How To Find The Highest Interest Rate For Your Savings?

Answer 1

You should be looking for any way possible to grow your money. Putting your savings in an account with a low interest rate is like giving the bank your money for free. Keeping your money in a mattress makes more sense when you don't generate any interest on your money.

Look At Online Banks

Online banks are convenient, secure and offer higher interest rates for your money. You can easily get 1.5 percent on your savings when you open an online bank account. The reason for this is the lower overhead that online banks have. Finding a good online bank is as easy as doing a quick online search. Getting a loan may also be possible through an online bank.

Credit Unions Have Better Interest Rates As Well

Your local credit union can have a higher rate than most banks. This is because their mission is to provide members with a high return on investment. Most profits are cycled back to the members in the form of higher interest rates on their savings accounts. This also helps to keep interest rates lower when you need a loan. You don't even have to live in the community where the credit union is located. You can join simply by living with a current member.

Higher Savings Amounts Tend To Get Better Treatment

Getting a higher interest rate is much easier when you put more money in the bank. Typically, an account balance of over $10,000 will get a higher interest rate by default. This is because the bank wants to keep its access to your money. Those who have more than $100,000 to put in the bank may get a premium rate to open a savings account. Some banks may offer as much as three times as much interest for an account over $99,999.

Getting a great interest rate depends on where you put your money. Online banks and credit unions are ideal spots to open a savings account. Having a higher account balance won't hurt as well.