How Many Bank Accounts Should I Have?

– Certificate of deposit (CD)

A certificate of deposit serves the same purpose as a savings account but has one extra catch – your money is locked into the account for 6 to 18 months or more depending on the terms you select.

If you need quick access to your cash, a CD might not be the best option. But if you’re looking for a higher interest rate without the need to access your funds, then a CD may be exactly what you need.

What to use your savings account for

Now that you know the types of savings accounts you can have, you may still be wondering what exactly you
would use them for.