🏦 Is it time to open a high-yield savings account?

You've probably overheard people at parties discussing the subject.

"Oh yeah, our high-yield savings account rate just went up! So nice. Also, hey, did you bring a gift? You did? But she says no gifts. Rats. Can you say the gift is from both of us? No!?"

What is a high-yield savings account? Well first let's talk about regular savings accounts. A brick-and-mortar bank that offers your normal savings account is great for banks, as they lend your money to homeowners or businesses at high interest rates.

But they are not awesome for you because you may only get a 0.01% return.

I'm looking at you, Bank of America, Chase, Wells Fargo.

A high-yield savings account, on the other hand, will yield much more than a regular savings account, and it's just as secure. 

Right now most HYSAs are offering around a 4.4% return!

I recommend a Marcus HYSA account because it’s simple and FDIC insured up to $250,000. They don't sponsor me. I don't receive a dollar from them. I just trust the product.

Next step: Move your emergency fund there, or, if you don't have one yet, try depositing $100 each month. The interest rate will go up and down, but you'll never lose your money.

So the next time you're at a party, you'll overhear this:

"I'm glad that everyone is opening high-yield savings accounts. Oh, and I brought a gift this time! She loves musicals, so I got her tickets to the broadway show Spider-Man: Turn Off the Dark. What? The musical closed down? Almost immediately? In 2011? Many actors were injured in aerial stunts? I guess I got her a bad gift."

If you've been meaning to open a high-yield savings account but have a difficult time starting on all the money tasks, well, then you're not alone. I've helped countless folks create emergency funds, build up home down payments, and start retirement savings. If you want to take the pressure off your financial life, then let's have a free conversation.