How to Open a Savings Account

It is an easy process to open a savings account, and you can do it online or in person at your local bank. Virtually all banks offer Internet access to your account so that you can monitor your savings and even deposit money online through transfers from your checking account. Often, you can begin your savings account with as little as $5, but some banks require more in your account in order to earn interest on your deposits. Read on to learn how to open a savings account.

Instructions

1. Research interest rates at your local banks and credit unions as well as online banks. Find out what incentives are being offered to new account holders, and include these in your calculations. Some banks will offer a $25 bonus when you start an account with at least $250. Others offer promotional gifts to win your business.

2. Select the bank account with the best monetary gain, taking in account the interest rate and any bonuses you'll receive. If convenience, such as a local branch or better internet services, are important to you, be sure to factor them in when making the decision.

3. Fill out the application for an online bank or go to the nearest branch to set up your account. You'll need to provide identification, your social security number and contact information.

4. Fund your savings account with cash, a check drawn from your checking account, a money order or a third party check (such as a gift in the form of a check).

5. Make a file to store information about your new savings account, including your bank account number, balance and access information.

Tips & Warnings

• Set up an automatic savings plan to transfer money from your checking to your savings account each pay period.