Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids » High Rate Saving Account Info

Online Banking Review | HSBC Bank: Loans, Yes. Deposits?

High Return Savings Account — Tue, 05 Jan 2010 05:17:37 +0000

If you get to the end of this online banking review of the operations of HSBC bank and don’t understand what the heck is going on, believe me when I say I empathize. HSBC is one of the largest bank holding companies in the industry, and deciphering their myriad operations is simply a mind numbing task. Imagine If You Will a Large, Omnipresent Bank While the header text to this paragraph may sound like the beginnings of a twilight zone episode… maybe it is! HSBC (named for it’s founding member bank – Hong Kong and Shanghai Bank Corporation Ltd) has operations just about anywhere money changes hands. They are considered the leading bank in China and Asia Pacific, yet their headquarters is found in London (banking center of the universe – but what else would you expect from a truly global bank?). They also are considered a top Islamic bank, with operations in the Middle East, as well as a prominent bank in South America (ops in Brazil). Oh… and they have a US wholly-owned subsidiary with $175 billion in assets. A quick look at how those assets break down indicate a $75 billion loan portfolio, $25 billion in trading [...]

Online Banking Review | HSBC Bank: Loans, Yes. Deposits? is a post from: Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids

High Yield Money Market Accounts | 3 Offers Reviewed

High Return Savings Account — Thu, 31 Dec 2009 05:04:01 +0000

High yield money market accounts are a great place for your money in low rate environments like these. Although the returns are not necessarily spectacular (quite the contrary in fact), rates are competitive and FDIC insurance reduces the default risk so many other yield bearing instruments are burdened with. In addition to the risk-competitive rates on high yield money market accounts is the liquidity of the assets. This keeps your cash handy should the economy pick up and other investments begin to appear more attractive. Rate Flexibility Helps High Yield Money Market Accounts Keep Up with the Joneses Rates flex frequently (usually monthly or with changes in the Fed rates), meaning your deposits won’t fall behind if inflation picks up. Cry your heart out if you’re locked into a long term CD at these rates when the music picks up and the yields suddenly jump. I won’t be holding my breath (things being the way they are) but on the other hand it’s nice to know I can move money out into more attractive investments without an early withdrawal penalty. Today’s Rates Low But Still Meaningful in Real Terms A quick scan of current bank rates in high yield money [...]

High Yield Money Market Accounts | 3 Offers Reviewed is a post from: Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids

Online Banking Checking Savings Accounts | Bank Review: EverBank

High Return Savings Account — Wed, 23 Dec 2009 13:03:22 +0000

Which online banking / checking / savings accounts are best? Consider what you expect from an online banking experience, and consider how my sponsors fare in that regard as I review each of my sponsor banks in turn. We'll begin with EverBank - a full service financial firm based in Jacksonville Florida.

Online Banking Checking Savings Accounts | Bank Review: EverBank is a post from: Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids

High Interest Savings Account Online Makes Sense

High Return Savings Account — Thu, 19 Nov 2009 21:13:40 +0000

Having a high interest savings account with an online bank these days just makes sense. I don’t particularly care whether you choose a money market account, a savings account, or even a high rate CD for that matter. Whatever account type suits your needs, you are far more likely to earn a respectable rate of interest on your deposits. Online High Interest Rate Savings Accounts Keep Up with Inflation The nice thing about using an online high interest savings account is that the competition for deposits is so high that online banks are forced to quickly adjust their interest rates to market conditions. If rates suddenly start rising at other banks, your online bank is going to follow suit in order to remain competitive. Given that savings account interest rates rise and fall with real interest rates and inflation it only stands to reason that a online high interest savings account is going to keep up with inflation. Aren’t Savings Accounts for Old Folks? The old thinking was that putting money in a savings account or CD was for retirees living on a fixed income – but I’m betting more than one 40-something year old has watched his or her [...]

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Free Online Savings Account | Are Free Savings Accounts a Scam?

High Return Savings Account — Sat, 26 Sep 2009 11:58:58 +0000

People looking at a free online savings account have to be asking themselves, “Is this a scam?” I mean how on earth can a bank afford to offer a free online savings account when every other bank is charging me fees up the yin yang just for the privilege of allowing them to hold MY money. Online Banks Have a Lot to Gain from Nationwide Savings Deposits Online banks specialize in managing the short term deposits of customers like you and I. They have become specialists in understanding and predicting the cash flow needs of consumers willing to leave their money in a bank that is not local. Savers who go online looking to open a free online savings account are more likely to treat that deposit like a CD – ie. not touch it for an extended period of time. The longevity (length of time) deposits stay in online accounts is usually considerably greater than that of local accounts. As a result the online bank has a greater ability to pay higher interest rates and offer the accounts without service charges. What Is the Catch? There Must Be Some Reason Online Savings Accounts Are Free The catch is online [...]

Free Online Savings Account | Are Free Savings Accounts a Scam? is a post from: Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids

High Interest Savings Account Online | What’s The Big Deal Anyway

High Return Savings Account — Thu, 24 Sep 2009 19:18:13 +0000

A high interest savings account online makes a lot of sense when you have your finances squared away and have the ability to stash your non-emergency cash in a better yielding account. This online savings account is not for the money you need to pay bills or to provide emergency liquidity in the face of ill-timed payments and bills. This high interest savings account online is only for that cash which you hold in reserve for times when income is interrupted or when really big bills come in, such as a needing a new refridgerator or perhaps significant auto repairs. Expenses like those are (hopefully) sporadic, and usually are payable either in installments or with a short term use of a credit (which you pay off at the end of the month, of course). Sometimes Two Accounts Are Better Than One I actually opt to have not one high interest savings account online, but two. Differences in interest rates today aren’t that high because the Fed Funds rate is at a historic low right now, but when monetary policy tightens and interest rates go up, then differences in rates between local and online banks become much greater. Sometimes special offers at one [...]

High Interest Savings Account Online | What’s The Big Deal Anyway is a post from: Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids

Open a Savings Account Online | A Simple Way to Keep Up with Inflation

High Return Savings Account — Thu, 24 Sep 2009 01:00:24 +0000

Open a savings account online and you will be sure to keep your liquid reserve cash earning income at today’s most competitive short term interest rates. Leave your money in your local brick and mortar savings bank and watch inflation annihilate your cash reserves’ buying power. Simple Economics – Inflation Rate vs. Interest Rate The header to this paragraph may seem intimidating but once you see the concept explained it will be ridiculously simple. Trust me, you will not need a bachelor’s degree in Economics to figure this out. Ready? If the inflation rate is higher than your savings interest rate your savings account cash loses buying power every day. If your interest rate is higher than the inflation rate, your savings account cash gains buying power every day. What’s the lesson? Make sure as much of your savings account money is earning more than the rate of inflation as humanly possible. How do you do that? Open a savings account online. Why Open a Savings Account Online? Why Do Online Banks Pay Higher Interest Rates? I would hope the answer to the first question should be now obvious. An online savings account will pay higher interest rates, hopefully at [...]

Open a Savings Account Online | A Simple Way to Keep Up with Inflation is a post from: Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids

Saving Account Interest Rate Data | What’s It All Mean Anyway?

High Return Savings Account — Wed, 23 Sep 2009 03:14:42 +0000

Saving account interest rate information floods our homes and our television screens and in today’s environment it just doesn’t seem to add up to much of anything. I mean right now rates are so low that even a typical ‘high yield’ saving account interest rate is running about 1.5%. I don’t think anyone on a fixed income is going to be living high on the hog with that kind of saving account interest rate are they? So Why Bother With an Online Account? Good question, but there certainly is a valid reason. Online or so-called ‘high yield’ saving accounts actually do perform substantially better than local savings accounts over time, it’s just hard to differentiate between the two right now because rates are so low. As rates recover what you find is that while the average savings rate stay flat at the present low rates (average rate for all savings accounts is about 0.3% – highway robbery in my humble opinion), the online bank rates will rise and fall with the Federal Reserve rate. Mortgage Rates Jump with Fed Rate Yet Savings Account Interest Rate Data Shows Local Saving Rates Don’t. Why? This is another good question. Why DO local [...]

Saving Account Interest Rate Data | What’s It All Mean Anyway? is a post from: Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids

High Interest Rate Savings Account Online | A Good Place for Non-Emergency Cash

High Return Savings Account — Tue, 08 Sep 2009 19:16:37 +0000

A high interest savings account online is a smart way to manage money saved for a rainy day when (as best you can tell) the skies are clear and the outlook relatively sunny. I go a little overboard with online accounts in all honesty… they’re so easy to manage when you have the right software, it behooves you to have a couple of online accounts in order to take advantage of the different offers at any one time. Obviously the bulk of your cash reserve savings will be in one account or the other, but I can’t tell you how many times I’ve been thankful to have a few extra hundred dollars in that second high interest rate savings account online. How Can These Online Banks Offer Interest Rates That Are So Much Better? Banks are able to offer a high interest rate savings account online because of the economies of scale afforded by being on the internet. Because these online banks are able to attract and service a large number of customers without the overhead costs associated with brick and mortar facilities they are able to make high interest rate savings account offers. Banking is very much a numbers [...]

High Interest Rate Savings Account Online | A Good Place for Non-Emergency Cash is a post from: Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids

High Return CD | Where to Put Money in a Low Rate Environment

High Return Savings Account — Wed, 02 Sep 2009 16:07:11 +0000

I was looking for a high return CD the other day. Rates have been ridiculously low thanks to the horrible economy and awful business mismanagement by corporate executives but I still wanted a place to sock away at least some money in an interest bearing account. I honestly hadn’t had a lot of luck finding a high rate CD that was worth the holding period. Then it occurred to me… if I can park my cash in a decent yield liquid account until rates start rising again I won’t have my money caught up and destroyed by inflation. It Just Doesn’t Pay to Have Money Locked Up in a Low Rate Environment Putting your money into a high return CD can be a risky place for your money if the bank you give you money to is in danger of insolvency. Many bank advertisements online these days are trying to attract investors to buy their high return CD products. What I have been noticing in these ads is that at least a few of the higher rate CD offers are coming from banks that are either financially stressed or have already received TARP money. Why does that matter to you? [...]

High Return CD | Where to Put Money in a Low Rate Environment is a post from: Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids