The image of investing that most people have in their heads is a mob of suit and tie Wall Street brokers shouting into their phones about when to buy and when to sell. However, modern day investments have evolved and are more accessible than ever before.
Nowadays, you don’t need to be incredibly wealthy to make smart investments. In fact, you don’t even need to work with a stockbroker to make investments anymore. There are a variety of investment opportunities you can take for yourself that usually involve minor risks. Continue reading to learn how you can take advantage of these investment options.
You don’t need years of experience in the stock market in order to earn a monthly passive income. All you need is a high-interest online bank account to earn money that you wouldn’t get with a typical checking account. Standard checking accounts give you the convenience of having a debit card in order to access your money, which is why they don’t have the same rewards as high-yield bank accounts.
The most beneficial high yield checking accounts today will offer you an annual percentage yield (APY) of around 1%, or higher in some cases. This means that one of these accounts will earn you an additional 1% of your account balance each year for simply having an account with a bank and saving your money with them.
Although a 1% interest rate on your APY may seem small, there are a few things that you should consider:
- Your money grows without your attention – You won’t have to worry about your money because it will always be earning interest. On average, a high-yield APY can earn you about 20 times more than the national average APY. With compound interest, the amount you earn will continue to add up over time.
- A high APY is just an added bonus – Not only will you get to have a bank account to hold your money, but you will also get paid while doing so! If you were going to open a bank account anyways, a high APY is an excellent additional bonus.
- Safety and security for your money – Since high-yield accounts do not operate like stock investments, you will not have to worry about the risk of losing your money with a bad investment.
If you are looking for a consistent and low-risk way to use your bank account to earn you more money, a high-yield bank account may be the best option for you.
Note: it is important to keep in mind that high-yield bank accounts have certain restrictions on when you can withdraw money from your account. Speak with a representative at your bank in order to learn the specific conditions of your high-yield bank account.