How Do High Yield Savings Accounts Work?
Good question. By doing business online, there are no operational costs. These savings get passed onto the customer, which gets us higher interest rates. Now you might ask, “But Sheehan, I trust my brick & mortar bank, they won’t steal my money.” Sure, having Wells Fargo down the street is convenient, but if you choose a high yield savings account that is FDIC insured like ING Direct your money is safe and backed by Uncle Sam up to $100,000. Still not convinced conservative Carly? You can transfer funds easily between ING Direct and your local bank. If you ever need to tap into your savings simply transfer it over to your standard checking or savings account and within 5 business days the benjamins’ will be there.
