Savings vs Checking Accounts

Understanding the differences between a savings account and a checking account can be confusing if you haven't done your research. This page will clear up any questions you have and compare and contrast the two accounts.

Savings Account

    • Main purpose is to save money
    • Make deposits
    • Interest bearing
    • Transactions are limited, not intended for daily use
    • Can’t use checks or debit cards
    • Can open an account before the age of 18 (usually signed on with a parent)
    • If you have extra money in your checking account, put it in your savings account so it can accumulate interest.

Checking Account

    • Main purpose is to use money
    • Withdraw money
    • Zero or very low interest-bearing
    • Used for transactions, transactions are usually unlimited. Intended for daily use
    • Use checks and an ATM/debit card to use and access your money
    • Must be 18 or older to create a checking account
    • If you need money in your checking account, take it out of savings