When you think of opening an online savings account, you look for one that has the interest rates among other benefits that come with online banking. The best online savings accounts must have higher interest rates, favorable monthly fees and the ability to transfer money to other accounts efficiently.
Most online banking options have an interest rate of about 2% with no monthly charges and a very low minimum balance for those that ask for such a balance. Compare these rates to what the banks you use that offer as low as 0.1% or less.
What is an Online Savings Account?
The online savings account is a unique kind of service that most banks offer through transactions taking place over the internet. Some financial institutions may have a physical office where clients visit to conduct businesses.
Thanks to the low interest rates, you need top savings to account that you can start saving culture for your future financial obligations or unexpected emergencies. With many online savings accounts available today, some will not give you good returns while others thrive on giving its customers the best terms, you should not sit and pay just to see your money sit in banks, look at the following best online savings accounts and make a wise decision.
- Compass Bank BBVA
The online banking services from Compass Bank BBVA gives its clients a variety of products and services ranging from small business loans to online savings accounts. Compass Bank is not so famous but it is listed here as one of the largest commercial banks that rely on deposit market shares.
The annual percentage yield (APY) is 2.40% with an initial deposit of $25. For you to know the account type to open, you need to familiarize yourself with how they conduct their organization.
- CIT Bank Savings
CIT Banking Savings appears to be one of the greatest choices if you are looking for a financial institution to keep some of your cash aside for emergencies. CIT bank falls in the upper tier of interests and sticks above all other banks.
Other than the high-interest rate, they offer a bonus to clients who have more than $25,000. It is easy to make deposits using by using an online transfer method from your current account, mailing a cheese, or wire transfer.
The bank offers an interest rate of 2.45% ion deposits.
- Ally Bank
With an APY of 2.10%, the Ally Bank is a bank that helps clients as established to get rid of irrelevant fees that punish customer. Customers using Ally Bank enjoy the best customer service. This bank fights other standard banks by availing products that range from checking and savings, Certificate Deposit (CD) accounts, Individual Retirement Account (IRA) among other investments options.
Bank with Ally Bank and enjoy 2.20% with no need for the initial minimum deposits. The services and products on offer is a perfect indicator that you could be dealing with one of the best online savings accounts.
- USAA (United Services Automobile Association)
To be an account holder with USAA, you must have or is still serving a branch in the military. Alternatively, you can only hold an account here if you have a family member serving the military. Apart from being an exceptionally reputable bank that serves as online banking, the USAA offer different financial or insurance products. The idea of having all your accounts and products in one place is an impressive gesture.
USAA could as well be one of the best online savings accounts because no processing fees every time you access the more than 60,000 ATMs and are capable of refunding fees withdrawn from non-preferred USAA ATM.
USAA requires a low initial deposit of $25 with no fees charged to the amount or banks. There will also be running your account without paying any fees.
- TIAA Bank
TIAA Bank is one of the best online saving accounts platform. With the best introductory rates, their money market stands at 2.15% for the first year. It gives its customers a robust saving rate in the banking sector.
The bank does not charge monthly fees and takes in a minimum of $5,000. Other savings products include standard savings, CDs, and Checking accounts. If you are looking for competitive interest rates, then this is the bank may just answer your immediate needs.
- Discover Bank
Discover launched their banking section sometimes back and they are proving to be competitive if you consider their online products. They offer the best online CD rates among other such things as competitive rates; multiple accounts options, low minimums of about $500.
As a person who looks into the future, there is no point of letting your money sit idle with no interest. You need to identify some of the best online savings accounts that will help generate some interests that will cushion you against inflation and keep your spending power above average.
Banks are also changing the way we handle banking. How accessible do you want your online savings to be? You have an option of visiting the physical branch, using an ATM card or withdrawing money from an ATM across the country at a fee. The type of access also plays a significant role when looking for the best online savings accounts.