Last Updated on September 15, 2023 by admin
A savings account is one of the most significant types of accounts for individuals and families. It offers a secure way to receive money and can be used to invest, draw checks, and make payments. A reliable source of income is provided by savings accounts. The interest rate on a savings account, however, has typically been low. The rates are currently between 3.5% and 4% annually. Despite these low rates, there are techniques to increase the rate and earnings on the typical Savings Account.
You may quickly sign-up for free and open a savings account online using Fi.Money’s cooperation with the authorized bank Federal Bank, which offers a zero-balance savings account.
The earnings on many savings accounts are still below the rate of inflation, which means that over time, your savings will no longer have the same purchasing power. There are strategies to get a better return on your investment, though, regardless of the economic climate. As a result, think about using these techniques if you have money saved up and want to earn a greater bank savings interest rate without taking on too much risk.
- Benefit from bank bonuses:
Many banks provide sign-up incentives to new clients who open an account and fulfil a few requirements. Typically, in order to qualify for checking account bonuses, you must establish consistent direct deposits and complete a minimum number of transactions each statement month.
Bank account bonuses are a simple method to boost your income if you already have some money saved up. These bonuses often require brand-new clients to make a minimum deposit and keep it in their account for a predetermined amount of time. In other words, you might increase the amount of your savings by creating a new account and financing it with funds from another bank.
- Think about opening a rewards checking account
Some banks provide incentive checking accounts, which could result in cashback on debit card purchases. The most advantageous users of this kind of checking account would be those who frequently use debit cards for transactions.
Other rewards checking accounts provide higher interest rates, albeit they frequently have a lower minimum balance requirement. To qualify for the bonus rate, you might also need to pass through a few hoops.
- Check out a money market account
The functions of checking and savings accounts are combined in money market accounts. They offer check-writing rights and debit cards that you can use to make withdrawals, though with some limitations, and pay interest, sometimes at higher rates than high-yield savings accounts.
Money market accounts have the disadvantage of perhaps having higher fees and minimum balance requirements than savings accounts. Furthermore, there is no guarantee that the money market account at your bank will pay more interest than the savings account does.
- Consult a credit union in your area
Credit unions are owned by their members, who are individuals with accounts there. This indicates that they serve account holders rather than stockholders and act to their advantage.
This may result in lower fees, better account benefits, and occasionally higher interest rates. Check the rates offered by the credit unions in your area if you want to see whether you can obtain a good bargain.
Consider a credit union that easily allows you to apply and do all of your banking tasks online if you don’t have access to any credit unions nearby and don’t frequently conduct any of your banking in person.
- Decide on the Best Savings Account
Leading banks today provide a variety of savings accounts, including conventional savings accounts, salary accounts, accounts for senior citizens, accounts for kids, accounts for NRIs, accounts for women, and more. Each of these accounts has unique features and advantages that can help savers get better interest rates. To maximize your earnings, do your studies and select an adequate account that you are qualified for.
New difficulties are presented by the current climate of high-interest rates. They force you to reevaluate your investing and saving objectives. Recognise the elements that affect interest rates. Then modify your plan of action. Making the most of your money is still possible if you do it.
You may use Fi.Money’s online savings account to earn more interest, send and receive payments instantly, track costs, and create a more effective budget by storing your savings in deposits. With Fi.Money, you can access premium features like Jump, zero FX, US Stocks, Mutual Funds, etc., as well as up to 4x rewards if you upgrade to other account types with Fi.Money.