If saving is the cake, high interest is the icing. I opened an account with Digital Federal Credit Union. It pays 6.17% APY on your first $1,000 saved. That is a nice little reward every month.
Wow that is a high APY! I will check out that credit union.
Unlike other financial institutions, the APY has remained steady. I opened my account in 2017. The APY was 5.12% until November 2018 when it changed to 6.17% APY. I don't know how they're able to maintain this APY when most other banks are dropping their APYs like crazy but I'm grateful for it.
I used to follow the Doctor of Credit blog. They post offers like this. But it seemed like a lot of work to have money squirreled away in a bunch of different banks with low max amounts and periodically some of them would drop their interest rate or the program or get taken over by another bank.
DOC is my go to for finding the highest APYs. Love that site. It definitely requires dedication to juggle a bunch of accounts. I personally enjoy it but understand how others could find it tedious. As of late, the maximum deposit on the high APY accts seem to be increasing. Navy Federal has a CD that pays 3.5% on up to $3k, Evansville TCU pays 3.3% on up to $20k, and Bank of Denver is paying 3% on up to $25k. Probably for the exact reason you mentioned. They've started focusing on other requirements such as debit card purchases and direct deposit minimums.
Discover and Ally have good high apr
The high rates look nice, but with the low balances, it isn't worth it to me to chase them. If it works for you, then great! Similarly, I try to take advantage of checking and savings account bonuses when they're available, which doesn't work for everyone either. There are plenty of ways to reach your savings goals.
You consider $25k a low balance for a deposit account? WOW, I'm DEFINITELY doing something wrong then LOL! I chase the bonuses too. Definitely gives a nice push to efforts made toward savings goals.
If $25k is too “low” of a balance for someone to consider dealing with the monthly requirements of a rewards checking account (RCA) …. Bank of Denver also has a Kasasa Savings account, which can be linked to its RCA,that is currently earning 2% on up to an additional $50k if you satisfy the monthly requirements for the RCA. No other requirements. So a blended rate of approx 2.33% on up to $75k, which is better rate than any CDs available now. Love DoC for bank account bonus signup as well!
Yeah, the monthly requirements can be a challenge if you haven't learned all of the different avenues available. DOC provides several ways to easily meet them. I just opened with Denver and will check out the Kasasa offering. Thanks!
I also like DoC, and in addition, depositaccounts.com for finding and tracking bank and credit union rates and financial soundness.
Dragan ( love your name :D ) thanks! Checking them out!
You consider $25k a low balance for a deposit account? WOW, I'm DEFINITELY doing something wrong then LOL! I chase the bonuses too. Definitely gives a nice push to efforts made toward savings goals.
LOL, I was referring specifically to the 6.17% rate and it's $1K max. I'm personally not one for all the monthly requirements associated with RCAs. But that's me. I had considered opening the Bank of Denver account, but there was the unknown about whether or not it involved a hard or soft credit pull. Anyone know?
But I'm also not completely opposed to low max balances for higher rates if the account makes sense for me. I use a credit union Thrive account to set aside my IRA contribution for the following year. The account is funded with a set deposit each month up to $500 and matures at the end of a year. It currently earns 5% APY, and at the end of the year, I've got funds set aside for my IRA plus a little extra interest.
That's a sweet deal! I currently do the same thing for my ROTH…Save up all year and contribute the max on January 1. I just googled Thrive accounts and am excited about what came up. Greatly appreciate you sharing that Aaron. This whole thread has me excited!
Aaron, is your Thrive account with Hansom FCU? The details you listed match their offering. If so, they offer a $30 bonus referral. Would you like to refer me?
Aaron, is your Thrive account with Hansom FCU? The details you listed match their offering. If so, they offer a $30 bonus referral. Would you like to refer me?
It is with Hanscom FCU. I guess these are technically like credit union club savings accounts; this one just happens to be called Thrive. I'm happy to offer a referral.
@Shaina P., please send an email to AGreferrals at gmail dot com and I'll let you know the info I need.
I should point out that the rate on the CU Thrive account is set for the year. I opened my current account back in January, so I have a 5% APY. The current rate appears to be 2% APY.
For people who don't have a whole lot to invest and don't mind a relatively low APY, Credit Karma offers a free savings account with just a regular CK account. APY is only 0.52% right now, but they also do sweepstakes from time to time.
Also, Chime, the online bank (With literally 0 fees, ever) offers a savings account with 1% APY and they just sent out their new credit builder cards, with no fees and 0% APR, no credit check (if you already have a Chime account, though I don't recall them checking my credit when I signed up for the regular account) and no minimum security deposit.
I did not receive a hard pull for Bank if Denver.
For people who don't have a whole lot to invest and don't mind a relatively low APY, Credit Karma offers a free savings account with just a regular CK account. APY is only 0.52% right now, but they also do sweepstakes from time to time.
Also, Chime, the online bank (With literally 0 fees, ever) offers a savings account with 1% APY and they just sent out their new credit builder cards, with no fees and 0% APR, no credit check (if you already have a Chime account, though I don't recall them checking my credit when I signed up for the regular account) and no minimum security deposit.
These are generous rates. However, none of the accounts discussed above are for investments. They are all FDIC insured deposit accounts.
I think Shaina was using the term “invest” as a synonym for “save.”
These are generous rates. However, none of the accounts discussed above are for investments. They are all FDIC insured deposit accounts.
I was merely providing information.
P.s. the title says 'savings accounts'
I was also meaning more to provide information for those who may not have the capabilities for investment, and may need to rely on a FDIC insured savings account, like myself for instance.
I am aware of the title. I created this post. I don't think you are fully comprehending the exchanges above but that's ok. Thank you for the attempt at offering clarity.
