Savings accounts are a fundamental component of sound financial planning. They provide a safe place to store money, earn interest, and help you achieve your long-term financial goals. However, many people are unaware of the many features and benefits that come with their savings account. From automating your savings to taking advantage of reward programmes, you may not be aware of many things you can do with your savings account.
Here are 6 things you may need to learn you can do with your savings account:
Set up automatic monthly deductions to build a corpus
Setting up an automatic savings plan is one of the easiest ways to save money consistently. This feature allows you to schedule automatic transfers from your savings account to a recurring deposit. You can set the date at which you want the amount to be deducted. The minimum amount for which you can open a recurring deposit varies according to the lender’s policies. By utlising this process, you can ensure that you save money regularly, which helps to build up your savings over time.
Set up alerts
Alerts can help you keep track of your account and detect any fraudulent activity that may occur. Many banks allow you to set up alerts that will notify you when there is an activity in your account. This can include when a deposit matures, a withdrawal is made, or your account balance drops below a certain level.
Earn more interest
Savings accounts typically help you earn interest on your funds. To maximise the interest you earn on your savings account, consider comparing different banks for the best rates and terms. Look for accounts with competitive interest rates, low fees, and convenient features such as online banking and mobile apps.
Take advantage of reward programmes
Some banks offer rewards and cashback programmes that allow you to earn reward points or cash back when you use your savings account. Rewards programmes may require you to meet certain criteria, such as maintaining a certain account balance or making a certain number of deposits each month. By taking advantage of these programmes, you can earn additional benefits for saving your money.
Use it for online shopping
You can use your savings account to make online purchases. Many banks offer debit cards that can be used to shop online, and some even offer virtual debit cards that can be used for online transactions without revealing your actual card details.
To sum up
Features and benefits of Savings accounts are beyond simply providing a place to store your money. By taking advantage of these features, you can make the most of your savings account and achieve your financial goals more effectively. Whether you’re looking to automate your savings, earn interest, or take advantage of reward programmes, there are many ways to make your savings account work for you.