You can get upwards of 5% APY with a competitive CD account right now.

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After a year of interest rate hikes, many Americans are now in a prime position to maximize the money they save. 

Even amid the latest interest rate pause from the Federal Reserve, many banks — especially online banks — are still offering upwards of 4.5% or 5% APY on certain savings products. As the cost of borrowing money remains pricy, saving is one area where you can still benefit in today’s economic environment.

But there are a few ways to strategize how and where you save so that you can ensure you’re getting the most from your cash. Read on to find a few money moves that experts recommend for savers today.

Want to boost your savings balance? Explore today’s best savings rates here now and start earning more money.

Smart moves for savers today, according to experts

Start using these strategies to boost your savings.

Find the right high-yield savings account

One of the best ways to navigate today’s high interest rate environment is to embrace it, says Dan Herron, CFP, founder of Elemental Wealth Advisors. “Right now, there are a lot of banks that are providing a decent interest rate to their savings accounts,” Herron says. “Before switching, make sure you understand the terms that come along with opening an account and definitely make sure that the accounts are FDIC insured.”

For the best high-yield savings rates, look for online banks offering yields of at least 4% — though you can find accounts today with up to 5% APY. Don’t forget to look beyond the interest rate, too. Account details like monthly fees, minimum balance requirements, how you access your money and transfer limits can all make a big difference in how you use your account and how much you save over time.

“When it comes to savings, don’t be complacent,” says Charles Thomas III, CFP and founder of Intrepid Eagle Finance. “Not all banks and banking products are created equally. Compare options and shop around to ensure you’re getting your fair share of interest rates available right now.” 

Compare top savings rates right now to find the best account!

Lock in a CD

With interest rates paused — and not much clarity around where they’ll go next — we may be sitting near a rate peak. Locking in a great certificate of deposit (CD) rate today can help you earn upwards of 5% for years to come, even when rates go back down.

“CDs are very attractive,” says Gregory Crofton, CFP, founder of Adap Tax Financial, with 12-month terms nearing 5.5%. Short-term CDs may have higher rates right now, thanks to the inverted yield curve. Look for terms around six months to one year for these high rates.

However, don’t discount the potential of a long-term CD in today’s rate environment, either. “To maximize savings rates today, looking at longer duration CDs will allow one to lock-in higher rates for a longer term,” Crofton says.

Interest rates will eventually dip back down. So even if you lock in a slightly lower rate — say, around 4.25% to 4.5% for a three or five year CD — you may actually get more in the long run if rates drop below that amount before your term ends.

Thinking about locking in a great CD rate? Find the best options right now here.

Increase your savings

Once you’ve found the right account, perhaps one of the best moves you can make today is simply prioritizing your savings.

“Having an emergency reserve gives you so many options,” says Cristina Guglielmetti, CFP, founder of Future Perfect Planning. It can be hard when there is a lot of pressure on your cash flow, she says, but try to accumulate a couple months’ worth of expenses in savings.

Of course, depending on your financial situation and how secure you feel against a potential recession, you may want to work on saving even more. Three to six months is a common recommendation, but you could consider saving up to nine months or even a year’s worth of expenses.

And remember, saving more doesn’t have to be complicated. Take a look at your monthly budget, and automate your savings based on how much you spend. “If you can set up automatic transfers from your checking to your savings account, that takes the guessing out of it,” Herron says.

The bottom line

Saving money is one of the best ways to take action toward your financial goals in today’s rate environment. The experts that we’ve spoken to echo many of the same recommendations for savers right now: choosing a great high-yield savings account, considering locking in a CD and prioritizing your balance are great ways to get ahead. Get started now by exploring the best savings rates that you can qualify for today here.


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