Sometimes, we get so focused on paying bills that we forget to pay ourselves. A savings account is an important tool to help manage your personal finances. It’s an account that everyone needs. Even if you don't have a specific savings goal in mind, a regular savings habit can result in a bigger cash reserve. Plus, the earlier you start saving for retirement, the bigger your nest egg.
Of course, saving takes discipline, and reaching goals is much easier said than done. Fortunately, many banks and credit unions offer innovative tools to help you achieve long-term and short-term financial goals.
Strategies to Help You Save
If you're looking to open a new savings account, you owe it to yourself to shop around and compare accounts across multiple financial institutions. You can maximize any savings efforts by choosing accounts that offer higher interest rates such as online savings accounts, certificates of deposit (CD) and money market accounts.
Several banks also provide tools to automate your savings, like round-up programs. For every debit card transaction, the bank rounds up purchases to the nearest dollar and deposits the difference into your savings account. There’s also the option of setting up automatic transfers from a checking account to a savings account at a specified time each month. And if you choose a savings account with no fees or a low monthly maintenance fee, you’ll keep more of your earnings.
There are plenty of time-tested savings strategies to get your account off the ground, and GOBankingRates provides a variety of online comparison tools to help you select the best bank or credit union to take your account to the next level.