After declaring bankruptcy, GMAC has re-branded itself as Ally bank, and in efforts to generate new customers, is offering high yield savings account with a rate of 1.73 percent, and an APY of 1.75 percent, as of this writing.

There are several other features of the High Yield Savings Account at Ally Bank which also make it attractive:

• You can open an account with $0
• There are no minimum balances required
• Interest is compounded daily
• All accounts are insured by the FDIC
• No monthly fees

Do remember that the no monthly fees is based on usual practices. If you exceed 6 withdrawals or transfers within a statement cycle, you would be charged $10, and if a deposit item is returned, there is a $7.50 fee. Don’t be put off by the 6 withdrawal or transfer rule, that’s actually mandated by federal law, and all savings accounts have it.

But as far as minimum balances and normal use of the savings account, there are no hidden fees, which can give you peace of mind in contrast to other banks’ High Yield Savings Accounts which many times penalize if you drop below a required amount.

In contrast to most other large banks, this is a great interest rate and deal, as I couldn’t find a better savings rate for a no-minimum bank in America.

Tags: Ally Bank, high yield savings accounts, online savings, savings, savings accounts

This entry was posted on Friday, September 11th, 2009 at 2:47 pm and is filed under reviews. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

• Are You Managing Your Debt Correctly? Although debt is a dirty word to many, the fact of the matter is that the vast majority of us are in debt in some way or another. No matter how hard we try, there are times when you simply...
• Saving for a Rainy Day Having a few easy and down to earth concepts and ideas for spending less, cutting expenses and socking money away is a good way to start putting together a rainy day fund. This freed up money can be applied to...
• Should I Pay Debt First or Build Some Savings? Photo Credit:  Untitled blue Paying debt off or building savings is a question facing many people. Each situation is different, but in general I believe that people should save a cushion before paying off debt. How do you do it exactly?...
• Banking Reviews: Savings Square’s No-Minimum Online Savings Account Every few months another one of the United States’ thousands of banks will open an online division and offer a savings account with a decent interest rate, giving the consumers more choice than ever before. Recently Kirkpatrick Bank decided to...
• Best Online Banks When it comes to emergency funds savings, I subscribe to the theory "out of sight, out of mind." Saving money with one of the best online banks helps to protect me from myself, as a recovering spendthrift. Our emergency funds...