Amid inflation worries, how to shop around for higher interest rates on your savings

Amid inflation worries, how to shop around for higher interest rates on your savings

Your emergency savings could be in danger of losing value due to one thing: inflation. on everything from gasoline, which has jumped 20% during the pandemic, to bacon, which is up 18.7%. Meanwhile, persistently low interest rates mean it's tougher to earn a return on your cash and keep your money in a place that's readily available. While all eyes are on policymakers to see what steps they may take to mitigate the situation, you may want to reevaluate where your money is deposited. Keep it safe While it is frustrating to know you're not getting a high return on your money, it's important to remember that you want those funds to be there when you need them. "With cash, if it's intended for something like an emergency fund or a short-term expense, it needs to be kept safe," said Ken Tumin, founder and editor of DepositAccounts.com. "Stocks or bitcoin or other types of investments are not appropriate for it," he said. When it comes to storing your emergency fund, there are generally a handful of options: certificates of deposit, checking accounts, savings and money market accounts, and savings bonds. Each offers potential benefits and drawbacks. Certificates of deposit Generally,