LOOKING FOR A DECENT

yield on a savings account? It's time to take a look at Internet banks.

Several are offering annual percentage yields (APYs) of 4% or more. That's not too shabby, considering that the yield on savings accounts offered by most traditional bricks-and-mortar banks is currently 1% or less, while the average one-year CD (a less flexible option) earns 4.2%, according to Bankrate.com. Taxable money-market funds, meanwhile, are doling out average yields of 3.71%, according to imoneynet.com, a web site that tracks the industry.

In an effort to gain market share, on Jan. 19 ING Direct launched its Winter Save-Up Sale. With the promo, any new deposits made before April 15 will accrue interest at a rate of 4.75% as opposed to the bank's current rate of 3.8% for existing assets. (After April 15, your entire balance will earn the current APY offered by the bank at that time.) The offer is available for both new and existing customers.

For those not initiated to the ways of Internet banks, these accounts work by linking to your pre-existing checking account at a traditional bank. You can open the account online, over the phone or by mail, and then log in to transfer money to and from your Internet account and your traditional checking account.