In the modern financial landscape, where every penny counts, finding the right home for your hard-earned money is crucial. You have heard of a high-interest savings account, but what about a high-interest checking account? Well, Wealthfront has created a powerful solution with this impressive financial combo attack. With the Wealthfront Cash Account, get all the features of a checking account with the added bonus of providing an Annual Percentage Yield (APY) of 5.00% (Nov 3rd 2023).
Full Overview of Wealthfront Cash Account Features
- High Annual Percentage Yield (APY): Earn a competitive 5.00% APY with no minimum or maximum balance requirements.
- No Account Fees: Enjoy zero account fees, allowing you to keep more of your money.
- Low Initial Deposit Requirement: Start with as little as $1, making it accessible to individuals with various financial capacities.
- Unlimited Withdrawals and Transfers: Experience the freedom of unlimited withdrawals and transfers to meet your financial needs.
- Flexible Money Movement: Easily move money to linked accounts, pay bills, and conduct business transactions using account and routing numbers.
- Integration with Popular Payment Apps: Use your Wealthfront Cash Account with popular payment apps like Venmo, CashApp, PayPal, Apple Pay, and Google Pay for seamless transactions.
- Early Direct Deposit Feature: Get paid up to 2 days earlier with the direct deposit feature, enhancing your cash flow.
- Bill Payments and Check Handling: Conveniently pay bills, send, and deposit checks easily.
- Affordable Wire Transfers: Conduct wire transfers for a nominal fee of $10. This is not a deal breaker as most people use the debit card or ACH (account and routing number) method to make consumer purchases and/or pay off credit cards.
- Easy Transfers to Other Institutions: Transfer funds to titles and accounts you own at other financial institutions effortlessly.
- Quick Investment Transfers: Transfer funds to invest in minutes, providing timely investment opportunities.
- Up to $8 Million FDIC Insurance: Benefit from up to $8 million FDIC insurance through partner banks for added financial security.
- No Balance Restrictions for Earning APY: No minimum or maximum balance restrictions to earn the attractive 5.00% APY.
- Wealthfront Cash Card: Access and spend your funds easily while continuing to earn interest on the remaining balance.
- Nationwide ATM Network: Access cash at a nationwide network of 19,000 fee-free ATMs. Look here (https://www.wealthfront.com/find-atm):
How to Maximize the value of the Wealthfront cash account
Let’s take a look at how to maximize the use of this type of account. The goal is to keep money in there as long as possible. Here are two strategies to maximize your money.
Standard Strategy (Non-Credit Card People)
Primary Funding Source: Similar to the credit card user, direct a portion of your income or savings into the Wealthfront Cash Account to benefit from the high APY.
Wealthfront Cash Card: Utilize the Wealthfront Cash Card for everyday spending, allowing easy access to your funds while the remaining balance continues to earn interest.
Automated Bill Payments: Set up automated bill payments directly from your Wealthfront Cash Account to ensure timely payments while keeping your money in the account longer to accrue more interest.
Direct Deposit: Set up direct deposit to have your paycheck deposited into the Wealthfront Cash Account, potentially getting paid up to two days earlier and allowing your money to start earning interest sooner.
Utilize Payment Apps: Link your Wealthfront account to popular payment apps like Venmo, CashApp, PayPal, Apple Pay, and Google Pay for seamless transactions, keeping the majority of your funds in the Wealthfront account to continue earning interest.
Regular Transfers: If possible, set up regular transfers from other accounts into your Wealthfront Cash Account to boost your balance and maximize your interest earnings.
Advanced Strategy (Credit Card People Only)
Primary Funding Source: Make the Wealthfront Cash Account your primary funding source by directing a portion of your income or savings into this account to benefit from the high 5.00% APY.
Credit Card Selection: Opt for a credit card with a grace period that allows you to delay payments without incurring interest, and if possible, choose one with cashback or rewards programs.
Everyday Spending: Use your credit card for everyday spending to keep the cash in your Wealthfront account longer, allowing it to earn more interest.
Automated Payments: Set up automated payments for your credit card bill from your Wealthfront Cash Account to ensure timely payments and avoid any late fees or interest charges.
Reward Redemption: Redeem credit card rewards as cashback and deposit them back into your Wealthfront Cash Account to boost your interest earnings further.
Regular Review: Monitor your spending habits and ensure that the credit card balance is paid in full each month from your Wealthfront account to avoid any interest charges on your card.
The Wealthfront Cash Account is a formidable tool in pursuing financial growth and liquidity. By understanding its features and adopting intelligent habits, you can optimize the value you derive from this high-yield, interest-earning cash account.