ED has been a good model of doing business, keep the rates high and have happy customers.
ING was like that before, and then they started giving free money for Money customers (50) and for referrals (25). Then they realized they cannot be as aggressive with the rates to give out all these free money.
Now you know the difference in rates between the two and so I am happy that ED is not being foolish to give out easy free money just to get accounts. Their product should be enough motivation to join. Just my 2 cents.
doglar
Thrifty Member
posted: Nov. 5, 2005 @ 5:45p
Has anyone noticed that ED does not really compound interest daily?
cpiwc
New Member
posted: Nov. 6, 2005 @ 11:32a
doglar said: Has anyone noticed that ED does not really compound interest daily?
I saw this question mentioned elsewhere... I checked the site and found this in the FAQ.. Sounds like a problem if they are not actually compounding daily but advertising they do...
How do you calculate the interest?
Interest on the American Dream Savings Account is compounded daily and credited monthly. For more details, see our Account Disclosure
jlrdallas
Senior Member - 1K
posted: Nov. 6, 2005 @ 11:37a
Are you calculating based on rate or yield?
george2350
Senior Member
posted: Nov. 6, 2005 @ 12:13p
doglar said: Has anyone noticed that ED does not really compound interest daily?
Probably worried that they are not seeing the daily interest counter going up like on the ING website.
I leave $10 in both Emigrant-Direct and ING start with the same day. For some reasons, ING gave me higher interest. I am still testing it plus HSBC too.
didYOUsearch
Cranky Member
posted: Nov. 6, 2005 @ 1:18p
you cant test with $10, thats the most ridiculous thing ive ever heard!
on a $10 deposit, 3 or 4% interest is only 30-40 cents per YEAR, so the differences would be too small to spot in interest accrual...
Xam said: I leave $10 in both Emigrant-Direct and ING start with the same day. For some reasons, ING gave me higher interest. I am still testing it plus HSBC too.
didYOUsearch
Cranky Member
posted: Nov. 6, 2005 @ 1:27p
the balance is too small to be able to see the interest compounding...one may earn 3 cents in the month, one may earn 2 cents. that doesnt mean one is paying 2/3 of the other.
if there was $1000 in the account you may see one earned $2.98 and one earned $3.02
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