Savings accounts or wallets are incredibly useful tools to assist you in reaching your financial goals more easily –regardless of whether those goals are long or short-term.
When the time comes to use these tools, it’s essential to have an understanding of how they work. You may need to check with your bank if you are able to make wire transfers directly from your savings account. In most instances, it all comes down to the type of account, your spending limits, and your wire transfer history.
Moving Money Between Accounts With the Same Bank or Wallet
One of the easiest experiences you’re likely to have when wiring money from a savings account is moving money between accounts held at the same bank. This is because your traditional bank is required to make the least amount of security checks for this type of transaction.
No matter if you want to wire the money through online banking, face-to-face in your nearest branch, or even over the telephone, it should be more than simple to move money from your bank’s savings account to any other of your accounts with the bank. Just be aware that if you move money more frequently than your savings app or account allows (typically 3 – 4 transfers) then there may be applicable fees for the privilege. The limit to the number of transfers will be aligned with the terms and conditions of your account.
Moving Money Externally
Another transaction you may need to complete is wiring money from your account to an external account that you own that is with another institution altogether. This may make things slightly more complex, as there are multiple factors involved in the transaction. However, it may still be possible to process quickly depending on the route you take.
Traditional savings accounts by their very nature have your best interests in mind and subsequently, make it more complicated to move funds. It’s likely that you will have to take extra steps to complete a transaction, such as completing a verification by phone or visiting a branch, depending on your bank’s platform.
Wiring Money to Others
An alternative method is to wire money from your account to another which is something that cannot be done as easily. In fact, it’s generally very difficult to do and funds may need to be moved to another of your personal accounts, such as a checking account before you’re able to complete the transaction.
A final option is to draw your money as cash, through transfer services, or however else you’re able. This also applies to using your savings account to pay for transactions or paying merchants for regular purchases.
Limits to Wiring from Accounts
No matter where or why you’re trying to wire your savings, there are still many different factors that may hinder the process, if not prevent you from being able to do it all together. A prime example of this will be the type of savings account you are working with.
Off-the-shelf savings accounts, such as regular savings accounts, will be the ones that you’ll find the most accessible to wire your funds; the downside is that they often have a lower interest rate as a result. But accounts with higher interest, however, like high-yield savings accounts that are available from many online financial services, may well enable wiring savings as well, so you’ll have to check the available services offered by your financial institution. Another great option with the Cashero App is the ability to send transfers not just within your country but globally! With a Cashero Wallet, you can deposit and withdraw funds with banks in those countries in a number of local currencies. These external withdrawals are handled just like an ACH payment with a bank and take approximately 3-5 days. It should be noted, however, that sending money between Cashero Wallets occurs instantly.
Other accounts like money market accounts or cash management accounts don’t often have the availability to make a wire transfer. Their focus is on saving for longer periods, often with fixed terms, during which time money is difficult to access. In fact, any funds that you try to move may even be chargeable since you’re going against the terms of the agreement.
The Purpose of Savings Accounts
Ultimately, saving accounts are all about saving – and that’s the whole point of their existence. Transferring money from your savings account is something your bank does not want you to do (or something you will likely want to do either). They’re designed to help you get the most that you possibly can from your money, and that’s something you should embrace.
This is also the exact reason why there’s more than one type of savings account in which you can choose to hold your money. There are smaller interest accounts that allow you to move your money much more easily for those savings that aren’t quite in there for the long term and more for things such as an emergency.
Conversely, there are also accounts that are designed to be long-term and charge fees in the event you need to access funds early. These accounts will make it dramatically harder to transfer your money from, but will probably make it easier for you to invest.
Alternative Ways to Send a Transfer
With the Cashero App, making a transfer is headache-free. Once you deposit money into your Cashero Wallet, you can make instant transfers to any other Cashero Wallet users, using stablecoins technology in the back end. Moreover, you’ll earn an inflation-beating Annual Percentage Yield (APY) of between 2 – 6% with a Cashero High-Yield wallet. This means you’ll also earn on your app’s balance!
All in all, it comes down to you as the consumer to decide which bank account or digital service is best for them.
Content Disclaimer:
As of the date of publication, the information contained on this page is deemed to be factually accurate for all terms of conditions, features, and fees. Changes made to Cashero’s terms of conditions, features, or fees after the publication of this content may not be accounted for.
App Disclaimer:
The Cashero App is now available for download in both the Apple App Store and Google Play Store, though not all features are currently functional. Cashero has not yet officially launched.
