Everyone Should Have a Savings Account?

Answer 1

It is not uncommon for a person to live paycheck-to-paycheck. They may pay all of their bills and daily expenditures this way and have very little leftover for potential emergencies. Living like this can be dangerous, especially if you have a family. You should never leave yourself with no room to breathe when it comes to money. In reality, you should do everything in your power to save up money that can be used for medical emergencies and other unexpected things that may occur around the home. If you are a homeowner with a family, it is absolutely essential that you open a savings account and begin putting some of your earnings into it.

Savings accounts can be opened by making a trip to your local bank. Just ask the teller that you are interested in this type of account and they should be able to educate you on what is included and the fees associated with opening one. There are some savings accounts that are completely free, while others may cost you a small percentage each month. Savings accounts differ from checking accounts because they allow the client to build up interest as the money sits in there. Checking accounts just hold your money, while savings can actually give you something back. In many cases, you will only make a few cents each month, though there are some banks that will give you a lot more each time they deposit the interest.

As stated before, it is essential that you open a savings account so that you can be prepared for an emergency if it should occur. Leaving yourself with little money after the bills are paid is just not safe nor wise. If you are not ready to begin investing into a bank account, visit your local branch and ask if they offer free savings. If they do, do not hesitate to open an account and begin putting a little extra money into it every single month. You will find that the money you have in your savings will continue to grow as time goes on, leaving you with a considerably hefty sum of money that can come in handy.