Capital One pulled a fast one

[CardsFan]

I noticed that our 360 MM account was still sitting at 0.80% interest, so I did a little googling. Seems the MM is no longer offered to new customers, and they now have a "Performance Savings" offering paying 3.3%. Still not great, but better than 0.80.

Not sure when they did this, but it burns me they would not notify existing customers of the change.

Not sure if I will open a new account, or just close the MM and transfer elsewhere

 

[wearefinishedworking]

Agreed, I felt upset when I discovered this in August but quickly set up a new account and moved it all over. We have earned a lot of interest since then. We had been with them since it was the old ING savings.

 

[audreyh1]

I think they’ve done this before? And they are not the only ones!

 

[CardsFan]

Agreed, I felt upset when I discovered this in August but quickly set up a new account and moved it all over. We have earned a lot of interest since then. We had been with them since it was the old ING savings.

Since AUGUST? Wow, I was really asleep at the wheel.

I think they’ve done this before? And they are not the only ones!

At this point I will probably just open the new account and transfer. Stay with the devil you know.

FWIW, We are really happy with their credit card service. Over the years they caught several fraud charges before we even knew about them.

 

[Sunset]

They screwed us over as well !!!!

They don't like their old customers.
They should have notified everyone, and I'll bet there are LOTs of old folks getting ripped off by this trick.

I'll NEVER open an account with them.

 

[VanWinkle]

I noticed that our 360 MM account was still sitting at 0.80% interest, so I did a little googling. Seems the MM is no longer offered to new customers, and they now have a "Performance Savings" offering paying 3.3%. Still not great, but better than 0.80.

Not sure when they did this, but it burns me they would not notify existing customers of the change.

Not sure if I will open a new account, or just close the MM and transfer elsewhere

They're probably Cub fans too!!!

 

[CardsFan]

They're probably Cub fans too!!!

Oh, we love Cubs fans here. They come into town, spend their money, and lose

Actually, the Cubs: Cards rivalry is one of the most civil ones I have seen. Of course, I grew up in Boston as a Red Sox fan, and the Yankees were a sworn enemy

 

[Koolau]

I noticed that our 360 MM account was still sitting at 0.80% interest, so I did a little googling. Seems the MM is no longer offered to new customers, and they now have a "Performance Savings" offering paying 3.3%. Still not great, but better than 0.80.

Not sure when they did this, but it burns me they would not notify existing customers of the change.

Not sure if I will open a new account, or just close the MM and transfer elsewhere

They screwed us over as well !!!!

They don't like their old customers.
They should have notified everyone, and I'll bet there are LOTs of old folks getting ripped off by this trick.

I'll NEVER open an account with them.

In the words of Louis Renault (Claude Rains) in Casablanca "I'm shocked. SHOCKED!"

 

[jollystomper]

Since AUGUST? Wow, I was really asleep at the wheel.

It was actually a few months before August. I recall seeing it on their website and on BankRate since March. I also figured "good, my account rate will go up". Then for 2 months I saw the interest rate in my MM account staying much lower (I think they were advertising 1% and I was only getting .3% at the time). Then I found a thread on Bogleheads in May that mentioned you have to open a Performance Savings account, the rate did not apply to the Money Market account. I opened an account and moved money over from the MM account in May.

Capital One seems to want customers to have many accounts, some executive likely has some bonus incentive tied to "number of accounts" or "newly opened accounts" .

 

[folivier]

CapOne just closed our account. My DW had her account in a local bank where she was a vp. Bank was bought out twice and she still had her account with original number. Until a few months ago she had a few nice perks, free checking, free checks, etc. CapOne decided they no longer wanted her business and sent a letter closing her account. Gave her no opportunity to move into a newer account just closed it. She was peeved to say the least.

 

[dunkelblau]

Thanks for the tip! I hadn't noticed this change either, and the difference in interest rates between performance vs 360 savings is huge (10x).

I ran into a snag when I tried to open a performance savings account online; we have to use a mobile/tablet with an assigned phone number to snap a picture of our government issued ID, but I have only an old cellphone with no camera.

So I called the "talk to a human" phone number at the lower right of this page
https://www.capitalone.com/bank/customer-service/
and believe it or not someone answered on the first ring and she was able to verify me using only my home phone number (via audio 5-digit verification code). She then walked me through the activation and funding transfer. Doing it this way got it moved immediately; the online mobile+photo ID apparently has a two-day review process.

FWIW this was the best customer service experience I can remember from anywhere, so while I agree with the misgivings continuing to do business with them after this sneaky change, their customer service has kept me onboard.

 

[Kabowest]

Thanks to this thread I have now corrected two savings accounts. All this time, silly me, I assumed I was slowly getting a higher interest rate.

Thanks for posting!

 

[sengsational]

You do business with an outfit called Capone, you might get burned.

 

[PatrickA5]

Thanks for the tip! I hadn't noticed this change either, and the difference in interest rates between performance vs 360 savings is huge (10x).

I ran into a snag when I tried to open a performance savings account online; we have to use a mobile/tablet with an assigned phone number to snap a picture of our government issued ID, but I have only an old cellphone with no camera.
.

I ran into the same problem when I opened a CapOne Walmart credit card. I was able to get the card mailed to me without problem, but couldn't login online without sending a picture of the back of my driver's license. That's the first time I've ever been required to do that anywhere. Haven't been part of the CapOne system since back in the ING Orange days.

 

[Teacher Terry]

As always lots of good information on this forum. I have 12k in my savings with them. Just checked and I have a 360 performance savings and am getting 3.251 %.

 

[wishitweresooner]

Just switched from 360 Savings to 360 Performance. Did it on line in just a few minutes and just a few clicks.

Since they had all my info from my old account there was no need to enter any new info.

Been with Capital One for years and have been happy with their service, no complaints.

 

[Sojourner]

FWIW, We are really happy with their credit card service. Over the years they caught several fraud charges before we even knew about them.

+1

I've had my Quicksilver card for a long time now and use it extensively every time I go overseas (1.5% cash back and no foreign transaction fees).

 

[Ncc1701]

Why do people even bother with Capital One when their brokerage account has access to a 4% yielding money market fund?

 

[Surewhitey]

Why do people even bother with Capital One when their brokerage account has access to a 4% yielding money market fund?

And 12-18 mo CDs @4.6% at FIDO. I just closed a small account and moving extra cash to these right now. Trying to simplify things...

 

[11522914]

CIT did exactly the same thing. At least they used to before I got wise to their game and closed all my accounts. I opened 3 accounts in total to continue to get the higher interest rates.

I went on their website and none of the 3 accounts I previously had still exists so apparently they are still playing that game.

 

[GalaxyBoy]

I had an open 360 account at Cap One which I opened a few years ago for the $500 bonus, then as soon as it sat long enough for the bonus to be vested I moved the money elsewhere. Thanks for the heads up; I really shouldn't have left an account with a zero balance just sitting there. I'm surprised Cap One hadn't already killed it due to lack of interest (hehe).

 

[Montecfo]

I think I created the Performance Savings account.

Though I have had an account there for decades, I have all but closed the accounts some time ago.

They are not competitive.

 

[MC Rider]

I got a letter from Portfolio Recovery Assoc re: a supposed unpaid Capital One account that said it is "not a bill", but wanted personal details including SS# and more. I think I had an account with Cap One 20+ years ago. Going to send their letter back and tell them where to stick it. Never gonna deal with Cap One again.

 

[Sue J]

Why do people even bother with Capital One when their brokerage account has access to a 4% yielding money market fund?

I don't have CapOne but I do have a DiscoverBank Savings account that is paying 3.30% and I also have most of the excess cash in Vanguard money market. I keep both because the DiscoverBank Savings is attached to a checking account with a debit card. I can instantly move money to the checking account if I need to where moving money out of Vanguard would take a few days. It's my instant emergency fund.

A few years ago we kept most of the cash in Vanguard money market and then the rates dropped down to almost nothing. DiscoverBank was also low but it was better than Vanguard. Doesn't cost me anything to keep both open.

Also, DiscoverBank is FDIC insured.

 

[badatmath]

I think I should start looking for better rates on savings I don't even know what I have. . .