Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids » high interest rate

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

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

Best Online Savings Account | High Interest Rate, Stability, Service

High Return Savings Account — Sun, 23 Aug 2009 19:39:46 +0000

Your best online savings account is going to have to be reliable – as your savings account online should be a second line of emergency liquidity after your checking account and linked local savings account. You expect to receive a higher interest rate with an online savings account and rightly so – but you should always have it in the back of your head that your savings still need to be accessible in dire times. What factors might enter in your decision to take less than the highest yield available? Is the bank a member of the FDIC? If not, skip it Did the bank or its parent company receive TARP money in the bailout? - If so your funds could be temporarily unavailable should the bank come under distress again – FDIC or not! Is the bank owned and operated in the United States under U.S. Law? - If not your bank and accounts may be subject to laws and restrictions of other jurisdictions Does the bank or its parent operate other much riskier lines of business? - If so failures of those business lines could potentially impact YOUR funds availability Bank failures aren’t supposed to happen that often, [...]

Best Online Savings Account | High Interest Rate, Stability, Service is a post from: Online Savings Accounts - High Rate CD Accounts | Saving Money for Kids