What exactly are $avings
Jared May-Financial Tips
What are savings...What are investments?
Two different terms are used very commonly when financial discussion comes up, "investing," and "savings." But what exactly is the difference between theses two terms? Well, savings is an amount of money that you put away somewhere, most likely a bank, that you may use later for expensive items or emergencies. This money is also quicker to get (more liquid). Investments, on the other hand, is an amount on money that you put towards something. For instance, the stock market. This money that you put towards the thing you are investing towards can either give you more money or take away your money. this money takes more time to convert to physical money (less liquid).
Why should you $ave?
Why should you save? I mean you're basically putting money away that you'll never see again, right? Well, no. As you put your money away in a bank, not only will that money earn interest and add more money, but it will start to accumulate to great amounts if you put your savings away on a certain basis. After enough accumulates, you can buy that big TV or that new car that you've always wanted. You can also use this money to cover things such as emergencies or high damage payments.
What kind of $avings are there?
There are many kinds of savings; High Yield CD, No penalty CD, Raised Rate CD, Online Savings, and the Money Market. Each of these have different interest rates, which means that the money you put in the bank, earns money at a certain rate.