Wednesday, October 31, 2007

Online Savings Account

Recently, I decided I needed a savings account that was not so easily accessible. And after reading about online accounts with rates above 5% I thought it would be worth checking out. Bankrate does a wonderful job of comparing the different online banks interest rates, minimums to open, and service fees.

After reviewing all the options I finally chose iGObanking. Their current rate is 5.17% APY. It is very easy to set up an account, as I had my brick and mortar bank linked to this account and when I want to add money to my savings account it is drafted from that account. It takes about three days for the transaction a complete, but that is what I was looking for with this account. I did not want easy access to the money. This account is for long term savings for things like cars and appliances.

Another feature that was appealing to me was PayPeople. This option allows money to be sent or received to or from family or friend. A shared secret code allows the recipient to obtain the money that is being sent.

Overall, I like iGObanking because of the great interest rate, ease of use, and free transfer fees. The account can be opened with only $1 and there are no monthly service fees. Also, if you know that you want to save a certain amount every week or two weeks a recurring transfer can easily be set up.

Don't delay start saving today!! Works for me!


Julia said...

Thanks for the link. I've been looking into an online savings account, and hadn't heard of that one yet. Glad it works for you!

Dena said...

Thank you! I'll check this out. Sure beats my current interest rate.