{"id":355962,"date":"2021-10-14T07:00:08","date_gmt":"2021-10-14T13:00:08","guid":{"rendered":"https:\/\/www.creditrepair.com\/blog\/?p=355962"},"modified":"2022-04-18T13:32:54","modified_gmt":"2022-04-18T19:32:54","slug":"best-places-to-save-money","status":"publish","type":"post","link":"https:\/\/www.creditrepair.com\/blog\/education\/best-places-to-save-money\/","title":{"rendered":"8 best places to save money"},"content":{"rendered":"\n
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Disclosure regarding our editorial content standards.<\/a><\/p>\n\n\n\n

We\u2019ve all got financial goals, like going on a dream vacation or buying a home. To get there, we need places to keep money while we continue to save\u2014maybe even a place where that money can grow a bit.<\/p>\n\n\n\n

So, where are the best places to save money? That depends a lot on what you\u2019re saving for and how long you\u2019re planning to save<\/a>. There are many places to store your money: a savings account, certificate of deposit, money market fund or retirement account, for instance. <\/p>\n\n\n\n

We\u2019ve created a table to help you figure out where the best place for your money could be. And keep reading for more information about eight different ways to stash your savings.<\/p>\n\n\n\n\n \n \n \n \n \n \n \n \n <\/tr> \n <\/tbody>\n <\/table>\n\n\n\n

Now that you know what kind of account you may be looking for, scroll down for more details.<\/p>\n\n\n\n

1. Traditional savings account<\/h2>\n\n\n\n

A savings account is what most people think of when they\u2019re planning to save money. Both banks and credit unions offer savings accounts, which offer slightly higher interest rates than checking accounts. <\/p>\n\n\n\n

These savings accounts are incredibly useful since they\u2019re easy to access for both deposits and withdrawals. That makes them an ideal place to store an emergency fund<\/a> that you may need at a moment\u2019s notice. <\/p>\n\n\n\n

On the other hand, traditional savings accounts often have a fairly low annual percentage yield (APY)\u2014somewhere between 0.02 percent and 0.20 percent is common. If you kept $1,000 in a savings account with a 0.02 percent APY, it would only earn you 20 cents each year in interest. <\/p>\n\n\n\n

Still, these accounts have little risk since they\u2019re backed by government insurance, so they\u2019re a great place to keep money without fear of losing anything.<\/p>\n\n\n\n

Advantages: <\/strong>Easy to open and easy to access<\/p>\n\n\n\n

Disadvantages: <\/strong>Generally low interest rates<\/p>\n\n\n\n

Best for: <\/strong>Emergency fund, short-term savings goals<\/p>\n\n\n\n

Best places to keep your savings<\/th>\n <\/tr>\n
Goal type<\/th>\n Examples<\/th>\n Accounts<\/th> \n <\/tr>\n <\/thead>\n
Short term<\/td>\n Home repairs, small vacation or car down payment<\/td>\n Savings account or money market account<\/td>\n <\/tr>\n <\/tr>\n
Medium-term<\/td>\n Large wedding, house down payment or home improvement project<\/td>\n High-yield savings account, certificate of deposit or money market fund<\/td>\n <\/tr>\n
Long-term<\/td>\n Retirement or college fund<\/td>\n Investment account like a 401(k), IRA or 529 <\/td>\n <\/tr>\n