What "savings account" means in finance

A savings account is a type of bank account that allows individuals to deposit money and earn interest on their savings. It is generally used to store money for future use, emergencies, or to accumulate funds for a specific goal. Savings accounts are typically low-risk and offer easy access to the deposited funds, making them a popular choice for individuals who want to save money while maintaining liquidity. However, the interest rates on savings accounts are usually lower than those on other investment options, such as stocks or bonds.