In a Nutshell: The reasons we save money are obvious. However, when it comes to how and where we save our hard-earned cash, those are entirely different questions. Banks offer their customers so many products and programs these days, it can be difficult to see through the smoke and comprehend what’s really being offered. But when it comes to programs that really pay off, the high-yield savings accounts offered by CIT Bank stand out. Its leading rates and savings programs help customers get the most from their money and achieve their goals faster, which is why we’ve chosen CIT Bank’s Premier High Yield Savings Account for our Editor’s Choice™ Award.
From preparing for retirement to putting away extra cash in case of an emergency, everyone wants to save more money. But our incomes and expenses often determine how much we can commit to putting aside.
A popular strategy is transferring funds into a traditional savings account. Although these provide a safe, easy way to save money, the interest rates are often miniscule, and your bank can charge unexpected fees or limit the number of withdrawals you make. Though still better than stuffing your hard-earned cash in the mattress, other, more fruitful ways are available to grow savings.
One example is the high-yield savings account. These are simple savings accounts that function like any other, except that they often pay up to 10 times the average interest rates associated with standard savings accounts. But not all high-yield savings accounts are created equally; some offer far more attractive rates.
One such account is the Premier High Yield Savings Account through CIT Bank, winner of our Editor’s Choice™ Award for helping customers make the most of their money and reach their goals faster. In addition to our recognition, CIT has earned 17 awards for its rates and products over the past several years. This year alone, CIT was voted Best Online Bank, Best CD Accounts, and Best Savings accounts by GoBankingRates.com. CIT’s Premier High Yield Savings Account offers APY rates that are 21 times higher than the national average.
Founded in 1908, CIT primarily focuses on business loans across 30 industries. And though it’s commercial offerings are strong, CIT’s personal banking services are especially enticing. In addition to its stellar savings accounts offerings, CIT provides a suite of attractive CDs enabling customers to choose from a variety of products to match their unique savings goals and schedules.
Exceptional Interest Rates Up to 1.30% and Zero Fees
We researched similar high-yield savings accounts, but we could not find another with an offer quite as rewarding as CIT’s. Its high return rate and lack of fees are among the principal reasons.
CIT’s 1.30% APY (annual percentage yield) is ranked best when compared with other online savings accounts. For example, Goldman Sachs Bank’s APY on similar accounts is 1.20%, Discover’s is 1.15%, Capital One’s is 0.75%, and State Farm Bank is down around 0.40%. CIT’s high rates are ideal for someone wanting to park some cash in a savings account with a steady growth rate.
According to Ravi Kumar, Head of Internet Banking for CIT Bank, “Premium high-yield savings accounts are essentially a way for customers to save more with less. They provide a higher interest rate, making it easier for customers to reach their goals quicker and maximize the return they get on their savings.”
CIT’s lack of fees is another big win for customers. CIT charges no monthly maintenance fees, no incoming wire transfer fees, no outgoing wire transfer fees if you have a daily balance of $25,000 or more, and no online transfer fees.
“High maintenance and account opening fees can hinder the return customers get from utilizing a high-yield savings account,” Kumar said. “We’ve made an effort to introduce new features and rates to prospects and customers that encourage everyday savings. Our products have no maintenance or account opening fees so they do not detract from them earning the highest possible yield.”
In addition to the high rates of return, high-yield accounts are also beneficial because they avoid the kinds of fees associated with brick-and-mortar banks (most of these accounts are available only through online banks like CIT).
CIT Offers Other CDs with Competitive Rates and Returns
CDs (certificates of deposit) are slightly different than a savings account in that they are timed deposits. This means you agree to keep your money in the CD for a set period of time. These term lengths vary from as little as a few days to as long as a decade. The benefits of CDs are their security and high interest rates, and CIT has some of the best.
Kumar adds, “CIT Bank provides a number of CDs of varying lengths of time and annual percentage yields, and provide flexibility for a broad spectrum of customers.”
CIT’s No-Penalty CD is an 11-month CD with 1.25% APY, and a required minimum opening deposit of $1,000. The No-Penalty CD is also available as a Custodial Account, which is a way to save for a child in your life by opening an account in his or her name. You’ll enjoy added tax benefits, and they’ll have a head start when they need it most. The No-Penalty CD allows customers to withdraw the total balance plus interest earned without any penalty just seven days or later after funds have been deposited — all the benefits with none of the risk.
CIT’s aptly named Jumbo CD pays between 1.40% and 1.75% APT for deposits of $100,000. The terms range from two- to five-year lengths. The Jumbo CD has no account opening or maintenance fees, customers receive daily compounding interest to maximize earning potential, and, as with all of CIT’s other offerings, is FDIC-insured for up to $250,000.
CIT’s Term CDs offer the widest variety of terms to help its customers meet their short- or long-term goals. The terms range from six months to five years. It also requires a minimum $1,000 deposit, has no opening or maintenance fees, and interest compounds daily to maximize earning potential.
Award-Winning CDs Make CIT a Wise Choice for Consumers Looking to Save
Balancing personal finances can often mean working with tight margins, but that makes it even more important to get the most out of what you have. If you have funds to stash away, accounts like CIT’s High Yield Savings Accounts can help your money grow rather than have it sit in an account earning barely any interest.
CIT’s savings accounts and CDs help its customers reach their financial goals faster. And in today’s uncertain economic climate, that’s a very valuable thing.