Over the past several years, the American public has become aware of the importance of using credit cards judiciously and not amassing excessive debt. However, too few individuals recognize the benefits of having a savings account in addition to a checking account for more secure financial health and freedom. No matter how modest one’s income may be, setting up a savings account can provide numerous advantages down the road.
Home Down Payment
- Home ownership is a desire for many Americans. As the recent economy has proven, making a large down payment instead of contending with a large mortgage often translates into greater financial security. In order to make even a minimal down payment, many banks and credit unions require at least 20% of a home’s selling price. Depending on your geographical location, that figure may range from $20,000 to $200,000 for a two-bedroom home. Therefore, it’s essential that you begin a savings account early into adulthood to ensure that you will have the funds you need when buying a home.
- Next to owning a home, having adequate funds upon retirement ranks as a high priority for many individuals. Yet few people recognize how quickly retirement can come and put off saving for the future; without any financial safety net to take care of expenses once an individual is no longer working, retirement becomes drastically less appealing or even unachievable. Don’t let your golden years be compromised by financial insecurity. Having a savings account will help you amass the retirement income you require.
Funds for Unexpected Expenses
- Between now and retirement, you are bound to experience unexpected financial needs. Your car may suddenly break down. You or a loved one may fall ill with an ailment not covered by insurance. No matter your situation, your savings account may be the buffer you need against damaging financial debt.
GCS Credit Union can help you bolster your financial security with a savings account. Moreover, we offer credit union members competitive mortgage, auto financing, and personal loan rates. Call our O’Fallon, Illinois office today at (618) 219-8600 for more information.