Many people save for emergencies or big purchases with online savings accounts. Although there are a number of banks that allow you to open a savings account online, not every bank has an account that fits your needs. It's important to be sure you know what you're getting before you commit.
- Compare interest rates, which typically are featured prominently on bank websites.
- Determine whether a given rate is just a short-term promotional rate. Choose a bank that consistently offers higher rates rather than promotional rates that expire.
- Find out how often the bank compounds interest. Choose a bank that compounds interest daily to help your money grow faster. Online calculators make it easy to figure out what your money can earn over time, such as the one at Allybank.com, which lets you factor in time frames, additional deposits, different interest rates and so forth.
- Consider fees and other factors that can affect what your account ultimately earns for you. Some banks charge monthly maintenance fees, or have minimum balance or direct deposit requirements.
- Make sure that you will be insured by the Federal Deposit Insurance Corporation (FDIC) to the maximum amount allowed by law.
- Take advantage of features designed to make your banking life easier. For example, some banks offer online alerts that inform you on such important updates as when a deposit has been made or when a new statement has become available.
- Assess how the bank provides customer support. Ally Bank offers support via phone, email and live online chat in addition to regularly answering customer questions on Twitter and Facebook.
- Consider the bank’s other account options. Opening multiple accounts with the same bank often allows you to easily make transfers between savings, checking and money market accounts.
- Find out how user-friendly the bank’s website is. You want to be able to quickly access your information and make transactions on a site that is easy to navigate.
Learn more about all our savings options at Allybank.com or call live, 24/7 customer care at 877-247-ALLY (2559) today.