What are the fees associated with high yield savings accounts?

High yield savings accounts are a popular choice for individuals looking to earn a higher interest rate on their savings. While these accounts offer attractive interest rates, it's important to understand the fees that may be associated with them. In this article, we will explore the various fees that can be associated with high yield savings accounts and how they can affect your earnings.

Monthly Maintenance Fees

Some high yield savings accounts may charge a monthly maintenance fee. This fee is usually waived if you maintain a minimum balance or meet certain requirements. It's important to check the account terms and conditions to understand if a monthly maintenance fee applies.

Transaction Fees

Certain transactions, such as excessive withdrawals or transfers, may be subject to a fee. High yield savings accounts typically have limits on the number of transactions you can make each month without incurring a fee. It's important to be aware of these limits and ensure you stay within them to avoid transaction fees.

Excess Balance Fees

Some high yield savings accounts have a maximum balance limit. If your account balance exceeds this limit, you may be charged an excess balance fee. It's important to be aware of the maximum balance limit and ensure your balance stays within it to avoid excess balance fees.

Incoming and Outgoing Transfer Fees

High yield savings accounts may charge fees for incoming and outgoing transfers. These fees can vary depending on the transfer method and the financial institution. It's important to review the account terms and conditions to understand the fees associated with transfers.