November 29, 2017
EQ Bank sent out an updated Account Agreement. One item that caught my attention (probably because I've been wondering about this) is the following:
The EQ Bank Savings Plus Account is intended for personal use only. You agree to operate your EQ Bank Savings Plus Account as a personal account and understand that if we suspect you are using your EQ Bank Savings Plus Account for business or non-personal purposes, we may close your Account.
Obviously this is just spec, but my gut tells me the "non-personal purposes" piece of this is aimed at people moving large amounts of funds in/out of their EQ account to take advantage of temporarily higher rates elsewhere (Simplii, Tang, etc.).
Even if that's the case, it wouldn't end well for EQ. They'd have to gear down to the Tang approach, which is offer lousy HISA rates (I guess it would be more of an LISA rate), and send out targeted promotions.
Or maybe it has nothing to do with the above. I guess we'll find out soon enough.
December 12, 2009
Thanks for the update on the account terms. However, in this case, that is highly unlikely to be the reason for its addition. 🙂
More likely, their in-house and/or external legal counsel went through their HISA Terms & Conditions with "fine-toothed combs" and added some clarifying language. This is common language that was added to personal bank account T&C years ago by other FIs for people using their accounts for commercial purposes, including selling things on eBay, Etsy or the like. They are just "a bit late to the party" in this regard. 😉
I have my own reason(s) for not banking with EQ Bank and this would definitely not be one of them. 🙂
Hope that helps,