When personal finance emergencies arise, you might need short-term cash quickly. If you don’t have an emergency cash bank or a stash of emergency funds, you might feel like there’s nowhere to turn. Luckily, there are several options you can turn to when you need help storing your emergency cash in a bank. Alternatively, there may also be an additional option to find the emergency cash you need.
At Max Cash Title Loans, with our auto title loan service, we help customers find the emergency cash they need. With a simple online title loan application process that isn’t reliant upon credit scores. You might even be able to get your money on the same business day. 1 2 5 If you would like to learn more and learn about your car title loan eligibility, fill out a brief online inquiry form or give us a call today. Our staff of title loan specialists can’t wait to help.
To learn more about what your options are when you need to store your emergency cash safely, continue reading below.
Does an Emergency Cash Bank Exist?
The COVID-19/Coronavirus health pandemic has given individuals all over the world a stark reminder that emergencies can happen when you least anticipate them. Having money put aside, however, is a great thing to consider when times become challenging.
However, emergency cash banks do not exist, unfortunately. There are several types of secure places where you can store your emergency money using your existing bank.
Below, we will take a look at a few of the most secure places you can store your emergency cash.
Secure Places to Keep Your Emergency Cash
Here are a few places that work well to secure your emergency cash:
High-Yield Bank Accounts
A high-yield bank account could be an ideal spot to keep your emergency cash. This means your money be readily available in this kind of savings account. Additionally, you will also be able to earn high-interest on your deposits.
To learn more about what type of high-yield savings account is best for you, start searching for banks or credit unions with competitive interest rates and no monthly charges or a lengthy requirement process. Additionally, search for banks offering new customers with signing bonuses. This could provide you with additional benefits before you make an initial deposit.
Money Market Accounts
Another great place for your emergency cash when deciding where to keep your emergency fund is a money market account. Money market accounts are quite similar to savings accounts in that they provide higher yields. Additionally, you can start a money market account online or at your local bank and view your account through your online account.
One of the great things about money market accounts to save money is that they often pay higher interest rates. However, money market accounts are also subject to withdrawal limitations. Additionally, you could be subject to additional fees for exceeding that limit.
Money market accounts are simple to use. This means your balance can be withdrawn at any moment. This option may be a fantastic alternative for storing your emergency savings. However, much like the other types of accounts on this list, it is worthwhile to look around and compare prices and benefits with other banks before making your final decision.
Certificates of Deposit (CDs)
Certificates of Deposit (CDs) offer a fixed rate of return for your cash for a particular amount of time. When you put money in a Certificates of Deposit account, you are choosing to keep your money locked into a bank account for a particular length of time. During this time, your cash will begin to accrue rates of return. Because your rate of return is ensured, starting a Certificates of Deposit account could provide you with a way to make additional returns on your emergency cash.
One of the great benefits of a Certificates of Deposit account is that they typically pay higher rates of return compared to alternative accounts on this list. However, because Certificates of Deposit accounts place your cash in an account that is out of reach, you may need to pay the penalty to close your Certificates of Deposit accounts to access your funds.
To fight this, many consumers elect to “ladder” their Certificates of Deposit account. This option allows them to choose staggering maturity dates for their cash, thus allowing them to have access to CD accounts while still earning more returns on others.
While a Roth IRA might not look like the ideal place to store your emergency cash, it makes the most sense for some consumers. By investing your money conservatively through a Roth IRA, also known as a retirement account, you open yourself up to the possibility of securing greater earnings than conventional savings options without the additional dangers.
Traditional Savings Account
Last, but certainly not least, is the traditional savings account. For consumers with little market knowledge or are just looking for a fast and easy way to deposit and withdraw cash, a standard savings account may be the best option. Nearly every type of consumer is comfortable with savings accounts.
When you start a savings account, you initially put a little cash into the account, and in return, you receive peace of mind knowing that your money is secure. Compared to other options on this list, such as a Certificates of Deposit account, a traditional savings account is much more liquid. This means that you will be able to withdraw cash at any moment using an online savings account without paying additional fees or penalties. Even better, customers can use nearby ATMs as long as their debit card is partnered with the ATM provider.
However, the liquidity that savings accounts provide may come at a cost. This is because the rate of yield to acquire a savings account is typically lower than what consumers may get with a Certificates of Deposit. Additionally, consumers generally cannot withdraw money from a savings account more than six times per month. If you exceed that limit, most financial institutions will charge you additional fees.
Nonetheless, a traditional savings account remains one of the safest and most secure places that consumers can store emergency cash.
Make Your Emergency Cash Work for You with Max Cash Title Loans
Your emergency cash should be there to help protect you and your loved ones from emergency situations. Whether it’s used to pay for unexpected expenses such as medical bills, utility bills, or necessary living expenses, knowing you have emergency cash to pay for these things is critical.
If you have concerns about your emergency cash but aren’t sure where to turn, contact Max Cash Title Loans.
With our easy to use online title loan application form, we make the process of finding a title loan simple. Additionally, with 24/7 availability and friendly customer service, you can be sure that Max Cash Title Loans will always be there for you.
To start your title loan application form, give us a call or fill out a short online application form today. From there, we can guide you through the rest of the process. We can’t wait to hear from you!