If you’re looking for a way to make your money work harder for you high-yield savings accounts and specifically Marcus HYSA might be the answer. These federally insured savings products offer interest rates that are much higher than the national average. While the average savings account in the country earns a small 0.42% APY high-yield savings accounts can earn around 4% APY. This means that your balance can grow faster over time without any additional effort on your part.
Watch Your Savings Soar with High-Yield Accounts
When your money is in a high-yield savings account it has the potential to earn significantly more than in an average savings account. For instance let’s say you have a balance of $10,000 . In a high-yield savings account with a 4% APY your money could earn over $400 after a year. In contrast an account with a 0.30% APY would only earn about $30. Although it may not make you rich overnight the difference in earnings is strong.
Tips for Choosing the Best High-Yield Savings Account
It’s essential to pick the best high-yield savings account in order to maximize your returns. Look for accounts with high interest rates and little or no servicing fees. Choose a financial organization that either doesn’t impose monthly fees or waives them if you maintain a minimum balance. Don’t restrict yourself to using well-known banks . Smaller organizations including online banks and apps can provide affordable rates and minimal deposit requirements.
Harness the Benefits of Online Banking
Online banking is a convenient and secure way to access your high-yield savings account. Online banks, credit unions and nonbank providers often offer the best savings rates while charging fewer fees than traditional banks . They also provide user-friendly websites and mobile apps which enable customers to deposit checks and pay bills easily .
Goldman Sachs’ Online Bank: Marcus
Marcus is an online bank by Wall Street giant Goldman Sachs which offers a high-yield savings account with a competitive rate of 4.15%—which far exceeds the national average. There is no minimum deposit requirement or monthly fees. However bear in mind that Marcus has fewer options for withdrawing money such as no ATM cash withdrawals . Nevertheless you can transfer money to an external bank account, wire transfer funds or request a check. Marcus also offers same-day online transfers up to $125,000 as long as the external account is personally owned by the Marcus account holder.
Explore Additional Features and Benefits
In addition to high-yield savings accounts Marcus also provides competitive rates on CDs. Marcus offers flexibility and affordable rates in the CD market with a range of term lengths up to six years and a $500 minimum deposit requirement. It’s important to remember that Marcus CDs automatically renew following a 10-day grace period so make sure to take your money out whenever it matures.
If you value flexibility Marcus also offers three no-penalty CDs which allows you to withdraw your money early without incurring any fees.