Some people have this dangerous mindset that the offers found on the Internet (if they look legitimate) are safe and sound. Think again. There are Internet-based companies out there that will take your money and either deliver very slowly on their services or leave you with nothing at all. Unfortunately some of these are in the banking sector as well. Here is what to watch out for when you look online at these offers.
Uninsured and offshore. While trolling for high-yielding savings accounts, you might come across some that offer interest rates that appear to be too good to be true. And, so they are. Among these are offshore bank accounts that are trying to look and act like a bank that you would do business with in the USA. But they are in fact, in other countries and are therefore uninsured by the FDIC. Your funds have no protection and you could lose everything that you have in your account with them.