Everbank advertises high yields on deposits, as well as low cost or no fee accounts. Clients can expect to get around the clock customer support for all their banking needs. Everbank customers are also afforded the almost extinct luxury of speaking to an actual person. The caveat to these perks are the balance requirements - and fees, of course.
High Interest Checking and Money Market Accounts
Everbank offers customers some unique high interest checking and high yield money market accounts. The bank has a high bonus rate for the first three months after the account has been opened. After the three months have expired, the account goes to a high interest APY for the remainder of the year. On average, Everbank claims its bonus rates are 1% higher than the competitors. The checking account requires no minimum balance to open, and has no monthly maintenance fee.
The Fine Print
The advertised rates by Everbank may seem enticing, but the APY offered is tiered by the account value. Simply put, accounts with high balances (over $100k) earn the high interest rates. An unfair but common bank practice, this leaves the majority of customers - with balances under 10k - with a drastically lower interest rate than advertised. The 3 month bonus introductory rate does apply to all accounts regardless of balance.
There's no monthly maintenance fee for checking accounts or online banking. But there is a hefty fee for online bill pay - to the tune of $8.95 a month, according to Everbank's site. If this is a feature a potential client can't live without, that $8.95 (or approximately $107 yearly) can easily wipe out any earned interest. The fee is waived on accounts maintaining an average daily balance of $5,000 or more.
Comparing Everbank to Competitors
Now more than ever, it is important to learn as much about a bank as possible before opening any accounts. Analyze the bank's history and look for patterns or any remarkable changes that may have previously occurred. Try to find out how long the institution has been around and get any statistics you can gather regarding corporate strength and financial growth.
Everbank may be a great choice for customers who maintain average balances of $5,000 - $10,000 in their checking accounts. For the rest of us, make sure to read the fee schedules in detail before switching banks. High interest checking often comes at a price.