The first step to having 6 months worth of living expenses set aside is to open a savings account.
As explained in an earlier Help for the Financially Shy post, a savings account is a safe place to keep your money.
That is a safe place where you can get your money if you truly need it but is not so readily available that you can be tempted to throw your savings away on impulse buys or non-essential items.
Also, as we’ll discuss in later posts, a savings account is also a mechanism for saving money.
What to Look for in a Savings Account
Select an FDICInformationThe Federal Deposit Insurance Corporation (FDIC) is a United States government corporation created by the Glass-Steagall Act of 1933. It provides deposit insurance, which guarantees the safety of deposits in member banks, currently up to $250,000* per depositor per bank. insured bank that is conveniently located and offers a savings account with…
- a low opening deposit
- no maintenance fees
- no minimum monthly balance (or a low one)
TIP: A bank that is staffed with people that you find to be friendly and helpful can be a big plus! (Just don’t let them sign you up for a credit card.)
Once you’ve selected a bank (ask around for recommendations if you like), simply present yourself at the bank with some form of photo identification, your social security number and some money to open your savings account.
A simple fact that is hard to learn is that the time to save money is when you have some.
— Joe Moore
About the Curtis Money Help for the Financially Shy blog
“Financial literacy for the rest of us” is our motto here at Curtis Money.
Our goal is to help you get out of debt and to have at least 6 months worth of living expenses set aside as soon as possible.