Review
Updated
Fact Checked
Nathan Alderman
There are all kinds of ways to make a savings account work for you. If you're someone with specific savings goals in mind and plan to keep your mitts off the money until your goals are met, a Popular Direct Select Savings account can help. In this in-depth expert review, we'll cover Select Savings' incredible APY, explain account limitations, and help you determine whether it's the savings account you've been looking for.
Ratings Methodology
Rates as
of May 16, 2024
Popular Direct Select Savings
Member FDIC.
Rating image, 3.00 out of 5 stars.
3.00/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
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Rating image, 3.00 out of 5 stars.
3.00/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
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= Best
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= Excellent
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= Good
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= Fair
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= Fair = Poor- Owned and operated by Popular Bank
- Can open an account with as little as $100
- Apps available for both iOS and Android
- Great APY
- FDIC insured
- Available online only
- No checking account options available
- Must provide proof that you own the account money is transferred from
- Deposits can take a long time to clear
- Fees can be costly
Bank customers who like to move money to and from their savings accounts will feel stifled by the Popular Direct Select Savings account. However, it's ideal for anyone who has fixed savings goals and is looking for a big return.
High-yield savings account comparison
We recommend comparing high-yield savings account options to ensure the account you're selecting is the best fit for you. To make your search easier, here's a short list of standout accounts.
| Account | APY | Promotion | Next Steps |
|---|---|---|---|
Rating image, 4.50 out of 5 stars.
4.50/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
up to 4.60%
Rate info
You can earn the maximum APY by having Direct Deposit (no minimum amount required) or by making $5,000 or more in Qualifying Deposits every 30 days. See SoFi Checking and Savings rate sheet at: https://www.sofi.com/legal/banking-rate-sheet.
Min. to earn: $0
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New customers can earn up to a $300 bonus with qualifying direct deposits!
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Rating image, 4.50 out of 5 stars.
4.50/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
5.00% APY for balances of $5,000 or more
Rate info
5.00% APY for balances of $5,000 or more; otherwise, 0.25% APY
Min. to earn: $100 to open account, $5,000 for max APY
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N/A
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Rating image, 4.50 out of 5 stars.
4.50/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
5.26%
Min. to earn: $1
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N/A
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Popular Direct Select Savings interest rate
| Account | APY | Minimum Deposit |
|---|---|---|
| Popular Direct Select Savings | 5.20% | $100 |
Data source: Popular Direct.
You'll need $100 to open a Popular Direct Select Savings account, but you'll be rewarded with one of the best APYs we've seen on savings accounts.
Full Popular Direct Select Savings review
Despite the benefits of a great interest rate, the Popular Direct Select Savings account is not for everyone. It's important to understand its limitations before signing up.
Top perks
Part of an experienced bank: The fact that the Popular high-yield savings account is available online only may lead one to believe that it's part of a start-up company. However, as an offshoot of Popular Bank, Direct Select Savings is backed by a banking system with over 120 years of experience.
$100 is all it takes to open an account: While $100 is nothing to sneeze at, the minimum deposit required is lower through Popular than many banks paying competitive APYs.
Mobile apps available: If you're someone who enjoys the option of banking on the go, it's good to know that your savings account is as close as your mobile app.
Great APY: The rate can change at any time, but now is a good time to earn cash while you can.
FDIC insured: If, for any reason, Popular goes belly up, you know that FDIC insurance will cover up to $250,000 per account holder.
What could be improved
Available online only: There are still those consumers who would prefer to walk into a local branch of their bank and deposit or withdraw funds when needed. That's not possible with a Popular Direct Select Savings account as Popular is an online-only bank.
No checking available: There are no checking accounts available at this time, meaning deposits must be made either through direct deposit or transferred from an external bank account.
Must provide proof of ownership of linked external account: Before you can transfer money from an external bank account, you need to provide proof of ownership of that account. Proof of ownership must be received within the first 10 calendar days of the Direct Select Savings opening date.
Somewhat confusing availability schedule: While Popular provides a schedule of when you can expect funds to be available, it's easy to become confused. For example, it can take up to four business days for funds to become available during the first 90 days your account is open. After those 90 days, it can take up to three business days. The first $225 of a check deposit is generally available one business day after deposited, while the remainder is available on the second business day. The point is this: It's important to familiarize yourself with when you can expect funds to become available to avoid cutting yourself short.
Fees can eat away at earnings: Most financial institutions charge fees, but Popular's can easily erode your earnings. For example, if you close your account within 180 days of opening it, you'll be charged $25. If a statement is returned as undeliverable, you'll get dinged for $5. If you exceed the number of permissible transactions per month, it's another $5.
How to access your money
You may not be able to run to your local bank branch to make a deposit or withdrawal, however, there are still systems in place to ensure you can get to your money when needed.
Deposit options
There are several ways to deposit funds into your Popular Direct Select Savings account, including:
- Direct deposit
- Electronic transfer from linked external bank account
- Transfer through existing Popular Direct accounts
- Via mobile check deposit
Withdrawal options
Your withdrawal options, however, are more limited:
- Electronic bank transfer to external bank account
- Wire transfer
Popular Direct Select Savings is right for you if:
If you're looking for a great APY but can't picture yourself needing money from your savings account immediately, the Popular Direct Select Savings account may be right for you. Your best bet would be to tuck money away into this account and withdraw it only when you have time to wait for the transfer to an external bank to be completed.
Keep reading about Popular Direct Bank
Our savings account methodology
At The Motley Fool Ascent, we rate savings accounts on a five-star scale (1 = poor, 5 = best). We evaluate all savings accounts across four main criteria: annual percentage yield (APY), brand and reputation, fees and minimum requirements, and perks that really make a difference -- think ATM access, linked checking accounts, or even branch access.
Our scores are weighted as:
- APY: 50%
- Brand and reputation: 20%
- Fees and minimums: 15%
- Other perks: 15%
Learn more about how The Motley Fool Ascent rates bank accounts.
FAQs
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There is no guarantee. Financial institutions have the right to change the APY at any time.
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If you close your account within 180 days (six months), you'll pay a fee of $25.
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Popular does not currently offer checking accounts. If you want a checking account, it will need to be through another financial institution.
Our Banking Experts
Dana George has a BA in Management and Organization Development from Spring Arbor University. For more than 25 years, she has written and reported on business and finance, and she's still passionate about her work. Dana and her husband recently moved to Champaign, Illinois, home of the Fighting Illini. And though she finds the color orange unflattering on most people, she thinks they'll enjoy Champaign tremendously.
Fact Checked
Nathan Alderman
Nathan Alderman has worked with The Motley Fool since 2005, making errors his arch-enemies in a variety of roles including a six-year stint as the dedicated fact-checker for The Motley Fool's premium newsletter services. As The Ascent's Compliance Lead, he makes sure that all the site's information is accurate and up to date, which ensures we always steer readers right and keeps various financial partners happy. A graduate of Northwestern University's Medill School of Journalism, Nathan spends his spare time volunteering for civic causes, writing and podcasting for fun, adoring his wife, and wrangling his two very large young children.
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We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. The Ascent, a Motley Fool service, does not cover all offers on the market. The Ascent has a dedicated team of editors and analysts focused on personal finance, and they follow the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands.
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