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Did You Know

A savings account's goal is not only to help your money grow faster through interest accrual but also to help you fund your future financial goals.

What is a Savings Account?


A savings account is a type of bank account that allows you to make deposits and withdrawals and earn interest over time. Opening an account is the same process as opening an interest checking account. 


CapWay Pro Tip: CapWay doesn’t charge any hidden fees to its account holders. Learn more about CapWay’s banking features here.

How Does a Savings Account Work?


You will follow the same process to open a savings account as an interest checking account. Once your money is in your account, interest will then start to accrue. Interest is the rate at which your savings earn money from the bank. 


A savings account's goal is not only to help your money grow faster through interest accrual but also to help you fund your future financial goals. However, with this, you are limited to the number of times you can withdraw from your account before having to pay a fee.


According to Regulation D, you are limited to 6 withdrawals per month from your savings account. Exceeding the limit will cause you to pay a penalty to your bank or credit union.


Interest rates on savings accounts vary. Banks and credit unions may change their rates at any time, with the exception of promotions that promise a fixed rate until a specified date. Generally, the higher the rate, the more likely it is to fluctuate.


Changes in the federal funds rate can cause financial institutions to change their deposit rates. Some financial institutions provide high-yield savings accounts that are worth researching before opening.


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Recommended Read: How To Make Money Moves With A Capway Debit Card


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1. For Money Account holders with a negative balance, the CapWay debit card will go into freeze until funds are deposited to bring account back to current. See terms and conditions

2. Sending or receiving money from other CapWay account holders will be instant. Transfers from other accounts could take up to 48 hours, depending on the financial institution.

3. Early access to funds requires direct deposit. Early payment is not guaranteed and is dependent on the timing of payer's submission of deposits. We generally post such deposits on the day they are received which may be up to 2 days earlier than the payer's scheduled payment date.

4. Money Goals allows account holders to save money towards financial goals created within the CapWay platform. Funds can be transferred from your Money Account or saved through the rounding up of your transactions from purchases.

5. CapWay offers financial content through Learn Money free of charge, but may include advertisements through affiliates. Phunds, CapWay's literacy program and session, is paid content or co-branded content.

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