Having an emergency fund is important, especially when you're first starting out. A fund of at least $1,000 can help protect you when the unexpected happens, such as a sudden medical bill or car repair. After building an emergency fund, you can then start saving for other goals too, like preparing for retirement, or saving for a new car or your first home.
As you're working toward these savings goals, you'll need a safe place to keep your hard-earned money. A great place to start is with a basic savings account that pays interest or dividends.
Let's take a look at what to consider when choosing a savings account.
Low-to-no account fees
As you shop for a savings account, be sure to do your research to understand how fees on these accounts work. Common fees include low balance fees, monthly maintenance fees and ATM fees. Plan ahead to help avoid as many fees as possible —even a few dollars in fees each month can quickly decrease your savings!
Ideally, the savings account you choose will offer low-to-no fees to help you keep more of your hard-earned money.
Competitive savings rates
The higher the savings rate, the faster your money will grow! Take the time to check savings rates in your area and find the financial institution that best supports your saving goals. Generally speaking, credit unions offer higher-than-average savings rates, combined with friendly, personal service.
Having access to your savings account on your smartphone will allow you to manage your money on-the-go. Before you pick a savings account, make sure the mobile app is convenient and easy-to-use. With a good mobile app, you can track your spending, transfer money between accounts and make mobile check deposits anytime, anyplace.
At Wright-Patt Credit Union (WPCU), we're always looking for ways to help our members Save Better, Borrow Smarter and Learn a Lot! Find out more about our savings account options for first-time savers.