Do you want to save money every month but find yourself spending it all before your next paycheck? We have a convenient solution: automatic transfers. Using automatic transfers is like buying candy for your family but stashing a Snickers bar in your sock drawer so you can enjoy it long after your children have depleted the main candy jar.
Unfortunately, for many people saving money can be an afterthought. Many will allocate money for things like food, the mortgage payment or entertainment, and only put what’s left over (if any) in a savings account. With automatic transfers, money is automatically taken out at a certain time so you’re not tempted to use it because it’s not in your checking account.
Automatic transfers are often used for the regular movement of funds from a checking account to a savings account. You choose the amount to transfer and when it gets transferred. An automatic transfer can be set up to occur on the same dates every month, such as on the third and seventeenth, or can be established to occur on the same days of the month, such as the second and fourth Thursdays.* Many people use automatic transfers in conjunction with direct deposit (automatic paycheck deposit) so they don’t have to worry about getting to the bank before the automatic transfer takes place , thus avoiding problems and fees. In addition to helping you save money, the automated process also saves you time and helps you avoid the hassle of manually transferring and depositing money.
Automatic transfers are easy to set up. You can do it using online personal (or business) banking or have a customer care representative walk you through it.
Once everything is in place, you’ll hardly realize you’re saving money, but you’ll see it adds up quickly. So next time you get to the end of the month and find you don’t have any money left over to put in your savings account, think about setting up an automatic transfer so you can have that Snickers bar on the day you need it most.
* Automatic transfers set up within online banking that fall on a holiday or weekend will occur the day before the holiday or weekend. Automatic transfers set up via signed hard copy at a branch that fall on a holiday or weekend will occur the day after the holiday or weekend.