Dec
27
It’s no secret that homeownership is expensive. According to missljbeauty the cost of living on the rise, it can be challenging to maintain a comfortable lifestyle while saving for retirement or other financial goals. Where are homeowners likely to find some extra savings? Continue reading to know where you could shave off dollars without sacrificing your quality of life too much.
High-Yield Savings Account
A high-yield savings account is a great place to park extra cash. Many banks offer competitive interest rates, and many of them don’t require a minimum deposit amount. This savings account could be used to cover unexpected expenses or to save for a rainy day. One of the best high-yield savings accounts is American Express’ Bluebird account. This bank offers a free, no minimum deposit checking and savings option with great rates.
They also offer mobile check deposits to help customers avoid fees and save time at home or work. If you don’t have an Amex card, you can sign up for a free Bluebird account and get your MasterCard debit card.
Certificate of Deposit (CD)
A certificate of deposit (CD) is a savings account that offers a higher interest rate than a traditional checking or savings account. A CD typically has a fixed term, such as six months or one year, and requires the holder to leave the money untouched during that time. This can be a great way to save for a specific goal, like a home down payment. The interest rate on a CD can vary depending on the length of the term, the amount of money deposited, and the bank’s current rates. It’s essential to shop around for the best deal before committing to a CD.
Money Market Account
This savings account pays higher interest than a standard checking or savings account. It’s not as liquid and doesn’t necessarily offer check-writing capabilities. Still, it does provide the benefit of earning more interest on your money without having to lock up your cash or other long-term investments. It’s essential to explore the different types of money market accounts. Money funds typically offer a higher interest rate than regular savings accounts, but they could have a lower yield than what you would be able to get or other long-term investments that require more risk on your part.
It’s important to know that you can save more money by taking advantage of these high-yield savings, CD, and Money Market Account options. We recommend reading our blog post on High-Yield Savings Accounts for ways to take your first steps into the world of saving even more!…