Salem Five Direct pushes for their online high interest savings account called eOne Savings earning 1.55% APY for every dollar you deposit up to a ceiling of $1 million. The high yield savings account, called eOne Savings Account, does not have a minimum balance requirement and does not collect any service charges.

Consumers can take advantage of the current interest rates by opening an account through an online application. According to the bank, they do a hard credit pull upon application but an account holder was glad to report that his credit score did not get a ding.

This account is not offered through the branches of Salem Five and is only offered through the internet.

The online bank did not have an electronic transfer facility before but we were given an update that SalemFive now has an ACH facility. We just don’t have enough feedback about the linking process for this.

Salem Five Direct operates as the online division of Sale Five Cents Savings Bank headquartered in Salem, Massachusetts. The mother company has 150 years of banking history. Salem Five has a declared asset of over $2.8 billion.

The bank received decent ratings from Bankrate.com which issued 3 stars and BauerFinancial stamped 4 stars. This review of the bank’s safety and soundness was based on their March 2009 data.

Salem Five is covered by the FDIC through certificate number 23296. Any funds in excess of the FDIC limit are insured through Deposit Insurance Fund.