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Savings Account at Your CU


At many credit unions you can open your savings (or “share”) account with a deposit of just $25, $10, or even $5.00. From there, you can build your financial security by depositing money on a regular basis.
 

Whatever your savings goals, your credit union offers a savings program to help you achieve them. And most credit unions offer a variety of convenience services, including direct deposit. With direct deposit, your paycheck is automatically deposited—saving you time.

And, your savings are insured up to $250,000.00 by the NCUA (National Credit Union Administration) a Federal Government Agency.

Deposit + Interest = More Money in Your Account!
The best part about saving when you’re young is that you can take advantage of compound interest.

When your money is working for you, it grows in value or compounds. Compounding, or compound interest is the idea of earning interest on interest.

Example: You have $100 in an account earning 10% interest per year. At the end of that one year, you have $110 in your account. In year two, your account also earns 10%. How much do you have at the end of the second year? You have $121.

How? In year two, you still have your original $100 working for you at 10%. But you also have the $10 of earnings from year one working at 10% as well. Multiply $110 times 10%, and you get a total of $11 of earnings for year two. Add that to your account value at the end of year one and you have $121.

The important thing is to get into a savings habit now—and let your money work for you by earning interest.

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