If you are looking for a good yield for your savings these days, your options are quite limited. Not that we are in short supply of savings accounts. There are actually many to choose from. The reality is that, after the Federal Reserve has set and kept its benchmark short term rate to near zero for more than four years, there aren’t many banks that offer savings accounts that would let savers earn a decent return for their hard earned money. And what I call “decent” is merely around 1.0% APY and that’s difficult to find these days. Another issue with some of the banks that do have good rates is that, mostly often than not, they have additional requirements for the rate, such as a minimum initial deposit or monthly account balance. To people with a small amount of money but want to start to save, either these requirement could turn them away. And if the condition is not met, then, sorry, you will have to settle at a reduced rate.
The savings account that I am going to show you is the American Express Personal Savings Account, which will saving money and earn a decent return smooth and easy for you. The reason I said that is that with AMEX high-yield savings account, you will earn a return of 0.90% APY with as little money as you can think of: $1. That’s right, even if you only have one dollar, you are still able to open an American Express Personal Savings Account and receive 0.90% yield (of course, you want to save as much as possible, not as little as possible, right?). In addition to a dollar to open an account, other features you will get also include:
- No monthly account maintenance fee
- No minimum account balance requirement
That’s it. No lengthy fine prints to read and no hidden fees to worry about. Basically, the American Express Personal Savings Account can be summarized as No minimum, no fee, and 0.90% APY. Very straightforward.
How to Open An American Express Personal Savings Account
To open an American Express Personal Savings Account, you will need to complete the following four steps:
- Have your personal information ready, including Social Security number, home address, e-mail address, date of birth, and your existing bank account and routing numbers if you plan to fund your new AMEX account using ACH transfer
- Open an account online
- Receive an confirmation email when the process is completed
- Fund your new account using ACH transfer from other bank accounts (up to three external bank accounts can be linked to AMEX Personal Savings) and start to earn interests
Of course, you can always deposit a physical check into the Personal Savings account , but my preferred method of funding a new online account is through ACH because it is much easier, safer and faster than mailing a check to the bank. And if there’s a physical check that I need to deposit, I prefer to use mobile deposit from my smartphone so I don’t have to go to a bank branch or mail the check out. However, it looks like the option is not currently available for the AMEX Personal Savings.
So, what do you think? Does American Express Personal Savings sound like something that can help you realize your goal?