In today’s world, it may feel like saving money is impossible. Everything seems like it’s taking money from your bank account and keeping track of it all is overwhelming. A savings account might just be the help you are looking for. Here are five great reasons why opening a savings account might be right for you.
Reaching a goal is difficult without a plan and reaching that goal is easier with automation. With a savings account, you can automatically set up your other account to deposit funds on a certain day each month. If you want to take two weeks vacation this summer and it’s going to cost you $3000 you can set your checking account to deposit $120 in your savings each pay period before you have a chance to spend it. The money will be safely waiting for you after a year to take a well-deserved vacation.
Better interest rates
A savings account is just that, a way to have savings and typically a savings account will provide a better interest rate than a regular bank account. If for example you had a Chase premier plus checking account you would earn 0.01 percent interest on the balance of anything from one dollar to fifty-thousand dollars and beyond. If however, you had a Chase premier savings account you would earn 0.04 percent interest on, one to fifty-thousand dollars and 0.09 percent on anything over two-hundred and fifty-thousand dollars. Letting your money earn more interest until you’re ready to use it.
Tying to keep track of all your transactions in a month can get complex and is bound to lead to errors unless you keep things organized. By having multiple bank accounts you can more easily keep your life more organized. Set your main account to handle all the day-to-day spending and a savings account to pay all your monthly household bills. At the end of the month, you’ll have clean easy to understand statements.
Keeping a budget is not something that many people are good at and certainly nothing that most people brag about, yet we all need it. With a separate savings account, you can add the funds you want to spend until it’s gone then start over the next pay period. Sticking to this easy budgeting plan will definitely keep you out of debt and on track.
They are easy to set up
A savings account is easy to set up and can often be done from the comfort of your computer. No need to make an appointment at the bank, no need to get a bunch of signatures for approval. You can log onto your online banking, set up a savings account and be up and saving in no time.
A savings account has a number of benefits for anyone’s banking, have a look over the list we provided and apply them to you. You’ll be earning more on your balance or saving for that next vacation headache free. Open a savings account and start to enjoy the benefits today.