Creating a savings account can be exciting, but there a few things you should consider for optimal success and benefits. This might be your first time saving, or you could be a savvy saver. Regardless of your financial position and history, it is important for everyone to prepare for their future with a savings account.
And it’s never been easier! These 7 steps will pave your way to the ultimate money plan with your new savings account.
1. Your Goals
Get your savings goals clear in your mind. What are you wanting to achieve by using a savings account? Is it a rainy day fund, house deposit or a holiday? This will help guide the rest of the process. If you’re not sure what yours are, here is a list of common savings goals for inspiration.
2. Consider Interest Rates
High-yield savings accounts are a great way to make your money grow at much higher rates than typical savings accounts. This could be the difference between 0.01% p.a. and 2% p.a. returns. Do some comparative research on these rates before you decide.
3. Check the Conditions
Some banks have certain conditions for you to receive the highest variable interest rate, make sure you look over these to ensure this account is right for you. Other conditions may include cancellation fees and amount limits.
4. Consider the Fees
There are banks that will charge you fees for having an account with them. Have a look at these to understand what costs come with this bank account. There are banks that charge minimal to no fees for savings accounts.
Features can really enhance your savings experience. Check out the different features that each bank offers with an account. This may be the ability to create joint savings accounts, round-ups and more.
Before you commit to a bank for your savings account, look around to what other banks offer. Knowing you are making the right choice for you will contribute to your financial success.
Before you know it, you will be on your way to saving for your next car, house or even a rainy day fund!
Need more help managing your money or need specific advice? Get in contact with one of our fantastic financial advisers today.