Choosing a Brokerage Checking Account Over a Savings Account

Choosing a Brokerage Checking Account Over a Savings Account
US dollar banknotes show in Istanbul, Turkey on Dec. 7, 2021. Ozan Kose/AFP via Getty Images
Anne Johnson
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Money isn’t just a material commodity; it represents safety. If you protect and build your nest egg, life goes a lot easier down the road. Where you keep your money is almost as important as earning it. That’s where brokerage, retirement, checking, and savings accounts come into play.

What are the differences between these accounts? Knowing which ones are the best place to keep your hard-earned dollars is imperative. But knowing which accounts protect your funds is vital to deciding the best course of action when deciding where to keep your savings.

Brokerage Account vs. Bank Savings Accounts

A brokerage account is an investment account. It allows you to buy and sell securities. These include stocks, bonds and mutual funds. A bank account doesn’t hold securities; it only holds cash deposits.
Anne Johnson
Anne Johnson
Author
Anne Johnson was a commercial property & casualty insurance agent for nine years. She was also licensed in health and life insurance. Anne went on to own an advertising agency where she worked with businesses. She has been writing about personal finance for ten years.
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