Yotta: Prize-Linked Savings

Estimated reading time: 6 minutes

Data from the U.S. Census Bureau shows that the adult population spends an average of $40 to $947 per year on lottery tickets. However, studies show that the chances of getting struck by lightning are far greater than winning the jackpot. So what are the odds, right? 

The irony is this particular population is putting their hopes on the chance to win it big rather than saving their hard-earned money in the bank. The dream of winning it big one day is far more exciting than just depositing it little by little. It takes so much time and effort to save posting, and it just feels like you are never getting there. Yotta Savings has provided a fantastic alternative for you to do both without losing any money.

Yotta Savings: Frequently Asked Questions

What Is Yotta Savings?

Yotta Savings is a company based in New York City. It was founded by Adam Moelis and Ben Doyle in 2019, who took their inspiration from the U.K.’s Premium Bonds program in 1956. The government of the United Kingdom began selling interest-free bonds. Bondholders were then enrolled into a lottery-style system to earn monetary awards.

The founders wanted to encourage people to save with a twist. They partnered with high-value institutions that offer significantly better rates. They then combine a part of the interest and draw it as cash prizes every week. 

Other than that, they also get a certain percentage to pay to you regardless of what happens. So far, over 23 million accounts have been opened, with each account holder hoping to win it big during the weekly draws.

SEE ALSO: Webull Brokerage: What You Need to Know

Is It Legit?

Yotta Savings is a fintech company that provides a different rate of interest. Fintech refers to any company that employs technology to improve or automate financial services and operations.

And the Federal Deposit Insurance Corporation (FDIC) insures your Yotta Savings account up to $250,000. 

Furthermore, sensitive data such as your Social Security number is secured using 256-bit AES encryption and never kept on Yotta servers.

How Does Yotta Savings Work?

Savings Incentives

Yotta’s standard savings incentive is 0.20 percent. The total percentage includes the base rewards plus the lottery ticket prize winnings. 

The Weekly rewards on Yotta can vary from $0.01 to $10 million. Including ticket matches that match partially do still have a minimum payout.

Ticket Earnings

One recurrent ticket is awarded for every $25 deposited up to a maximum of $25,000 each week. And for every $150 over $25,000, you’ll get a ticket. So, if you have $10,000 in your account, you may earn 400 tickets every week.

You’ll also get eight free lottery tickets if you set up recurring deposits. You have the option of setting your deposit frequency to weekly, biweekly, or monthly.

A winner is picked once a week, on Monday at 9 p.m. EST. Customers do not lose money with Yotta, unlike with a typical lottery. And a third-party insurance firm selects the numbers and distributes the awards.

What Services Do They Offer?

Yotta Savings offers the following services. Each service has its features.

• Prize-Linked Savings
• Debit Card
• Buckets
• Credit Builder
• Paycheck Perks
• Credit Card
• Crypto Bucket
• Pool Play

What Makes the Debit Rewards Stand Out?

Yotta is not just about saving but will also be integrating the use of Mastercard debit cards in their system. And just like saving, every $10 purchase will get you one raffle ticket for the following week’s lottery draw. Other than that, you have a chance to get a full refund for the item you bought.

And it doesn’t end there, you may even get 1,000 tickets if you spend $2,000 in the next four months right after registering an account

What Are Crypto Buckets?

As if savings weren’t good enough, you can convert your USD into digital money by transferring your dollars to the Crypto Bucket.

As a result, you will get incentives from borrowers, giving you one of the most consistent rates of any savings accounts on the market.

When it rains, it pours in Yotta savings. Because when you convert your cash into Crypto, you get to earn tickets for every $10 than the usual $25.

How Does Yotta Savings Make Money?

As previously mentioned, Yotta tied up with banks that offer better rates and don’t have significant real estate or marketing costs. This partnership allows them to earn more interest and provide more value to their clients. 

Compare that to the traditional banks that earn from loans with higher interest rates. 

How Do I Add Money to My Yotta Account?

Instant Deposit

You may use the Instant Deposit option to deposit funds in real-time using an external debit card linked to your account. Instant Deposits (with your Yotta account numbers) are processed through card networks rather than the ACH network, allowing payments to flow nearly instantaneously.

Fund Transfer

You can transfer funds to your Yotta account via an external bank account. That is, if you wish to deposit more than your existing deposit restrictions or if you want funds that settle quickly upon deposit.

Withdrawal

During a statement period, you may only make six withdrawals. This is a typical limit for all banks. You can withdraw a maximum limit of $100 000 a year, $40,000 a month, or $10,000 a day.

How Much Is the Service Fee? 

It may come as a surprise, but there are no monthly service fees with Yotta Savings.

There are also no overdraft fees, minimum balance, and deposit requirements.

However, If you withdraw cash from an ATM right now, you may be charged a fee. However, Yotta claims it is developing an in-network ATM technology, so that may change soon. 

If saving while getting the chance to win a lottery without losing any more money won’t encourage you to save, I don’t know what will. 

As far as the methods used by Yotta Savings is concerned, it is a win-win for both you and the company. Open your Yotta account now and get the chance to win the lottery or make it fun doing so. 

Have you opened a Yotta Savings account? Let us know how it has changed your outlook, and share your experience in the comments section below.