I recently decided to end my 18-month banking relationship with Chase and switch over to Ally Bank.
Why I closed my accounts at Chase?
I owned a Chase Total Checking & Chase Savings account.
- Low interest rates (0.01% APY for the Chase Savings account and no interest for the Total Checking account. Highest possible interest rate is 0.50% APY, for those who has $5 million in assets)
- Minimum $1500 in Checking account or $500 direct deposit every month (with no interest, this $1500 minimum would cost me $15/year if I were to bank at a 1.00% APY interest-earning account elsewhere)
- Minimum $300 DAILY balance in the Chase Savings account (I couldn’t be more annoyed when I didn’t realize it was a daily balance. I had a balance of $293 on ONE day and got a $6 maintenance fee slapped on my statement at the end of the month, good thing I was granted a once-in-a-lifetime waiver on that fee).
The interest rates at Chase is so low that it didn’t make sense for me to open an account with them in the first place. Unfortunately for me, the only local bank around my workplace was Chase, so it was either suck up the bank fees for ATM withdrawals or make sure I always have enough cash with me. (I mean, c’mon, I have a personal finance blog, I can’t possibly be willing to live with that without a good reason. =) )
But was Chase all that bad? No. Their online banking website was easy to use and their hours of operation is was not bad either. But I end up with more work every month trying to transfer money out and about from my Chase accounts into my other higher savings accounts and double checking to make sure I never go under that $300 mark accidentally. All that trouble for just having an ATM available that I realize I’ve used, on average, less than once a month!
So, it’s bye-bye Chase for me and helloooooo Ally Bank. Will update on that soon.
On a side note, the customer representative that had helped me open my account 18 months ago was also the one who closed my accounts for me. And very interestingly, she actually remembered that she was the one who opened the accounts for me as well! Somebody please tell me that they have a note of who opened the account readily available for her when she looked up my accounts, otherwise I think I must REALLY stand out for her to remember me so well. =P