Latest responses to “Online Savings Accounts: Best High Yield Savings Account” Copyright 2012, MoneyBlueBook.com 456940 2010-10-27T15:14:58-07:00 KIN I love the fact that Flux Holdings has a stipulation that you must be a US resident. Now if we could just everyone else here in the US to committ we may have a few less people takeing advantage of our social security and medical expense. We will be broke before long because of it so we all best figure out where and how to invest our money to retire on. Tell me where to put my money. 456930 2010-10-07T05:16:24-07:00 bigdaddyrichard Lending Club appears to be a reliable high yield investment alternative. But I guess I need do more research on this. 456900 2010-07-07T14:03:22-07:00 Tyler Flux Holdings is offering 5% APY. No minimums. Must be a US resident though. 456920 2009-12-08T20:46:42-08:00 JD Law (2) JD, you completely missed Charles's point. He was not talking about the risk of a particular loan or borrower. Rather he was talking about the structural risk of not being FDIC insured. 456910 2009-11-25T15:27:02-08:00 JD Law Charles, you sound like a disgruntled Lending Club investor or someone who runs Prosper or one of LC's other competing companies. I've had a Lending Club account for a year now and invest mostly in the high grade loan offers. So far I've had good success with no defaults. Unless you choose to invest in super risky loans, you are generally pretty safe in my opinion. It's the same way with stock market investing. You can shoot for the sky and invest in penny stocks and hope to double or triple your investment in days, but you are risking everything. Likewise, you can stick with safer investments and earn a steady rate of return in time. That's my approach with LC. My LC rate of return averages around 7-7% APY based on my rough estimates. It's not going to blow anyone's socks off, but compared to online banks offering 1-2% APY these days, it's quite impressive. You're right its not FDIC insured the way banks are...but I think that's why you can get higher rates with LC...it's really a tradeoff. 456830 2009-11-25T15:00:57-08:00 Charles I was rather shocked to see Lending Club in the list of banks above. ds points out that Lending Club is NOT FDIC insured. If the loans you make default, you lose the money. BUT, there's another problem. If Lending Club goes bankrupt, those who owe money still owe it to Lending Club, but you become a creditor at the back of the list. In other words, if LC fails, the loans you made could be completely paid in full and you still not get any of the money. And, if you read the details, you'll quickly find out that LC is losing money at a rapid rate. I would not touch LC with a ten foot pole. It should be noted that clicking in Lending Club on this page or the review page takes you to their site with a code so they know you came from here. I suspect they are getting paid for referrals. 456890 2009-10-05T02:04:20-07:00 ds All balances on Lending Club are NOT FDIC insured, nor are they insured by Lending Club. If 100% of your loans default, you are guaranteed to lose 100% of your balance. I'm not sure why one would compare the Lending Club rate with FDIC insured bank rates. Apples to oranges. 456860 2009-09-30T00:00:03-07:00 allison Scott Yoo hoo, VentureBank has been shut down -- just click on their website. 456870 2009-08-10T16:00:25-07:00 frank I don't understand Bankrate.com's ratings. When you are looking for the highest interest savings accounts they exclude some of the bettter paying banks. Why is that? Are they really honest about their ratings or bais? depending on what? I noticed for instance that they show other banks as top interest payers on online savings, while excluding Shorebank who ia paying a higher interest. Why is that? 456880 2009-07-28T00:28:14-07:00 Hilbert K. Presser ShoreBank Direct High-Yield Savings Account is now offering 2.15% APY* (2.13% Interest Rate), effective Tuesday, July 28, 2009. ShoreBank's ABA/Routing Number is 071004226.