Basic Savings Account

You should plan for unexpected financial situations as soon as possible. A good way of doing that is by establishing a savings account. Most financial experts recommend having three to six months of basic expenses set aside. A basic savings account is a good place for your emergency fund. Here are the basics of what a savings account is all about..

- Easy access. You can get your money by going to the bank or use the ATM for 24/7 access to your funds.

- Interest. Not only is your money being stored safer than under your mattress, but it earns interest as well.

- Transfers. You can transfer money from your checking into your savings account back and forth.

- Insurance. Your money is insured by the FDIC up to $250,000. This means that if the bank goes out of business or the bank burns down, your money is still safe.