Higher interest rates on your savings!
Finally, after years of lackluster rates that delivered barely-there returns, interest rates are finally heading north. And experts expect the upward trend to continue so, if you’ve been parking money on the sidelines, now’s a good time to jump back in — whether you prefer savings and individual retirement accounts (IRAs), money market accounts or certificates.
Higher interest rates mean you can beef up your retirement nest egg and the kids’ college savings, or stock away cash for a wedding, vacation or down payment on a house. But, before you open a new account or add money to an existing one, it pays to shop around. Here are some tips to help you get the best deal:
Yes, interest rates have gone up. That doesn’t mean all banks or credit unions are offering the same higher rate or even offering higher rates. You’ll be rewarded for shopping around — even if it means leaving the corner bank you’ve had an account with since you were a kid stocking away your babysitting or lawn-mowing money. Same goes with blind loyalty to the big banks. They rarely offer the best interest rates on savings accounts. You’re more likely to find better rates at smaller, more community-focused banks and credit unions. CHROME offers some of the highest interest rates available and is consistently ranked in the Top 3 for highest rates offered in the Pittsburgh area.
Know the lingo.
We know bank jargon can be confusing, but, with CHROME, it doesn’t have to be. We’ve broken down some rate-increase buzzwords to help break through the potentially complicated barrier:
- What does an increased deposit rate do for you? Every dollar you deposit into your savings account earns more interest and helps your savings grow faster.
- All CHROME accounts earn interest that are compounded and credited monthly. What does that mean? Interest is also added to the principal amount, which allows your interest to earn interest – helping you make more money over time.
- You’ll get unlimited deposits and ATM withdrawals, but there is a limit on your additional transactions. What is considered additional? There is a federal law that limits certain types of telephone, check and electronic transfers. Those include: debit-card transactions, online and mobile transfers and more.
Read the fine print.
Those big blocks of tiny type definitely look intimidating — that’s why a lot of people don’t read them. Do yourself a favor; don’t be one of them. Make sure there aren’t any unexpected surprises tucked into the terms, conditions and disclaimers at the bottom of the bank paperwork. For example, does it cost money to open the account? Do you have to keep a minimum balance in the account to receive the higher interest rate? Is there a monthly service fee? Hidden costs like these can wipe out any monthly gains your savings is supposed to generate. Ready to make more money with your money? CHROME can help.