Savings Accounts

You can open a Coverdell Education Savings Account at banks, credit unions, mutual fund houses, or discount brokerage firms.

Mutual fund houses and discount brokerage firms typically offer better options and lower fees.

TD Ameritrade and Ally Invest are among the discount brokerage firms that offer Coverdell ESA plans.

Hi!  Thanks for writing!  Of course the “absolute” answer to this question depends on your personal situation, but I can provide a bit of general information that I hope will be a helpful guide.  You may have heard the term “emergency fund.” In financial planning, an emergency fund is money set aside to cover items you haven't budgeted for. You build the fund in a savings account so that when a financial surprise crops up, you have money to cover it. Many folks live paycheck to paycheck, using all their income each month to cover their bills. When surprises occur, whether they are happy (baby, wedding, travel) or sad (job loss, breakage, illness, arrests), you've got money to cover them. If you are able, it is best to put aside some amount of money each month for emergencies until you have about 3 to 6 months of funds equal to your basic expenses. If your job is project-dependent, you'll want to have a larger emergency fund to cover the periods when you are in between jobs or if an extended weather delay prevents you from working and getting paid. Keep emergency fund money in a saving account in bank or credit union (rather than in your regular checking account where you may be more likely to use it for random or unplanned uses), and be sure to replenish it if you use it as soon as you are able. Have a great day!

I wanted to respond to my question with my own first-hand experience with Yotta in case anyone else stumbles across this and might be nervous.

I created an account and deposited $500 a few weeks ago, I felt okay knowing Yotta accounts are FDIC insured and my cousin said she's had an account for 4 months without any issues. My first week I had 120 total tickets and won $5.25, second week I had 20 tickets and won $0.25, last week I had 20 tickets and won $0.10.  $5.60 in three weeks on a $500 deposit isn't too bad!  

I guess I would say you're probably not going to get rich, but I've made waaaay more in my Yotta savings account in 3 weeks than I have made with my Chase savings account over the past 5 years.  And it actually gets me excited to check my bank account every night for the next lottery ball number.

A money market account is a type of savings account that usually comes with certain checking-account features, like a debit card and checks, while often providing higher interest rates than many standard savings accounts. In exchange for these features, the number of transactions you can make per month will be limited. The minimum balance required to avoid a monthly fee will often be higher than with other bank accounts, too.

Like savings and checking accounts, money market accounts are FDIC insured, meaning the value of your investment is protected up to $250,000 even if your bank goes out of business. Check out the table below to learn how money market accounts compare to other products such as checking accounts, savings accounts, and certificates of deposit (CDs).

Money Market Accounts vs. Checking, Savings & CDs

Note: Interest rate and insurance information in the table above is based on data from the Federal Deposit Insurance Corporation. Fee information is from WalletHub's 2022 Banking Landscape Report.

If you're interested in getting a money market account (MMA), WalletHub's money market account comparison tool can help you find the best option.