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Take Time to Choose the Right Savings Account

November 6, 2016 5:40 pm by: Category: Finance Comments Off on Take Time to Choose the Right Savings Account A+ / A-

When you are thinking about putting some money in a savings account, you are showing fiscal responsibility. If your income allows you to put some money aside so it’s available in the future, then you should do it. But how do you decide which savings account is right for you? What benefits should you look for, and expect, when you shop for an account?

Many people think that a savings account is just a savings account. They might believe that there can’t be that much difference from one account to another. The truth is a bit different. There are a few different types to choose from, with various interest rates and required minimums. What you should do before making a final decision is look for the account that gives you most of what you want.

Convenience

While this may not be at the top of the priority list, it is important, especially with the technology that works for you as much as it does the bank. You should consider the bank’s website as a key element in your decision. To repeat, this doesn’t have to be the most important factor. However, being able to access your funds or add funds without making a trip to the physical location is a nice feature.

With this in place, you can look for specific benefits, such as easy access to account information. Some leading banks now offer one-touch ID from certain mobile phones. Others also allow you to open an account in a matter of minutes using instant account opening online. A large number of customers also like to have accounts “connected” so that they can make transfers automatically from a base account to the savings account.

Of course, you always want to know about interest rates paid on your savings. Look for accounts that offer a reasonable rate for the entire balance and increase the rate for certain activity each month, such as depositing a set amount or paying bills online. If you keep an established balance in your account, you may be able to increase the rate quite a bit.

Initial Deposit

One key factor you should always be clear about, as you find out the best savings account in Malaysia, is the initial deposit the bank requires for opening an account. Most of the time, this amount is very reasonable, even quite low. This may not be an issue for you if you choose the most basic savings account offered. However, if you want additional benefits or would like bonus interest rates or extended access, you may be required to deposit a larger amount to get started.

As you plan to save, you might want to think about encouraging the younger members of the family to put money away for future use. Many banks today offer special savings accounts for children, with specific interest rates and slightly different guidelines. As you begin the process, be sure to give this important financial decision plenty of thought. Make the wise choice and save.

About Jeffery A. Brown

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