If you’re looking for a place to get 6% on your savings, there is a rare opportunity available. Depositing $20,000 into a savings account that offers a 6% Annual Percentage Yield (APY) would potentially yield around $1,200 in interest over the course of a year. This kind of return on a savings account is quite attractive, especially in today’s market where interest rates are generally much lower.
Currently, there is one notable account that offers a 6% APY, which is the Digital Federal Credit Union’s (DCU) savings account. However, it’s important to note that this high rate is limited to balances up to $1,000. Any amount over $1,000 earns a significantly lower interest rate. This means if you were to deposit $20,000 into this account, only the first $1,000 would earn 6.17% APY, while the remainder would earn a different, lower rate.
Given the rarity of 6% APY savings accounts, it’s wise to consider this option carefully. While the Digital Federal Credit Union’s account is appealing, especially for smaller balances, it might not be the best choice for larger deposits. For those with $1,000 or less to save, this could be an excellent opportunity to earn a high return. However, for those with more substantial savings, it might be worth exploring other options to maximize returns. It’s always a good idea to compare rates and fees across different financial institutions to find the best fit for your savings goals.
(Response: If you are looking to get 6% on your savings, the Digital Federal Credit Union’s savings account is currently offering 6.17% APY on balances up to $1,000. However, for larger deposits, it might be worth exploring other options as this high rate is limited to the first $1,000. It’s important to compare rates and fees across different financial institutions to find the best fit for your savings goals.)