I’ve written extensively about Bask Bank, which launched earlier this year, and is my favorite savings account product right now. If you don’t yet have a Bask Bank account, want to refer friends to Bask Bank, or still have a BankDirect account, there are some upcoming deadlines you’ll want to be aware of.
Here are a few things to keep in mind:
Why should you care about Bask Bank?
Bask Bank lets you earn American Airlines AAdvantage® miles rather than interest for a savings account, and it’s at a very lucrative rate. With Bask Bank, you earn one AAdvantage® mile for every dollar deposited annually.
That means if you put $10,000 in your Bask Savings Account for a year, you’ll earn 10,000 AAdvantage® miles.
See this post for everything you need to know about Bask Bank. This really is a compelling product, especially in a low-interest-rate environment. I value AAdvantage® miles at 1.5¢ each, so that’s a better effective return for me than even most of the “high interest” online savings accounts right now. I use this as my primary savings account, and recommend it for others as well.
Last chance: convert BankDirect account to Bask Bank
Back in June, it was announced that BankDirect mileage-earning checking accounts would be automatically shut down by August 31, 2020. I had a BankDirect checking account for close to a decade and found it to be a great way to earn AAdvantage® miles, though the banking experience itself was a little clunky.
However, a few months ago I closed my BankDirect account and moved those funds to a Bask Savings Account — both Bask Bank and BankDirect are part of Texas Capital Bank, but the value proposition of Bask is much better, as is the user experience.
If you still have a BankDirect mileage-earning checking account open, you’ll have to choose one of the following three options by August 31, 2020:
- Open a new Bask Savings Account, so you can continue to earn miles (this is what I’ve done, and what I’d recommend others do)
- Keep your account at Texas Capital Bank, and have it automatically convert to an interest-bearing checking account in September
- Move your funds to another institution
Given the current low-interest-rate environment, the earnings rates on the Bask Savings Accounts are a great value. BankDirect has been a good way to earn miles for the past decade, but the Bask Savings Accounts are a better all-around product. I’m happy to continue earning miles instead of interest for my emergency fund, and there’s no reason not to switch ahead of the forced migration in September.
Opening a Bask Savings account
As mentioned above, Bask Bank has a phenomenal website and app, which makes opening an account easy. When I opened my account a few months ago, it took less than five minutes.
You have the option to fund your account with an external bank transfer during the onboarding process. If you want to transfer funds from your BankDirect mileage account, you can send a secure message when logged in to your current BankDirect account or call customer service at 833-260-4320.
The clock is ticking: Bask Bank refer-a-friend bonus
Bask Bank has a refer-a-friend* program, whereby customers have an opportunity to refer friends to Bask Bank through September 30, 2020. Here’s how it works:
- You’ll earn 5,000 bonus AAdvantage® miles for each friend you refer, up to a total of 25,000 bonus miles (which you would receive if you refer five friends) Existing customers can find their referral link in the Bonus Dashboard
- In order for the person referring to earn the bonus miles, both the referrer AND the person being referred need to maintain a minimum daily balance of $10,000 for 90 consecutive days by December 31, 2020
- The person referring and the person being referred both need to link their AAdvantage® accounts in order to receive the bonus, and miles will be awarded the first Wednesday following all qualifications being met
Again, I personally value American AAdvantage® miles at ~1.5 cents each, so to me that’s the equivalent of a $75 bonus for referring friends.
I’m of course grateful if you sign up using my referral link, but as my bonus-earning potential maxes out after referring five people, it would be great if other current Bask Bank customers could leave their links in the comments section below.
If you still have an open BankDirect account, then you only have through the end of the month to choose what you want to do with your account. Personally I’d recommend converting it to a Bask Savings Account, given that it’s basically a new and improved version of BankDirect.
Currently, the best offer for opening a Bask Savings Account is through the refer-a-friend deal. So if you plan on signing up for Bask Bank, make sure you use one of those links. Similarly, if there are any friends you’ve been meaning to refer, this is a good chance to do so.
Finally, if you’ve been putting off opening a Bask Savings Account, the current refer-a-friend offer is likely to be the best bonus we see for the rest of this year, given how low-interest rates are otherwise.
You’re welcome to use my link, otherwise, readers can leave their links below.