Best High Yield Interest Savings Accounts

No matter what the circumstances, it is really important to have a large savings account. You should have a savings account that has enough money saved to pay the bills for 6 months. That would help in case your income drops for some unseen reason and you need money to hold you in until you can get back to normal levels. Now, something drastic might not happen to a lot of people where they will need a savings to handle an emergency, but if you do not have that money when something happens to you, the consequences could be very bad. This is especially important if you have a family and only one person is bringing in the income. If that one person loses a job, then the whole family is screwed.

Banks are starting to realize there is a growing number of people who are saving money. US Bancorp announced that it has a deal where you receive $50 for depositing at least $1,000 and agree to set up a monthly automatic transfer from your checking account. Another sweet bonus on top of that is they will give you another $50 if you keep at least 1,000 in the account for 12 months. Basically, you are earning an easy 10% off of the original $1,000. Other banks are offering deals, but definitely not as good. Wells Fargo is offering 3% for their savings account up to a $150 amount.

If you are going to open a new savings account, you should take a look at what promotions there are for opening a new saving account. Obviously, not all promotions are going to be as good as the other. Now, not everyone is going to have 1,000 to open a savings account with US Bancorp, but if you do have that money to deposit, then that is a very good deal.

The number of bank promotions for savings accounts is most likely going to keep rising, since they are seeing an increase in the number of people who realize they need to save money. Instead of pushing loan products, they are starting to market their other products, mainly savings accounts.

The general rule of thumb for how much you should put in your savings account is 10% of your monthly take home income. Now, some people who are on a tight budget might look at that number and say it is impossible. For a family taking in $5,000 a month, that would mean they should be saving 500 dollars and putting it into a high yield savings account. If you are not able to put that amount of money aside, then you should start making some decisions to make the adjustment. You can make the squeeze a few ways. One way is to reduce your expenses. Any expense that is not needed can be removed. That is one way to be able to easily find the money to deposit into the savings account. Another way is to make more money to fill the difference. No matter what the situation is, you should be making a compromise to be putting 10% or more of your monthly income into your savings account each month.

Now, people who have the ability to put more than 10% aside should put more money aside. Not all the money should be dedicated to a high yield savings account. You could put the extra money into other products like bonds, CDs, stocks, etc. Although a high yield savings account will be earning you a decent interest on your money, there are more places to place your money when you are doing a good job at filling your savings account up.

Saving money is an important habit to learn. Not everyone out there will have an easy time saving money. It can be bad when you dedicate an account to save money with, and you find yourself taking money out or “borrowing” from it. It is not a bad thing if you borrow money from your savings as long as you pay it back in a timely manner. There are many ways that you can save your money to earn interest off of it. The easiest and simplest way that people know is to save money in a savings account. When you know that a chunk of money is not going to be touched, then you should think about putting that amount into a CD or a Bond. The reason for this is you want to maximize the amount of interest that your money is earning you. If you are able to earn more interest from a bond or CD, then you should consider moving a portion of your savings into them. You should not put all of your money into one thing though. Different methods of saving money are more liquid and easier to move money than others. When you are using savings accounts to hold your money, you should make sure you are using at least two different banks. If your savings is small, then it might not bother you, but you it does not hurt to always have two different banks handling your money. You never know what happens these days, and you always want to have access to your money. Some savings accounts make it easy to open a CD or Bond because they connect accounts, so when you are looking for banks that have a good high interest savings account, you might want to take into consideration if they have any CD or Bonds available for you to easily access.

One bank to stay away from when you are thinking of places to open your savings account is Bank of America. When comparing them to other banks like HSBC, they fall horribly short of resembling a good interest rate. Even their CDs don’t have a decent interest rate compared to savings accounts from other banks.

This is why you always need to look around before you make a decision on sticking your savings into an account. There are a lot better deals to be had if you just do your homework before you make a decision. As of now, I am going to stick with my opinion that HSBC, ING, and Ally banks offer good savings accounts. When I come across other banks that compete I will list them here.