PUT YOUR EXTRA CASH TO WORK
Many of us hold too much cash in our bank accounts. It’s just sitting there, possibly earning you next-to-nothing. With Smart Saver, you could earn a 2.20% annual yield.*Start saving
Don't let your rate fall behind.
Smart Saver is a low-risk investing account composed of bonds (80% Short-Term U.S. Treasury Bonds, 20% Short-Term Investment Grade Bonds). So, if rates rise—like they have for the past several years—so does your yield. Banks, on the other hand, set their own rates and often don’t keep up with the market rate. Some even drop their rates over time.*
Find your extra cash
Not sure how much extra cash you have? We’ve got you covered. We can analyze expenses, estimate spending needs, and help you figure out just how much extra cash you might be holding in your checking account.
Coming soon: Two-Way Sweep
Let’s take the hassle out of investing your extra cash with our automated money movement tool, Two-Way Sweep. When we find extra cash, we can invest it in your Smart Saver. When you need it, we’ll move it back to your checking account. And, we’ll always let you know before we move your money.
* 2.20% yield is the asset-weighted blend of the 30 Day SEC Yield as of 1/2/2019 (a standardized calculation that reflects the dividends and interest earned after deduction of the fund’s expenses) of the ETFs that comprise this portfolio net of Betterment’s management fee (0.25% for its Digital plan). The ETFs were chosen with an aim to limit risk and produce income. Yield is an important number in evaluating a low-risk, all-bond portfolio, but is distinct from actual investment returns, which may vary. 20X the average savings account is calculated by taking the FDIC’s national average savings account interest rate for deposits under $100,000 of 0.09% (as of 1/2/2019) compared to 2.20%, the expected yield of a Betterment Smart Saver portfolio. Click here for more information.