Ally offers 1% cash bonus on new deposits - up to $500 bonus

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NewbieBogle007
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Ally offers 1% cash bonus on new deposits - up to $500 bonus

Post by NewbieBogle007 »

Looks like they're doing this bonus again--

"For a limited time, get a 1% cash bonus - up to $500 - when you move new money into an eligible Ally Bank Account."

Details: https://www.ally.com/getpaid
Last edited by NewbieBogle007 on Sun Oct 16, 2022 12:08 am, edited 2 times in total.
ScoobyDoo
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by ScoobyDoo »

website says APR (variable) is 2.25%. Also says “Fees may reduce earnings.”. What fees are included for putting money in savings account?
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Cobra Commander
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by Cobra Commander »

ScoobyDoo wrote: Wed Oct 12, 2022 7:00 pm website says APR (variable) is 2.25%. Also says “Fees may reduce earnings.”. What fees are included for putting money in savings account?
Probably includes fees for transactions in excess of the permitted amount.
student
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by student »

ScoobyDoo wrote: Wed Oct 12, 2022 7:00 pm website says APR (variable) is 2.25%. Also says “Fees may reduce earnings.”. What fees are included for putting money in savings account?
They are probably covering themself if you want something extra such as wires. https://www.ally.com/bank/interest-checking-account/
ScoobyDoo
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by ScoobyDoo »

Thanks.
So, what is the reason for limiting the number of withdrawals? And what federal rule are they referring?

I don’t have any limits on transactions(withdrawals)from my credit union savings account. So is this just for online banks with no brick and mortar office?
ScoobyDoo!
student
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by student »

ScoobyDoo wrote: Wed Oct 12, 2022 7:29 pm Thanks.
So, what is the reason for limiting the number of withdrawals? And what federal rule are they referring?

I don’t have any limits on transactions(withdrawals)from my credit union savings account. So is this just for online banks with no brick and mortar office?
They are probably referring to this. It is an old rule that I think no longer active, if the bank chooses to not impose it. https://www.investopedia.com/faq-what-a ... ts-4589981
nalor511
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by nalor511 »

If they are paying 2.25% + 1%(up to $500), I'll stick with my 2.99%MMF
Ron Ronnerson
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by Ron Ronnerson »

nalor511 wrote: Wed Oct 12, 2022 9:05 pm If they are paying 2.25% + 1%(up to $500), I'll stick with my 2.99%MMF
I think of the Ally offer as a 3-month CD paying ~6.25% on up to $50k. Not too shabby.
invest4
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by invest4 »

Sounds similar to some of the Citibank bank promotions (50K for $700 if I recall correctly)? It's not a bad offering and a plus not to deal with the horrible customer service of Citibank.
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anon_investor
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by anon_investor »

Ron Ronnerson wrote: Wed Oct 12, 2022 9:15 pm
nalor511 wrote: Wed Oct 12, 2022 9:05 pm If they are paying 2.25% + 1%(up to $500), I'll stick with my 2.99%MMF
I think of the Ally offer as a 3-month CD paying ~6.25% on up to $50k. Not too shabby.
~6.25%? Might be worth moving some $ out of the 2.88% MMF I am using for 3 months.
the_wiki
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by the_wiki »

Nice, it works with existing accounts. I'll move back the $25k I moved to Etrade 3 months ago to get a slightly higher MMF rate! :)


Also, Ally is bumping up rates almost every other week to catch up to others. Would not be surprised if they are 2.75-3% in a month.
Ron Ronnerson
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by Ron Ronnerson »

anon_investor wrote: Wed Oct 12, 2022 11:11 pm
Ron Ronnerson wrote: Wed Oct 12, 2022 9:15 pm
nalor511 wrote: Wed Oct 12, 2022 9:05 pm If they are paying 2.25% + 1%(up to $500), I'll stick with my 2.99%MMF
I think of the Ally offer as a 3-month CD paying ~6.25% on up to $50k. Not too shabby.
~6.25%? Might be worth moving some $ out of the 2.88% MMF I am using for 3 months.
Yep, it’s a decent offer and I might try to move some money to Ally also.
TwstdSista
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by TwstdSista »

That is a nice bonus. We just might have to take advantage of it. Thanks for the "heads up"!
TwstdSista
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by TwstdSista »

That is a nice bonus. We just might have to take advantage of it. Thanks for the "heads up"!
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AllMostThere
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by AllMostThere »

This is a great offer. As a current Ally account holder, I just enrolled and then initiated a $50K transfer from my CMA account. I will be keeping my enrollment confirmation email and following the basic timing requirements to ensure I get the 1%. This will be easy money. :moneybag :moneybag :sharebeer

Basic requirements to get the bonus:
  • Enroll by 10/21/22
  • Move money to eligible Ally account by 10/31/22
  • Keep money in the eligible Ally account thru 1/15/23
  • Keep account "open and in good standing" to receive the 1% bonus 2/15/23
Last edited by AllMostThere on Thu Oct 13, 2022 7:53 am, edited 2 times in total.
It is not about how much you make, it is about how much you keep and how well you invest it.- Author Unknown | Don't buy Index annuity. Your future self or your heirs will thank you.- Author AllMostThere
an_asker
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by an_asker »

Ron Ronnerson wrote: Wed Oct 12, 2022 9:15 pm
nalor511 wrote: Wed Oct 12, 2022 9:05 pm If they are paying 2.25% + 1%(up to $500), I'll stick with my 2.99%MMF
I think of the Ally offer as a 3-month CD paying ~6.25% on up to $50k. Not too shabby.
Looks like it is closer to 5.25% (still not shabby) if you go by previous response above.
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SmileyFace
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by SmileyFace »

an_asker wrote: Thu Oct 13, 2022 6:35 am
Ron Ronnerson wrote: Wed Oct 12, 2022 9:15 pm
nalor511 wrote: Wed Oct 12, 2022 9:05 pm If they are paying 2.25% + 1%(up to $500), I'll stick with my 2.99%MMF
I think of the Ally offer as a 3-month CD paying ~6.25% on up to $50k. Not too shabby.
Looks like it is closer to 5.25% (still not shabby) if you go by previous response above.
It's actually 6.37%.
Math here: viewtopic.php?t=378485&start=300#p6913421
an_asker
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by an_asker »

SmileyFace wrote: Thu Oct 13, 2022 6:40 am
an_asker wrote: Thu Oct 13, 2022 6:35 am
Ron Ronnerson wrote: Wed Oct 12, 2022 9:15 pm
nalor511 wrote: Wed Oct 12, 2022 9:05 pm If they are paying 2.25% + 1%(up to $500), I'll stick with my 2.99%MMF
I think of the Ally offer as a 3-month CD paying ~6.25% on up to $50k. Not too shabby.
Looks like it is closer to 5.25% (still not shabby) if you go by previous response above.
It's actually 6.37%.
Math here: viewtopic.php?t=378485&start=300#p6913421
You probably missed my reference to the previous post - this one - which appears to indicate that the deposit needs to be left untouched through 02/15/2023, which is a total of 120 days not 90 :-)

PS: After delving deeper, this is getting confusing. It appears that the money needs to be on the books only 10/31 through 1/15, which is 75 days not even 90. But I wouldn't test that hypothesis. Would you? :sharebeer
Last edited by an_asker on Thu Oct 13, 2022 6:53 am, edited 1 time in total.
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SmileyFace
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by SmileyFace »

an_asker wrote: Thu Oct 13, 2022 6:45 am
SmileyFace wrote: Thu Oct 13, 2022 6:40 am
an_asker wrote: Thu Oct 13, 2022 6:35 am
Ron Ronnerson wrote: Wed Oct 12, 2022 9:15 pm
nalor511 wrote: Wed Oct 12, 2022 9:05 pm If they are paying 2.25% + 1%(up to $500), I'll stick with my 2.99%MMF
I think of the Ally offer as a 3-month CD paying ~6.25% on up to $50k. Not too shabby.
Looks like it is closer to 5.25% (still not shabby) if you go by previous response above.
It's actually 6.37%.
Math here: viewtopic.php?t=378485&start=300#p6913421
You probably missed my reference to the previous post - this one - which appears to indicate that the deposit needs to be left untouched through 02/15/2023, which is a total of 120 days not 90 :-)
I see. You are misreading that.
It does NOT say the deposit needs to be left untouched until 2/15. It says the account needs to be active. You can pull all the money out after 90 days (until 1/15 - so note even 90 days if you wait until 10/30 to fund) and leave $1 in the account to leave it active (which you probably want to do anyway to more easily take advantage of the next bonus Ally offers).
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by an_asker »

SmileyFace wrote: Thu Oct 13, 2022 6:53 am
an_asker wrote: Thu Oct 13, 2022 6:45 am
SmileyFace wrote: Thu Oct 13, 2022 6:40 am
an_asker wrote: Thu Oct 13, 2022 6:35 am
Ron Ronnerson wrote: Wed Oct 12, 2022 9:15 pm

I think of the Ally offer as a 3-month CD paying ~6.25% on up to $50k. Not too shabby.
Looks like it is closer to 5.25% (still not shabby) if you go by previous response above.
It's actually 6.37%.
Math here: viewtopic.php?t=378485&start=300#p6913421
You probably missed my reference to the previous post - this one - which appears to indicate that the deposit needs to be left untouched through 02/15/2023, which is a total of 120 days not 90 :-)
I see. You are misreading that.
It does NOT say the deposit needs to be left untouched until 2/15. It says the account needs to be active. You can pull all the money out after 90 days and leave $1 in the account to leave it active (which you probably want to do anyway to more easily take advantage of the next bonus Ally offers).
True dat. :oops:

I just edited my response to add a PS :-)
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SmileyFace
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by SmileyFace »

an_asker wrote: Thu Oct 13, 2022 6:54 am
SmileyFace wrote: Thu Oct 13, 2022 6:53 am
an_asker wrote: Thu Oct 13, 2022 6:45 am
SmileyFace wrote: Thu Oct 13, 2022 6:40 am
an_asker wrote: Thu Oct 13, 2022 6:35 am
Looks like it is closer to 5.25% (still not shabby) if you go by previous response above.
It's actually 6.37%.
Math here: viewtopic.php?t=378485&start=300#p6913421
You probably missed my reference to the previous post - this one - which appears to indicate that the deposit needs to be left untouched through 02/15/2023, which is a total of 120 days not 90 :-)
I see. You are misreading that.
It does NOT say the deposit needs to be left untouched until 2/15. It says the account needs to be active. You can pull all the money out after 90 days and leave $1 in the account to leave it active (which you probably want to do anyway to more easily take advantage of the next bonus Ally offers).
True dat. :oops:

I just edited my response to add a PS :-)
:beer
In the past I pulled the money out pretty quickly after the required date (in one case it was because another bank had a bonus promotion immediately following) and never had an issue getting the Ally bonus.
Auream
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by Auream »

SmileyFace wrote: Thu Oct 13, 2022 6:57 am :beer
In the past I pulled the money out pretty quickly after the required date (in one case it was because another bank had a bonus promotion immediately following) and never had an issue getting the Ally bonus.
Indeed. I’ll be removing my extra cash on 1/16 unless their normal rates become more competitive.
n0v0w3ls
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by n0v0w3ls »

Nice bonus! I just opened an account but I'm wondering if I made a rookie mistake... I opened a joint account (didn't have any previous accounts with Ally), but reading the terms it would seem possible to have two individual accounts between spouses and qualify for bonuses in each separately? The terms have some gotchas relating to customers that have a joint account, but there is no limitation on $500 bonus per household. So I'm thinking if that spouses could each open an individual account and deposit $50k each and qualify for $500 bonus in each account. Anyone else have any experience with prior Ally offers?
CorgiGoneCycling
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by CorgiGoneCycling »

Am I the only one not seeing this on the Ally homepage?
nalor511
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by nalor511 »

CorgiGoneCycling wrote: Thu Oct 13, 2022 4:55 pm Am I the only one not seeing this on the Ally homepage?
Are you using an ad blocker
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SmileyFace
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by SmileyFace »

CorgiGoneCycling wrote: Thu Oct 13, 2022 4:55 pm Am I the only one not seeing this on the Ally homepage?
Use this:
https://www.ally.com/customer-getpaid
CorgiGoneCycling
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by CorgiGoneCycling »

nalor511 wrote: Thu Oct 13, 2022 4:57 pm
CorgiGoneCycling wrote: Thu Oct 13, 2022 4:55 pm Am I the only one not seeing this on the Ally homepage?
Are you using an ad blocker

I certainly am, could be a contributing factor -- thanks! I have never been happy with Ally and internet privacy. They are the only financial entity that has issues with my setup (most annoyingly, not working with my VPN), but that is a discussion for another topic.

SmileyFace wrote: Thu Oct 13, 2022 4:57 pm Use this:
https://www.ally.com/customer-getpaid
Thank you! :sharebeer
theplayer11
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by theplayer11 »

do you have to enroll before the transfer of money?
Gryphon
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by Gryphon »

theplayer11 wrote: Thu Oct 13, 2022 7:39 pm do you have to enroll before the transfer of money?
" You must enroll prior to transferring or depositing New Money into an existing Eligible Account at Ally Bank."

https://www.ally.com/content/dam/pdf/co ... etpaid.pdf
TravelGeek
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by TravelGeek »

Ok, possibly dumb question:

I have an existing Checking and Savings account. Only the Savings account counts as a qualifying account (or a new CD or money market, I suppose). I signed up for the promo, then initiated a transfer from a Vanguard MMF into my checking account that’s linked.

Then I read this:

https://www.ally.com/content/dam/pdf/co ... etpaid.pdf
New Money – You must deposit or transfer at least $1,000 in new money into your Eligible Account(s) from outside of Ally Bank. This includes transferred funds from an account
at another financial institution, a paycheck deposit, or other new money deposits from outside of Ally Bank.
My new money is not going strait from outside of Ally Bank into an eligible account - it first goes into Savings and then into checking. Is that going to cause them to deny the bonus?
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anon_investor
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by anon_investor »

TravelGeek wrote: Thu Oct 13, 2022 9:21 pm Ok, possibly dumb question:

I have an existing Checking and Savings account. Only the Savings account counts as a qualifying account (or a new CD or money market, I suppose). I signed up for the promo, then initiated a transfer from a Vanguard MMF into my checking account that’s linked.

Then I read this:

https://www.ally.com/content/dam/pdf/co ... etpaid.pdf
New Money – You must deposit or transfer at least $1,000 in new money into your Eligible Account(s) from outside of Ally Bank. This includes transferred funds from an account
at another financial institution, a paycheck deposit, or other new money deposits from outside of Ally Bank.
My new money is not going strait from outside of Ally Bank into an eligible account - it first goes into Savings and then into checking. Is that going to cause them to deny the bonus?
The money wont count if it goes from Vanguard to Ally checking then Ally savings. It has to go from Vanguard to Ally savings and bypass the ineligible account to count.

You may have enough time to link your Ally savings to Vanguard.

Some of my direct deposit goes directly into my Ally checking, so I am transferring that money to my Fido CMA then transferring directly to my Ally savings, since money in ineligible accounts that never touch eligible accounts won't impact the net new money in eligible accounts.
TravelGeek
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by TravelGeek »

anon_investor wrote: Thu Oct 13, 2022 9:40 pm
The money wont count if it goes from Vanguard to Ally checking then Ally savings. It has to go from Vanguard to Ally savings and bypass the ineligible account to count.

You may have enough time to link your Ally savings to Vanguard.
If only Vanguard’s web site or app would let me cancel the in-progress transaction. But they don’t seem to have that feature (old MF account limitations?) and I don’t have time to call.

So maybe this works: money arrives in my Ineligible Ally Checking account. From there I transfer it to a credit union account and from there into the Ally Savings account. That should meet the requirements, right?
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anon_investor
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by anon_investor »

TravelGeek wrote: Thu Oct 13, 2022 10:28 pm
anon_investor wrote: Thu Oct 13, 2022 9:40 pm
The money wont count if it goes from Vanguard to Ally checking then Ally savings. It has to go from Vanguard to Ally savings and bypass the ineligible account to count.

You may have enough time to link your Ally savings to Vanguard.
If only Vanguard’s web site or app would let me cancel the in-progress transaction. But they don’t seem to have that feature (old MF account limitations?) and I don’t have time to call.

So maybe this works: money arrives in my Ineligible Ally Checking account. From there I transfer it to a credit union account and from there into the Ally Savings account. That should meet the requirements, right?
Yep. At least based on the languard in their T&C's.
Tom_T
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by Tom_T »

Yanguard money market is 2.8% and likely headed higher, so I'll pass on Ally for now.
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anon_investor
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by anon_investor »

Tom_T wrote: Fri Oct 14, 2022 5:50 am Yanguard money market is 2.8% and likely headed higher, so I'll pass on Ally for now.
6.37% > 2.8%
TravelGeek
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by TravelGeek »

anon_investor wrote: Fri Oct 14, 2022 12:10 am Yep. At least based on the languard in their T&C's.
Thanks. I am pretty sure I participated in a similar Ally offer in the past where checking wasn’t excluded. I didn’t have any ACH links set up to my Savings account. I hope this doesn’t lead to a ton of denied bonuses because people moved money through checking.
Eno Deb
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by Eno Deb »

It's a nice offer. The equivalent alternative (given that you have to leave the money in the account for about 3 months) would be a 3-month treasury bill which currently yields ~3.7%, so the Ally bonus plus interest is still better even if you take into account state tax savings where applicable.

In my case the value is diminished though because I have an existing 5-figure amount in my savings account that I was planning to shift into treasuries as well to take advantage of the higher yield. Since I could not move that money out during the retention period without losing the Ally bonus, there is an additional opportunity cost for me, and who knows where yields will go in the next 3 months. I'll probably pass.
am
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by am »

So after taxes at a high bracket, we are making these cash movements for the equivalent of a nice dinner out? As I get older I have resisted these types of things.
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anon_investor
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by anon_investor »

TravelGeek wrote: Fri Oct 14, 2022 9:36 am
anon_investor wrote: Fri Oct 14, 2022 12:10 am Yep. At least based on the languard in their T&C's.
Thanks. I am pretty sure I participated in a similar Ally offer in the past where checking wasn’t excluded. I didn’t have any ACH links set up to my Savings account. I hope this doesn’t lead to a ton of denied bonuses because people moved money through checking.
The offer terms seemed different last time. This time the terms say the $ has to come from a non-Ally account, so money from Ally checking would not qualify.
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by stoptothink »

am wrote: Fri Oct 14, 2022 11:05 am So after taxes at a high bracket, we are making these cash movements for the equivalent of a nice dinner out? As I get older I have resisted these types of things.
It takes virtually no effort. I'm not making any "movements", just diverting some funds I was going to put into VMFXX and sending it to Ally instead. IMO, similar to credit card churning; a few hundred bucks isn't going to change my life in any way, but I'll take it for doing what I was going to do anyways.
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SmileyFace
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by SmileyFace »

stoptothink wrote: Fri Oct 14, 2022 11:12 am
am wrote: Fri Oct 14, 2022 11:05 am So after taxes at a high bracket, we are making these cash movements for the equivalent of a nice dinner out? As I get older I have resisted these types of things.
It takes virtually no effort. I'm not making any "movements", just diverting some funds I was going to put into VMFXX and sending it to Ally instead. IMO, similar to credit card churning; a few hundred bucks isn't going to change my life in any way, but I'll take it for doing what I was going to do anyways.
Agreed - 3 minutes of effort for a nice free dinner out works for me.
TravelGeek
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by TravelGeek »

anon_investor wrote: Fri Oct 14, 2022 11:12 am
The offer terms seemed different last time. This time the terms say the $ has to come from a non-Ally account, so money from Ally checking would not qualify.
I think this was the previous offer I participated in.

viewtopic.php?t=261504

It, too, had the requirement of money coming from outside (obviously, otherwise it wouldn't be new money), but Interest Checking was an eligible account, and any combination of eligible accounts was eligible. Not sure why they would make this change other than to create a barrier or reason to deny the bonus. Which isn't a great business model for retaining customers.
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anon_investor
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by anon_investor »

TravelGeek wrote: Fri Oct 14, 2022 11:32 am
anon_investor wrote: Fri Oct 14, 2022 11:12 am
The offer terms seemed different last time. This time the terms say the $ has to come from a non-Ally account, so money from Ally checking would not qualify.
I think this was the previous offer I participated in.

viewtopic.php?t=261504

It, too, had the requirement of money coming from outside (obviously, otherwise it wouldn't be new money), but Interest Checking was an eligible account, and any combination of eligible accounts was eligible. Not sure why they would make this change other than to create a barrier or reason to deny the bonus. Which isn't a great business model for retaining customers.
It could be to avoid confusion for folks who use the checking account actively. Kind of not fair if you got a big direct deposit used for bills before the offer date and have to spend it and not qualify due to negative net funds.
LFT_PFT
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by LFT_PFT »

Why is Ally doing this? (Have significant amounts of money been transferred out of Ally as rates have been rising. And, they want to attract some of the money back quickly and have it retained for at least 3 months?)

Is Ally expecting rates to continue to rise and then perhaps they will not raise their rates in-line during the 3 month 'bonus window' since they will have funds 'locked-in' as customers don't want to lose the 1% bonus?

Curious.
stoptothink
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Joined: Fri Dec 31, 2010 9:53 am

Re: Ally offers 1% on new deposits - up to $500 bonus

Post by stoptothink »

LFT_PFT wrote: Fri Oct 14, 2022 3:40 pm Why is Ally doing this? (Have significant amounts of money been transferred out of Ally as rates have been rising. And, they want to attract some of the money back quickly and have it retained for at least 3 months?)

Is Ally expecting rates to continue to rise and then perhaps they will not raise their rates in-line during the 3 month 'bonus window' since they will have funds 'locked-in' as customers don't want to lose the 1% bonus?

Curious.
I don't know, but they've done it a few other times. I took advantage of it last year as well.
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SmileyFace
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Joined: Wed Feb 19, 2014 10:11 am

Re: Ally offers 1% on new deposits - up to $500 bonus

Post by SmileyFace »

LFT_PFT wrote: Fri Oct 14, 2022 3:40 pm Why is Ally doing this? (Have significant amounts of money been transferred out of Ally as rates have been rising. And, they want to attract some of the money back quickly and have it retained for at least 3 months?)

Is Ally expecting rates to continue to rise and then perhaps they will not raise their rates in-line during the 3 month 'bonus window' since they will have funds 'locked-in' as customers don't want to lose the 1% bonus?

Curious.
Customers like me who have had a $5 balance now have a $50,005 balance. They are hoping I don't get around to pulling my money back out after the 90 days. I am guessing everytime they run this promo that's what happens to a percentage of customers such that the promo is worthwhile to them. (Won't happen in my case but many other folks will let their money sit especially with rates being similar across HYSAs).
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cheese_breath
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by cheese_breath »

So if I move $40K from my current Ally savings account to my credit union, and then move it back to Ally in a couple days I'll get $400??
The surest way to know the future is when it becomes the past.
LFT_PFT
Posts: 308
Joined: Mon May 28, 2007 6:59 pm

Re: Ally offers 1% on new deposits - up to $500 bonus

Post by LFT_PFT »

Customers like me who have had a $5 balance now have a $50,005 balance. They are hoping I don't get around to pulling my money back out after the 90 days. I am guessing everytime they run this promo that's what happens to a percentage of customers such that the promo is worthwhile to them. (Won't happen in my case but many other folks will let their money sit especially with rates being similar across HYSAs).
Perhaps. Enertia is a thing. Though, those willing to transfer for the bonus will likely transfer back out of Ally if their rates are not competitive.

Ally must have a need for transferred funds (hence promotion) to make an interest spread.
TravelGeek
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Re: Ally offers 1% on new deposits - up to $500 bonus

Post by TravelGeek »

cheese_breath wrote: Fri Oct 14, 2022 4:16 pm So if I move $40K from my current Ally savings account to my credit union, and then move it back to Ally in a couple days I'll get $400??

I don’t think that works as your $40k will be a preexisting balance in an eligible account, and withdrawing it will reduce any bonus.

https://www.ally.com/content/dam/pdf/co ... etpaid.pdf

If you had moved it out three days ago…
tibbitts
Posts: 18340
Joined: Tue Feb 27, 2007 6:50 pm

Re: Ally offers 1% on new deposits - up to $500 bonus

Post by tibbitts »

LFT_PFT wrote: Fri Oct 14, 2022 3:40 pm Why is Ally doing this? (Have significant amounts of money been transferred out of Ally as rates have been rising. And, they want to attract some of the money back quickly and have it retained for at least 3 months?)

Is Ally expecting rates to continue to rise and then perhaps they will not raise their rates in-line during the 3 month 'bonus window' since they will have funds 'locked-in' as customers don't want to lose the 1% bonus?

Curious.
I wouldn't over-think this, since it's been happening with several different banks for many years.
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