checking vs. savings: which is right for me?

The answer depends on how you plan to use your money

Advantages of a checking account

Just because the name says “checking” doesn’t mean you have to write paper checks to use a checking account. These accounts are designed to allow easy, frequent access to your money. That means you can set up automatic payments (like utility bills, gym memberships, and subscriptions to streaming services), withdraw cash from an ATM or use a debit card to make purchases. Want to write an old-school paper check? You can do that, too.

Just be aware that checking accounts typically pay little to no interest on your monthly balance.

Advantages of a savings account

Savings accounts are designed to encourage you to put money in your account and keep it there for a longer period of time. In fact, depending on your bank, you may be limited to a certain number of withdraws before you are charged a fee.

So what’s the upside? Savings accounts pay interest on the money you’ve deposited. Then the interest earns interest of its own—meaning your money will grow over time.

How to choose between checking and savings accounts

To figure out the best type of account for you, think about how you plan to use it. If you’re looking for one easy place to deposit the money you need to pay your bills and other regular expenses, a checking account is your best choice.

On the other hand, if you’re looking for a place to put some money away in case of an emergency, a savings account will usually give those savings a better opportunity to grow while you’re not using them.

Many people wind up opening both kinds of accounts and transferring money back and forth between them. For example, if you pay your monthly bills and find you have quite a bit leftover in your checking account, you may want to move some cash to savings. And vice versa: If unusual expenses start to put a strain on your checking account, you could tap your savings to top it off.

Whatever plans you have for your money, we’re here to help. Contact us to learn more about which account would work best for you or check out our offerings online.


The information on this page is accurate as of January 2021 and is subject to change. First Financial Bank is not affiliated with any third-parties or third-party websites mentioned above. Any reference to any person, organization, activity, product, and/or service does not constitute or imply an endorsement. By clicking on a third-party link, you acknowledge you are leaving bankatfirst.com. First Financial Bank is not responsible for the content or security of any linked web page. Member FDIC / Equal Housing Lender.

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First Financial Bank is not affiliated with any third-party websites. Any reference to any person, organization, activity, product, and/or services does not constitute or imply an endorsement. First Financial Bank is not responsible for the content or security of any linked web page.