- High-yield savings accounts are still the best place to store money you need in the short term.
- Despite interest rate cuts over the last few months, a high-yield savings account will still help you earn 20 times or more on your money without risking it in the market and help you save for specific goals.
- It’s always a good time to build a habit of saving, and when interest rates inevitably go back up, you’ll earn even more.
- As long as you choose an account with no fees, low minimum balance requirements, and an APY that’s higher than a traditional savings or checking account, there are no downsides.
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High-yield savings doesn’t go out of style.
Despite the Federal Reserve’s recent interest rate cuts, many high-yield savings accounts are still a good deal.
There’s no better place to store money you need in the short term where your money is safe, accessible, and has a shot at beating inflation.
1. You still earn 20 times or more on your money
It might feel a bit disheartening when the earning potential on your savings drops, but when the alternatives for your money are a traditional savings or checking account earning less than 1% interest – or worse, not saving at all – a high-yield savings account is your best option.
When it comes to high-yield savings accounts still offering over 2%, we think two robo-advisers have an edge: Wealthfront’s Cash Account and Betterment’s Everyday Savings. They allow unlimited transfers,…