With a new year about to begin, you may be looking to take your savings to the next level. There are many options to consider as you build out your financial plan, so it is important to do your research and determine what is the right fit for you.
A traditional savings account can be a smart option. At VyStar Credit Union, you can open a savings account with a minimum deposit of $5 and earn dividends with no monthly service fees or membership fees. You can open an account online at a time that is convenient for you.
However, as you evaluate your savings goals, Money Market or Certificate of Deposit (CD) accounts can also serve as great options for growing your money. Let’s understand what makes these saving options different to determine which is best for your current situation.
Money Market
A Money Market account allows you to add funds into the account and earn a higher interest rate than a traditional savings account. Because no minimum account balance is required, this can be a great option for individuals who are looking to begin saving.
At VyStar, our Money Market accounts have great rates, so you can grow your hard-earned money faster. Other advantages include:
Dividends calculated daily, compounded daily and credited monthly
Flexibility to withdraw dividends or let them keep earning
Money Market accounts are also a great option for businesses to utilize a consistent investment to accumulate savings over time. At VyStar, we help build your savings strategy for your business by providing a calculator that can estimate the best Money Market plan for you. You can specify your starting amount, how many years you are planning to save, your rate of return and how quickly you can get to your goal based on the frequency of deposits.
Certificate of Deposit
Certificate of Deposit, or CD accounts, offer a higher rate than traditional savings and Money Market accounts. The more you save, the more your rate increases. Our high-yield CD allows flexible options to add to your savings. We offer dividends that are compounded monthly and paid monthly, terms from three months to five years and an 18-month Step-Up Certificate for additional rate flexibility.
Other advantages include:
Dividends compounded monthly and paid monthly
Open with as little as $500 and no maximum
Withdraw dividends at any time with no penalty, or let them keep earning
VyStar is currently offering a special CD rate as high as 4.00% Annual Percentage Yield (APY)*.
CD Term | Minimum Balance to Earn Dividends | APY* |
|---|---|---|
13 months | Up to $49,999.99 | 3.40% |
13 months | $50,000 and higher | 3.50% |
23 months | Up to $49,999.99 | 3.90% |
23 months | $50,000 and higher | 4.00% |
Learn more about this promotion.
Which Account is Right for Me?
Both of these are fantastic options to take your savings to the next level. You should determine which option is best for you based on your specific financial situation and your financial goals.
Not a VyStar member yet? Become a member today to open a Money Market or CD account. Already a VyStar member? Log into your Online & Mobile Banking to apply for your new Money Market or CD account.
As always, if you have any questions or need to find more information, you can contact the VyStar team.