How High Will Savings Account Rates Go This Year? We Did the Math And Asked the Experts
“Another reason some experts are skeptical of savings rates topping 4% this year is that many banks won’t choose to pass on all of the profits from higher interest rates on loan products to savings customers. That’s more difficult if they offer savings account rates just as high as the federal funds rate.
“Even the best of the high-yield savings accounts are going to keep some of [those profits]. You’re not going to be able to earn exactly on your cash what [banks] can earn on their cash,” says Conor Feldmann, CFA, portfolio manager for Truepoint Wealth Counsel.
Feldmann doesn’t expect savings rates to reach 4% by the end of the year but is hopeful that they will at some point next year.”
Read read more from Conor Feldmann in “How High Will Savings Account Rates Go This Year? We Did the Math And Asked the Experts” here.