Internet banking

Now that Netbank has gotten into the mileage game by offering United and Delta miles, I decided to take a look at an online checking account.

I actually didn’t sign up with Netbank, though. Instead, I signed up with BankDirect.

Both give miles for checking accounts and other financial products. The (2) drawbacks to NetBank are:

  • They don’t give very many miles (I was only going to earn 4500) and mileage is a one-shot deal — there’s no continued earning.

  • They don’t reimburse ATM fees. So while they don’t CHARGE you to use an ATM, in most cases the machine you use will.

BankDirect solved both of those things. Now, BankDirect has two disadvantages:

  • A $15/month fee on checking accounts with balances under $2500.

  • A lower interest rate than NetBank.

So I studied hard and ran some numbers for myself. I’m going to earn about 11,000 American Airlines miles in the first year, and there’ll be a couple thousand more in each future year. The interest wasn’t significant, and the fee savings on ATM costs made BankDirect a better deal for me.

So I’ve decided to open an Internet checking account. Big step for me!

If you decide to go with BankDirect as well, drop me a line. If I refer you, we both get an extra 1,000 miles.

About Gary Leff

Gary Leff is one of the foremost experts in the field of miles, points, and frequent business travel - a topic he has covered since 2002. Co-founder of frequent flyer community, emcee of the Freddie Awards, and named one of the "World's Top Travel Experts" by Conde' Nast Traveler (2010-Present) Gary has been a guest on most major news media, profiled in several top print publications, and published broadly on the topic of consumer loyalty. More About Gary »

More articles by Gary Leff »


Leave a Reply

Your email address will not be published. Required fields are marked *