Since the collapse of Lehman Brothers and the Bernie Madoff financial fraud of the century, the financial tools, which once seemed securely sheltered from any Wall Street tremors, appear vulnerable and frail then ever. Fortunately, high interest savings accounts with a value of $250,000 or less of have a modicum of a safety net. But, these Federal Deposit Insurance Company (FDIC) backed savings’ investments accompany a few pesky terms to beware of.

The high interest savings account tends to give prudent, cynical savers, who prefer pure liquidity, a certain level of security. Despite the FDICs safety cushion (covering accounts up to $250 K insured), the high interest savings account calls for some due diligence.

In an effort to minimize research, consumers will open a high interest savings account at the bank where they have a checking account. The rational seems practical when one considers transferring funds between accounts.

For a household with a savings of $100,000, the high interest savings account makes the most money-wise sense.

The only problem is that banks, such as Chase, have persnickety little guidelines that many consumers overlook until it’s too late.

Since many Americans prefer to do conduct banking at one financial institution, remember to review all the terms.

For instance, some financial institutions will charge a monthly fee, if the checking and high interest savings accounts do not maintain a minimum balance. In example, the minimum average requirement of both accounts is $75,000 at Chase.

Although many brick and mortar banks offer incentives for consumers to maintain both a checking and high interest savings account at the same financial institution, remember to peruse the fine print. As at Chase, when consumers do not conduct any banking transactions within a 35-day period, they run the risk of yielding a lower interest from the “enhanced rate” originally shown with the high interest savings package. (The aforementioned stipulations are just a few reasons consumers must always read financial details in entirety).