If you're someone who only has a checking account, you may want to think about opening a savings account. This makes it easier for you to save money, and over time, you can watch your savings pile grow. There's no point in only letting your money sit in a checking account because it won't accrue interest. It's easy to sign up for a savings account. Keep reading to see why having a savings account is a smart idea.
It Encourages You to Save
When you have a savings account, it will encourage you to save. You'll see the account sitting there, and you'll actually want to contribute money to it.
You May Need Extra Money Someday
Emergencies can happen, and they typically happen when you least expect them. When you have a savings account, it will be easier for you to save up money and watch it grow over time. You may end up facing an emergency where you need access to money in the future. If you have a savings account, you will be able to dip into this account and take out the money that you need. This is a much smarter idea than racking up credit card debt.
You Can Set Up Auto Savings
Once you have a savings account in place, it will be easier to set up an auto savings plan. You can set up an amount of money to be taken out of your checking account every week or every payday and then money will automatically be transferred to your savings account. This makes it simple for you to reach your savings goal.
You Will Earn Money
It's silly not to have a savings account because this is an easy way to earn money. All you need to do is keep your money in your account for a long period of time and watch it grow. Talk to local banks to see what the savings account interest rates they're currently offering. The higher the interest rate, the more your money will be able to grow.
If you don't currently have a savings account, you're missing out. It takes only a few minutes of time to open one, and it can encourage you to save your money instead of spending it all each month. If you're ready to open a savings account, visit a bank or credit union to learn more about their savings account opportunities.