Most budgeting advice focuses on spending less. While that can help, it’s not the only way to strengthen your finances.
A smart savings strategy can help you make the most of the money you already have. By choosing the right savings accounts and CD options, you can grow your savings, prepare for future goals, and build financial confidence without making major changes to your lifestyle.
Start with a Savings Account
A savings account provides a secure place for money you’re setting aside for future needs while helping you build healthy financial habits.
Savings accounts can help you:
- Build an emergency fund
- Save for planned expenses
- Separate savings form everyday spending
- Earn dividends on your balance
Setting up automatic transfers from your checking account is one of the easiest ways to save consistently and stay on track towards your goals. At Advia Credit Union, we have flexible savings account options to help with every need, whether you’re growing an emergency fund or saving for a child’s future. And with Digital Banking, it’s easy to create a Savings Goal and schedule recurring transfers while tracking your progress right from your phone or home computer.
Put Long-Term Savings to Work with Certificate Accounts
If you have money that you won’t need right away, a certificate account can help your savings work harder.
What is a certificate account? Certificate accounts, also known as a certificate of deposit (CD), offer fixed terms and predictable earnings, making them a popular option for longer-term financial goals. Opening a credit union CD offers security and peace of mind, with NCUA insurance up to $250,000.
Benefits of certificate accounts include:
- Predictable growth
- Protection from market volatility
- Flexible term options
- A disciplined approach to saving
With Advia, members earn up to 2x the national average on certificates,1 making them a powerful tool for growing savings while maintaining stability and peace of mind.
Match Your Account to Your Goal
A simple way to maximize your savings is to use different accounts for different goals. With a specific savings goal, and by understanding the features and benefits of a savings account versus a certificate of deposit, you can build the financial strategy that works best for you.
Savings Accounts are best for:
- Emergency funds
- Vacations
- Holiday spending
- Home and vehicle repairs
CDs are best for:
- Major purchases
- Education expenses
- Home projects
- Long-term savings goals
Matching your money to the right account can help balance accessibility and growth potential. Have questions? We’re here to help! You can contact Advia Credit Union any time by phone or live chat. Our goal is to support your financial journey and help you to kickstart the savings strategy that makes the most sense for you.
| Savings Accounts | CDs | |
|---|---|---|
| Access to Funds | Unlimited deposits or withdrawals | Funds unavailable during term commitment. CDs may be closed early with interest penalty. |
| Term Commitment | No commitment. Funds fully available for use when needed. | Flexible term commitment options, with greater rates available on longer terms. |
| Earnings Potential | Standard Savings Rate | Higher yield than traditional savings accounts. Promo rates commonly available. |
| Best for | Flexibility in savings | Earning more with higher yields. |
Four Easy Ways to Grow Your Savings
- Automate your savings. Schedule recurring transfers so saving becomes a habit.
- Save unexpected income. Consider depositing part of a bonus, tax refund, or cash gift into savings.
- Increase contributions gradually. Small increases add up significantly over time.
- Review idle cash. Money sitting in low-earning accounts may have greater growth potential in a savings or certificate account.
Frequently Asked Questions (FAQ)
What is the best way to start saving money?
One of the easiest ways to start saving is by setting up automatic transfers from your checking account to a savings account. Even small, consistent deposits can help you build an emergency fund, prepare for future expenses, and reach your financial goals over time.
How do CDs work?
Certificates of deposit (CDs) are savings accounts that let you earn a fixed interest rate for a set period, known as the term. In exchange for leaving your money untouched until the CD matures, you typically earn a higher rate than a regular savings account. If you withdraw funds before the maturity date, you may have to pay an early withdrawal penalty.
Are CDs worth it?
Certificates of deposit (CDs), also known as certificate accounts, can be a smart option for money you won’t need right away. They offer predictable earnings, fixed terms, and a low-risk way to help your savings grow while staying protected from market fluctuations.
How can I save more money without changing my lifestyle?
Focus on making your existing money work harder. Automating savings, depositing a portion of bonuses or tax refunds, and choosing savings or certificate accounts that match your goals can help you build savings without making major changes to your day-to-day spending.
The Bottom Line
You don’t always need to cut your budget to improve your financial outlook. A well-rounded savings strategy can help you build financial security while keeping your lifestyle intact. Whether you’re building an emergency fund, saving for a future purchase, or planning long-term goals, the right combination of savings accounts and certificate accounts can help you make the most of every dollar.
At Advia, we’re committed to helping members save smarter and achieve their financial goals with confidence.
About Advia Credit Union: Our mission is to provide financial advantages to its members. With nearly $4 billion in assets, Advia seeks to provide quick and easy access to money and time-saving financial tools to nearly 200,000 members in Michigan, Wisconsin, and Illinois. Advia's team of over 600 professionals delivers excellent service and innovative products at 34 locations and via digital and mobile platforms. Advia is guided by its core values: driving progress, acting with integrity, building and strengthening relationships, and keeping people at the core. Visit adviacu.org to learn more about how Advia provides Real Advantages for Real People.™
1 Source: S&P Capital IQ Pro; SNL Financial Data. Calculations: FDIC. Savings and interest checking account rates are based on the $2,500 product tier, while money market and certificate of deposit rates represent an average of the $10,000 and $100,000 product tiers. Account types and maturities published in these tables are those most commonly offered by the banks and branches for which we have data (on-tenor maturities).