If you think saving account interest rates are too low, you may be looking for high-interest savings accounts. These accounts are perfect for people who want to build an emergency fund or who want a safer place to put some of their money. High-interest savings accounts are also a great place to save for a down payment on a house or for a new car. However, if you want to grow your wealth, you are better off investing your money in mutual funds or in real estate. A savings account, even a high-interest one, is a place to put your money and a not a place to really grow your money.【英语考试培训】
1 、Money Market Accounts
A money market savings account should not be confused with a money market fund. A money market savings account is insured by the FDIC and offers a higher interest rate than a traditional savings account. It generally has a higher minimum balance requirement and may limit the number of withdrawals that you can make a month. A money market fund is not guaranteed by the FDIC and is usually offered by a brokerage firm. If you want to set up a money a market account, you can do it at your current bank or credit union. When you do make sure you understand the withdrawal and deposit rules for the account, so that you can avoid any penalties and fines.
2、Online Savings Accounts
Many online banks are able to offer a higher interest rate than a traditional bank or credit union. It is important to make sure that the bank is still guaranteed by the FDIC. You should check to make sure that each site is legitimate before you sign up for an account. Additionally, you should be prepared to allow a few days to transfer money to your traditional checking or savings account. You can transfer funds to our online savings accounts electronically, and easily monitor the account. An added benefit is that an online savings account can help defer impulse purchases, since it does take a few days to get the money.【春季教育展】
3、Certificates of Deposit
Certificate of Deposits (CDs) can offer a higher interest rate than a traditional savings account. However, you lock in the rate for a set amount of time. If interest rates go up, you will be stuck with a lower interest rate and you will lose accumulated interest if you withdraw the money early. However, this is a legitimate account to consider for an emergency fund or other short-term savings goals. You can open a CD at your bank or credit union. You may be able to find a higher rate at an online bank though. If you are worried that you will spend the money that you are saving, a CD can be a good option since many people will not withdraw the money due to the penalties.
4、Consider Investing Your Money
If you are interested in growing your wealth, you should consider investing your money. You should have an emergency fund of three to six months in a savings account. Additionally, you should save for your large purchases or sinking funds in a savings account. After you have reached those goals, you should consider investing the rest of your money in order to build wealth. If investing your money is overwhelming or scary to you, then you should speak to a financial adviser and learn about investments that feel safe to you. Mutual funds are a fairly safe way to begin investing. Mutual funds already spread the risk since they invest in several different stocks. You should look for a mutual fund that has been open for at least five years with a good track record.