Posted by William Charles on December 8, 2019
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Published on December 8th, 2019 | by William Charles

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[Expired] [MA, NY, RI & CT] Webster Bank $300 Checking Bonus – Direct Deposit Not Required

This bonus has now ended, view more checking bonuses by clicking here

Update 12/8/19: Deal available again. Hat tip to reader Joe F

Offer at a glance

  • Maximum bonus amount: $300
  • Availability: Offer available only to residents located in MA, NY, RI and Ridgefield, Wilton, Danbury, Stamford, Darien, Norwalk, and Greenwich, CT
  • Direct deposit required: Optional
  • Additional requirements: Yes, see below
  • Hard/soft pull: Soft
  • Credit card funding: None
  • Monthly fees: $21.95
  • Early account termination fee:  $15 if closed within 90 days
  • Household limit: None listed
  • Expiration date: March 31st, 2019 December 31st, 2019

The Offer

Direct link to offer

  • Webster Bank is offering a bonus of $300 when you open a new Premier Checking account and complete the following requirements:
    • Have a direct deposit of $500 or more between the month the account has opened and 05/31/2020 OR
    • Have an average account balance greater than or equal to $10,000 for the calendar month ending 05/31/2020

 

The Fine Print

  • Promotion valid for new checking accounts opened between 12/01/2019 and 12/31/2019 at the Webster Banking Centers located in Ridgefield, Wilton, Danbury, Stamford, Darien, Norwalk, and Greenwich, CT and Larchmont, Scarsdale, Yonkers, Rye, White Plains, and New Rochelle, NY and meeting minimum opening balance requirements.
  • Customer must qualify for account and have a direct deposit of $500 or more (Direct Deposit transactions are limited to payroll, social security, pension, and government benefits. PayPal® transactions are excluded) between the month the account was opened and 05/31/2020. OR
  • Customer must have an average account balance greater than or equal to $10,000 for the calendar month ending 05/31/2020.
  • To be eligible, the primary customer must qualify for Premier Checking and must not have had an open checking account since 11/01/2018 at Webster Bank.
  • Account must be in good standing at the time of payment; an account is considered to be in good standing if it has a positive balance and is not in the process of being closed.
  • All funds will be transferred into the newly established checking account by 07/16/2020.
  • All amounts will be reported to the IRS, and customer is responsible for any applicable taxes.
  • Customer must be a resident of NY, MA, RI, or CT at time of account opening and promotion payout.
  • Please speak to a Webster banker for details. Rates shown for any product or tier are subject to change at any time. Cannot be combined with any other Webster Bank cash incentive offer.

Avoiding Fees

Webster Premier Checking $21.95 Monthly Fee

This account has a $21.95 monthly fee, this is waived if you meet any of the following requirements during your monthly statement cycle:

  • By keeping $20,000 in combined average checking, money market, and savings balances during your monthly statement period
  • By keeping $50,000 adding CD, home equity, and installment loan balances as of the end of your statement period

Early Account Termination Fee $15

If account is closed within 90 days a $15 fee is charged.

Our Verdict

There is a targeted offer for $350 with the same requirements, people will obviously prefer that offer if targeted. This offer is nice as it’s publicly available and it’s possible to get the bonus without a direct deposit requirement. I do think this bonus is worth doing if you live in the targeted area and because of that I will add it to our best checking sign up bonuses page.

Hat tip to reader Y B

Useful posts regarding bank bonuses:



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G
G

Live in a place in CT but not listed.

Greg
Greg

Me too. I literally border New York and Danbury, CT. WTH?

nyc
nyc

It’s a really nice bonus for me living in NY. But the account is kind of hard to keep fee-free. I don’t want to have $20,000 tied up there for three months.

wise
wise

close it early and just pay $15 lol

K - Man
K - Man

Same boat, wondering if I should pull the trigger also.

Jordan Robbins
Jordan Robbins

The fees on this one are rough, and hard to avoid. Does anyone know how long this takes to pay out on average? I don’t think it’s worth it to pay $20+ in fees every month until September (when they say they will pay out before), but if it’s a situation where they pay out right away, or even 30 days after the statement closes or something, it might be worth it if you can PC to a better account type.

Beefer
Beefer

A long time. They have made people wait a full calendar year before.

Anon
Anon

Do I understand this correctly? Bonus may not be paid until 9/19/19? That’s 6 months of $21.95 fees per month or keeping 20K in an almost 0% account or tying up 50K is a below market CD. Is this really worth doing?

Flea
Flea

Well, they did pay it out (former recipient here). And I grant it may seem like it took forever (it didn’t take a full year, but it did take the amount of time Webster’s ToC stated it would). Even so, I thought it was a pretty good ROI for being able to devote a minimum of $500, especially when compared to “deposit-and-keep-10K on hold for half or more the same amount of time; and get $100 in return after 3-6 months”. It’s an opportunity cost – would you rather pay out $120 in fees (at least one month is waived IIRC) and yet have another $9,500 to send elsewhere for a different bonus?

Then again, the last Webster bonus offered was $350, so will be slightly decreased for value this time around.

Anon
Anon

I see your point, but its still a lot of risk in paying fees if there is a problem with them paying the bonus.
I recently did the Citizen’s bank offer and followed everything exactly and they wouldn’t pay the bonus claiming I didn’t link through their site, which I did. Even provided time stamped screenshots. At least there were no associated fees, only opportunity cost of no interest on a relatively small balance.With this deal, I assume $200 in risk as I doubt they will reverse the fees if they don’t pay the bonus.

Wilson
Wilson

I agree, if they offered credit card funding it would be a better proposition

Dan - Legal Bank Robber
Dan - Legal Bank Robber

William Charles You are tempting me to sign up again, even though last tome ended poorly.

Peek

So if my math is right this all works out to:

Option 1 (Deposit):
Bonus Amount: $300
Lost interest at ally on $20,000 to keep it fee free (2.2% for 6 months) -$220
Interest on the money at Webster at (As high as .55% for six months): +$55
Net: $135 (but you pay taxes on $300)

Option 2 (Fees / Direct Deposit):
Bonus Amount: $300
Fees for 6 Months: $131.7
Net: $168.30 (but you pay taxes on $300)

It does net positive either way if they pay in six months. If it takes longer though the returns may not be worth the effort in my mind. The fee path is more lucrative but more risky too if they don’t pay out. I did a similar bonus a year ago or so and they did pay on time but that was when interest rates were a bit lower and it was only a 10k deposit to keep it fee free.

Sa
Sa

Great analysis. I have done their bonus twice. Both times they took long to post the bonus. Too much work required imo.

Peek

Thanks. I am passing this time for sure. I prefer bonuses that are simple direct deposit to these that require such a large deposit. I’m one of the few that can easily change direct deposit though.

Dave
Dave

Yeah, pass on this one and see if they come up with something better later..

RG
RG

It’s September 19 – did anyone receive the bonus? I’m planning on waiting until tomorrow, then calling.

Ren
Ren

I did not receive mine either. I’m still waiting. Did you end up getting yours?

Mdam0re

Is it really worth the headache for 300? then all the fees?

@Chase-ing UR Points
@Chase-ing UR Points

William Charles These terms aren’t the same as the targeted offer (these are much worse). This offer you need to have the $10,000 for the month of May 2020, while the targeted offer ($400 now, not $350) has to be maintained the month of February 2020. So less time having to pay monthly fees and an extra $100, not $50. Like you said, that’s targeted though unfortunately.

AndreRamirez
AndreRamirez

So it’s really a choice- either have a $500 direct deposit post to the account between now and May, or maintain a $10,000 average balance in the month of May.

Very easy to meet either of those terms, but that $20,000 minimum combined balance to avoid the $21 monthly fee makes this not worth it for almost anyone.

The savings and money market accounts have close to a 0% interest rate, so you’re locking up $20,000 for 5-6 months, for a $300 bonus. That’s an effective interest rate of 3%, which can be found and even beaten elsewhere, without having to jump through these hoops.

Alternatively, you could just ignore the $20,000 minimum and eat the fees, but then you are eating $100 worth of fees (assuming they give you your first month fee free, not guaranteed). After taxes, the $300 bonus is really only $200, and if you take these fees, that brings it down to a $100 net gain.

Thats a deceptively small bonus, I don’t know if it’s worth the effort.

AndreRamirez
AndreRamirez

And I ignored the $50,000 option to avoid fees because I don’t think most of us have that kind of cash to toss around.

Ren
Ren

I would not recommend this bonus. I opened both the personal and business back in March for $300 bonus each, but had to quickly close out the personal version since the fees have no gracious period. Ate the fees for personal and closed out the account. The $300 for business with $7500 tied up (balance to avoid fees) paid out in late November after I called them (pay out deadline was mid Nov). They had to manually approve my $300.

All in all, I regret doing this bonus and would not recommend this bank for the fees and high balance requirement.

arihalli
arihalli

I don’t see this as worth doing. Once could place their $20,000 in a 2% interest bearing acct, as i have, and receive nearly the same reward/bonus with no requirements at all. It takes about 8 months to recieve the reward at Webster. And one has always the chance of not receiving a bonus at all. And the money is not in an interest bearing acct.

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