Making money is a hard enough endeavor, and managing it is even more challenging. Banks are supposed to make the process easier, but it is mostly quite complicated. One of the most fundamental aspects of financial security is having a bank account. And of all the types, a savings account is preferred. Read on to understand what a savings account is, why it is beneficial, and which banks are currently your best prospects.

What is a savings account?
Any savings account held at a bank or any other financial institution, for that matter, is an interest-bearing deposit. While the interest rates are typically conservative, their safety and reliability make them quite popular. There is exceptional flexibility in withdrawals, though there is a limit on how often you can take funds. You are permitted to withdraw as much money as you want for a vacation or investment in assets, or you can sweep surplus funds into the account and earn a steady interest. There are different categorizations of savings accounts based on how much interest it earns, the liquidity of cash, and so on. Your banker might ask you to choose from three major types: deposit, money market, and certificate of deposit accounts.

Savings vs checking accounts
Savings accounts are like safety nets. You put money in it and earn a small but steady interest amount each month. But for those of you for whom liquidity or ease of withdrawal is critical, your banker might recommend a checking account or current account. Transferring money online and using credit cards is more straightforward with this account, but generally, you do not earn any interest. While the savings account rate is variable, it is more or less steady. You can be sure that each day you will receive interest for whatever amount you have in the savings account at the current rate. It is also advisable to have some money in a savings account as a cushion to fall back on in times of need.

Where to open a savings accounts?
Even if your head is not spinning now, after reading all this, the whole range of information about savings accounts from various banks is bound to be confusing. Compiled below are some of the best places you can open a savings account.

• Marcus by Goldman Sachs – online savings account
  Typically, if you want high returns on your savings, you are directed toward Wall Street’s high-stakes option. However, consider Marcus by Goldman Sachs if you do not want to play the stock market game but still want to make your money work for you. While there are no checking accounts or ATM networks, the company has an excellent savings rate. The ease of online banking enables you to transfer funds from anywhere. However, you will need an external account for money transfers. If you are eager to increase your savings and already have an account you are comfortable making transactions from, Marcus by Goldman Sachs is ideal.
• American Express High Yield Savings Account
  If you feel patriotic and also want a monthly fee-free savings account, American Express is the best. The bank provides competitive interest rates as well as certificates of deposits. However, this FDIC-insured bank does not offer to check accounts or ATM cards. So like with Marcus, you will need a separate checking account for transactions. The monthly minimum balance requirements are small as well, and the online-only banking experience is pleasant.
• Axos Bank
  Axos Bank, what was once the Bank of Internet USA, is an online bank with no physical branches. It is the most appropriate option for those looking to open savings accounts. Apart from the lack of fees, reward checking is also a unique feature with Axos. Customer service is available 24/7 on online messaging platforms, phone lines, or automated chat. With high-yield savings, checking accounts, and unlimited ATM reimbursements, Axos gives the most comprehensive banking experience.