Is it worth setting up a savings account?

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A savings account is still a mystery to many people. How is it really different from a regular account? Is it the same as a deposit? How much can you really save on such an account and above all - is it profitable? We will try to answer these questions in this article.

Savings account - characteristics

A savings account is nothing more than a classic savings and checking account with deposit features. It differs from the deposit in that the amount on it can be increased or decreased by the appropriate amount at any time. We freeze a specific amount on a deposit for a fixed period of time and during its duration the money is practically impossible to move. On the other hand, it differs from an ordinary savings and checking account in that the zloty in the account is already working for itself. Usually, the interest rate is a little lower than on the deposit, but it is not a rule - there are savings accounts with the same interest rate as on the deposit.

What are the advantages of a savings account?

You are probably wondering whether it is worth setting up a savings account. Here are the advantages of having an account like this:

  • Profit. From the first deposit (and it can be even a zloty), the funds on your account are subject to interest.

  • Free access to cash. If it turns out that we need an injection of cash, we can withdraw it from the savings account at any time, without consequences (in the case of a deposit, all earned profits are deducted from the premature withdrawal of savings).

  • Additional donations. If we find that we want to increase our savings on the account, we can do so. Thus, we increase the amount that will bear interest.

  • Interest. It is similar on the savings account and even the same as on the deposit.

What are the disadvantages of a savings account?

The savings account also has a lot of disadvantages, we present them below:

  • Paid transactions. Most savings accounts allow you to withdraw or transfer funds for free once a month. However, if the account operator wants to make more transactions, he will lose out on this. It turns out that each subsequent transfer and withdrawal is payable. It is an expense from a few to several zlotys.

  • Interest. Although more and more savings accounts have interest rates equal to deposits, many still offer lower interest rates. Additionally, the rate may change in the course of maintaining the account - for example, if the market conditions change.

  • Free access to cash. It may turn out to be a disadvantage for people who have a problem with saving. Since you can choose your money at any time, the temptation is greater than with a deposit.

Is a savings account profitable?

It is up to the founder to decide whether setting up a savings account will be profitable. For a strong-willed person determined to save, a savings account can be very useful. It is also a good option for people with irregular income who will be able to deposit PLN 100 in one month and, for example, PLN 500 in another. In addition, the account owner has the security that, if necessary, he will be able to withdraw the saved money without consequences.