When we first introduced Personal Capital Cash™ last June, we were pleased to offer the opportunity for individuals to earn more interest on their cash. Then we then started thinking about how we can continue to meet the needs of modern families—whether it’s putting money aside for an emergency fund or a dream trip, it should be easier for you to meet your goals together. With that, we’re excited to share that Personal Capital Cash™Joint Accounts are available today, January 22, 2020.
A Refresher on Personal Capital Cash™
You’ve heard the age-old advice to stash your money somewhere accessible for emergencies and rainy days, but where to put it? Many turn to traditional savings accounts because a bank is the traditional place to store these funds. What we’re not told though, is you can receive higher interest rates elsewhere, and that millions of dollars are potentially lost that could be earned as interest.
Is there a better way? Glad you asked.
Personal Capital Cash™ offers no account minimums, no fees, and flexible deposits and transfers. This account does more than just stash your cash, you can earn from it while having the flexibility to access it every day.
Transparency in Couples’ Finances
For many couples, saving money is a joint effort. With a Personal Capital Cash™ Joint Account, you can both access your money with ease and convenience. A Joint Account can also help open up discussions surrounding financial planning. It helped my family streamline household finances as a way to plan, save, and pay for expenses like family vacations, a new car, and even date night.
Here’s how it works. Like the Personal Capital Cash™ Account, the Joint Account has no account minimums, no fees, and best of all, there are no monthly limits on the number of times you can add, withdraw, and transfer funds between your accounts. When you open a Personal Capital Cash™ Joint Account, you’ll both get access to the account through the award-winning Personal Capital Dashboard, and both people can make contributions and withdrawals. You can also move your individual Cash Account to a Joint Account without fees or minimums. With Joint Account, you and your partner can now plan and meet your goals together, while earning money as you keep it there.
Potential of up to $6 Million in Aggregate FDIC Insurance
As with an individual Cash Account, Personal Capital Cash™ Joint Accounts have up to an aggregate of $1.5 million in FDIC insurance1. This means if you and your partner have separate individual accounts and a joint account together with Personal Capital, you can ultimately have up to an aggregate of $6 million FDIC insured deposits. Here’s a breakdown:
- Your Personal Capital Cash™ Account: up to an aggregate of $1.5 million FDIC insurance
- Your partner’s Personal Capital Cash™ Account: up to an aggregate of $1.5 million FDIC insurance
- You and your partner’s Personal Capital Cash™ Joint Account: up to an aggregate of $3 million FDIC insurance
Earn More Together
Personal Capital Cash™ is a convenient way to save as a couple. Sign up with your partner in just a few easy steps to meet your goals together with a Personal Capital Cash™ Joint Account.
*Personal Capital Cash is offered through Personal Capital Services Corporation (Personal Capital). Personal Capital is not a bank. Bank deposit products provided by UMB Bank n.a., Member FDIC. To participate in the program, you must open an account at UMB Bank, through which your funds will be placed in accounts at participating program banks. The advertised interest rates are paid by participating program banks, not by UMB. Your funds will be FDIC insured up to applicable limits while in transit through UMB Bank. Personal Capital receives a fee from each Program Bank in connection with the Program that is based on the aggregate daily closing balance of deposits held in Program Accounts by such Program Bank. The fee may vary from Program Bank to Program Bank and will generally increase as the aggregate amount of funds held in Program Accounts with the Program Bank increases.
1 – FDIC insurance up to $250,000 (including principal & interest) per depositor per program bank. The cash balance you place through the program is swept to one or more program banks where it earns a variable rate of interest and is eligible for FDIC insurance. If the number of program banks changes, the aggregate amount of available FDIC insurance could be higher or lower. If you have deposits at a program bank, you should consider electing not to use that bank by following the opt out instructions we provide. If you do so, the aggregate amount of FDIC insurance available to you will be lower. If you do not do so, your existing deposits and deposits through Personal Capital Cash at that program bank will be combined for the purposes of FDIC coverage, which could result in some of your funds at that program bank being uninsured.
For more information on FDIC insurance coverage, please visit www.FDIC.gov. Customers are responsible for monitoring their total assets at each of the program banks to determine the extent of available FDIC insurance coverage in accordance with FDIC rules. Funds you place through Personal Capital Cash are not covered by SIPC.
2 – The Personal Capital Cash™ Annual Percentage Yield (APY) as of 10/31/19 is 1.55% APY (1.539% interest rate). The calculation for APY is rounded to the nearest basis point. For Personal Capital advisory clients, the APY is 1.60% (1.588% interest rate). Both the interest rate and APY are variable and subject to change at our discretion at any time without notice.
3 – The national rate is calculated by the FDIC as of 12/23/19 based on a simple average of rates paid (uses annual percentage yield) by all insured depository institutions and branches for which data are available. Savings account rates are based on the $2,500 product tier. Account types included in the FDIC calculation are those most commonly offered by the banks and branches for which they have data – no fewer than 45,000 locations and as many as 81,000 locations reported. The deposit rates of credit unions are not included in the calculation. Visit FDIC site for details.
4 – There are no limits on the number of deposits or withdrawals you can make under the Program. The maximum deposit limit per transaction is $250,000. The daily withdrawal limit is $25,000 unless (i) your account was opened prior to December 1, 2019, (ii) you are a Personal Capital advisory client, or (iii) your account was opened and funded more than 60 days before the withdrawal, in which case the daily withdrawal limit is $100,000. For security reasons, there may be other limits on the amount, number, frequency, or destination of deposits or withdrawals you can make to or from the Program. Transaction limits are subject to change at our discretion at any time.
The content contained in this blog post is intended for general informational purposes only and is not meant to constitute legal, tax, accounting or investment advice. You should consult a qualified legal or tax professional regarding your specific situation. Keep in mind that investing involves risk. The value of your investment will fluctuate over time and you may gain or lose money.
Any reference to the advisory services refers to Personal Capital Advisors Corporation, a subsidiary of Personal Capital. Personal Capital Advisors Corporation is an investment adviser registered with the Securities and Exchange Commission (SEC). Registration does not imply a certain level of skill or training nor does it imply endorsement by the SEC.