Account Intro: Capital One 360 online savings

pig-483242_640I talked about this account in my previous post on my Betterment savings. It started out in ING Direct more than ten years ago, but is now Capital One 360 (referral link). My shorter-term savings funds are now almost equally split between these two accounts.

I keep thinking that I should close this account and move it all to Betterment. Since this account earns so little interest (currently 0.75%), it is the first place I raid to cover an unexpected expense (or even expected, like my trip to Africa). It’s broken into two sub-accounts (or savings goals):

  1. $4,932 for regular savings – I automatically transfer $150 each month to build it up.
  2. $1,375 for property tax – I automatically transfer $300 each month to pay for property taxes on my condo (so I don’t have to scramble when the bill arrives). 2nd payment is due in a few months.

Total right now is $6,307. As of my November statement, I’ve earned $57.84 in interest this year. In theory, if I had this money in Betterment, I could’ve had about $231 (assuming my average 3% return YTD). Sure, this account is “safer”, but I think I’m still young enough to play it less safe!

Have I just convinced myself to consolidate all of my online savings into Betterment?? Keep reading for an update…

 Up next: ESPP Shareholder Account!

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