What is a common feature of high-yield savings accounts?

Study for the FDIC AIDT Ready-To-Work (RTW) Money Smart Exam. Practice with multiple-choice questions, each with hints and explanations. Prepare for your assessment!

High-yield savings accounts are designed to offer a more attractive interest rate compared to traditional savings accounts, making option A the correct answer. This feature is particularly appealing for individuals looking to earn more on their savings while still maintaining a liquid account.

While some high-yield savings accounts may also have features like no minimum balance requirements or limited transactions, these can vary widely between different financial institutions. Generally, the standout characteristic is the potential for higher interest earnings, which can significantly enhance the growth of savings over time.

Immediate access to funds and unlimited transactions aren't common features associated with high-yield savings accounts, as many of them may have restrictions in these areas to promote longer-term saving strategies. Thus, the emphasis on higher interest rates is what primarily defines high-yield savings accounts.

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