Cash Accounts and High Interest Accounts for 2019

The Current APY is 2.1% to 2.5%. If you are not earning over 2% APY in 2019 on your cash you are leaving money on the table.

For every $10,000 you have in the bank you will make $250/year at 2.5% APY.

Best Account for Features

SoFi Money – 2.25% APY

This account has all the features of a checking account with the interest of a savings account. If you are looking for one account to do everything, this is the one.

Get $50 for signing up here: https://www.sofi.com/share/money/2494082/

  • Unlimited Withdrawals/Deposits
  • FDIC Insurance up to $1.5 Million
  • Debit Card with ATM Fee Reimbursement
  • Mobile App with Check Deposits
  • Free Bill Pay with Mailed Checks
  • Supports Direct Deposits

https://www.sofi.com/share/money/2494082/

Best Account for Interest

Wealthfront Cash – 2.57% APY

This account is more like a savings account, except up to $1 million in FDIC insurance and unlimited transfers. As of writing this it is the highest APY account with no strings attached.

  • Unlimited Withdrawals/Deposits
  • FDIC Insurance up to $1 Million

https://www.wealthfront.com/cash

Get your first $5,000 managed for free with through this referral link:
https://www.wealthfront.com/invited/AFFC-741C-3V20-6SPU
(or just use the referral link to support the blog and server administrators).

List of High Interest Accounts

This is a third party list of high interest accounts. The list at the top contains what seems to be no-strings attached free accounts. Try these at your own risk:

https://www.doctorofcredit.com/high-interest-savings-to-get/

More About Cash Accounts

You are probably familiar with a traditional bank account. Its an account held at a bank and usually has FDIC insurance up to $250,000 per depositor. Additionally you get all the features and services offered by your bank such as debit card, checks, bill pay, direct deposit, etc. Additionally they may offer savings accounts with higher interest rates but limited withdrawals and services.

Both SoFi Money and Wealthfront Cash are not bank accounts. They are also not banks. For the most part they work like a bank and you probably wont be able to tell the difference in SoFi and any other online bank account without looking under the hood. These Cash Accounts are also known as Sweep Accounts.

These are the key things to note with a Cash Account vs a Traditional Bank Account.

  • Your money is stored in multiple banks. This provides FDIC insurance up to 250,000 times the number of banks used. So if your institution used 4 partner banks, you could effectively get up to 1 million in FDIC insurance.
  • Your money is not instantly FDIC insured. The money must be transferred from your Cash Account into the partner banks accounts before it is FDIC insured. This means that new deposits may be without FDIC insurance for a few days.

Conclusion and Which to Choose

Picking the right account depends on your needs and preferences. SoFi is loaded with features and will probably fulfill all your needs. Wealthfront does not have near as many features as SoFi but has slightly better interest. These accounts are absolutely free with no fees or strings attached so there is no reason not to get both.

If you want to keep things simple, use SoFi as your checking account and use Wealthfront as your savings account. SoFi has all the feature of a checking account and Wealthfront has the best interest available today.

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