Is a savings account even worth it? (See my details below)?

Is a savings account even worth it? (See my details below)?
I just got a full time job, and only have a checking account. I got rid of my savings account while in college because it seemed like I was just adding an extra step in my check-writing process (i.e. - transfer from savings to checking to make sure checks are covered) and in return I'd get almost nothing in interest. Now that I'm making more money, is a savings account really even worth it? Or should I just keep it all in checking for convenience? (By the way, I do NOT want to put my money into those online savings accounts with the high yields...I want a bank where I can see a person...)
How do you get your money from these places like ING and such? Obviously there's no actual bank to go visit...
The CitiBank idea is definiteky a good one. However I looked at their locations and the closest branch to me is 5 hours away. I just don't feel comfortable not being able to visit a branch now and then.
The CitiBank idea is definiteky a good one. However I looked at their locations and the closest branch to me is 5 hours away. I just don't feel comfortable not being able to visit a branch now and then.


Answers:

mich:  some online savings accounts aren't bad. maybe you should reconsider and try ING. they are pretty good. most accountants you talk to will tell you that ING is a pretty good investment. my current apy is %4.25 - this is where i bank for savings. i have an allotment ($100) from my checking account go there every month. i started in march, and now my account is $402.16.
2006-06-20 20:02:39
chariot804:  banks with savings accounts also offer other services as well. as far as high interest, there's the stock market, CDs, 401K, IRAs etc., and then there's the plain savings account as well.

savings accounts get more than a checking account as far as interest goes.

And if you don't go for ING direct there's always emigrant direct that is currently yielding 4.65% APY which isn't bad and you can get access to your money fairly easily
2006-06-20 20:03:38
spot:  Some banks offer interest checking account. Check different banks in your area.
2006-06-20 20:05:40
DCentGuy:  If you're not comfortable with the Online Savings Account, and would rather have it in a Brick & Mortar entity, there is an option.

CitiBank

They have the eSavings Account paying more than ING Direct and similar online banks.

eSavings gives you 4.75 %.

Your other option is to consider Interest Checking account - then again the interest they pay is NOMINAL - won't even cover the inflation.

Completely shunning the savings account doesn't make financial sense.

Keep your monies in the savings account and while you schedule your bill payment(s), also schedule the right amount to be transferred to the checking account from your savings account.

I think CitiBank is your best bet.
2006-06-20 20:31:18
mj2006:  Savings accounts help build your credit. Try Fifth Third. No minimum balance needed and you can start it with as little as 10.00. Very good interest rate.
2006-06-20 20:55:36
Chosen Answer
seawaguy:  A savings account is not just about interest. If you remove money from your checking account, hopefully it is "out of sight and out of mind" and you won't spend it! Use a savings account as a way to segregate money you don't want to touch while living your day to day life.

After you get a few thousand in savings, then it is worth thinking about earning interest ... it then pays to investigate who is offering a higher interest rate. If you're talking about less than $2000 of savings, the interest rate doesn't matter a whole lot. The amount of difference between earning 1% and 4% is peanuts until you get into having a few thousand bucks or more.
2006-06-20 21:49:13
jean:  you withdraw money the same way you deposit money with online savings account, it's call transfer.
2006-06-21 11:29:49
Stan N:  "Savings Accounts" may not be, in this market. However, Saving" is ALWAYS worth it.
2006-06-28 13:51:30
TD:  If you are to be saving, then you don't need the money at hands reach. Put it some where you can get it in a reasonable amount of time but not so you can just transfer or withdraw on a daily bases. Saving is about habits. Start saving a small amount and then build it to something larger. Since you don't seem comfortable with the idea make a budget of what you can save each month and really try something out of your reach. Start with $25-50 and build up.
2006-07-03 10:33:32