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Simple English definitions for legal terms
savings account
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A quick definition of savings account:
A savings account is a type of bank account where you can put your money and earn interest. You can usually take your money out whenever you want, but some accounts may have rules about how much notice you need to give before withdrawing your money. It's a good way to save money for things you want to buy in the future.
A more thorough explanation:
A savings account is a type of bank account that allows you to save money and earn interest on your savings. It is a deposit account where you can keep your money safe and withdraw it when you need it.
For example, if you have $100 and you deposit it into a savings account that pays 2% interest per year, you will earn $2 in interest after one year. This means that your savings account balance will be $102 after one year.
Savings accounts usually have some conditions, such as a minimum balance requirement or a limit on the number of withdrawals you can make each month. Some savings accounts also require advance notice before you can withdraw your money.
Overall, a savings account is a great way to save money and earn interest on your savings. It is a safe and secure way to keep your money and watch it grow over time.