Place where I can get a savings account with a small principle?

Question

I'm 17 and want to save some money for college next year. I want to open a savings account somewhere with as high a APR as possible. The only problem is that most banks want 1,000 or more dollars to even open an account. I only have about 500 dollars. Does any one know any banks where I could open a savings account with such a small principle? I really want to start saving to be on my own next year!

I have a checking account at bank of america. I put all my money in there now and use my debit card often.

Answer 1

Find a credit union in your community. Most only require that you live, go to school or worship in that town to join. They usually only require about $5 to open an account. There are more advantages to being a member of a credit union...You get a higher rate of return on interest for saving accts. checking is usually free and when it comes time to build your credit, they have lower loan rates and they actually know you so it's easier to get car or house loans. We bought a car a few years ago with an interest rate of 3.5% when everyone else wanted 5.9%. All because of the credit union! Hope that helps, best of luck in your future!

Answer 2

I work for First National Bank, and you only need 100$ to open a savings account with us....the APR obviously is not substantially high for that kind of account and even if it were it would take a very long time to earn any real noticeable interest with even 500$ in it....however you are on the right track, i would suggest opening a checking account also, this just helps out your credit scores and will help you in the future with getting approved for loans, credit cards, etc.......

Answer 3

If you have a checking account, open an account at emigrantdirect.com It is currently earning in the 5% range and has no minimum balance. You link the account to your checking account and can move money back and forth rather easily. They can pay such great rates because it is an internet bank and they don't have the infrastructure to pay for. Some other online accounts that work in a similar manner are ING Orange and CitiBank, but I don't know the specifics.

Answer 4

Ummm...what kind of account are you trying to open. I've had a savings account since I was small, and there is no minimum. If you are wanting a super huge interest rate, sure, you have to have more money, but any bank will let you open a savings account.

What I would suggest is ask the bank about their Money Markets. They have a little bit higher rate of return for your money. They are don't have super huge returens, but still are safe, and you can access your money quickly if you need it.

Answer 5

I do not know where you have been looking but banks around me will NEVER turn you away even if you only have $50.oo, I am amazed to hear you say they want a $1000 minimum.

Find a credit union near you and you might find just how easy it really is to have a savings account. Our local credit union requires you to have $5.oo YES you read that right...FIVE DOLLARS to start one.

Keep looking and NEVER do business with those banks that have given you this $1000 requirement !!

Good Luck !!

: )

Answer 6

I would say that keep an amount of sharing that much you would need and use the else amount to pay the student loan because the interest rate on you student loan is higher than the profit you are gaining from your savings. And the suggestion about putting the money in some beneficial way is that you should put in the money market account it would be beneficial for you.

Answer 7

go to a reputable investment firm and purchase a conservative mutual fund portfolio. If you will need the money next year you should not go too risky.

Answer 8

capitolone high yield money market-
www.capitalone.com/directbanking/hymm/?linkid=WWW_1106_SAVG_10_HOME_C1_03_T_SP25&itc=CAPITALONE3111TZINTMKTGD4
it pays almost 5% and no minimum,no fee
you can use as a checking acct too, but you don't need to touch the money either, good luck
ps- I have an acct with them,, very easy and legit..

Answer 9

try www.hsbcdirect.com