The Money PagesCan Your Savings Earn Interest?
A plain jar won’t pay you. An account may pay interest under its rules.
A jar keeps coins together. It doesn't make new coins—even if you ask nicely.
Some savings accounts pay interest: extra money paid under the account's rules.
Here's a made-up example. An account starts with $20 and pays 5% for one year. Five percent means five out of every hundred. Five percent of $20 is $1.
With no fees or other changes, the balance would be $21. The balance is the amount in the account.
Real rates and rules can change. This example isn't a promised offer. Ask a trusted grown-up about fees, access, and how an account protects money.
Money words
Interest
Money paid for the use of money. Some savings accounts pay it under their rules.
Some accounts pay interest under their rules. A glass jar does not. Made-up rates are not promises.
