articles link to it . please introduce links to this page from related articles ; try the find link tool for suggestions . october 2013 perkstreet financial trading name perkstreet industry finance fate defunct founded boston massachusetts united states november 2009 defunct august 2013 headquarters boston massachusetts united states owner dan o malley number of employees 25 website perkstreet.com archived perkstreet financial was an american based virtual bank that offered checking and debit card accounts with cash back rewards . the company was founded in boston massachusetts in november 2009 and was led by former capital one executive dan o malley . 1 with no bank branches perkstreet financial had low operating costs . however a cash back rewards scheme that approached 2 % for some debit card accounts turned out to be unsustainable and contributed to the company s closure in 2013 . history edit the company had several early rounds of financing including a 9 million series b venture round . in may 2011 o malley claimed perkstreet had more customers than half the banks and credit unions in the country . by that time the company had 25 employees . 2 in august 2013 the bank announced it was closing and laying off all 25 employees . o malley revealed that perkstreet financial had paid out more than 4 million in cash back rewards since its founding and the rates were no longer sustainable . perkstreet also suffered from years of low interest rates which reduced margins and had difficulty partnering with other financial institutions . that was all done in the midst of the ultra low rate environment so clearly the low rate deposit environment was no surprise to the bank and it s sic investors ... falling debit interchange rates didn t help but they were durbin exempt so that wasn t as dramatic of a revenue hit as it was at the big banks . in fact ceo dan o malley told the ny times last year that their interchange had remained unchanged . . 3 deposits were reportedly protected by fdic deposit insurance but many customers were angry about the abrupt closure of their accounts and the end of the rewards program . 4 instead of honoring the current cashback balances the company has decided to steal those perks ... shame on perkstreet for claiming all along to being a new better way to bank . in the end they turned out to be scummier and slimier than the average banking outfit . . 5 for years financial guru dave ramsey was a prominent endorser of boston startup perkstreet financial and its online only checking accounts paired with rewards debit cards . but this week after perkstreet announced it would close in september and wouldn t pay out rewards earned by customers ramsey slammed the company on his popular radio show . i ll find them eventually and strangle them because that s not how you do business ramsey said noting that two people on his own staff have accounts with perkstreet . 6 according to the perkstreet s website as of september 26 2013 former perkstreet customers can direct questions to issuing banks based on their debit account numbers . customer questions associated with debit cards that begin with 5519 or account numbers that start with 123 should be directed to the bancorp bank and questions associated with debit cards that begin with 5507 or account numbers that start with 234 should be directed to provident bank . broadly account applications received before march 6 2013 were issued by bancorp ; applications received after that date were issued by provident bank . references edit psaty kyle may 20 2010 . perkstreet bank makes checking virtual brings greater incentives . bostinno . retrieved august 30 2013 . brown rodney h. may 11 2011 . perkstreet pulls down another 9m in series b cash . boston business journal . retrieved august 30 2013 . bruene jim aug 14 2013 . thoughts on perkstreet s demise . netbanker.com . retrieved august 30 2013 . fernandes deirdre august 15 2013 . perkstreet financial shuts down after five years . boston globe . retrieved august 30 2013 . o malley connor aug 12 2013 . perkstreet closes steals your perks balances . everyjoe technology . retrieved august 30 2013 . alspach kyle aug 15 2013 . dave ramsey perkstreet slimeballs told me they were selling the company . boston business journal . retrieved august 30 2013 . retrieved from https en.wikipedia.org w index.php title perkstreet & oldid 701246234 categories banks of the united stateshidden categories orphaned articles from october 2013all orphaned articles navigation menu personal tools not logged intalkcontributionscreate accountlog in namespaces article talk variants views read edit view history more search navigation main pagecontentsfeatured contentcurrent eventsrandom articledonate to wikipediawikipedia store interaction helpabout wikipediacommunity portalrecent changescontact page tools what links hererelated changesupload filespecial pagespermanent linkpage informationwikidata itemcite this page print export create a bookdownload as pdfprintable version languages add links this page was last modified on 23 january 2016 at 11 29 . text is available under the creative commons attribution sharealike license ; 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