How to make your savings grow
When you put your money in a savings account it earns interest. Interest is money that your bank or credit union pays you. It’s a bit like a reward to encourage you to save your money with them.
And, the more money you deposit in your savings account the more interest it will earn and the more it will grow (provided you keep saving it).
Depositing and withdrawing money
Each time you put money into your savings account it’s called a ‘deposit’ and each time you take money out of your account it’s called a ‘withdrawal’. The aim to building your savings is to deposit money regularly and only withdraw money for important things you need.
Simple tips to help you save
- don’t carry a lot of money around as you might be tempted to spend it
- when you get some money, save some of it (you don’t have to spend all of it)
- don’t spend your money on unnecessary items – work out if you really it need it right now or can it wait.