The best high-interest savings account ensures that deposited funds earn a higher interest rate than those offered by traditional bank accounts. It is quite important to research the options available to get the highest return on your investment. Consumers can search various banks online to compare minimumaccount opening balance requirements, service charges, and interest rates. It is also a good idea to deal with banks that compound interest regularly.
Credit unions and banks provide perks along with high interest savings account rates for their customers. Banks might offer a high rate of interest but charge high fees when balances fall below their minimum requirements. Some banks charge fees for providing bank statements or using debit cards. Most financial institutions charge monthly maintenance fees. These fees may cost consumers more than what they earn as monthly interest, which is certainly a drawback.
Consumers might want to consider banks that only offer online banking as they have better high-interest savings account rates compared to traditional banks. Nonetheless, some traditional banks also provide online banking for the convenience of their customers.
Many consumers find that setting money aside is one of their greatest challenges. Financial experts advise consumers to save at least 10 percent of weekly income, but it may be the best option to start off with at least 5 percent of your weekly income to reach the 10 percent minimum. If you are a first-time home buyer, your down payment will need to come from your own savings (and not external sources like family), so you will want the best high interest savings account available.
Consumers should take their time to research the requirements, fees, and perks of prospective financial institutions to choose the best high interest savings account in Canada. It’s alwaysbest to read the fine print.
