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Saving Money Saving money is a first step toward wealth. / Putting money away for the future also supports the banking syst
Saving Money Saving money is a first step toward wealth. / Putting money away for the future also supports the banking syst
admin
2013-06-03
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Saving Money Saving money is a first step toward wealth. / Putting money away for the future also supports the banking system. / Banks need a supply of savings to provide money for loans. / In the United States, people who want to start a savings account have many choices. / Banks, savings-and-loans and credit unions are traditional places to open an account. / Credit unions are cooperatives for people who are linked in some way. / For example, the members may work for a university or a government agency. / Most credit unions are non-profit organizations. / Savings are protected up to a limit if a federally guaranteed bank,/ savings association or credit union ever fails. / Savers have their money guaranteed up to one hundred thousand dollars. / Banks and other financial organizations pay interest on savings accounts. / But the interest rates are low. / Certificates of deposit are another way to save. / They pay higher interest rates. / With a certificate of deposit,/ a person agrees not to withdraw an amount of many for a period of time./The term could be three months ,or it could be several years./ Longer terms,and larger amounts,pay higher interest./ People can withdraw their money early but at a cost./.
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