What are high-yield savings accounts?
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A traditional savings account pays you very, very little interest. Don’t keep your full 3–6 month emergency fund in there. The best place to keep your emergency fund is a high-yield savings account. This is a type of savings account offered by banks and credit unions with a much higher interest rate than traditional savings accounts. While traditional accounts average about 0.25% interest rate, high-yield savings accounts are currently offering rates of at least 3 or 4%. Look for one with no min
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