Advantages and disadvantages of current and saving account.?

savings account

Advantage: Protection· Most banks and credit unions are insured, which means that the money deposited into a savings account is safe and secure. No matter what happens, you will get your money back. Disadvantage: Minimum Balance· Many banks require you to maintain a minimum balance in order to avoid fees on your savings account. For some banks this is only $25, but others require as much as a $1,000 minimum. It may take some shopping around to find a savings account to suit your needs. Advantage: Saving· The entire point of a savings account is to save money. You can purposefully open a savings account that does not have an ATM card linked to it to make withdrawing the funds less convenient. Disadvantage: Interest Rates· Savings accounts have the lowest interest returns of any place you can keep your money, other than a checking account. If you are looking to make money on interest, a savings account is not for you. Advantage: Automatic Deposits and Payments· Automatic payments and deposits can be set up to manage the account, and your employer can directly deposit money into the account. This gives you less to worry about throughout the month.