Savings account

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Savings account

A deposit account held with a financial institution that pays interest but does not allow for direct withdrawal through checks. Pays interest at a rate higher than that of checking account but lower than that of treasury bills.

Savings Account

An account at a bank in which the customer deposits money for any non-immediate use. For example, one may utilize a savings account to save funds for an expensive purchase, such as a house or a car. Because most customers keep money in a savings account for a longer period than a checking account, a savings account pays a slightly higher interest rate. However, the interest rate is not as high as a bond or another low-risk investment. Generally speaking, one may not write a check on a savings account without paying a penalty. This is to disincentivize withdrawals on savings.

Savings account.

A savings account is a deposit account in a bank or credit union that pays interest on your balance -- though some institutions require that you have at least a minimum amount in the account to qualify for earnings.

You can deposit and withdraw from savings accounts as you wish, but you can't transfer money from the account directly to other people or organizations.

While savings accounts typically pay interest at a lower rate than other bank accounts, that may not always be the case. Savings accounts are insured by the Federal Deposit Insurance Corporation (FDIC) or the National Credit Union Share Insurance Fund.

You're covered up to $100,000 in each of three different categories of account in a single bank, or up to $250,000 if an account is a self-directed retirement account (IRA). Different branches of the same bank count as one bank.

savings account

References in periodicals archive ?
The report also finds that one in five Americans doesn't even have a savings account.
The research revealed that four in five adults have at least one savings account and nearly half of those with a savings account said they saved regularly.
Although there are currently 861 standard savings accounts in the market, just one 'non-Isa' account and six cash Isas beat the current 2.
Yes Bank was among the earliest private sector lenders that enlarged their interest rates on savings accounts.
That may change with the availability of Health Savings Accounts and an understanding of its advantages.
If savers ensure they put money aside for unexpected costs, savings accounts can survive winter unscathed.
Taxpayers can continue to use the direct-deposit line on Form 1040 to send their refunds to one checking or savings account electronically.
Wendy's, the fast-food chain, saw its health care spending drop when 9,000 of its 40,000 employees signed up for the tax-free savings accounts.
Despite a modest beginning since being introduced three years ago, the number of health savings accounts is expected to increase more than fifteenfold between 2005 and 2008, according to Forrester Research Inc.
Careful planning by the employer, however, is needed to ensure that health savings accounts complement the employer's retirement program and do not compete for the same contribution funds.
Health Savings Accounts Set to Boom Introduced last November as part of the Medicare reform legislation, health savings accounts "seem poised to take root quickly," according to a survey of 991 employers by Mercer Human Resource Consulting.