What to Look for When Considering a High-Yield Savings Account

What to Look for When Considering a High-Yield Savings Account
It’s important to know what to look for when choosing a high-yield savings account. Justin Sullivan/Getty Images
Anne Johnson
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High-yield savings accounts let your money work for you. They’re great places to park money that you want to access, like an emergency fund, but grow at the same time. You don’t have to do anything—just let it ride.

But with so many banks and credit unions touting high-yield savings accounts, it may be challenging to decide which one is best. It’s important to know what to look for when choosing a high-yield savings account.

Annual Percentage Yield

The first item you should look at is the annual percentage yield (APY). The APY, or interest, is the amount you stand to earn over a year.
Anne Johnson
Anne Johnson
Author
Anne Johnson was a commercial property & casualty insurance agent for nine years. She was also licensed in health and life insurance. Anne went on to own an advertising agency where she worked with businesses. She has been writing about personal finance for 10 years.