Be aware that Salem Five Direct won't let you withdraw more than $20,000 per month and not more than $5,000 per transaction..
Apparently Salem Five Direct elected to "change" the external transfer dollar limit when I transferred large amounts INTO their bank but is holding me to withdrawing a maximum of $5,000 per transaction per day and $20,000 per month
The following paragraph is from their online banking agreement, which has 11,196 words and just the text covered 21 pages.
Limitations: For security reasons, the Bank has established limits on the amount of funds that can be transferred via External Transfers. External Transfers from your account are limited to $5,000 per transaction; $5,000 in aggregate per day; and $20,000 in aggregate per calendar month. External Transfers to your Salem Five account are limited to $15,000 per transaction; $25,000 in aggregate per day; and $25,000 in aggregate per calendar month. In addition, external transfers outstanding are limited to $25,000 in aggregate per day and $45,000 in aggregate per calendar month. We reserve the right to change your External Transfer dollar limit at any time. If we decrease the dollar limit, we will notify you as required by law, but we may not notify you if we are restricting your transfer limits for security purposes or because of excessive overdrafts to your Salem Five account.
I had no extraordinary issues with Salem, but I have now closed my account. Salem won't raise introductory rates (basically think to yourself that you are buying a CD) and now the rate they were paying me is almost half a point below what I can get other places. The withdrawal limits were highly annoying, but I see now that other banks do the same thing. If you can deal with starter savings rates that are essentially locked in, then by all means, give them some business. For now, I choose to park my savings elsewhere.
I began to open an account got to the drivers license part, I called the bank and informed them I would not be providing such info. The cust. rep told me I had to, ( I didn't know I had to do anything but pay taxes and die) I asked if the account would not open without finishing the application, he confermed. Several days later yes 100 dollars was taken out of my navy fed account and put into a salem 5. (More money was going to be moved later the 100$ was just to open the account since the amount seems to matter. )I called the bank it was Saturday mind you, I spoke to a polite rep. saying I just wanted the account closed. Since I was already told the money would not be taken out (mistake1bank). The rep said I had to email a letter to close it, the bank could only send me a check in the mail, (their policy. )No problem, waited for the check after 2 weeks I called they said it was just mailed. No problem, just waited for the check. Never came after extensive time with unhelpful rep it was discoverd( by me,) they sent it to the wrong address( mistske2). They had my right address I have no idea how they could have sent it to the wrong address. So I had to get a form( witch was another task in itself I again spent hours on the phone just trying to get this form) get notarized, swear to take an oath, that I did not in fact have this check that the bank knows they sent to the wrong address. Navy fed never treated me like this, capital one, goldmansach, all much better choices. I spent hours and leg time of my own money to free up my 100$. Maybe because Im a veteran or I had too many shots to the head. I just didn't like my banking experience.
I've been using online savings accounts for many years and some, of course, are better than others. But Salem Direct hasn't a clue about online banking. The lengthy application process makes very little sense (there is actually a separate website for the application). Because here are few follow-up emails, I had to phone them and the customer service person acted like it was my fault that I didn't understand it. When I do an external transfer to my current online savings account (Barclay's) I am given credit immediately. With SD I have to wait until the money is actually there. I expect there are other ways that they are making up for the fact that their interest rate is a little higher. When Barclays raises their interest rate, everyone gets the raise, and their rates have never gone down in the 3+ years I have had the account. I emailed SD them on a Friday to close my account. They sent a confirmation email right away saying I would receive an answer in 1 day. I received my response on the next Thursday--4 business days later. SD is NOT worth the aggravation. Wish I'd seen this website before I opened an account.
I sent this bank a substantial amount of money when they offered 1.85 %. Now that others have matched or exceeded this amount I was hoping they would raise me to their new rate of 2.05%. umm, no.
So I have been trying to bring my money back and have run into a daily limit of 5k and a monthly limit of 20k. This is not cool. It's going to take me several months to get my money back, and I am not at all happy about this.
Seems like petty nonsense if you ask me.
Salem Five offers an attractive rate to lure deposits. Then they lower the rate dramatically without notifying the depositor. They cheated thousands of dollars out of me that way.
I have a dozen online savings accounts to spread the risk. NONE of the banks pulled this kind of interest rate scam on me. ALL of them have been increasing the interest rates as fed rates go up. Salem Five, on the other hand, cut it in half!
Make sure you check the interest you are getting every month. Don't just check their website for the current rate. Your rate could be half of that.
I tried to move money out to a new bank. Guess what? They have $5000 limit on transfers each day! At that rate, it would take 2 months to transfer out. I had to set up the transfer from the other end to pull the money at once. Again, I never had this kind of problem with any other online banks that I deal with.
First they scam money out of you and they make it hard to transfer money out. CFPB should shut them down.
I have several on-line savings accounts and Salem 5 is by far the worst all around. It was virtually impossible to set-up on-line access and I received no help from customer service. On top of that they charged me for sending paper statements, when it was their website which made online access impossible. When I tried to close my account I was told that I could only withdraw $5,000 a day so it is going to take me over a month to have the account fully closed. I recommend to everyone to stay away from Salem 5 Direct.
The customer service is not good. Chat operators let you sit there forever before answering any questions, assuming they ever return to answer you. If you call, you stay on hold forever. One of the biggest issues I have with this bank that I've never had to do with other online accounts is once you fund this account, you must add the exact same account as an external account all over again! This redundancy makes absolutely no sense! I've already entered and verified trial deposits to verify account funding, so why are we "linking" accounts all over again? This is a really stupid process and needs to be corrected. I have a feeling I won't be with this bank for long....
Ever since they did an "upgrade" to their online system, it is extremely difficult to get payments made to outside accounts. I have always used their online payment service to make my truck payment. Prior to the upgrade, the payments would come out within 48 hours and be immediately transferred to the receiving institution. Since the upgrade, it has been a nightmare. My most recent truck payment still had not made it to my lender within 10 days. When I used the chat feature I was told by Jeremy that they now cut a live check and mail it out to the lender. So let me get this straight....you charge me a fee in order to "expedite" a paper check to my lender?Why would I use the online bill pay if all they are going to do is send a paper check? That is the most ridiculous thing i have heard. Why would I not just write my own check?It is so bad that my wife and I are going in this Saturday to close out the 3 accounts we have with them. Too bad, because they USED to be an excellent local bank to use
A week after verifying two deposits into my funding account, my SalemFiveDirect account still wasn't opened. I called (and waited endlessly for a rep) and I was told by the rep that he would call be back the next day. Three business days later, no one had called back. Today's call to SalamFiveDirect had me on hold for more than 30 minutes. Turns out that last week's rep did do anything that he said he would do. The account is now open and I hope I never have to call customer service again.
It takes time to join this bank. They say 24-48 hours but be patient it takes longer. I understand they have a small staff. I am pleased so far with this bank. The nice perk is having a chat window when you sign in with any problems. I had excellent customer service with Jennifer! The rate is nice and I chose the Savings. Some web browsers do not work like Internet Explorer 11. I suggest Firefox or Chrome.
Update 3/10/18: They raised the rate to 1.85% for new customers only. I called SalemFive and mentioned that I may have to move my balance to another savings that is paying 1.80% and he gave me the 1.85% as of the next business day. Great customer service! I will stay with SalemFive!
Tried to open an account and they rejected my application. When I inquired as to why they referred me to the credit agency they used to assess my past banking relationships. Then I requested the report from the credit agency and it was clean. When I called back they said they could not tell me why they denied my application. I asked to talk to a supervisor and they said they were all busy and would call me back within 2 hours. Nobody has ever called me back. Sounds like discrimination to me.
I have had a Salem Five DIrect eOne Savings account opened at this bank since April, 2014. Even though they still offer and advertise a 1.10% APY rate on this account for new and recent customers, they dropped the interest rate for long-term customers to about .90%. I never saw this system of offering 2 different interest rates on the same account stated anywhere on their website.
I called and asked customer service if I could also earn the 1.10% APY rate. They told me I would have to make an additional deposit $10,000 of new money into the account to receive the higher advertised 1.10% rate. I also didn't find these terms & conditions listed anywhere on their website.
In my opinion, they clearly do not care at all about building long-term relationships with their customers.
So I closed all my accounts there.
We went to open a CD at Salem Five. They failed to disclose the 4% early withdrawal penalty until we had been sitting there for an hour. They made a number of mistakes on the deposit, including giving us duplicate receipts for one deposits and failing to give us a receipt for another. Three times they promised either monthly or quarterly statements, only to later tell us that they don't provide statements. How will we know if there is fraud on the account.
Terrible customer service. Tried to open an account and was denied for no reason. I was ready to move $500k there, I guess they think I'm too poor to bank with them. I never have any problem apply for any bank accounts in my 30 years of banking. No response to emails, voice mails, etc.
Easy and fast opening of savings account earning 1.10% on a existing account...I am highly impressed with there customer service. Please mail in your signature card as soon as possible on your new account they put a hold on the entire balance until its received...No Complaints to date and I am the hardest to satisfy...A+
I try to open checking account and have to provide proof of address since I just moved and address is different from ID. I just can't believe, they don't take any other form of address proof but utility bills which is under my mom name. Not even rental agreement or other bill/statement. They return my email late and provide me only 3 days to provide those documents, no extension with any reason! They now close my account. they neither give me bonus if I reopen it after i change address on my ID saying that I count that I have been their customer! No courtesy.
It has been down to .65% for about a year now. When I opened this account about 4 years ago they guaranteed the advertised rate for a certain amount of time. Now all I find on their website is this quote: "The rate may change after the account is opened." I talked to a customer rep who said the rate is subject to change on Tuesday of each week, but rarely changes. Still couldn't get a straight answer as to when the 1.00% would change for newer accounts.
As far as transfer/ACH out: The $3 charge is only if the transfer is initiated at Salem Five as a transfer OUT. Three ways to get money out of eOne Savings with NO FEES: 1) Initiate a transfer at the account you want the money to go to. 2) Open an eOne checking account when you open an eOne Savings account -only $100 minimum to open, no minimum to maintain, no fees and some free checks plus .25% interest- transfer whatever amount you want to withdraw to checking and use bill pay which also has no fees and usually ends up being an ACH anyway depending on who you are paying, or 3) write yourself or whoever a paper check. I have had good customer service with them although they sometimes don't answer emails promptly.
I spoke with the bank as a current customer and they will not honor the higher promo rate (currently .9%) for existing customers. Further they will not honor the .9% rate for new money from existing customers. Apparently existing customers new money is less valuable than a new customers new money. Hmmmmmm.
I opened an account according to their process.
A few days later, on a Saturday, they called me from a phone number other than the one on their website.
When I returned the call on Monday, they wanted me to tell them the account and routing numbers from my primary checking (at another bank). I told them no way! I was then told I could not have the account unless I would divulge that information. I told her there is no way I should know whom I was talking with.
So I said, fine, I don't want an account with a place that does business like that. But then a few weeks later, I noticed they accepted my initial $100 deposit!
It took a few months and the FDIC, but I finally got my money back... a huge waste of my time.
I've had an eOne Checking account since July 2007, and an eOne Savings acocunt since January 2012. I can understand the complaints that other people on this site have had with ACH deposits *initiated from SalemFive* (the fee does not apply if the other bank initiated the deposit) and restrictions with very large sums of money (but if you have over $25,000 available to invest, why are you putting it in a standard savings account?).
However, I have definitely had polar opposite experiences with their customer service compared to what other reviewers seem to be saying. I've had to call them for at least a dozen various reasons (inform of travel, fix a failed ACH transfer, inquire to a returned bill pay, etc.), and every time, I've gotten a live, native-English speaking, intelligent human within 30 seconds (they have a one-level phone tree). They've answered my question or fixed the problem almost immediately each time. The worst situation I had was where a large transfer from my external mutual fund account failed to show up in my checking account. SalemFive got me and my mutual fund company on a three-way conference call. I'm still not entirely clear what went wrong, but they fixed the problem and the money showed up in my checking account an hour later, while both companies offered to pay the late fee for my then-late tuition bill for me.
The products they offer have been perfect for me. I've never encountered any service charge from them, and they refund all ATM fees, including from international ATMs, for up to $15 in fees per month. I've never lived near any of their physical branches, but I feel completely free to go to any ATM I run into. Their bill pay is quick and free (offering a regular and expedited - 1-2 day delivery - delivery speed). I don't use the debit card much, but that gives small rewards for using it. There are no minimums to maintain, no minimum number of debit card transactions, and no monthly fees. They don't have the best interest rates out there, but they have been consistently in the top 20 or so (as listed on this website) on both the checking and savings accounts.
The biggest difficulty I've had with my accounts is related to finding ways to deposit money into the account. They accept NYCE Shared Deposit, but there aren't many of those ATMs around, even in NYC. They do send you free postage-paid deposit envelopes (with a nice and obscure "Service Center" address), but mailing deposits is still a pain.
Overall though - I've had a fantastic experience with this bank, and have recommended them to many of my friends. No fees, great products, and superb customer service seems hard to beat to me. Plus, they're a small bank so they get you away from the BoA and other corporate behemoths.
I just opened a Salem Five Savings account and am very disappointed by all the hidden terms. Your money will go into the account very easily, but beware, they will make it very hard to get it back. After I opened the account I called to verify some of the things I read (a little too late.) The rep told me that if I did not want to keep the account, I could just have an external bank account transfer the money out (without any fees). Well, I tried that, and they replied to my external bank that my funds were frozen. Yet, if I login to my account, it says they are available for withdrawal.
It's just another example of the ugly side of banking. Steer clear!
Everything already noted here by others is true - but on top of that made major errors with my account, the last one possibly leaving me open to identity fraud. They screwed up so bad that I am not even going to cash the last check sent to close out my account (only pennies) for fear of being fee'd for something!
I share the concerns noted so I called the bank. They claim that there are no fess or limits if you initiate the transfer from your external account rather than from Salem 5. Seems wired, but if it works then I will revise my rating up.
Hard to figure out what your rate is, but if you're an existing customer, be aware, it's .75%, not 1% as shown on the "front page." 1% is only for new money.....so if you're a loyal customer....forget about it, you're of no importance in this Banks opinon.
I find it incredibly hard to believe that people are signing up for Salem Five Direct's eOne Savings Account. Salem Five charges $3 for each ACH debit that you initiate through Salem Five Direct. A withdrawal from Salem Five Direct initiated through your external account is free.
This information is available in Salem Five Direct's Fee Schedule. You may have to do a site Search for it; it's somewhat buried.
This seems like a depositer-unfriendly fee which all the other online banks I've dealt with do not have. I assumed all banks ate the ACH fee in order to attract depositers. Even if they didn't, I wouldn't have expected it to rise above $1.00.
In addition, Salem Five Direct will assess a $10.00 fee for any account closed within 90 days. I guess this is to protect them from rate-hopping depositers, but it was difficult to find the info when I looked at opening an account there.
If you close the account by mail you will be assessed a $10.00 fee, as well (I guess online closure is free, but this isn't specifically stated).
Perhaps these fees were justified in the days of 5+% interest, but for an online bank offering 1% (as of 2/15/12) they seem out of line.
Perhaps most egregious is that Salem Direct Five pulled a hard credit report on me when I applied for an eOne Savings Account for under $500; an account which I did not consummate after doing a deeper dive into their Disclosures. This hard credit report pull will remain on my credit report for 2 years; potentially affecting my credit score--depending on who's looking, and how the credit agency applies its unique FICO algorithm--as if I had applied for credit.
I can not recommend Salem Five Direct to anyone for anything whatsoever.
I recently opened up a Salem Five account, after all 1.25% guaranteed til Apr 2012, that's for me!
However, be very careful before you open an account. It turns out they charge $3 for every ACH transfer out. As well, they cap monthly debits at $25,000 per mo. And you can only ACH in $20,000 (although you can send them a check if you want to deposit more). Still - even if you deposit more, they won't allow you to take out more than $25k per month and will charge you $3 to get it.
Worst fee structure and limits I've ever found. Stay far away!