A Savings Account Is An Interest-Bearing Deposit Account Held At A Bank Or Other Financial Institution. Though These Accounts Typically Pay A Modest Interest Rate, Their Safety And Reliability Make Them A Great Option For Parking Cash You Want Available For Short-Term Needs.
Savings And Other Deposit Accounts Are Important Sources Of Funds That Financial Institutions Use For Loans. For That Reason, You Can Find Savings Accounts At Virtually Every Bank Or Credit Union, Whether They Are Traditional Brick And Mortar Institutions Or Operate Exclusively Online. In Addition, You Can Find Savings Accounts At Some Investment And Brokerage Firms. Savings Account Interest Rates Vary. With The Exception Of Promotions Promising A Fixed Rate Until A Certain Date, Banks And Credit Unions Might Change Their Rates At Any Time. Typically, The More Competitive The Rate, The More Likely It Is To Fluctuate.