What is a savings account for?

Answer Banks provide savings accounts to consumers to hold money for a long-term period. Consumers save money for vacations, college and emergency expenses in a savings account. In exchange for depositing... Read More »

Top Q&A For: What is a savings account for

Is there a difference between the APY on a savings account& a high-yield money market account?

No, the formula for annual percentage yield (APY) is one plus the periodic interest rate. Then raise the sum to the power of the number of periods of investment. Finally, subtract one. The formula ... Read More »

What is the difference between a health savings account&a flexible spending account?

Health savings accounts (HSAs) and flexible spending accounts (FSAs) are ways to put money aside for future heath care costs. Both provide tax advantages, but the qualifications and functions of th... Read More »

Is a Money Market Checking Account Also a Savings Account?

Money market deposit accounts (MMDAs) are bank savings accounts that have some of the withdrawal capabilities of checking accounts. Some people think money market accounts are checking accounts bec... Read More »

Is a CD a savings account?

Though both accounts are designed to help people save money for future purchases, emergencies or retirement, a certificate of deposit (CD) is not the same as a savings account. A savings account al... Read More »