575 Magazine Articles How to make the banks work for you

How to make the banks work for you

If you have invested in a fixed deposit account with your bank you know, you earn very little money from the interest that you are supposed to get. Banks will usually pay a maximum of one percent interest on any kind of investment in their saving products. So if you can’t earn much interest from Banks, how then do you make money through them?  This article will explore five ways that are proven to earn you a sizeable amount from the bank.

How to Skyrocket Your Bank Account

1. Collect Signup Bonuses

One of the easiest ways to make money from your bank is to get some sign-up bonuses. In the recent past, banks are paying customers bonuses for an opening bank account. you can make a reasonable account. Chase bank recently had a campaign where one was getting paid two hundred and fifty dollars to open an account with them.

You can opt to open an account earn a bonus then close the account after some time. All you have to do is carry out a google search to find back near your location that has such offers and take advantage of them as quickly as possible as they do not run for very long. the consistency of these offers is not promised but you can take advantage of them while they last.

2. Penny Hoarding

if you enjoy collecting coins then you can monetize this hobby. Earn some money from your bank using this method. Pennies that were minted before nineteen eighty-three were made of copper. The price of copper has recently risen to three dollars per pound. This means that those pennies from that period would be worth two cents for every piece.

Penny collectors store away thousands of these coins waiting for a time in future when they can legally melt down their pennies to get the value of the copper. You can buy pennies from your bank for twenty-five dollars you would get two thousand five hundred pieces. You can then sell those pennies on e-commerce platforms like eBay. For every one hundred dollars sold you could earn thirty-five dollars. The return on this investment is quite high. To make it easier on your self you would probably have to purchase a penny sorting machine.

3. Borrow to Flip a House

So what happens when you find a perfect home that you could fix up and sell for a profit but you do not have the money? You go to your bank and get a loan. It can be challenging to get a loan to fix a house, but recently the FHA set aside its rule against flipping houses for the organization’s foreclosure sales, you can be able to find a bank that would be willing to give loans on some of these projects. You can also against your own home that is if you have enough equity.

4. Buy a Bank Foreclosure

Banks have very many homes that they need to foreclose on. If you have access to them and have the money to buy these homes you could make a handsome profit from this. You could approach a bank and purchase a home that they have foreclosed on, fix it and then put the home in the market for sale. you might find that you could make a handsome profit as the bank will usually just want to make the mortgage balance which sometime could be ridiculously low in comparison to the real value of the home. You may find that some homes may even go for as little as a few hundred dollars. you could make a very good profit from such opportunities.

5. Collect Teaser-Rate Interest

Some banks will pay you a higher than average interest to open certain kinds of accounts with them As mentioned earlier banks do not pay very good interest for their normal accounts. they will only pay one percent per year for the same. But when you open a money market account, for example, you can find that you would earn one point four percent on the deposited amount per month.

This averages eight times the amount that banks would normally pay for interest on their products. These interest rates do not run throughout the year. you could find that they only run for six months. When the time lapses you can opt to move the money to another bank with a similar offer and keep taking advantage of these offers. The interest rate earned is dabbed ‘Teaser rate’.