The best tips about overnight money accounts
If you have decided on overnight money savings, then you should heed some pieces of advice before opening an account: When choosing the right overnight money account, pay attention to the so-called Interest guarantee: It is not only important how high the interest rate is, it is much more important how long the bank guarantees this rate of interest. In most cases, high interest rates are associated with a short term and should be understood as a bait offered by banks. New customers often benefit from this, but the attractive interest rate guarantee is seldom longer than six months and often only for certain maximum amounts. For example, ING offers new customers 1.00 percent for four months.
Tip: The longer the bank guarantees the agreed conditions, the faster your savings will increase and at the same time you will be protected against a fall in interest rates for longer. But: For short-term savers, “lure offers” can also be a perfect capital investment.
Don’t forget that Compound interest effect: Interest that is credited to your account and then compounded with interest maximize the return many times over – especially if you want to save your money in a call money account over the long term. Therefore, pay attention to the interval in which the interest is paid.
Tip: The shorter the gap, the higher the interest gain in the end. You should always prefer a monthly credit to a quarterly one with the same interest rate.
If you want to increase your money on a call money account, you should be prepared to change your call money account every few months – especially if you opt for an offer with a short-term interest guarantee. One Change of provider can pay off in the truest sense of the word.
Our recommendation: So compare the best overnight money offers regularly – we will help you!