High Yield Savings Account – Interest Rates in Excess of 5% on a Bank Account?
Posted on | January 26, 2010 | No Comments
If you are looking to build a great amount of wealth over the course of your lifetime then it is very important that you find a bank account with a high yield. At the present time there are some community banks that are currently offering yields in excess of 5% on a savings account. It is important to understand that these yields are only available to individuals living in a certain area near that particular bank.
When you mention a 5% interest rate on a checking or savings account to most people they will just laugh and say it is impossible. Well, if you actually do the research you will find that there are many community banks spread throughout the country that are currently offering interest rates well above 4% and possibly even above 5% on a checking account.
There are some restrictions when it comes to getting an interest rate this high on a checking account. Most of the time you will have to use an ATM or debit card at least 10 times a month. You will also need some type of electronic transfer (ACH) in to your account once a month. If you can meet these two requirements then you are going to find a very attractive yield on a savings account.
If you cannot meet these two requirements then you are going to get a much lower interest rate that is closer to the national average; most likely around 1% or less. It is not hard to meet these requirements if you set your mind to it. Most Americans swipe a credit or debit card several hundred times a month so swiping a checking account card 10 times a month should not be a major issue. You can easily transfer money into the checking account from another bank account as your ACH transfer.
Author: Mike Garner
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