Ok, ok, you need to have a little money for this to work for you, but opening an internet savings account can earn you more money in the form of extra yearly interest than a normal savings account. Since the internet has become more and more populair, banks have started offering internet banking services where you can arrange your banking affairs online. This saves the banks money, because they need to employ less people to handle your transfers or cheques and send you less account statements, saving them even more costs.
With an internet savings account the banks are giving some of that cost benefit back to you in the form of extra interest. The extra interest can be substancialy more than with a normal account, because with an internet savings account you arrange everything by internet. So you will not get any statements and all transfers are handled through internet, but if you have permanent internet access that is not a problem. Also most of the time money can only be transfered to and from your own personal checking account, eliminating any complex transfers.
I cannot recommend any specific internet savings accounts, because it depends on the region you are living in. Check with your own bank if they are offering internet savings accounts. If they do not, check some other local banks, because most of the time you can open an internet savings account with them even though your checking account is not there. There are also some international operating banks that offer internet savings accounts, one that pops to mind is ING Direct or Bradford & Bingley International.
Also watch out for offers from banks. Most of the time they offer extra interest in the introduction period, making it worthwhile to move your money to them. And if they later lower their interest, punish them by moving your money somewhere else
Happy saving!
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