what is the difference from checking and saving account?

Question

i am in high school and got a job which is best

Answer 1

Savings account builds interest. You are only allowed to take money out of the account x number of times per month (exact number will depend on the bank, but 2-3 is usualy about right). If you take money out more than the allowed number of times, you will be charged.

Checking accounts usually have a monthly fee (my bank charges 8 a month but many banks also offer free chacking, especially to students). You pay for the checks that you get and you use the checks in place of cash to pay bills. Most checking accounts also have an ATM card, which lets you get money out if you are not abole to get to the bank, but need some cash.

If you want to pay bills or expenses out of the account (like prom tickets, car insurance, taking a date to the movie, and any other bills/expenses you may have), get a checking account.

If you want the account to build up and gain interest and you will not be taking money out of the account, get a savings account.

In actuality, it would be best to get both. You can save money (for a car, college, or emergencies) in one account and pay your bills out of the other.

Answer 2

I´ll advice that you have a saving account.

if you are in high school, you won´t need checks at all. Nowadays everything can be paied by a saving account (choose visa or mastercard) and would be able to use it via plastic or internet. Also some check accounts charge for the checkbook... pay as less you can to the bank. gather some money and enter to a "saving socity" like Prudential or Loyd so your savings can be blocked,

I mean you can have your money secured , for example, you won´t be able to spend it by the plastic, you have to ask the bank to transfer the money to the saving account. This will help you to REALLY save. Also it s locked, If you suffer a robery, bad guys won´t be able to take your money inverted, only the amount you have in the saving account. an other exaple if you are drunk, you won´t be able to invite everyone and later regret.

Have fun but save at least 30% of your earnings!!!!
Regards

Answer 3

best depends on what your goals and needs are.

a savings account isn't as flexible with letting you spend the money, therefore it's going to help you save money easier than a checking account.

with a checking account you have checks and an atm or visa checkcard. this allows you to not only get money from the atm, but to spend your money at pretty much any store in the US.

many savings accounts have limitations on how frequently you can get money out. for instance, i can only make a deduction or transfer to another account THREE times in a month. this is okay with me because i also have a checking account that i can spend from as frequently as i want (providing there's money there).

so, consider how often you want to get money out of it, how easy it is to get that money when you need it, whether or not you'll have bills to pay that you may want to write a check for (like car insurance), and how much is the cost of the account. a lot of banks will give you a free savings account if you have a checking account and a free checking account if you have direct deposit from your employer. this allows you to have the flexibility of spending with your checking account, but a savings account as a way to keep money out of your regular spending pool.

Answer 4

A savings account pays interest, but your ability to access funds might be limited. You might have to go to the bank to withdraw the money and checking privileges might not exist.

A checking account allows easier access to the money but might pay no interest.

However this is not a either or situation. You can get checking accounts that pay interest or have savings accounts linked to your checking account.

Answer 5

Savings is a TIME deposit, meaning the bank can delay your withdrawals whenever they want and they also pay you interest. Checking is a DEMAND deposit, meaning you can withdraw anytime by getting cash or writing checks immediately as needed.
This is a VERY oversimplified answer, but if I went into all the techical and legal differences, I would be writing it down here for hours, maybe days.

Answer 6

You can pay bills with things called checks from a checking account .
Savings account you go in person to make withdrawls or deposits .
Checking is for people who have to pay lots of others $$$$ for rent , electricity , phone , car , insurance , doctors , dentists and stuff . . .

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Answer 7

i have both and im in highschool too. checkings you can put your money in and use a debit or checks to use it whenever you want. i put less than half of my paycheck in because i want to save the rest so i put it in a savings account. you earn interest from the bank in a savings account, and you have to go to the bank and you a withdrawl slip to get money out of it.

Answer 8

Checking is for writing checks
Savings is for saving.
Savings accounts usually have an interest rate and checking don't. Also it depends on what bank you go through. :)