Traditional savings accounts are a secure place to keep your money – and everyone seems to have one, right? But with low interest rates, they usually don’t help your money grow. Here are some alternatives that might fit your financial goals better!
#1: Certificate of Deposit (CD) Accounts
CDs are popular because they don't have monthly fees and offer decent interest rates. But there’s a catch – you have to leave your money untouched for a certain period of time to avoid penalties.
#2: Speciality Savings Accounts
These accounts are great if you’re saving for something specific, like a house down payment or retirement. For the people who love their financial needs to be tailored to their goals, these accounts are exceptional – but they don't have the best interest rates, making it harder for your money to grow.
#3: High-Yield Savings Accounts
If you want to watch your money grow, this type of account might be perfect! The interest you make on a high-yield savings is higher – but these accounts are typically only at online banks! So you won’t have branch access. If you like tech and don’t need a branch, though, check it out.
The more we know, the more likely we’re able to move toward financial freedom. Unknown alternatives can be scary, but the outcome could be extremely rewarding!