Finance
ING Direct - Multiple Savings Buckets
22/10/08 16:48
A few months ago I was looking for somewhere to put
my short term savings (vacations, etc). I compared
the rates of a few online banks and my current
savings account with one of my regular banks. After
comparing rates, features, and reading a few articles online, I
decided to open an ING Savings account.
The 2 factors when choosing ING Direct was the rate and the fact that you can open multiple “sub accounts.” I use these sub account to segregate money for certain goals. There is no additional cost or fees to create these other accounts. After you open and fund your first account you can then open additional savings or checking account that are linked to the main account. Then you can move money between them to save for certain goals, like vacation, a new car, an emergency fund, etc. For step by step instruction, look here.
Here are a few things that I have found out about the accounts. Nothing bad, just good stuff to know.
Like I said, nothing bad but just good to know up front. If you are going to be moving money around a lot, then you may want to open an ING Checking account to move the money into first, then you can disperse if from there. But I have not had any issues with these requirements.
ING also offers a free $25 for opening an account with an initial deposit of at least $250. I already did this and got my $25. If you are interested, just use the contact form and ask for the ING Direct offer code and I will get that to you as soon as I can.
The 2 factors when choosing ING Direct was the rate and the fact that you can open multiple “sub accounts.” I use these sub account to segregate money for certain goals. There is no additional cost or fees to create these other accounts. After you open and fund your first account you can then open additional savings or checking account that are linked to the main account. Then you can move money between them to save for certain goals, like vacation, a new car, an emergency fund, etc. For step by step instruction, look here.
Here are a few things that I have found out about the accounts. Nothing bad, just good stuff to know.
- After your initial deposit into your accounts(s) the money is held for a small period of time, maybe 10 days, before you can withdrawal it
- Any deposits into your account are also held for a week or so before you can withdraw them
- You can only withdraw from a savings account (this is also between ING accounts) so many times a month, I think 5 (Federal Requirement)
- You can have 3 outside linked accounts at one time to your ING Direct account to transfer money in and out. This does not mean you can’t initiate the transfer from another bank, however. But linked account can be setup to automatically transfer on a schedule.
Like I said, nothing bad but just good to know up front. If you are going to be moving money around a lot, then you may want to open an ING Checking account to move the money into first, then you can disperse if from there. But I have not had any issues with these requirements.
ING also offers a free $25 for opening an account with an initial deposit of at least $250. I already did this and got my $25. If you are interested, just use the contact form and ask for the ING Direct offer code and I will get that to you as soon as I can.
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