You might be wondering whether a savings account is beneficial or not. But as you look through the facts about the savings account, you will learn that it brings more advantages than disadvantages.
Before that, visit https://www.roshi.sg/savings-accounts/ to learn more.
Here are the seven reasons why you need to have your very own savings account:
1. Affordable Opening Deposit Fee
In Singapore, most banks don’t ask for an initial deposit amount, but others require as low as $500 to start your saving journey. There could be more pros in joining a bank account with a higher opening deposit fee, but if you want to start small, then you might want to join an account without the initial fee.
2. You Can Save Better
One of the main reasons for opening a savings account is to save better or in a more efficient way. You can link your checking account to your savings account to make an automatic transfer. Having this type of feature allows you to save better and more efficiently.
3. You’ll Get Interest Rates from Your Savings
However small or big these interest rates are, these could add up to your yearly savings. Instead of letting your money sits on your wallet and tempt you to use it from now and then, your savings account could be your savior. And not just that—you can separate the interest rate for your other saving goals.
4. Link Your Savings Account to Your Payment Platforms
If you have to make monthly payments for your insurance, home loan, or credit card, you can link your savings account to them to avoid penalties from late payment.
Moreover, linking your savings account to other payment platforms comes with cashback or rebates, depending on the bank you are using. Home loan installment, for example, might give you a chance to earn up to $30 for using your savings account to pay your dues.
On the other hand, once you link your saving account to your credit card payment, you’ll gain a better score, and credibility to the bank since you always pay on time.
5. Withdraw Anytime and Anywhere
Although I could say that you can withdraw anytime, most savings account only have a withdrawal limit. You can withdraw your money any time or any day you want, but you can’t withdraw more than six times a month.
Nevertheless, having this limit will help you to fight the urge to withdraw all your money out from your savings account.
6. Use Your Savings Account for Cashless Transactions
Using a debit card through your savings account can give you the freedom to purchase products from online or physical stores. You can also use it for paying for tickets or dining. Having a cashless transaction will make payment easier and more convenient.
7. Keep Track of Your Savings
Most savings accounts come with mobile applications. With the mobile app, you can see your current savings, and help you to save better.
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