What Is a Savings Account?

A savings account is a deposit account that pays interest and is kept with a bank or other financial organization. Despite the fact that these accounts generally offer a low-interest rate, their safety and stability make them an excellent choice for storing funds for short-term purposes.
Savings accounts have some restrictions on how frequently you can withdraw funds, but they generally offer exceptional flexibility, making them ideal for building an emergency fund, saving for a short-term goal like a car or vacation, or simply sweeping surplus cash from your checking account into a savings account to earn more interest elsewhere.

Savings account is a normal bank account in which you deposit your money. When money is deposited with purpose of saving only, these types of amounts are used. But when lots of transactions takes place from your account to do business, Current bank accounts are used.

A savings account is a safe way to save money; it often accrues a higher interest rate than a checking account, and it is often where someone would keep emergency funds.