Types of Savings Accounts Explained

Find the right savings account for you and your money.

Many piggy banks represent the many types of savings accounts you may choose from.
(Image credit: Getty)

Savings accounts are an easy way to set aside money and develop financial discipline. Once upon a time, passbook savings accounts were the norm. Those days are long gone and your options now may seem endless, if not a little confusing. 

Rates on high-yield savings accounts and CDs rose as the Federal Reserve hiked interest rates through 2022-2023. But since the Federal Reserve began pausing interest rates hikes (which it did at a fifth consecutive meeting in March), savings rates have started to fall. If the Fed cuts interest rates later this year, as expected, savings rates will likely drop even further. As rates continue to go down, consider locking in rates while they're still high.

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Donna LeValley
Personal Finance Writer

Donna joined Kiplinger as a personal finance writer in 2023. She spent more than a decade as the contributing editor of J.K.Lasser's Your Income Tax Guide and edited state specific legal treatises at ALM Media. She has shared her expertise as a guest on Bloomberg, CNN, Fox, NPR, CNBC and many other media outlets around the nation.