About 1,000 EmigrantDirect.com customers in areas ravaged by Hurricane Katrina found a surprise $1,000 deposit in their savings accounts last week, compliments of the online bank.
“I saw the news reports. I could see it was a desperate situation, really unlike any other in American history, and I decided to do something,” said Howard P. Milstein, the president and chief executive of Emigrant Bancorp Inc. in New York.
Customers learned about the gift in an e-mail message from EmigrantDirect, and it provoked an outpouring of gratitude.
“This is the kindest thing anyone has ever done for me,” read one e-mail. “I don’t know the status of my home or friends, and this welcome gift is certainly a blessing.”
“I am crying as I read this note,” read another. “That is such an extraordinary gesture.”
Even customers who did not live in the region affected by the hurricane and received no money responded after hearing what Emigrant had done.
“As a former resident of New Orleans, I wish to thank you for your kind and generous gift,” one such person wrote. “You can be assured that this gesture will not be forgotten. Best of luck and you can count on my business.”
Mr. Milstein said most of the customers were able to access the money online. Those who were not able to do so received checks through Federal Express.
Emigrant’s lead subsidiary, Emigrant Savings Bank, was founded in 1850. EmigrantDirect was established in January and now has more than 110,000 depositors, said Mr. Milstein, who is also a co-chairman of the $11 billion-asset Emigrant Bancorp.
He said the average EmigrantDirect account balance is $33,000, so an extra $1,000 might not make much difference to some customers. Emigrant is encouraging those who do not need it to donate the money to local disaster-relief efforts.
“We figured that they know better about where the need is than we do in New York,” he said.
