Savings Accounts are Safe and Dependable

savings accountSavings accounts provide safety, security, liquidity and predictable growth. They should be a part of any personal finance portfolio. Consider these benefits to a savings account.

Safe, guaranteed interest

Savings accounts offer a guaranteed rate of interest, which is usually paid monthly. Your money will grow each month according to the interest rate the bank or other financial institution is paying. This predictable growth makes it easy to see how your money will grow over time. The interest rate the bank pays on savings may increase as rates go up overall, but you will always know what that interest rate is so that you can plan for it. BM Savings is highly regarded as a safe and secure savings location for your money.


You can get to your money at any time if you have a savings account.
There are no waiting periods and no penalties for making withdrawals from a savings account. Depending on your account balance and the terms of your account, you may be able to withdraw money at any time without paying a fee. (Some accounts impose a fee for making more than a certain number of withdrawals in a statement period.)


A savings account is easy to put money into and to get money out of, just like a checking account. Unlike a checking account, however, you cannot overdraw your savings account. You can only withdraw the funds you have in the account, and usually only in person at the bank, although some savings accounts will give you the option of an ATM (debit) card so that you can deposit and withdraw money electronically.


Savings accounts in banks are insured by the FDIC (Federal Deposit Insurance Corporation). This government agency guarantees the deposits of up to $250,000 at a single institution. This means that, even if the bank fails, you will not lose your money, as long as you do not keep more than $250,000 in one bank. Since savings accounts are not tied to the stock market in any way, your money will be safe and will continue to grow, regardless of what happens on Wall Street.

Save on fees

Most savings accounts have low or no service fees. At many banks, you can combine your savings and checking account balances to avoid or minimize fees on both accounts. You may also be able to avoid fees by having your pay direct deposited into your account. Before you open a savings account, be sure you understand the fees you may be subjected to and what you can do to avoid them.

Pay yourself first

Easy access savings accounts are ideal for getting into the savings habit. You can have part of your paycheck direct deposited directly into your savings account, or set up an automatic monthly transfer from your checking account to your savings account. The money you deposit into your savings account will grow, and will be available for you to use to fund your short- or long-term financial goals.

These advantages make a savings account a good choice for any saver or investor. It is important to understand the terms and fees that are associated with any savings account you are considering. Knowing how you will use a savings account will help you to choose the best savings account for you.

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