#USA #Mountain View #Inflation #Savings Account #Tellus App

Tellus Raises APY to 8.00%

In a proactive move to help consumers wrestle against the pressures of rising inflation, Tellus App, Inc., a prominent player in the proptech sector, has elevated the annual percentage yield (APY) on its Reserve Account to 8.00%. This new rate is effective immediately and marks a significant increase from the previous APY of 7.75%.

As many are aware, inflation has been a persistent challenge in the economic landscape, with consumer prices rising by approximately 3.7% in the last 12 months according to the U.S. Bureau of Labor Statistics. The demand for higher interest rates on savings accounts has become more pressing as people seek ways to preserve their financial health. The latest increase from Tellus comes at a time when energy prices alone have surged by a staggering 20.4%, emphasizing the critical need for effective savings strategies.

Jeromee (JJ) Johnson, the President of Tellus, highlighted the significance of these changes, stating, "You can't control what prices do, but you can control what you save. Set money aside in Reserve and you earn 8.00% APY on it. Make it a payday habit, and you fight rising prices one deposit at a time." This perspective reflects a broader trend of individuals seeking innovative ways to bolster their finances during uncertain economic times.

How Does the Reserve Account Work?

The Tellus Reserve Account operates as a sub-account designed primarily for savers who want to earn a higher yield above the standard Boost base rate. Funds deposited in the Reserve Account can accrue interest up to a preset limit, beyond which any excess funds will automatically transfer into the customer's Boost Account. It's important to note that the new APY of 8.00% is available for both existing and new Reserve Accounts, which have a minimum threshold starting from $2,500.

The appeal of the Reserve Account extends beyond its attractive interest rate; it offers users the benefits of no fees and no mandatory lock-in periods, allowing for greater flexibility and ease of access. The unchanged base rate for the Boost Account only adds to the overall appeal for savers looking to maximize their returns.

A Safe and Reliable Option for Savers

Tellus, which is based in Silicon Valley, operates under a framework that differentiates it from traditional banking entities. While the app provides innovative cash accounts leveraged by real estate, it is important to clarify that Tellus is not a bank and does not hold FDIC insurance itself. Instead, the FDIC-insured Deposit Account is managed by Central Bank of Kansas City, which ensures that deposits are safeguarded up to the maximum limits established by the FDIC. It’s crucial for users to understand that the safety net extends only to eligible deposits held at Central Bank of Kansas City, and not to the app or non-deposit products.

For many, these elevated rates and varied account options represent a compelling reason to consider the Tellus savings app as part of their financial strategy. In an era where financial literacy and effective money management are critical, Tellus stands out as an accessible platform for both seasoned savers and those new to managing their finances.

For users eager to begin or continue their saving journey, the Tellus app is available for download on both the App Store and Google Play, along with a user-friendly web interface at web.tellusapp.com. With this significant increase in the Reserve Account interest rate, Tellus is reaffirming its commitment to supporting savers in the fight against inflation. As the economy continues to fluctuate, such decisions by financial technology firms could pave the way for enhanced financial stability for individuals everywhere.

Key Takeaway

The recent increase to a remarkable 8.00% APY on the Tellus Reserve Account is a strategic move that empowers consumers, enabling them to better navigate the inflation landscape while managing their savings effectively.