You’ve worked hard and saved some money, but maybe not all of it is part of your retirement investments. Perhaps that’s because you need funds that you can readily access without any tax penalties. But instead of keeping a large balance in your checking account, you should be utilizing a savings account that offers you a competitive interest rate if you want to keep your money growing. And the UFB Direct High Yield Savings Account does just that as it allows you to earn interest on your available savings without paying excessive fees. Read on to see if this high-yield savings account is worth your while.
The UFB Direct High Yield Savings Account Perks That You Should Consider
It takes money to make money, and with the right approach, you can make a good amount of money. The UFB Direct High Yield Savings Account offers a strong 2.45% annual percentage yield on balances of $10,000 or greater. This is more than 20 times the national average of 0.10% APY for savings accounts. The minimum deposit is just $100, and there are no monthly maintenance or service fees to worry about.
To apply, all you need is a Social Security Number and a valid form of ID such as a U.S. driver’s license or state ID. You also need a valid U.S. address that is not a P.O. Box. Finally, you must be a U.S. citizen or resident alien.
Other benefits to the UFB Direct High Yield Savings Account include a complimentary ATM debit card and 24/7 access through online banking. And most importantly, your account is FDIC-insured to the maximum allowable limit.
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Why a UFB Direct High Yield Savings Account Is a Smart Money Move
It’s pretty simple: If you have the money to earn the interest rate, then it’s worth considering this savings account unless you want to pass up free money. A high-yield savings account will help you earn interest on a portion of your money that’s somewhere between your checking account and your long-term investments. For many people, there’s quite a gap between the funds that they’ll need in the next few days and those that they’ll need in the decades to come.
Your short-term needs should be met by your checking account, which will offer little, if any, interest income. And your long-term needs will be met by your retirement savings or other investments. These are investments that might have tax consequences or other penalties should you need to access a portion of the funds earlier than you anticipated.
It’s also worth noting that UFB Direct is an entirely online, digital bank. By avoiding the cost of dozens or even hundreds of branch locations and retail employees, the bank can reduce its costs so it can continue to offer that higher interest rate as compared with most of its competitors.
So if you have a high-yield savings account like this one from UFB Direct, then you’ll be able to earn that competitive interest rate while still retaining the ability to withdraw funds for any reason, with no penalty. Plus, you won’t incur any maintenance fees.
The Bottom Line on UFB’s Savings Account
When you leave too much of your savings in your checking account, you are just giving up interest income that you could have earned. By taking a look at the UFB Direct High Yield Savings Account, you can start making your savings work for you so you have even more saved up in the future.
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