Automatic Savings Account

Holly Hanlon

Automatic Savings Account...

Transfers a specific dollar amount from your checking account to your savings account once a month.

Advantages


  • You never have to remember to set aside money and transfer it into your savings account because it does it for you.
  • You are "paying yourself first" which is a big component when building your wealth.

Disadvantages...

  • Might have federal limits on the number and types of withdraws allowed per statement cycle.
  • Look for the bank that will not charge you a monthly maintenance fee
  • Committing to a certain amount to save automatically each month