I do not know if this information has been discussed in the past. The WSJ reports that during the recent rate increases, some online bank have been rolling out a new, nearly identical savings account every few months, giving the product a slightly different name each time (Best Savings, Preferred Savings, Priority Savings). The banks would not increase the interest rate for the earlier account holders. Online banks mentioned in the article are UFB Direct, Capital One Financial and CIT bank. The UFB bank’s main website lists only one savings account—the newest one with the highest rate.
Customers would have to monitoring their bank’s every move to notice the changes and to move to the newer higher interest savings account
The article may have a paywall.
https://www.wsj.com/personal-finance/savings/when-high-yield-savings-accounts-come-with-an-asterisk-781f28e5?mod=hp_lead_pos2
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That’s like MINT Mobile trying to roll legacy customers into the “new improved unlimited data plan!”
I saw that with my accounts at CapitalOne and CIT. You just have to pay attention to your accounts. It does happen, but to say they roll out new accounts every few months is a wild exaggeration.
I got bit with this by Capital One years ago and that is when I learned to set a reminder in my phone’s calendar to go off every month reminding me to pop in to all my online bank accounts and check the rates.
Even if I miss it the first month, they won’t nab me for lower rates another month. It is too easy to link everything and move money, only taking a few seconds.