Are you saving money for anything special? I’m saving for my own computer. It’s going to take some serious saving to get there, but I’m saving! The money keeps adding up!
Banks offer several types of savings accounts. My savings are in a regular savings account at the bank. I earn interest that’s paid every month.
Remember these key points about regular savings accounts:
Remember these key points about certificates of deposit (CDs)
Another safe savings account is called a certificate of deposit, or a CD. Your money must stay in the account for a fixed period of time — also called a term. But in return, you’ll get a higher interest rate than you would with a regular savings account.
And finally, there are money market accounts. They’re really savings accounts that allow you to write a limited number of checks. You’ll get to know about checking accounts in a bit, but for now, just know that money market accounts generally have higher interest rates than regular savings accounts.
Remember these key points about money market accounts:
Click the Next button to learn about opening a savings account.