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How To Get A High Yield Savings Account

4/5/2021

Whether you create an emergency fund to see your family through unforeseen circumstances or you’ve finally made up your mind to save for an exotic vacation, you need somewhere safe to keep your money. You could keep cash under the mattress where you can fall off the wagon and spend it, or in your checking account where interest rates are generally minuscule or zero. But there’s a better solution. Instead of going with your local bank’s savings account, which often pays less than 0.05% interest, consider opening a high yield savings account with Cashero. A high yield savings account is a type of deposit account that offers multiple times the return rate you’d get with a checking account or traditional savings product. But it’s not just the higher monthly interest earnings that help you meet your savings goals faster. With Cashero, our accounts carry no service fees, which means you get to keep almost everything you earn. In case you’re already wondering how to get a high yield savings account, here’s a step-by-step guide on how to do it. But you can easily open up a high yield account by completing our account creation process, just click here to get started. The steps to getting a high yield account couldn’t be easier. Simply complete the signup process, pass the verification check, and you’re ready to start saving.

Shop for High Interest Rates

If you hold a savings account at your local bank, chances are high that you’re getting the national average interest rate of around 0.06%. Checking account rates are even worse. Before online banking, it was too much of a hassle to look around for alternative options that may offer you a better rate. But with the advent of online banking, however, you can now easily set up a savings account that actually saves you money. Because let’s be honest, that 0.5% so called “high interest” savings account, is losing you money nearly every year when compared to the rate of inflation. 

If you shop around, you’ll notice that online financial institutions typically offer the best rates. This is because brick-and-mortar establishments have high overhead costs, which they generally pass along to customers. Makes you feel good, doesn’t it?

But with Cashero we offer a return rate of up to 5%. On top of that, there are no monthly maintenance fees. What you see, is what you get. And that’s something good. 

Other factors to consider 

While looking around for a high APY is important, there are also other factors to consider. Before the world of personal finance went full digital. The convenience of having all your needs under one roof was tough to beat. But now it’s as easy as switching apps, and you’re good to go. We’ve also streamlined the KYC (Know Your Customer) process, so you can have an account created and verified quickly. 

It’s also essential to consider banking fees and other account requirements. For example, some high yield savings accounts require significant initial deposits. You may also have to maintain a particular minimum bank account balance to benefit from the high interest rates. 

It’s also vital to verify how long the advertised interest rate will subsist. Some banks offer promotional interest rates to reel in new depositors, only to revert to lower rates after a few months. When it comes to Cashero there’s no promotional period that suddenly drops-off. Our industry leading % APY is there every month, year-after-year.

While you evaluate these points and hunt for the best deal, you should also consider the primary reasons why you want to open a high yield savings account. If you simply want to store away excess funds that you’d have otherwise kept in a checking account, then you might be less particular about some of the finer points. Target-oriented depositors, such as those saving for a mortgage down-payment, are more likely to try and squeeze out every last drop of value from the available options. 

Complete the Application Process

Once you’ve gotten the trickier bits out of the way, it’s time to complete the application process. When opening an account with Cashero the process couldn’t be easier. Just enter your name and your phone number and we’ll send you an SMS code to make sure it’s really you. It’s that simple.

If you choose to open an account with a financial institution, they are likely to request personal details such as your full name, address, email address, and telephone number. Because your interest earnings are considered taxable income, you also need to enter your Social Security Number (SSN). Banks may also require new customers to submit scans of their driver’s license, passport, or other government-issued photo ID. For joint account applications, the same information is required for the other account holder.  Some banking institutions may require applicants to verify their identities by completing a series of multiple-choice questions about their backgrounds.

Set Up Your Account

Once your high yield savings account application has been approved, it’s time to set it up and get your money working for you. Most institutions require that you immediately fund your new account with a certain minimum deposit.

Also make sure you deposit enough money to meet your account’s required minimum balance, otherwise you may end up paying maintenance fees or getting a lower APY.

Other factors to consider with financial institutions:

If you open a high yield savings account with your current bank, then your checking account may already be linked. You can also link one or more accounts to your high yield savings account. These links can be helpful if you have accounts at several different banking institutions or regularly transfer funds to your other accounts. Linking up an account can take a day or two, so it’s a good idea to get it over with as soon as possible.

If your bank offers mobile and online banking, then you may also need to download and verify a mobile app. You’ll usually be able to set up online banking using the email address you entered during the registration process. A one-time pin (OTP) is also sent to your email to verify the mobile application. Once you’re done, you’ll be able to keep track of your deposits, interest earnings, and savings. You can also access customer support via your online portal or mobile app.

The Bottom Line

If you’re looking to get your savings to accrue as much interest as possible but still remain safe and liquid, then a high yield savings account is your answer. Cashero comes with a return rate that’s roughly 100 times the national average for traditional savings products. Getting an account set up with us is a breeze, as we’ve streamlined the whole process. If you’re lucky, your current bank might offer a competitive interest rate, but to be honest, we doubt it.

Content Disclaimer:
As of the date of publication, the information contained on this page is deemed to be factually accurate for all terms of conditions, features, and fees. Changes made to Cashero’s terms of conditions, features, or fees after the publication of this content may not be accounted for.

App Disclaimer:
The Cashero App is now available for download in both the Apple App Store and Google Play Store, though not all features are currently functional. Cashero has not yet officially launched.