Looking for a silver lining of the recession? Our national savings rate has crept up to around five percent – the highest it’s been since 1995 (and still way too low, Carmen says). As more people are stashing away some cash, there are more options than ever for where to pit. Greg McBride of Bankrate.com weighs the pros and cons of the major savings vehicles:
1. Checking accounts. Everyone needs a transaction account, but finding the right checking account is like finding a spouse – it has to be compatible with your financial life. If you choose a reward account with a high return, be prepared for strict requirements. Generally, there are very low rates of return on checking accounts.