The savings rate maybe competitive with large coropate banks but no one else. So where does one hold safety net savings ? online savings/credit unions that return higher rate of return or investments that will return more value? For my situation, money comes in goes to pay bills and remaining to savings/investments. So checking accounts doesnt matter if it doesnt return much value since the account holds funds for 5 days at most per month. 

@usaa Just to add data for suguestions. Your direct competition within military communtity has options to add savings value. 

Thank you for this additional feedback.

I agree rates are extremely low.


To be fair, there are worse.  The big banks such as Chase and Bank of America are at something like 0.10% even on CDs, and USAA is significantly higher.  However, other banks such as Discover and Capital One are at 1.5% now.  Even at Navy Federal you can get an easy 2 to 3% on shorter-term CDs.  


I think  USAA needs to step up to the plate here.  I would love to keep all my money i just USAA, but I am not going to throw away $2,000 per year in interest to do it.  

@FullBird, We appreciate your membership and don't want to see you leave. I've collected your comments and will ensure this is provided to our teams for review. Thank you for adding your voice to the conversation. TC

Agree with FullBird and LCM-8. I lost $5000+ in potential interest with my checking, savings, cds and investments--by not moving them out sooner. USAA left me no choice but to move everything to NFCU. I've been with NFCU since the 1970s but last year I decided make them my primary institution for my financial needs and Vanguard for my investments.  You're right--NFCU does regularly offer very competitive short-CDs.  On the whole--they're checking, savings, MMSA, etc offer better returns--especially if you have a lot funds. They even offered me better CD rates because of my long time loyalty. That's something USAA won't give you.  They'll continue to say how great their services are and advertise that "on average--their rates are those competitive competitive in the market." I wasn't going to contunue holding my breath--hoping USAA would step up to the plate. No regrets about making the move.

This is one thing I have seen USAA slowly steering away from.....listening to those of us that have been with them for years.  It's not that we are asking for anything new, we simply would like to see some loyalty for those that have been with them for so long.  NFCU evidently sees this and siezes the opportunity.  I do remember a time when USAA was competitive in the financial interest rates on just about everything.  Make a call with a CD rate or CC rate from another company and they'd scramble and come back with a better rate to keep your business.  Now it's simply a "thank you for your service and your 30yrs as a member of USAA but no we can't match or beat that rate. Is there anything else I can help you with today?".  I fear we have made them fat, wealthy and uncompetitive with no appreciation of how they got to the size they are today.

How is Navy Federal? I have an account with them as well and have thought about making the move.

Yes, I noticed and I moved my entire savings to an account that pays 1.50% APR.  There are several respectable / FDIC insured internet banks that will pay top dollar for your money.  

When you consider that USAA is in effect an internet bank, it's disingenuous for USAA to say they offer competitive rates.  They may be competitive with the local BOA branch down the street, but they aren't close to competitive with other internet banks (Ally, Cap One 360, etc.), which are offering 1.40% now on ordinary savings accounts with no minimum balance.