How to Open Sallie Mae Savings Account
Sallie Mae Bank is the online banking division of Sallie Mae, the student loan provider. Even though Sallie Mae Bank is the new comer in the online banking area which is previously dominated by well-known names such ING Direct and FNBO Direct, it was quickly recognized as one of the best online banks. In the December 2010 issue of Kiplinger’s Personal Finance magazine, Sallie Mae High-Yield Savings Account was named the Best Online Savings Account in 2010. With the current yield at 1.15% APY, Sallie Mae Savings Account offers one of the highest interest rates among popular online high-yield savings accounts. The account has no minimum balance requirement and no monthly fee. Other features include
- Daily compounded interest
- Sallie Mae routing/ABA number 124385119
- ACH fund transfer to/from external accounts
- Trial deposit account ownership verification
- 5-day hold period for deposit $5,000 or less, 10-day hold period for deposit more than $5,000
- Maximum 6 free withdrawals per statement cycle ($10 per withdrawal over the limit)
- Customer service toll free number (877) 346-2756
The account opening process is rather straightforward, taking only about 10 minute from start to finish. Like many other banks which offer account application online, the process of opening an online savings account, including Sallie Mae Savings Account, is pretty standard nowadays: Select the account type, provide personal information, set up a user name and password to access account later, verify identity, choose account funding method, and create online account access. For SallieMae account, there’s no paperwork to be sent back to the bank. All were done online.
During the process, you will be asked to provide external bank information to make initial deposit (though no minimum deposit is required for this account) and any subsequential deposits that you may want to add to you account. ACH fund transfer, which is done by linking your savings account to an existing checking account to transfer money back and forth, is the fastest and easiest way to fund your Sallie Mae Savings Account or withdraw money from it. Therefore, it’s recommended the external bank link be set up at the account opening to speed things up.
Sallie Mae uses two small trial deposit to verify account ownership, i.e., you are the rightful owner of the external bank account linked to Sallie Mae Bank. It usually takes one or two business days for the trial deposits to show up in the external bank. Once the two small deposit appear, you will need to go back to your Sallie Mae account and enter the amounts of the trail deposit to complete the verification process. And after the external bank is verified, the initial deposit you made during the account application will be created to your Sallie Mae Savings Account and starts to earn interests on a daily basis. You can also start transfer money from your linked checking account to your new savings account and let your hard earned money work even harder for you
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