With HSBC having recently reducing their APR yield to an noncompetitive 4.50%, I made the jump to GMAC Bank. Initially I was somewhat skeptical, given my experience with signing up with HSBC earlier this year. Fortunately, I went ahead with the signup for the 4.75% APR offered as of this writing for a balance of $500 and I can say I could not be more pleased!

First, the signup process was remarkably easy. The only tricky part is the savings account itself is listed at the bottom of a long list of other savings vehicles, none of which interested me. Once you find Insured Money Market in the list, you’re ready to roll. Although the signup process is several pages, it is extremely painless compared to HSBC’s hour long signup procedure.

I recevied a signature card in the mail almost immediately. The return envelope was postage paid and ready to go. I signed and sent it back promptly.

Once I was up and running, the first thing I noticed was the remarkably clean Web interface. It’s quite superior to HSBC’s horrid Web interface and a pleasure to use. It’s FireFox friendly, too.

My first task was to link with my Wachovia Crown Banking checking account using the Transfer Funds function. As you’d expect, you add your institution’s routing number and your account number. My trial deposit took less than a week. Unfortunately, I was so sleepy I screwed up the verification process. Thankfully, a very friendly woman at the support phone number was happy to assist me in verifying my trial deposits.

With my checking account linked, I transferred over my initial balance. Later, I also linked in with my HSBC account. The rounting number took a few moments to track down, but it is 031101185 for HSBC BANK, USA, N.A. It took a few days for the trial deposits to appear in my HSBC account, but once they did I successfully completed my account verification online, more awake this time.

After I initiated a pull of my HSBC funds, the money has appeared in my GMAC Bank account in only 24 hours! I am quite pleased not to be subjected to HSBC’s strange funds holding policy that prevents your money from working for you for 2 to 4 days, depending on what you initiate it. It’s my understanding that GMAC Bank starts applying interest immediately.

I haven’t received my ATM card, though it’s been a few weeks. I have received my PIN as of yesterday, though, so I imagine it should be here soon. With account linking I don’t consider the delay a negative against GMAC Bank.

I left a $1 balance in my HSBC account so I can keep the $25 signup bonus from their recent expired promotion.

Update, May 22nd. I received my check card last Thursday and on Saturday my cheques arrived. I didn’t even know I was going to get cheques from GMAC. Neat.

Update, June 20th. GMAC increased their rate to 4.80% APR, which matches HSBC’s latest increase. Even at the lower rate I’d still stay with GMAC; they rock.

Update, July 1st. HSBC just went up to 5.05% APR. I’m in with some additional funds I have — not worth the lost interest to chase the higher rate from my GMAC account.