A few days ago, U.S. Bank lowered the public rate on the Smartly Savings account from 3.60% to 3.00% APY. They are now sending a letter in the mail to some customers indicating that they are no longer eligible for that increased rate. Going forward, these customers will get a lower rate of .05%.
Pretty strange to differentiate between customers. Perhaps they are going to boot off all existing customers and keep the 3.00% rate only for new customers? We’ll have to wait and see.
U.S. Bank also offers an elite money market account with an interest rate of 4.25% with at least $25,000 deposited and then maintained. There’s also a 4.40% 5-month CD. (Not everyone gets the 4.25% so enter your zip code first to check.)
Personally, if they boot me off the 3%, I’ll move any cash away from the Smartly savings account into my brokerage account and buy SGOV ETFs with the funds.
Thanks to the multiple readers who sent this in.
