Opening an online savings account with discover bank is a mistake. I found out the hard way. They are a day or two slow in transferring money out. That hurt a little but one can live with that. There are several other minor things that are troublesome, including horrible customer service. One can live with some of these things, as long as my money is fine. The big issue came when i transferred everything out of the account on the 24th of the month. I was stunned when i didn’t get any interest for the month, 24 days in.
They told me that i forfeited that when i transferred everything out. Awful. I never thought i'd say this but american express (http://personalsavings. Americanexpress. Com/) is much better. Money transfers on time, better rates, plus, they do not steal your interest money. I have learned from experience, i hope no one else suffers my fate.
We have our "Rainy day" fund at Discover bank. The fact that ACH transfers are much slower was not a big deal, because we don't plan on making withdrawals often. I wanted to leave that account alone, and open a second account for savings. At ING they ask "How much, where's the money coming from, and what do you want to call it". At Discover bank I needed to fill out a complete form with SSN, phones, addresses, occupations, etc. After dutifully filling that out, the response was "Call us". When I called I was told "We are getting a lot of accounts, so we don't know when yours will be approved. We might approve it soon, or we might send you a letter asking for further information". Since there was a minimum opening deposit of $500, that much is sitting in limbo. I asked if I could cancel the process, but I was told that once it started there was nothing that could be done to stop it.
It's kind of surprising, Discover Card has excellent customer service. As far as Discover Bank, there ar much better ones out there.
I've only had a couple of errors (merchant-side) with my accounts, and every time I contacted customer service I received prompt and genuinely helpful support. Their investigation and resolution teams really know their stuff!