A savings account is a type of deposit account offered by banks and financial institutions that allows individuals to deposit and save money while earning interest on their balances. Savings accounts provide a safe and convenient way for people to set aside funds for short-term and long-term financial goals, such as emergencies, vacations, education, or retirement. Unlike checking accounts, savings accounts typically offer higher interest rates and restrict the number of withdrawals or transfers per month to encourage saving and discourage frequent transactions. Savings accounts may require an initial deposit or minimum balance to open and maintain the account, and they may impose fees or penalties for falling below the minimum balance or exceeding transaction limits. Opening a savings account involves visiting a bank branch or applying online, providing personal identification and contact information, completing account opening forms, and funding the account with an initial deposit. Once opened, savers can monitor their account activity, track interest earnings, and manage their savings through online banking, mobile apps, or in-person banking services.