If you want to save money, the simplest and most fundamental way to do so is with a savings account.
Online savings accounts can usually offer much better interest rates than the typical brick & mortar banks like Bank of America. For example, Bank of American currently offers an annual savings yield (APY) of .03% for a basic savings (that’s practically nothing!) while Synchrony Bank, an online banking option, currently offers 1.9% (as of Oct 2019). That’s a big difference and since it’s so easy to open an account, it just makes sense to have one. Click the link here to see a list of the online banks offering the highest APY.
How to Open a Bank Account Online
You should shop around for the right bank account to meet your needs. It should be FDIC insured, with NO fees. Also, check to see if it requires you to make a minimum deposit or keep a minimum balance. Avoid ones that require a minimum balance because it’s too hard to keep track of and fees can add up quickly and eliminate any higher interest that it may be offering.
Then look at the interest that the account will pay you on your deposit.
Once you pick the best one for you and your needs, it’s time to get started.
The good news is that most online banks make opening an account as simple as possible, with easy-to-use online applications. And if needed, you can even chat with friendly professional bankers to help you through the process. Keep reading for step-by-step instructions to setup an account with Synchrony Bank. (If you choose a different bank, it will work in a similar manner).
Before you start, you may want to get together your personal information.
Note: most banks require that you and any joint applicant are U.S. citizens, or lawful permanent residents, and are at least 18 years old.
If you’re funding your new account electronically, you’ll also need the information of the account you’re using for your initial deposit.
Once you complete the application, your new account is usually set up — and earning interest — within a few days!
How to open an account with Synchrony Bank:
- Go to www.synchronybank.com
- click on the drop-down menu item at the top labeled ‘PRODUCTS’
- Choose ‘High Yield Savings’ (see pic below)
- Scroll down the page and click on button that says ‘Open Account’
- Then click on ‘YES, OPEN A SYNCHRONY BANK ACCOUNT’
- Complete the application. It’s that easy.
REMEMBER to have all of your information handy, including bank account information for your initial deposit, if you are funding it electronically.
Most banks have apps you can download onto your phone so you can transfer money easily; but, you can also log onto your account with any computer to transfer money as needed.
If you have any questions about setting up an online savings account, please don’t hesitate to contact me.
~Financial Jackson
Keep up the good work.
Thanks! Will do.