A Savings Account stands as a popular choice among banking options. It provides a secure and dependable avenue for safeguarding your savings. Not only does it assure a consistent interest income, but it also provides convenient liquidity. However, did you know you can enjoy a higher interest rate in your Savings Account?
Yes, by implementing certain strategies, you can increase your interest earnings. Whether opening a high-interest-bearing Savings Account or investing in Certificates of Deposits, you canoptimise youraccount perks effectively.
So, if you wish to learn more about these tried and tested tips, consider the list below:
- Utilise your idle funds
A Savings Account offers you sweep-in and sweep-out facilities. Through this, your idle funds get swept out to a Fixed Deposit income that yields a relatively higher interest rate. You can also sweep the money back into your Savings Account if needed. This way, you can enjoy the best Savings Account interest rates. You need not fuss about the growth of your idle funds.
- Consider Certificate of Deposits
Consider investing in a Certificate of Deposits through your Savings Account. Such Deposits are similar to Fixed Deposits and usually have a tenure of three months to a year. By investing in them, you increase your interest earnings substantially.
You can reinvest the funds if you do not want the amount after maturity. That way, you can simultaneously sustain high Savings Account interest rates.
- Opt for a criteria-based Savings Account
Some banks offer a criteria-based Savings Account facility to their customers. Such Accounts offer relatively better interest rates than standard Savings Accounts. However, they also have criteria like a higher minimum balance requirement and specific limitations on card transactions.
So, it is best to assess these factors wisely. If required, contact your banking partner’s customer support for assistance. You can also look up this offering on their Banking app or website.
- Look for other banking partners
If you are unhappy with your current Savings Account interest rates, consider switching to another banking partner. Nowadays, many banks offer favourable interest rates and easy liquidity.
Hence, it is wise to consider this change if you truly want to increase the interest on your Savings Account. Just make sure that you do your research before making such a decision.
- Choose a demography-based Savings Account
Certain Savings Account types offer better interest rates to their holders, including the Senior Citizen Savings Account, Women’s Savings Account, Youth Savings Account, Kids Savings Account, etc. For example, a Women’s Savings Account is known to provide relatively higher interest rates.
If you fall under such categories, make the most of such perks. You can also have your family members open these accounts and access higher interest rates.
If you fall under such categories, make the most of such perks. You can also have your family members open these accounts and access higher interest rates.
Conclusion
A Savings Account helps you build your wealth conveniently and strategically. However, you can always try the abovementioned ways to maximise your interest earnings.
