Tip 3: Chose a Bank that will Pay You!

Step 3 is one of the easiest steps that will give you immediate rewards. As much as I have loved my bank of 6 years, I realized through research that my bank was not paying me enough to be a member. I did not choose to close my account; I simply opened a couple of additional accounts that payed me back.

The first account that I opened was through Ally.com. I chose Ally because they have excellent interest rates on both their savings accounts and certificate of deposits. To chose your own bank, visit BankRate.com. You can compare rates and banks based on user ratings and find the best fit for you. When I opened my account with Ally, I also realized that having a savings account that is separate of my checking account makes saving easier. I can transfer money to my checking account, but it takes a few days. Those few days of wait is a huge spending deterrent.

The second account that I opened was through Chase. This decision was based on their current cash incentive. I chose to use my Chase account as my grocery shopping account. That way, I meet the 5 debit transactions required to avoid monthly charges. Also, you must keep the account open for 6 months. The receive a cash incentive coupon and open your own account in order to earn $100, you can visit Chase.com.



----------------Cost Analysis----------------

Traditional Bank Rewards=$0
Average Interest Rate on Savings at Local Bank=.25%, or $2.50 per year on $1000

Chase Reward=$100
Ally Interest Rate on Savings=1.29%, or $12.90 per year on $1000


********TOTAL SAVINGS: $110.40!********




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