While some financial analysts recommend bank-bouncing as a means to maintain the highest yield on a high interest savings account, it’s not the most practical solution. Not to mention, a myriad of banks lure customers in with promotional interests rates, which accompany a slew of limitations, penalties and fees.

Reading reviews and perusing the terms of service of the high interest savings account will save a lot of surprises, frustration and any potential losses in the long run. This article is a review about a renowned, online high interest savings account, who goes by the name of Ally.

(While this article describes the details of the high interest savings account, it is not an endorsement).

About Ally

Ally should not be confused with the American boxer, Muhammed Ali.  Ally is also not the dietary pill (alli), touted as an effective weight loss program. No, actually as an online financial institution, Ally is driven by money. Well, it’s with a bevy of financial products. In particular, Ally’s high interest savings account plan has been the hot pick lately for consumers, looking for a safety net to stash cash.

High Interest Savings Attractive traits/ benefits: With a no monthly minimum or monthly fees, Ally tends to outshine other financial institutions, offering high interest savings. Compared with other banks, Ally’s high interest savings account does not charge fees that are not issued by an employer. Like other banks backed by the FDIC, Ally ensures that deposits up to $250,000 are insured. Moreover, with every statement cycle, customers have six-fee-free transactions.

Unappealing feature(s): Since a good percentage of the population is flummoxed by  which financial products offer the best yield, Ally’s monthly Sleeping Awards, recommending other financial savings’ programs, tend to perplex most consumers.

Ally’s high interest savings mantra: “We work to keep rates high. Other banks tempt new customers with promotional rates.” (Source:  http://www.ally.com/online-savings-account/index.html)

Ally assesses interest…. on a daily basis. With Ally’s practice to compound interest each day, customers have a definitively better return on a high interest savings account that at other financial institutions that assess interest on monthly, quarterly, and annual cycles.

Although the above details, pertaining to an Ally high interest savings account are current as of April 19, 2010, always review all details, terms of services and fine-print to avoid any financial blunders.