SAN FRANCISCO–Yields for savings accounts and certificates have declined, but that hasn’t stopped dozens of various FIs from “dishing out some sizable cash bonuses” — with at least one brokerage account still offering $10,000 to those who qualify, according to a new report.
Not surprisingly, those big sign-up offers also come with some “big hurdles,” according to NerdWallet.
“Banks offer sign-up bonuses to attract new customers,” Investing Writer Sam Taube said in a statement as part of Nerdwallet’s reporting. “Many offer sign-up bonuses on checking accounts, which don’t typically pay significant interest, but they can also make savings accounts more alluring. Psychologically, promising new customers a concrete amount of money — say, $200 — may have more of a draw than an extra 1% of yield.”
That said, it’s often the savings account — some of which pay 4% or more — that will earn investors far more, Nerdwallet said.
The Biggest Bonuses
Using data from Bankrate, the report said the biggest bonuses being paid in May include:
E-Trade from Morgan Stanley: Up to $10,000
According to Nerdwallet/Bankrate, eligible E-Trade brokerage accounts of at least $5 million can add a $10,000 sign-up bonus for the effort. “While indeed not everyone will qualify for this offer, the bonus offered here is based on a deposit tier, with accounts starting at $1,000 to $4,999 earning the baseline bonus of $50,” the report states.
Chase Private Client Checking: Up to $3,000
Investors can earn $1,000 when they deposit between $150,000 and $249,999, $2,000 when they deposit between $250,000 to $499,999, or $3,000 when they deposit $500,000 or more in a Chase Private Client Checking account by the July 16 deadline. Investors must maintain that qualifying balance for 90 days.
Flushing Complete Checking: Up to $2,500
Consumers must maintain a three-month average account balance of at least $10,000 and Flushing Complete Checking customers are eligible for a bonus. For balances above $250,000, the bonus here caps out at $2,500. The offer, however, is only available to new customers and just one account per customer, Nerdwallet/Bankrate reported.
Wells Fargo Premier Checking: Up to $2,500
Investors who open a Premier Checking account by the May 20 deadline and move at least $250,000 in qualifying linked balances within 45 days of account opening can earn the $2,500 bonus. Consumers must leave funds on deposit for 90 days to receive the total bonus in your account.
Capital One 360 Performance Savings Account: Up to $1,500
“This cash bonus is indeed lower than the leading offers on this list; however earning the $1,500 here comes with a much more reasonable deposit threshold of $20,000,” Nerdwallet/Bankrate said. “If you deposit at least that amount in your savings account within 15 days of opening, as well as hold the deposit for 90 days after that period, then the cash offer is yours.”
