There are many good reasons for opening a separate savings account.
5 Good Reasons to Open a Separate Savings Account:
It is a smart idea to open a separate savings account in your child’s name. Savings accounts are a wonderful way to learn about banking, keeping correct mathematical records, and saving money at the same time. Teach your child how to save their money wisely, and how to keep an accurate record of their savings account. This is a great learning experience for a child that can stay with them throughout their adulthood too.
It is a good idea to open a separate savings account, such as for a college fund for your children or for you grandchildren. A good education is a good reason to save money. Begin a savings account when your children or grandchildren are very young, and more money will be there for them in the future. Obtaining a higher education is a very good reason to open a savings account.
Opening a separate savings account to put away money for buying Christmas presents is a very smart thing to do. You can open up a Christmas account, especially for this reason. This way, you will help you to afford Christmas presents and not go into debt.
A very good reason to open up a savings account is to purchase an item that you want, but can’t afford right now. You may want to buy exercise equipment for your home, a big screen television, a great sounding stereo system, or a new car. Opening up a savings account and putting money into your savings account each week – can help you to be able to afford that item you want.
If you are married or living with a boyfriend or girlfriend, it is a smart idea for each of you to have your own separate, savings account. A savings account is easier to manage when only one person is utilizing that account. You know when you have put money into your savings account and when you have taken money out of your savings account. With each transaction that you make or your bank makes to your savings account, you write this into your savings account bank book. This is your transaction record, and, kept properly, it will always let you know how much money you have in your savings account. When two people share the same savings account, it is more difficult to keep accurate records of that account. After a while, your balance disagrees with what your bank says that you have in your account.