Citibank Money Market Accounts

Admin | January 30, 2012 | Comments Off

Citibank Money Market Accounts

Citibank Money Market Accounts

The convenience of a checking account or a credit card is obvious but why maintain a savings account in these tough economic times? The old advice of a three to six month financial cushion is even more important today than it was several years ago. Anyone can lose a job or be laid off. Life is precarious; washing machines break down, relationships change, spouses and children get sick, cars break down, and taxes get due. Some method of saving money earned or bartered should be maintained.

How to Establish a Savings Account with Low Cash

  • Many accounts can be established with $100 or less especially if another account is maintained in the same bank. Ideally, before the paycheck is in hand proportion a small amount, even $5, to a savings account.
  • Substitute 1 drive-thru meal a week for a savings credit.
  • A custodial savings account can be opened by adult for a child under 18.
  • Some banks will link a debit card to a savings account and round out each dollar amount charged to the account.
  • Sell items on Crags list or eBay and place payments in the savings account.
  • Check eligibility for a credit union savings program that may offer more options.

Online versus Free Standing Bank Savings Accounts

Online savings usually pay a higher percentage interest. Most accounts otherwise have similar features with 24 hour Internet access for information and linking accounts. Most are FDIC insured. Virtual online banks have no physical address. Virtual banks will send money immediately upon request but physical banks can hand the money over in person upon request. Physical banks have Internet access and an address.