Considering the Apple savings account? Think about this first

Apple debuted a new high-yield savings account this week, and there's a lot to like. The account offers a variable 4.15% APY with no fees and no minimum deposit or balance requirements. This is an attractive opportunity for many account holders used to low interest rates and routine fees. 

While the Apple savings account looks very good, says Billy Hatton, CFP, founder of Billfold Budget Counseling, there's one thing anyone considering it should keep in mind.

"It's tied with the Apple Card, and since it's very easy to use the card, it can be very easy to tap the savings account too."

Like other savings accounts, you can move your savings from the Apple account into an external bank account when you need it — which takes about one to three business days. But you can also simplify and speed up the transfer by moving any amount of savings directly to Apple Cash. 

"If you transfer money from Savings to Apple Cash, the funds are typically available instantly," Apple's website states.

Depending on how you spend and save, this could be a useful feature or inhibit your savings goals. Below, we'll explore why, and other things to consider when picking a savings account.

Learn more about the best savings account rates available today.

Should you still get the Apple savings account?

One of the best reasons to use a high-yield savings account is to store your money in a secure place while you earn some extra interest on your balance.

Whether you're saving an emergency fund or you want to put money away for a future vacation or large purchase, it's useful to have a goal in mind for the money you save.

Having instant access to spend your savings balance whenever you want could be good in some cases. If you incur an emergency expense, it's helpful to have the peace of mind of an instant transfer, for example (as long as you can cover the charge using your Apple Cash balance).  

But you need to be careful with how you use it. If you're not diligent in your budget and spending plan, you might be tempted by the easy access when you get the impulse to spend. Standard electronic transfers from a high-yield savings account to external accounts — which can take a day or so to move through the system — could help avoid impulse spending while still offering quick access to your money when you need it.

The Apple savings account instant transfer to Apple Cash isn't a bad feature, but you should think about your spending habits to maximize your benefit.

Compare the top high-yield savings accounts available now to find the right fit for you.

What else should you look for in a savings account?

Account access is one important feature to consider, but it's not the only factor in your decision. Here are a few more things to look for when you open a high-yield savings account. 

Interest rate

Today's savings account interest rates are very high, and could help you earn hundreds on your savings balance over time. 

Make sure any high-yield savings account you choose has a competitive interest rate. Apple's savings account can be a good choice; its 4.15% APY is among some of the top rates today. But there are some high-yield accounts with similar features and interest rates upwards of 4.5% APY.

Savings account rates are variable, which means the rate you lock in today won't last forever. However, that's more incentive to start saving in a high-yield account and taking advantage of today's high rates while you can. 

Choosing an account with a great rate today can be a good way to ensure that your rate will remain competitive among other bank options even when rates do fall.

Explore today's top high-yield interest rates now.

Fees and minimums

Another benefit of the Apple savings account is its lack of fees and minimums.

Look for a savings account that charges no monthly fees, since these can quickly cut into your interest earnings. Some fees, like paper statement fees and returned payment fees, are standard among most deposit accounts (and avoidable depending on how you use your account). But it's best to avoid accounts with a monthly maintenance fee if you want to maximize interest. 

Also: Read your account details to find out whether you'll be subject to a minimum deposit or minimum ongoing balance requirement. If you have the cash saved already to meet these minimums, it might not be a dealbreaker, especially if it's only a minor sum. However, if you do need to take out a large portion of your savings for an emergency, you could be subject to a fee if you move below the required minimum.

FDIC insurance

The baseline standard you should look for in any high-yield savings account is FDIC insurance. This is how you'll know your money is safe, even if the bank fails. 

FDIC insurance covers up to $250,000 in deposits per bank and account type. That means you shouldn't put any more than that amount in any single high-yield savings account (and some banks may not even allow it).

You can look for "member FDIC" on your bank's website or your account agreement.

The bottom line

A high-yield savings account is one of the best tools you can have today. But because the money you put in savings is often designated for a specific purpose — like emergencies or periods of financial hardship — it's important to avoid spending it on other things. Think about whether an account with instant access to savings could keep you from meeting your goals, and always make sure any savings account you open has a competitive interest rate, no fees and minimum balance requirements that work for you.

Explore some of the top high-yield savings account rates right now.