All Savings Are for Spending
You know what you want. You know how much it costs. Now all you need to do is figure out how you're going to pay for it. Planning for a purchase may make you less anxious about spending than putting it on plastic. And that requires saving.
Your goals often dictate which savings vehicles are best. Are you saving for a long-term goal--college--or for a short-term goal--that sporty new convertible? Is waiting a year or two an option? Here are some savings vehicles and ways you can use them to meet your goals.
- Regular/share savings keep your money safe and available. Credit union share savings accounts are insured to $100,000 by the federal government. Regular share savings typically pay dividends comparable to or better than interest paid on other financial institutions' savings accounts.
- Money market accounts(MMAs)are insured share savings accounts that offer limited check-writing privileges. They generally pay higher rates than regular savings accounts and require a minimum balance. Call us for information about Russell Country Federal Credit Unions MMAs.
- Share certificates also are insured savings carrying various maturity terms from six months to five years. Because you leave funds in the account for a fixed time, share certificates pay higher dividend rates than do savings or money market accounts. And the longer the term, the higher the dividend rate. If you withdraw your money before the term expires, however, you'll pay a penalty. There also is a minimum balance requirement of $500.
No matter what your goal or choice of savings vehicle, Russell Country Federal Credit Union can get you started through direct deposit and payroll deduction. Your paycheck automatically is deposited to your account. Then payroll deduction regularly directs a certain amount to your savings account or accounts. It can't get much easier than that. And before you know it, you'll have what you need to make that purchase you've been waiting for.
