Shopping for groceries. Dropping the kids off at school. Going to the doctor’s office for a checkup. Sometimes, it can feel like your to-do list is never-ending. How do you pencil in time for managing your savings account? Sure, in the past, opening a savings account and making deposits and withdrawals required numerous trips to a brick-and-mortar branch. And just like at the post office, if you arrived at the wrong time, you could get stuck in a lengthy line.

Nowadays, online savings account benefits include convenience and efficiency, and you can quickly and painlessly open an online savings account and manage it on-the-go. Since you no longer have to spend time commuting to and from a bank branch, it’s easier to enjoy the benefits of an online savings account (think online transfers1 and direct deposit from your paycheck). This convenience will leave you with more time on your to-do list to better manage your finances. You could even check in on your online savings account while shopping for groceries, idling in the drop-off line at school or waiting for that doctor’s appointment.

When you’re considering your savings, the following benefits of an online savings account should be top-of-mind:

1. You can actually earn interest

When you’re thinking about online savings account benefits, you’ll want to consider interest. A bank will pay you an interest rate (noted in a percentage) multiplied by the total amount of money deposited and maintained in your savings account.

This percentage, the interest rate, can change over time. For example, an interest rate increase means higher interest rates for banks on the money they deposit at the Central bank.

Higher interest rates for banks may mean higher savings account interest rates for consumers, too. If the Central bank lowers its benchmark interest rate, it’s possible that banks will also lower the interest they pay on their savings accounts.

When you are shopping for a savings account and comparing online savings account benefits, you’ll want to consider the annual percentage yield (APY) in addition to the interest rate. The APY is the amount of money you’ll earn on your account balance over the course of a year, with compounding factored in.

2. You can grow your savings without monthly fees

Many banks charge a monthly maintenance or account fee if your balance falls below a minimum threshold. They may also require you to make a certain number of direct deposits each month in order to avoid a fee. With savings account interest rates still relatively low, these bank fees can easily eat up any interest you earn on your savings.

If you open an online savings account with no monthly maintenance fee, you can rest easy knowing that this online savings account benefit lets your funds go to work building interest to reach your financial goals.

for more info click on the link below
https://wealthscheme./2020/08/23/4-benefits-of-using-online-savings-accounts/