Ally vs. Marcus vs. Wealthfront: How 3 of the most popular high-yield savings accounts stack up

high yield savings account ally marcus wealthfront

Summary List Placement

High-yield savings accounts can help you earn up to 20 times more interest on money you need in the short term, while still keeping it safe and accessible.
Dozens of banks offer high-yield savings accounts, but we compared three of the most popular: Ally’s online savings account, Goldman Sachs’ Marcus account, and Wealthfront’s cash account.
With no monthly service fees, competitive interest rates, and low or no minimum deposit to open, you really can’t go wrong with any of these high-yield savings accounts.
It’s important to remember that interest rates fluctuate. It’s fine to choose the account with the highest rate today, but be sure it meets your other needs as well.
See Business Insider’s picks for the best high-yield savings accounts »

Just because the Federal Reserve has cut interest rates doesn’t mean it’s a bad time to save money.

Whether you’re building up an emergency fund or saving for a down payment on a house (or both), a high-yield savings account can be a great tool for getting closer to those goals.

There’s no downside to having a high-yield savings account — it grows the money you’re stashing away for a rainy day or a big purchase, while keeping it accessible and safe. But because so many banks offer them, it may seem difficult to choose the one that’s right for you. Here’s the good news: You really can’t go wrong.

High-yield savings accounts are attractive for their competitive rates. Even when the Fed’s benchmark rate fluctuates, these accounts tend to earn up to 20 times more than a traditional savings account, and 200 times more than your typical checking account.

  Biden taps Yellen — Banks pause return-to-office plans — Investors pour money into magic mushrooms

 

Dozens of banks have high-yield savings accounts and it may come down to where you prefer to bank — an online-only bank, an investment bank, or a robo-advisor, for example — as well as what you’re looking for, whether it’s minimal fees, the highest possible interest rate, the ability to transfer money whenever you want, a connected checking account, 24/7 customer service, or easy access to your account.

To help out, we compared three of the most popular high-yield savings accounts on offer today: the Ally High Yield Savings Account, a favorite among financial planners and super savers; Marcus by Goldman Sachs High Yield Online Savings Account, investment bank Goldman Sachs’ online savings account; and the Wealthfront Cash Account by the popular robo-advisor.

Below you’ll find each of these high-yield savings accounts compared on a variety of metrics.

 

Type of financial institution
Online bank
Investment bank
Banking service

Annual percentage yield (APY)
0.60% APY
0.60% APY
0.35% APY

Minimum opening deposit
$0
$0
$1

Service fees
$0
$0
$0

Debit card or checks
No
No
Debit card

Transfer or withdrawal limit
6/month
6/month
None

Excess transfer charge
$10
N/A
N/A

Mobile app
Yes
Yes
Yes

FDIC insurance coverage amount
$250,000
$250,000
$1 million

Checking account available
Yes
No
Account has checking features

Customer service
24/7 by phone, email, or chat
By phone only; M-F 8 a.m.-10 p.m. ET, Sat.-Sun. 9 a.m.-7 p.m. ET
24/7 by email; unspecified phone hours

Next steps
Ally Ally High Yield Savings Account
Goldman Sachs Marcus by Goldman Sachs High Yield Online Savings Account
Wealthfront Wealthfront Cash Account

  U.S. jobless claims rise to 778,000 as pandemic worsens

You may notice the interest rates vary among these accounts. …read more

Source:: Businessinsider – Finance

      

(Visited 1 times, 1 visits today)

Leave a Reply

Your email address will not be published. Required fields are marked *