When you link a checking account to Max, Max will ask you to set a Target Balance, or the amount of money you would like to keep in your checking account. Max takes this Target Balance into consideration when proposing optimizations, such that at the completion of each optimization, your checking account balance should equal your Target Balance.
When this linked checking account balance exceeds your Target Balance at the time of an optimization, Max will propose sweeping excess cash into your online savings accounts to earn more; if your checking balance is lower than your Target Balance, Max will propose moving your funds from the lowest-yielding of your online savings accounts back into this checking account.
Have a look below for how the Target Balance works for you, depending on which checking account you have linked to Max.
If you are using Max Checking:
If you are using Max Checking to handle transfers between your savings accounts during optimizations, your Max Checking account will be restored to the Target Balance you set. Any external accounts that you have linked to Max Checking, such as your personal checking account, will not be restored to a Target Balance.
Funds can be transferred easily from your Max Checking account to your external accounts, such as your personal checking or savings accounts, at any time: How do I transfer funds from Max Checking to an external bank account?
You can set any Target Balance you wish for your Max Checking account, but we recommend setting a Target Balance that is at least enough to cover your quarterly Max membership fee, since Max’s quarterly membership fee will be deducted from your checking account.
If you are using Max with your checking account:
If you have linked your own personal checking account to Max to handle transfers between your savings accounts as part of the optimization process, Max can help you maintain a set amount of cash in your checking account.
Max takes the Target Balance that you have set for your checking account into consideration when proposing optimizations, such that at the completion of each optimization, your checking account balance should equal your Target Balance:
If your checking account balance exceeds your Target Balance at the time of an optimization, Max will propose to sweep excess cash into your online savings accounts, where it can earn more.
If your checking balance is lower than your Target Balance, Max will help you move your funds from your lowest-yielding savings accounts back into your checking account.
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