WAMU 7% Savings (with restrictions of course, IL and TX via phone, 6% in WA and GA) nation wide in September

Cliffnotes: $500 max 12 month 7% CD, but you can add up to $500 a month. This program will go nationwide in September. Illinois and and Texas accounts can already open it via phone. Georgia and Washington too but it pays 6%.

I noticed one of the Washington Mutual branches has something called the "Savings for Success". It's advertised as a 7% savings account but it's basically a CD that you can make additional deposits too.

Restriction and Info:
-Need Wamu checking account
-Min $1 to open, max opening deposit is $500
-You have to add a minimum of $25 up to a maximum of $500 every month from your linked checking account till your yearly anniversary date. One automated transfer per month. You can change the amount each month if needed.
-After one year, you have 10 days to close the account or renew at new terms. Early withdrawal penalties apply.

My rough excel calculations show this is worth about $67 more that keeping the money in a 5% savings.

Edited: restrictions and info

Thank you very much!

That suits me so well.

MoneyLovesMe said: Cliffnotes: $500 max 12 month 7% CD, but you can add up to $500 a month. This program will go nationwide in September. Illinois and and Texas accounts can already open it via phone. Georgia and Washington too but it pays 6%.


I noticed one of the Washington Mutual branches has something called the "Savings for Success". It's advertised as a 7% savings account but it's basically a CD that you can make additional deposits too.

Restriction and Info:
Need wamu checking account
$1 to open, max opening deposit is $500
You can add between $25 to $500 every month from your linked checking account till your yearly anniversary date (can be automated transfers)
After one year, you have 10 days to close the account or renew at new terms. Early withdrawal penalties apply.

My rough excel calculations show this is worth about $67 more that keeping the money in a 5% savings.

If one's yearly anniversary date is in a few months, does that mean any contributions won't qualify for 7% after anniversary date but whatever was contributed until then will be eligible for the 7% until 1 year has passed from opening?

EDIT: for clarification

I did a calculation...

There are 2 months left for FNBOdirect 6% rate (I have it open) and then after, using GMAC at 5.3%, the difference in interest is $54.37 in favor of WAMU. Simplistic, I took the rates and divided by 12 to get rate for month.

Mont, Dep. WAMU FNBO/GMAC Bal., Interest
Aug, 500, 0.0058333, 0.0050000 500 $0.4166667
Sep, 500, 0.0058333, 0.0050000 1000 $0.8333333
Oct, 500, 0.0058333, 0.0044167 1500 $2.1250000
Nov, 500, 0.0058333, 0.0044167 2000 $2.8333333
Dec, 500, 0.0058333, 0.0044167 2500 $3.5416667
Jan, 500, 0.0058333, 0.0044167 3000 $4.2500000
Feb, 500, 0.0058333, 0.0044167 3500 $4.9583333
Mar, 500, 0.0058333, 0.0044167 4000 $5.6666667
Apr, 500, 0.0058333, 0.0044167 4500 $6.3750000
May, 500, 0.0058333, 0.0044167 5000 $7.0833333
Jun, 500, 0.0058333, 0.0044167 5500 $7.7916667
Jul, 500, 0.0058333, 0.0044167 6000 $8.5000000

Total $54.3750

Of course it all depends on which accounts you have open. For me, FNBO and GMAC are already there. But I also have a wamu checking/savings so this deal is a easy one for me. For those who don't have a wamu product, not sure if this is a hot deal.

Amazing deal, don't know how they can offer such an amazing rate.

lol

So this is a $54 bonus for opening an account and funding it with $500 every month - doesn't sound this great to me.

MoneyLovesMe said: If one's yearly anniversary date is in a few months, does that mean any contributions won't qualify for 7% after anniversary date but whatever was contributed until then will be eligible for the 7% until 1 year has passed from opening?
7% will last a year, this account will have a seperate anniversary date.


Anyone know if you can open up more than one account?

This is from the link posted earlier~

Thank you very much for your detailed blog on this new account Wamu is offering. Only one account can be opened per person, but you can set up these three accounts and also go online and open an additional free checking to get an online savings account with 5%. The savings for success is only available for 4 states currently, Texas, Illinois, Georgia and Washington. I am an account executive for Wamu and can open these accounts by phone. For questions, please call Laura @ 1-800-933-3590 ext. 2265. Thanks again!