This basic savings account establishes your membership and account number at FedChoice. … The $5.00 represents your minimum one share purchase and provides you with a savings account free of maintenance fee charges. Check our rates and terms! To earn dividends, you’re required to have a daily minimum balance of $50.00.
What is a main share account?
A share account is a savings or checking account at a credit union. These accounts establish your share of ownership and allow you to use the great features a credit union has to offer as a member.
What does a prime share account mean?
Your savings account represents your share of the credit union, thus it’s called a “share account” (or sometimes a share savings account). Checking accounts are “draft share accounts” because they’re share accounts you can draft checks from (and more, like use online bill pay and debit cards).
What are the 4 types of savings accounts?
4 Savings Accounts for Investors
- Basic Savings Account. Also known as passbook savings accounts, these accounts are a good introduction to earning interest and saving money. …
- Online Savings Accounts. …
- Money Market Savings Accounts. …
- Certificate of Deposit Account.
Is primary share the same as savings?
A share account is a savings or checking account at a credit union. Share savings accounts pay variable dividends, the equivalent of a bank account’s interest. Share checking accounts, called draft accounts, are liquid and meant for payments and everyday spending.
What is the difference between regular share and share draft?
The “share” in the term share draft represents that ownership, while the “draft” refers to the checks. A check is a draft, but the term is old-fashioned and not generally part of contemporary financial terminology.
What is one benefit to using a checking account that is not a benefit of using a savings account?
Checking accounts are better for everyday transactions such as purchases, bill payments and ATM withdrawals. They typically earn less interest — or none. Savings accounts are better for storing money and earning interest, and because of that, you might have a monthly limit on what you can withdraw without paying a fee.
What are the 3 types of savings?
The 3 common savings account types are regular deposit, money market, and CDs. Each one works a little different regarding accessibility and amount of interest. Besides these accounts, there are other savings options too.
What is limit of savings account?
Thus, as cash deposits and withdrawals of Rs 10 lakh or more in a bank account in a financial year are required to be reported to the tax authorities, you need to be careful if you are exceeding the prescribed threshold. This limit is Rs 50 lakh and more in case of current accounts.
What type of savings account is best?
High-yield savings accounts are a type of savings account, complete with FDIC protection, which earn a higher interest rate than a standard savings account. The reason that it earns more money is that it usually requires a larger initial deposit, and access to the account is limited.