1. high interest rates
Many banks offer a paltry return on your money. The average APY (annual percentage yield) is just 0.06%, with some banks offering as little as 0.01%. While you can not expect to make similar gains in stock market savings account interests you, you can do much better than almost anything that brick and mortar banks offer. For example, our three online savings accounts examined give you a minimum of 0.85% interest. One option is Ally Bank top because there is no minimum to open an account or maintain! In addition, it comes with a great interest rate of 0.90%.
2. A small fee
You should not have to pay a fee to keep your bank account. Many traditional bank accounts require a minimum balance, and if you do not meet this minimum balance, you will have to pay a monthly fee, which can easily total $ 5 or $ 10 a month. Moreover, most online savings accounts do not charge such fees. For example, both Discover and CIT Bank does not charge a fee to maintain a minimum balance, and you only need $ and $ 100,500, respectively, to open an account. If you are a fan of Capital One, consider opening a savings account online with it. You will earn 0.75% APY, and it only requires $ 1 to open an account. In addition, there is no minimum balance to maintain, and its website is feature rich and easy to use.
3. Money is now available
You should not use an online savings account to save for retirement or investing in the hope of a large gain . What they are good for, however, is the ability to access cash quickly. Although CDs offer guaranteed returns that are slightly higher than savings accounts online, you do not have access to money whenever you want or need. Most CDs are a minimum of six months to a year to reach full maturity, and require minimum deposits of heavy to open. And until the due date, you will not have access to the money in your CD without losing the gains. So although you might receive an interest rate slightly lower than an online savings account, at least you have the comfort of knowing that you are able to access the money (without penalty) whenever please you.
If you are looking for a high yield savings account, skip the traditional bank account offers and consider opening a line that offers a good return on your money. Visit our savings accounts online reviews to see which bank is the best option for you.