How to be a real person: Saving Your Money the Smart Way

So you got a job mostly to keep up with your social life, but somehow managed to save a little. While you may be content letting that money sit in you Chevy Chase checking account, think again. Even if you aren't raking in tons of dough, it might be a good idea to check into a high yield savings account.

Most banks are perfectly content to let your hard-earned savings collect dust instead of interest, but that doesn't mean you should be. Setting up a high yield account is a quick and easy way to earn up to 5.3 % interest (***according to current rates... they change, you see). It's also much easier than dealing with complicated money market accounts or constraining CDs (Certificates of Deposits).

So if you're not quite up to playing the markets or picking out mutual funds, check out the online savings accounts like Emigrant Direct or research the best rates for yourself on BankRate.com. The APY (Annual Percent Yield) is what really concerns you on these ratings. Online banks eliminate the overhead of other "brick and mortar" institutions, allowing them to hike interest rates well above the traditional bank's reach. Interest is still compounded daily, and credited monthly, just like your home bank.

Make sure there isn't a minimum or any limits on the number of times you can transfer funds per month. These online savings accounts can link directly to your original checking account for easy transfers.

Don't let the cobwebs cover you cash stash.



Disclaimer: The G Spot is not affiliated with any banks, nor does it take responsibility for losses that may be incurred by following its suggestions. Research wisely.