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Savings and Checking Accounts: The Main Differences
As adults, we take on a lot of responsibility for ourselves. Having a stable job, a family and social life and managing our finances. When we first go to the bank to open an account, we are given a choice of savings vs. checking accounts. Which one is better? They both have their functions, and here are some key differences between the two. Checking Account A checking account is an account you have at a bank and it helps you in making deposits and withdrawals of money. With a checking account, a person can use either a debit card or a check to deposit or withdraw. Withdrawals can mean anything from taking money out from an ATM using a card and purchasing stuff using your bank card to sending money wirelessly via bank transfer. Savings Account A savings account is more focused on depositing money without the intention of paying bills or purchasing things. This is kind of like a safety net that people get and start putting money in it for the future. These accounts can easily be opened at any nearby bank. A savings account may yield you more interest as banks want you to keep your account open.
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