Local News


New app claims it will help earn more interest on savings

Posted at 6:07 PM, Oct 30, 2017

There's a new app that wants to help earn interest on money in the bank.

The average U.S. savings accunt pays .06 percent interest. That's about 60 cents a year for someone who has $1,000 socked away.

But a new app named Beam is promising up to 4 percent for your money. That means $40 in interest on $1,000 vs. 60 cents. That equals a tank of gas or lunches for during the work week.

But there are plenty of questions about Beam.

It's not a bank but the founder says the cash would go into an FDIC-insured bank that he is declining to identify.

That bank would then pay 2 percent interest but you can boost it to 4 percent by doing small tasks through the app.