Online banks are giving traditional banks a run for their money. Interest rates at online banks are as much as four times higher than bricks and mortar banks and credit unions, according to a survey released by DepositAccounts.com, a blog that compares bank accounts across the nation.
The survey compared the annual percentage yield, or APY, of savings accounts at 6,278 bricks and mortar banks, credit unions and online banks over a one-year, five-year and 10-year period. Internet banks consistently allowed savers to stash the most cash while earning more money on their balances.
“Online banks are just as safe as bricks and mortar banks and they allow you to grow your money faster with no extra risks,” says Ken Tumin, founder and editor of DepositAccounts told USA TODAY.
Kellie Ell | USA TODAY