Latest news with #FDIC
Yahoo
11 hours ago
- Business
- Yahoo
Best high-yield savings interest rates today, June 1, 2025 (best accounts offering 4.3% APY)
Find out how much you could earn with today's savings rates. The Federal Reserve cut its target rate three times in late 2024, which means savings interest rates are falling from their historic highs. It's important to be sure you're getting the best rate possible when shopping around for a savings account. The following is a breakdown of savings interest rates today and where to find the best offers. The national average savings account rate stands at 0.42%, according to the FDIC. This might not seem like much, but consider that three years ago, it was just 0.06%, reflecting a sharp rise in a short period of time. Today, the highest savings account rate available from our partners today is 4.3% APY. This rate is offered by EverBank and there is no minimum opening deposit required. Since these rates may not be around much longer, consider opening a high-yield savings account now to take advantage of today's high rates. Here is a look at some of the best savings rates available today from our verified partners: The amount of interest you can earn from a savings account depends on the annual percentage rate (APY). This is a measure of your total earnings after one year when considering the base interest rate and how often interest compounds (savings account interest typically compounds daily). Say you put $1,000 in a savings account at the average interest rate of 0.41% with daily compounding. At the end of one year, your balance would grow to $1,004.11 — your initial $1,000 deposit, plus just $4.11 in interest. Now let's say you choose a high-yield savings account that offers 4% APY instead. In this case, your balance would grow to $1,040.81 over the same period, which includes $40.81 in interest. The more you deposit in a savings account, the more you stand to earn. If we took our same example of a high-yield savings account at 4% APY, but deposit $10,000, your total balance after one year would be $10,408.08, meaning you'd earn $408.08 in interest. Read more: What is a good savings account rate?
Yahoo
a day ago
- Business
- Yahoo
Best money market account rates today, May 31, 2025 (best account provides 4.41% APY)
Find out how much you could earn with today's money market account rates. The Federal Reserve began cutting the federal funds rate in 2024, and as a result, deposit rates (including money market account rates) have been falling. It's more important than ever to compare MMA rates and ensure you earn as much as possible on your balance. The national average money market account rate stands at 0.62%, according to the FDIC. This might not seem like much, but consider that three years ago, it was just 0.07%. So by historical standards, money market account rates are still quite high. Even so, some of the top accounts are currently offering over 4% APY. Since these rates may not be around much longer, consider opening a money market account now to take advantage of today's high rates. Here's a look at some of the top MMA rates available today:Additionally, the table below features some of the best savings and money market account rates available today from our verified partners. This embedded content is not available in your region. The amount of interest you can earn from a money market account depends on the annual percentage rate (APY). This is a measure of your total earnings after one year when considering the base interest rate and how often interest compounds (money market account interest typically compounds daily). Say you put $10,000 in an MMA at the average interest rate of 0.64% with daily compounding. At the end of one year, your balance would grow to $10,064.20 — your initial $10,000 deposit, plus $64.20 in interest. Now let's say you choose a high-yield money market account that offers 4% APY instead. In this case, your balance would grow to $10,408.08 over the same period, which includes $408.08 in interest. Compared to a traditional savings account, a money market account may come with more restrictions. For example, money market accounts often require a higher minimum balance in order to earn the best interest rate and/or avoid fees. Certain MMAs may also limit the number of withdrawals you can make per month (typically six). In general, there are no banks that offer a 7% interest rate on money market accounts or any other type of deposit account. That said, you may be able to find local banks and credit unions running limited-time promotional rates on certain accounts, which could be as high as 7%. However, promotional rates at this level often apply to a limited balance. Read more: Do 7% interest savings accounts exist anymore? This embedded content is not available in your region.
Yahoo
a day ago
- Business
- Yahoo
Best high-yield savings interest rates today, May 31, 2025 (earn up to 4.3% APY)
Find out how much you could earn with today's savings rates. The Federal Reserve cut its target rate three times in late 2024, which means savings interest rates are falling. So it's important to be sure you're getting the best rate possible when shopping around for a savings account. The following is a breakdown of savings interest rates today and where to find the best offers. The national average savings account rate stands at 0.42%, according to the FDIC. This might not seem like much, but consider that three years ago, it was just 0.06%. Although the national average savings interest rate is fairly low compared to other investments, the best savings rates on the market today are much higher. In fact, some of the top accounts are currently offering 4% APY and up. Today, the highest savings account rate available from our partners is 4.3% APY. This rate is offered by EverBank and there is no minimum opening deposit required. Here is a look at some of the best savings rates available today from our verified partners: The amount of interest you can earn from a savings account depends on the annual percentage rate (APY). This is a measure of your total earnings after one year when considering the base interest rate and how often interest compounds (savings account interest typically compounds daily). Say you put $1,000 in a savings account at the average interest rate of 0.41% with daily compounding. At the end of one year, your balance would grow to $1,004.11 — your initial $1,000 deposit, plus just $4.11 in interest. Now let's say you choose a high-yield savings account that offers 4% APY instead. In this case, your balance would grow to $1,040.81 over the same period, which includes $40.81 in interest. The more you deposit in a savings account, the more you stand to earn. If we took our same example of a high-yield savings account at 4% APY, but deposit $10,000, your total balance after one year would be $10,408.08, meaning you'd earn $408.08 in interest. Read more: What is a good savings account rate?
Yahoo
2 days ago
- Business
- Yahoo
Best money market account rates today, May 30, 2024 (up to 4.41% APY return)
Find out which banks are offering the best MMA rates right now. The Federal Reserve cut the federal funds rate three times in 2024 for a total reduction of one percentage point. As a result, deposit interest rates — including money market account rates — have been falling. It's more important than ever to compare MMA rates and ensure you earn as much as possible on your balance. Although money market account rates are elevated by historical standards, the national average rate for MMAs is just 0.62%, according to the FDIC. The good news: Top high-yield money market accounts offer well over 4% APY — more than six times the national average. That's why it's important to shop around before opening a money market account. Interest rates vary widely, but there are several banks (in particular, online banks) and credit unions with highly competitive offers. Here's a look at some of the top MMA rates available today:Additionally, the table below features some of the best savings and money market account rates available today from our verified partners. This embedded content is not available in your region. Online banks operate exclusively via the web. This significantly reduces their overhead costs, so they're able to pass those savings onto customers in the form of high deposit rates and low fees. If you're searching for the best money market account rates, online banks are a great place to start. That said, online banks aren't the only place you can find savings accounts with rates of 4% to 5% APY. Credit unions are not-for-profit financial cooperatives, and are also know for providing competitive rates and fewer fees. Many credit unions have certain requirements that must be met in order to become a member, though there are some that allow just about anyone to join. Read more: Are online banks really safe? Money market accounts can be a great option for short-term savings goals, like building an emergency fund or setting aside money for an upcoming expense. They generally offer higher interest rates than regular savings accounts, and they provide easier access to your money compared to some other options like certificates of deposit (CDs). Money market accounts are also considered low-risk, and they are FDIC-insured up to the standard $250,000 per depositor, per institution. This makes them safer than money market funds, which can be subject to market risk. However, keep in mind that many money market accounts require a minimum balance to open the account and earn the highest advertised rate. If you can't maintain this balance, you might incur fees or miss out on the best rates. And although you can generally access your funds as needed, MMAs may limit the number of transactions you can make each month. If you need frequent access to your money, this might be a consideration. Read more: Is there a penalty for withdrawing from your money market account? When a money market account makes sense: You want to earn more interest than a regular savings account without locking up your money in a CD. You can maintain the minimum balance to avoid fees. You want to keep funds easily accessible for emergencies or near-term expenses. Currently, the average money market account rate is 0.63%. However, several high-yield accounts pay upwards of 4% or more. If you're considering opening a money market account, be sure to shop around and compare rates. There is no one account or investment that guarantees a 12% return. However, if your goal is to earn a strong return on your money and grow your wealth significantly, investing in market securities such as stocks, mutual funds, exchange-traded funds is the best strategy for doing so. The stock market returns about 10% per year, on average. If you aren't sure where to start, it can be helpful to speak with a financial advisor about your financial goals and priorities. Alternatively, you can sign up with a robo-advisor, which is an automated, cost-effective option for managing your portfolio. Read more: Robo-advisor: How to start investing right away This embedded content is not available in your region.
Yahoo
2 days ago
- Business
- Yahoo
US Financial Firms Mull Over Crypto Expansion, Seek Regulatory Clarity
As the Donald Trump administration began its second term in January, it opened the doors for many U.S. financial firms to venture into crypto asset-related activities, given the favorable stance of the administration towards despite strong endorsements from regulators, large financial firms like Bank of America BAC, Morgan Stanley MS, and Charles Schwab SCHW remain cautious regarding crypto expansion. Thus, initial steps are likely to be tentative with small pilot programs, collaborations and modest crypto trading. Earlier this month, Paul Atkins, chair of the Securities and Exchange Commission (SEC), stated his plans to overhaul cryptocurrency policies and establish guidelines for the distribution of crypto tokens that are securities, and consider whether additional exemptions are the US Office of the Comptroller of the Currency (OCC) allowed U.S. banks to manage crypto assets on behalf of their clients. The OCC confirmed that banks can buy, sell, and hold crypto in custody, alongside outsourcing certain services, such as custody and execution, to third April 2025, the Federal Deposit Insurance Corporation (FDIC) and the Board of Governors of the Federal Reserve System withdrew two joint statements that required U.S. banks to issue an advance notification concerning any crypto or stablecoin March 2025, the FDIC clarified that FDIC-supervised institutions can engage in permissible crypto-related activities without receiving prior approval. Further, Donald Trump signed an executive order to establish a strategic crypto January 2025, the SEC rescinded an accounting rule that previously required banks to recognize a liability and corresponding asset for their obligation to safeguard crypto assets. Most firms are likely to enter into custody businesses by forming alliances with existing crypto firms. If a major firm expands without any hurdles, others will likely follow in terms of running small-scale projects and considering other business prospects. Rick Wurster, CEO of Charles Schwab, told Reuters earlier this month that the signals from financial regulators were quite favorable for large firms to expand in the crypto on the first-quarter 2025 earnings call, Wurster stated that Schwab will likely launch spot cryptocurrency trading services in the next 12 months. The company already allows its clients to trade spot Bitcoin ETFs after they started trading last year. Similarly, Morgan Stanley is also planning to build a crypto trading feature for E*Trade, with a target to launch spot trading next Bank of America is considering launching stablecoins, as stated by CEO Brian Moynihan earlier this year, if the regulations allow. Further, the company along with a few other large banks is exploring issuing a joint stablecoin, with the discussions being in earlier stages at the moment. Though these regulatory endorsements are welcoming, U.S. financial firms are seeking greater clarification from the administration on what they can do in crypto and surrounding anti-money laundering (AML) rules. The firms don't want to get caught up in the rapidly evolving regulatory landscape and, therefore, are seeking well-defined guidelines before entering into the crypto space. While custody businesses to store and manage digital assets seem promising, they offer thin margins relative to higher potential risks. This makes large firms apprehensive about pursuing a large-scale expansion into the crypto custody rules for traditional banking businesses are very well defined, and there is complete clarity over what a bank is allowed to do and what is outside its scope. Similar well-defined guidelines are required for digital assets as well to persuade large financial firms to expand more aggressively into the crypto domain. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Bank of America Corporation (BAC) : Free Stock Analysis Report Morgan Stanley (MS) : Free Stock Analysis Report The Charles Schwab Corporation (SCHW) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
