Should You Consider a Vio Bank High Yield Online Savings Account?

Online savings

According to Investopedia it is a savings account that pays an average of 20 to 25 times the national average of a standard savings account. High yield savings accounts help you maximize your returns at minimal fees. Originally, they were operated by traditional brick-and-mortar banks. The evolution of technology, and the realization of the untapped business and economic potential of the internet, has since led to their creation and rise in popularity. Vio Bank High Yield Savings Account is among the leading players in this business. In this article, we will discuss vital information about Vio, including some of the major perks and limitations of investing your savings with the bank.

Here are some pros:

1. High Annual Percentage Yield (APY)

The main purpose of opening a high yield savings account is to earn more interest on your savings. Vio Bank Online Savings Account offers a higher APY than most online savings accounts. According to Diposit Accounts, Vio’s APY stands at 1.85.

2. No Monthly Fees

Regular brick-and-mortar banks charge a monthly fee once your balance falls below a certain amount. Online banks, like Vio Bank, don’t charge any monthly fees. This is partly because online banks don’t have physical premises; hence their running cost is much lower. Investing your savings in Vio Bank Online Savings Account guarantees you more earnings at no monthly charge.

3. Ease of Use

Opening a Vio Bank Online Savings Account takes minutes. All you have to do is fill out a brief application form on their website. All your account activities are carried out online. From cash deposits to transfers, all you need is an internet-enabled device and computer literacy. Vio’s website layout is also pretty convenient and easy to browse through. They made it so simple that anyone can do it without straining themselves.

4. Vio Bank is FIDC insured

Even if you get the highest interest rate in the market, it would be meaningless if your money wasn’t protected. Vio Bank High Yield Savings Accounts are FIDC insured up to $250,000. That means you can rest assured that your money is safe and secure.

5. Low minimum account opening fee

Vio Bank High Yield Online Savings Account has among the lowest account minimums on the market. When opening an account, all you need is $100 to open your account. It is, however, important to note that some online banks don’t have an account opening minimum.

Here are some Cons:

1. No ATM or Debit Card

Unlike traditional brick-and-mortar banks where you are issued with an ATM or debit card to help you withdraw your money, Vio does not have cards or checks. Instead, you need to link your Vio account to a checker account. Withdrawal is done by transferring money from your Vio account to the checker account. It can take several days for the transfer to mature. This can prove disadvantageous; especially when you want the money in short notice. On the other hand, it might prove advantageous in that, limited access to your money means that you don’t get the chance to squander your savings.

2. Limited Customer Service

Vio bank offers customer service by phone only. Furthermore, the time of service is limited to:

  • Monday – Friday – 7.a.m – 9 p.m.
  • Saturday – 8.a.m – 6.p.m
  • Sunday – 12 p.m. – 4 p.m.

Compared to regular brick-and-mortar banks, these hours are okay. On the other hand, these hours are disadvantageous as most online banks offer 24/7 customer support. Also, other online banks offer customer support through email, LiveChat and phone.

3. Vio has a Minimum Account Opening Deposit

Many online banks have no minimum account opening deposits. Vio Bank, on the other hand, requires you to deposit $100 to open an account. The money stays in your account and is taken as part of your savings. $100 may not sound like much to you, but it might lock out people who are just getting started and don’t have the money.

How to access money from your Vio Bank High Yield Account

Although Vio Bank does not have physical branches, there are plenty of options you can choose from to access your money.

Deposit Options

You can deposit money into your Vio account through:

  • i) Wire transfer
  • ii) Physical check
  • iii) Electronic transfer from a linked account

When depositing money from your checking account into your Vio account, the best method to use is electronic transfer. There is no limit to the number of transfers you can make. Although; the deposit might take several days to process, since Vio does not offer checking accounts.

You can also mail physical checks to Vio or deposit your savings via wire transfer. The bank also has a mobile banking app that you can use to deposit and monitor your account.

Withdrawal options

There are two methods you can use to withdraw money from your Vio account:

  • i) Electronic transfer to a linked account
  • ii) Wire transfer

Both methods take several days to transfer funds; hence you cannot access your money immediately after a withdrawal request. Therefore, you have to schedule transfers a few days before you need to use the money.

Vio Bank High Yield Account fees

According to MyBankerTracker Vio Bank has the following account fees:

  • Monthly maintenance – $0
  • Stop payment fee – $30
  • Domestic outgoing wire transfers – $18
  • Returned item fee – $7
  • Excess withdrawal -$10
  • Domestic incoming wire transfers – $0

Final Verdict

If you rarely withdraw your savings, then the Vio Bank High Yield Savings Account is the best savings account for you. It has higher interest rates than some of its competitors and the fact that it does not charge any account maintenance fee is a big plus. However, the fact that it does not offer a checker account and processing of funds takes several days might put you off. Apart from that, it’s a relatively good savings account because its benefits outweigh its limitations.

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