set up for an LLC or S-Corp?

Trevor
Trevor

I don’t believe Ally offers account for small businesses.

NovaWildcat
NovaWildcat

Your move, Cap One MM. just cancelled my transfer out of Ally to CO360 and will keep funds in idle till they go to 2.2%.

Ry5
Ry5

Go Nova! \\//

Jethro Tuller
Jethro Tuller

Maybe they were waiting to see how much money was leaving…

Monica
Monica

Purepoint also raised it to 2.35%

Dan - Legal Bank Robber
Dan - Legal Bank Robber

“Good news! We raised the Annual Percentage Yield on our Online Savings Account to 2.20%. You’ll start earning interest at your new rate today, and we’ll update your account details tomorrow.”

Chuck William Charles

W R Delta
W R Delta

Moved $100,000 to CIBC William Charles.39% today. They were the first last month to raise their rates for old and new customers. They have no gimmics and now I’m expecting them to raise their rate again to stay attractively competitive. Will keep the Ally account open for any more excellent deals.

CIBC has a pleasant physical office staff near me, too. They are one of the largest banks in Canada.

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