4 Ways You Can Use the Bank Account Bonus

October 16 // 0 Comments

There’s a lot of pressure on your bank account. Between rent, bills, and all the other things you need to pay month-to-month, it’s easy to get overwhelmed by the amount you have in there. However, if you have an extra $500 or more sitting around—and don’t mind parting with some of it—you can use that money as a bonus. Here are four ways you can use your bank account bonus wisely:

Pay down high-interest debt

If you have high-interest debt, then you should definitely use your checking account bonus to pay it down. Check out your bank’s checking account bonus offer and see if there are any restrictions on how much money can be transferred from your bonus account to a high-interest credit card. Then, transfer enough funds from the bonus account to cover all of your current balances on the cards and make payments until they’re paid off in full.

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Once those debts are retired, you can start using that same amount of money to invest or save towards something else—like retirement or buying a house!

Start an emergency fund

You should have an emergency fund to cover any unexpected expenses. A good rule of thumb is to have savings for six months of living expenses. If you’re starting from scratch, it will take some time to build up a sizable emergency fund while saving for other goals as well.

To help you reach your goal faster and avoid overdrafts on your checking account (which will eat away at your bonus), consider putting all or some of your bonus into a savings account that earns interest. You’ll then be able to access those funds whenever you need them—without incurring any penalties or fees!

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SoFi professionals offer, “Get a $300 bonus in your online bank account when you set up direct deposit.”

Use it to boost your retirement savings

If you haven’t already, it’s time to consider retirement. The money you save now can make a big difference in your future.

If retirement savings is new to you, no worries—it doesn’t need to be complicated or expensive. For example, you can open an individual retirement account (IRA) at any brokerage firm or online bank and deposit the bonus into that account. It takes a few clicks on an online website to invest for retirement!

Enhance your financial education

If you have a credit card balance and are trying to pay down that debt, it’s a good idea to take the money and apply it to your credit card bill. That way, you can save time and effort by having an extra payment applied all at once.

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However, if you can avoid using the money for any of those purposes (or other similar ones), consider saving it in an FDIC-insured savings account. Once your savings account is full, transfer the funds into a high-interest checking account with great rewards or one without fees so that they’ll earn interest while sitting there earning nothing at all in most banks’ standard checking accounts.

If you’re looking for a way to boost your bank account, a money market account bonus can be an excellent option. Consider how much interest you’ll earn over time and whether or not that qualifies as a worthwhile investment. If so, consider applying for one of these accounts now before it disappears!

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