But this can have a downside: it’ll be easier to make impulse purchases with cash in a high yield savings account than cash that’s tied up in a CD. And with these types of savings vehicles, you won’t have to wait any time at all to withdraw funds from your account.
For instance, you’ll likely be able to get a similar, or even higher, APY when opening a high-yield savings account or money market account. However, it’s important to compare rates across accounts to be sure you’re getting the best return on your cash. Short term CD's, like 3-month or 6-month CDs, can be good options for individuals who don’t want to commit to having their cash tied up for long periods of time.
