Young Adults Seeking Better Savings Options
Young adults, often with fluctuating income or limited banking history, are actively seeking high-yield savings accounts (HYSAs) to manage their finances, build emergency funds, and optimize interest rates. They face challenges like limited banking relationships, unfamiliarity with account transfers, and a desire for features not readily available at traditional banks.
SOURCES (60)
“Hi there so I just got news that I’m going to start getting a full time job and wanting to set up a HYSA when I first get my paycheck but I’m not sure what I would be looking for to know which HY would…”
“Yes, of course! You're a legal adult; you're entitled to open your own bank account. Just use a different bank or Credit union than your mother's bank. Sign up for paperless statements and she'll be none the wiser.”
“Just check Doctor of Credit (ok fine I'll write). https://www.doctorofcredit.com/high-interest-savings-to-get/ You could just open a high yield savings account at one of the accounts recommended there and just transfer money to/from your local CU's checking/savings account as needed for cash withdrawals/deposits and for clearing checks. The highest rate there is Elevault at 4.34%, but it's a fintech. Valorfi CU's next 4.25% but not available in all states. Fulton @ 4.11% requires”
“I have a savings account with chime that gets 3.75% and can do all of the things mentioned except for issuing instant debit cards.”
“I want to invest money/ put it into a HYSA. I’ve never done anything besides open a savings account w BOA (which is trash interest) and would like to know what apps or companies people are investing in. I’m new to this all so please be nice!!! Thanks in advance. submitted by /u/Odd-Ambition9838 [link] [comments]”
“I have a large sum of money in a bank account that is earning zero interest. I have not invested it because I was setting the money aside for a house downpayment that hasn't yet happened. My bank was just purchased and the transition has been extremely messy. It's the perfect time to move my money to a HYSA until I either find a house or am ready to invest. What would be my best option so that I am still able to shift money from my checking account to the savings? I've been recommend”
“I'm interested in moving my HYSA into one of these because of the higher rates however I had a few questions before I make the transition How safe are they? HYSA's are typically FDIC insured but I don't think SGOV/SPAXX is. SGOV is comprised of all T-Bills am I pretty much safe if something happens with the banks? If I buy SGOV and end up selling them for cash, am I treating these as stocks on my taxes? The last time I sold stocks on a loss, there was an extra fee to files. Not sure”
“I am 19 years old and looking to move $4000 from my BOFA savings account into a higher yielding account, as well as hoping to be able to deposit $100-200 into it each month. Any recommendations? submitted by /u/Church_of_Jambi [link] [comments]”
“Hi everyone thanks for reading and any help towards my question basically i have three banking accounts fifth third navy federal and pnc. I have 10,000 each across them sitting in my saving i am trying to figure out what i should do with the money i want to put most of it in a hysa and i was thinking about doing a year long cd with byline which requires me to open another bank i just want to maximize my money i start a new job next month which i plan on putting my earnings in my pnc one. i plan”
“If your main goal is saving for a car go online and open a hysa with a bank like sofi, ally, Marcus, even capital one. It takes like 10 minutes to open and you will earn much higher interest than a traditional bank”
You’re 20 make an account at navy fed they won’t “accidentally add her”
“Opening up an account will require photo ID and atleast something to verify your address such as a utility bill with your name on it.”
“I work part time and get paid weekly with just a bank transfer. I want to open a savings account online but it always asks my salary and I am unsure what I should do since, My hours change all the time so the amount isn't the same I don't receive a payslip or anything so it feels dodgy like tax wise. Anyone have any advice on this? Thanks (In the UK by the way) submitted by /u/GaMMa06 [link] [comments]”
“If you’re 20, having an account that is only in your name can make things a lot easier. Just make sure the new account isn’t linked to the old one or accessible by anyone else.”
“You're an adult. Go into the bank, ask to set up an account, then sign for it. They won't tell your mother, that's not how it works”
“You are now over 18. You can go to any financial institution and create a new account with your driver's license. You can even create one online with the same institution. There should be a link to create a new account. You will only have yourself on it. You can add other persons if you want. This is how I keep the Estate account separate from my mother's account. It's doable. Maybe you need a heart to heart with your mother. I am on my kids accoubts, but I would never take their mon”
“Open the savings in another bank. One that takes a couple days to transfer money. Usually that delay will hell you exercise control on impulse purchases.”
“I feel you, but that’s why I did much research into them before putting money into it , plus it’s FDIC insured. They have a great reputation.”
“I wanted to answer for NFCU specifically: as long as you are 18, you can open one by yourself. Make sure you have paperless statements turned on so paper statements don’t come to the house for her to see. (This can be done by clicking into any account, click “statements”, “paper delivery preferences” and toggle “all accounts” to on). Additionally, if you just want her OFF the account, NFCU can do what is called an account shutdown and that forcibly removes a joint owner and gives you a new accou”
“As long as it doesn’t earn any interest you should be okay with a second bank account. Most checking accounts do not earn interest or earn so little that it doesn’t generate any tax documents. If it earns less than $10 you will not get any sort of tax document although technically I think you are supposed to report it.”
“I deposit everything into HYSA and transfer as needed. Most transfers are automated.”
“I got the USBAR before the nerf, also have the Altitude GO. Sold our house and moved due to a job change and currently renting, so parked the proceeds of the sale (~$105k) in a US Bank Smartly HYSA. We use the USBAR for virtually all non-dining spending (very few places don’t take Apple Pay), and almost never exceed the new $5k/month cap on 3x points. Altitude GO for streaming (2x) and dining (4x). Non-category spend that can’t use Apple Pay I’ll use whichever card happens to be easiest to physi”
“Please use the recommendation thread . This thread is designed to allow all recommendation posts in one thread for clarity.”
I do Schwab: checking account + investing account with SGOV stock
“You can look into Treasury Bills (T Bills) from the US government treasury. They come in various maturities, ranging from 3 to 6 to 12 months, with interest rates starting at 4%.”
“I chose Amex because they were at 4% and had sweet deal for opening a checking account, although I was hesitant about how that would work out for me in day-to-day life. They dropped the HYSA rate a couple of times and now it's at 3%, but I do love the way it integrates with the checking account, and their rate for a 10 month CD is 4.25 percent. So I'm keeping a base amount in at 3% and laddering the 10 month CDs with the amounts I am unlikely to need even in an emergency. I love their ap”
“I haven’t found good savings account rates at credit unions unfortunately. There’s the issue of some of them tiering rates like you mentioned, so the effective rate on your deposits isn’t as good as the number they put in advertising while most of the popular online banks’ rates apply to all of your funds. But even with the non-tiered accounts, the rates with credit unions just lag behind in general, and the exceptions are those ‘Kasasa’ gimmick accounts that require like 40 debit card transacti”
“I just put my savings into VBIL, which is a short term US Treasury bond fund. US Treasury bonds are backed by the full faith and credit of the United States, are exempt from state and local income taxes (which is a huge deal for where I live, and puts the effective after-tax yield above most traditional HYSAs for me), and your VBIL holdings are insured up to $250k in value under the SIPC at any reputable broker-dealer. Charles Schwab and Fidelity Investments are both nice, you would probably do”
“i've seen people on this sub compare banks side by side using nerdwallet and bestmoney to find what works best for them”
“Is having FDIC or NCUA insurance on the funds a deal breaker for you? If it's not, you can get attractive rates with a money market fund or a bond fund like SGOV or TFLO at a brokerage. I have savings in all three places. Local credit union, money market and bond fund. Access to cash and maximizing the best rates possible are why I have them split up. If having the funds insured are important, the best rates I've found are at credit unions, but your going to have to do a deep dive into a”
“Finally moving my savings out of my local bank. I'd rather pick something stable than keep chasing every rate bump. Which banks have been consistently good over the last few years? submitted by /u/theJacofalltrades [link] [comments]”
“Keep nothing in regular savings and only what you need in next few weeks in checking. Everything else in HYSA; there’s no risk. I would also look into establishing a CD ladder with whatever you don’t need in a three month emergency fund; you can get more than HYSA and still no risk.”
“Hi! I’m just a girl trying to be better with her money… but I’m basically just researching everything online lol I just put $10k into a SPAXX account vs. doing a HYSA at another bank because my 401k and Roth IRA plus work stock are all already in Fidelity. However, I live in a very high tax state and I’m reading that I shouldn’t leave my savings in a SPAXX account for tax purposes. How exactly does it work to manually put money into a FDLXX? And is it easy to keep putting money into it monthly?”
“OP is using an American Express High-Yield Savings Account (HYSA). While it's at 3.00% now, it's been steadily decreasing over the past couple of years.”
“Is there any benefit in going with the Money Market Fund (Income Portfolio) offered by Wealthsimple for the 2.5% yield compared to going for this new savings account? I feel like savings account is a no brainer, looking to hear your thoughts! Both have same 2.5% yield / interest rate. submitted by /u/suvonec18 [link] [comments]”
“We are currently in the process of building out our emergency fund. Within the next month it should be 50% funded and hopefully by the spring it will be 100% funded. We’re doing about 5 months of my salary since my wife has strong job security. Obviously I’m putting it in a HYSA but I can’t figure out if I want the max interest rate or ease of accessing if needed. We have quite a few bank accounts, myself in particular. Here is the breakout excluding my wife’s personal accounts: Bank 1 (main ban”
“The rates are not locked in, but Truist tends to be competitive so you should be good.”
“I currently have a HYSA (Truist money market account) account through my bank with an APY of 3.5%. I’ve heard it’s better to go through other banks such as SoFi or Capitol One. If my bank offers the 3.5% then I should be fine right? submitted by /u/Supernaut71- [link] [comments]”
“Capital One 360 makes sense if you're already there, rate's competitive with Marcus.”
“I'd start by comparing banks side by side. There are tons of platforms that do this like bestmoney and nerdwallet”
“Just hit the 1 year mark on my fixed saver account, which advertised an increased annual interest rate for the first year, then their standard rate after the first interest payment. Checked my account, and... they reduced the rate to their standard one one day before paying me, so the increased rate didn't effect me at all? I'm really confused, since I've had money in there from the moment I opened it, and never missed the required monthly deposit on it. Like why advertised the initi”
“So a debit card cannot be used on a savings account, which is what you specifically asked for. A debit card is linked to a checking. If you went with a credit union, you would need to open a share account a checking account and a high yield savings. She would need to have online banking so she can transfer money as needed. This might be why you're having a hard time. Debit cards do not link to high yield savings accounts directly”
“Which credit unions had high interest rates! I would have left BOA sooner if I knew. Also, treasury funds are an option.”
“If you don’t want a risk of the value going down, a HYSA is a good vehicle for a 6 year time frame. I don’t know where you saw a $1000 limit, that’s definitely not common. For many banks, interest goes up the more you keep with them.”
“i’ve been thinking of opening a HYSA. i have two CDS with my bank right now. one of my CD is about to mature, so i’m planning to move that into a HYSA. having trouble trying to pick one. i was thinking capital one since i already have an account with them or marcus or wealthfront. don’t know much so any tips would be helpful thank you! submitted by /u/quietstrawberrys [link] [comments]”
“The FDIC limit is per depositor, so if you have a joint account, the limit is $250K per person on the account. That's #1. #2 is that it's definitely not a bad idea to spread your money around to a few different institutions. Have some in a local credit union, some in an online Internet bank (pick a reliable one), and some in a big global. This is fine and gives you options you might not otherwise have. #3, I'm not "judging" someone for leaving a large amount of cash in a ch”
“Hello everyone, I need help making up my mind amongst a few options for my HYSA. I looked at many options, and currently have around 20k to put into a saving account for emergencies. I have narrowed down my list of candidates to a few, and would like your help to make up my mind. My options are: * E*Trade — I already have a brokerage account with them, and they offer 4% apy for 6 months, then 3.50% * Newtek — 4.20% apy, but I heard that the user experience isn’t the best. The app is kinda barebo”
“If your savings are at one of the big brick-and-mortar banks, you're probably earning around 0.01%. Literally, a penny a year on $100. Meanwhile, a high-yield savings account pays around 4% right now, with the same FDIC insurance up to 250k. It's the same type of institution finally paying you the real rate. Moving idle cash is generally one of the highest-return things you can do in one afternoon. The bank is just counting on you not bothering. This is merely an opinion and not financia”
“a CD is a time deposit with a bank. It has the same FDIC protections as any deposit account. That said, make sure it’s a CD with a bank, not with an aggregator or a fintech.”
“Hello! I am looking for suggestions on what others do in this situation: Emergency fund for 12-months is nearly filled in a HYSA. We have other goals on the horizon to set aside for, such as a down payment on a new car, vacations, etc. Do you put all this money in one account/“bucket”, and just keep note that $x amount is for emergencies, $x for car down payment etc., or do you put money in multiple HYSA accounts? I am considering keeping it all in one account, so the interest gained is maximize”
“Check out credit unions for savings accounts but also - look into high yield money market (many are also FDIC insured). If you can leave your savings sitting for a while, also look at yield rates for CDs at Chase, BofA, and credit unions. If you have any military in your family Navy Federal and USAA have good yields on CDs.”
“majority of savings account are low yield. how much money do you have to float? if you're young and not much money, a high yield isnt that meaningful. there are rules with them because you can only move money out X amount of times per month. (ie spend). mine is 6 times”
“I am looking for a High yield savings account with the following requirements. No checking account / No direct deposit requirements / no monthly fees FDIC (Bank)/NCUA (Credit Unions) insured APY >= 3.75 2FA mandatory, preferably with TOTP such as Google authenticator, or Email. No SMS 2FA. I am leaning towards CIT Platinum Savings (3.75%) or Newtek Personal HYSA (4.2%) or Axos summit savings account (3.75%). Please advice. submitted by /u/pnbalaji1974 [link] [comments]”