The idea of finding the best savings account rates can be overwhelming. Luckily, banks understand this fear and offer basic savings accounts to help you get started off on the right foot.
Chapter 1. Savings Accounts
Savings accounts tend to get a bad reputation because they are so simple, but getting the best savings account rates on your money is a great way to save money and gain some interest on your funds. Financial advisers say it is a good idea to have at least some of your money in FDIC insured accounts, which includes savings accounts. If you are looking to start saving some of your money, a savings account keeps you on track because your money isn’t as accessible. For example, you aren’t able to write checks directly from this account, as with a checking account or a money market account. Some banks like, ING’s Savings Account allow you to setup a free periodic automatic transfer of funds from your checking account to a savings account. This makes saving your money even easier because you don’t have to remember to deposit money into your savings account.
Savings accounts are the best way to set aside money for your “rainy day” fund. Keeping large amounts of money at home isn’t safe, and having the money at home makes it more tempting to spend. Before you know it, those small “dips” into the account add up and your emergency savings account fund is gone. In an online savings account, your money stays safe.